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 prove not only most disastrous to the owners of the British ship, but also very detrimental to the public service.

As I understand the law of the United States, the owners of our mail steamer, if at fault, would be responsible to the full extent of their means for all the loss the owners of the American steamer had sustained; if so, the result would be the seizure of the British steamer whenever she reached an American port; and, possibly, if the loss sustained was very great, the seizure of all the vessels in port belonging to the same owner, and thus our mail service for the time might be suspended.

It is to this grave contingency I am anxious to direct your Lordship's attention, in the hope that you may see the urgent necessity of taking such steps as you may deem most expedient to induce the Government of the United States to place our vessels in their courts on the same footing in regard to the limitation of liability as we now place the owners of their vessels in our courts.

I am, my Lord, your most obedient humble servant,

.

To the Right Hon. the Lord, M.P., Secretary of State for Foreign Affairs, &c. &c. &c.

Board of Trade, Whitehall, 25th February, 1867.

,

With reference to your letter of the 29th September, 1866, addressed to the Secretary of State for Foreign Affairs, and to previous correspondence upon the subject of the law of the United States as affecting the liability of the Shipowner in cases of loss by collision at sea, I am now directed by the Board of Trade to transmit to you the accompanying copy of a despatch and inclosures received through the Foreign Office from her Majesty's Minister at Washington upon this subject.

I have the honour to be, Sir, Your obedient servant, .

To, Esq., Manor House, Shepperton.

(Copy.—M. 1268.)

Washington, 23rd January, 1867.

,

In reply to your Lordship's despatch, marked "Commercial No. 7," of the 14th November last, on the liability imposed by