The New York herald., 1921-08-30
MAKING WAY CLEAR
FOR MEXICO TREATY
Il
Discussions of Oil Men With
Obregon Expected to Clarity
Dispute.
DEPENDS ON ARTICLE 81
If Interpreted in Favor of
American Interests Nego-
tiations May Begin.
DEPENDS ON ARTICLE %
Special Despatch TO THE NEW YoRK HERALD.
New York HcriId Bureau.
Washington. ID. C.. Aug. 20.

New York Herald Bureau,
Washington, ID. c.. Aug. % }
Events are rapidly reaching a point
where settlement of differences with
Mexico will be possible II the Mexican
Government so desires. This Is the In
depreciation which is placed here upon
negotiations the oil men are conducting
with President Obregon.
The discussions are expected TO
clarity the dispute over the alleged con-
fiscatory article 27 of the the Mexican
Constitution and with tax laws enacted
by the Mexican Government which are
said to be excessive.
In addition to this the Mexican Su-
preme Court is scheduled to hand down
it's decision upon the confiscatory and
retroactive character of article q of the
Constitution on September Is.
In the event the decision holds that
the law Is not retroactive and places an
Interpretation upon 1t in keeping with
the attitude of the American Govern
ment the way will be comparatively
clear for a negotiation of a treaty of
amity Of commerce with Mexico.
The situation will then be test OF
the sincerity of President Obregon. As
spming the court decision is against the
retroactive character of the disputed ar
gon can find valid excuse for not sign
ing the treaty. His refusal to do so
would be interpreted as an evidence Of
his lack of desire to obtain American
recognition.
I'm spite of the favorable outlook for
a .clarifcation of the situation, there is
no spirit of optimism here concerning
an immediate settlement of Mexican af-
fairs.
while negotiations with the oil rnen
arc in prospect and with the Supreme
Court decision impending. reports on
legislation enacted by the various Mexi-
can states shows u distinct tenacncy
toward Bolshevism. This tendency is
aecentuated by the dominant position
Occupied IN Mexican councils by leaders
81 radicalisn.
-ICorroborative Of this attitude. copies
were received here to-day OF law ie-
Gently passed in the state Of Campeche
relative to rents. The information il
contained in copies of the newspaper
Excelsior. published in Mexico City. The
law describes all buildings cs public
utilities. which may be expropriaged by
any one desiring use of the building for
commercial purposes.
The Excelsior says this simply means
that all houses may be taken over for
any use whatsoever by any person who
so desires. and a family cannot be cer-
tain of remaining in its home. because.
when least expected. n blacksmith may
say he wishes to establish his shop In
their homes.
The law prescribes that the rental
shall be 8 per cent. annually If a dwell
ing and IL per cent. If used for CONNER
cial purposes.
Another provision of the law Is that
proprietors who have buildings unoccu-
pied are obliged TO rent them to the
first person who so desires"
Proprietors are also prohibited from
requiring bond for rentals in the event
the renter can produce a receipt show
ing he paid the rent in the last building
he occupied.