The Birmingham age-herald., 1911-04-11
COURT DECISION VERY IMPORTANT
 ID RECIPROCITY Favored Nation" Clause Does Not Restrict the Canadian Agreement DECISION IS MADE
 BY CUSTOMS COURT Result of Comparatively Insignifi- cant Case Proves of Great Im-
 portance and Is Consid-
 cred Big Victory

Washington, April 10.-The so-called favored nation" clause of commercial treaties with England. France and Ger many does not restrict the United States from putting into operation the reciprocity agreement with Canada, according to a decision of the customs court rendered today.
 The decision was brought out by com unimportant contests over the rate of duty which should be im- posed on whisky imported from Eng land and France The point involved Canadian reciprocity agree ment by those who claimed it was prac- tically forbidden by the favored nations clause.
 A. D. Shaw & Co.,. firm of New Y York importers, protested payment of duty on whisky from England at the rate of s2.25 a gallon. holding they were entitled to a rate of S1.75. which is imposed on whisky and other spirits from France. The essence of their claim was that under the most favored na ton clause with Great Britain importa- lions from England are entitled to be entered at the same rate of duty levied upon such merchandise when imported from France and the other countries with whom similar treaties have been executed.
 The treaty with England was ne gotiated in 1915 and indefinitely ex- mi France, Italy and Germany, forming the basis of the importers claim, were put into effect by the President under the tariff act of 1897. Under the las: named treaty, fin view of reciprocal and equivalent concessions" the rate on whisky from France was fixed at $1.75 gallon. The court holds that by it's terms the treaty is one of mutual and concession.
 The importers claim was that the concession of the lower rate of duty to France was a special favor within the purvfew of the trca>S with England.
 Removes Big Obstacle Citing the germane decisions by the supreme court, the court held that the portion of the tariff act of 1897, which gave to the president authority to ne- gotiate commercial reciprocity agree ments with other nations, was not in conflict with the favored nation" clause of the treaty with England. This portion of the decision which was unanimous is interpreted as removing ,ne of the greatest obstacles yet raised
 
 says that 'Section of the tariff act of 1897 was general law, its attitude toward every. nation was uniform. It offered no spec al favor 70 France, Ger many, Italy or any other country. It was equally within the opportunity of England to negotiate d reciprocity treaty as it was within the opportunity of France.
 We think that in logic or effect the negotiation of treaty upon consider ation does no violence 10 that treaty provision with England. The reciprocity treaty with France is one founded upon mutual considerations. This country gives considerations for the considers lions given in exchange therefor by France If this country should conceds Lo Great Britain without consideration what if has conceded to France for con- sideration, it would not be conceding 10 England a favor it conceded to the otn- sr country, but it would be conceding 10 England more than 1t conceded to he other country, because England in sucb case gives no consideration for the for which France gave con- sideration.
 Would Be Unfair
 .rhe extension of the $1.75 rate upon spirituous liquors in this case to Eng land without any mutual concession therefrom would be conceding not what was conceded France, but something more than was conceded France, and therefore cannot be within the purview If the most favored nation" clause of tho treaty with his Brittaniac majesty without consideration which has not been given.
 .If the convention with England in Inc particulars considered was per SC exc cuted, or was by legislation stated executed, 1t does not contemplate, md is not contravened by treaties based I1pon mutual considerations such as he reciprocal convention of 1898 with France. If the treaty with England is not self-executing, or If it has not been executed by legislation of Congress he question is not one for the courts, ,ut a political one for the legislative md. executive departments of the gov 
 The action of the customs authori- ties in refusing to extend the low French duty to imports from England was sustained.
 The principle really involved was whether the favored clause in the treaty with England automatically gave to the nation the same advantages as were extended to France by the reel procity agreement of 1898.
 The court decided that it did not. The same principle Is held to cover the which exists with regard to the proposed reciprocity agreement with Canada.