Page:United States Statutes at Large Volume 60 Part 2.djvu/821

 1912 INTERNATIONAL AGREEMENTS OTHER THAN TREATIES [60 STAT. United Nations who were the original owners. It will be for the Government of the United Nation concerned to make the necessary arrangements with its own nationals as regards the ultimate owner- ship of any such vessels. (b) The Governments of each United Nation will, in respect of any vessel handed over to it under the terms of this Memorandum:- (i) make the vessel available for the common purposes of the United Nations in accordance with the arrangements then existing; (ii) accept responsibility for all liabilities in respect of the vessel and (iii) indemnify the other United Nations Governments concerned against any claims made against them or any one or more of them arising out of the handing over of the vessel. erises ced nta (c) Some United Nations vessels have been placed by the enemy in a Prize Court. If such vessels are captured or found, some form of prize proceedings will be required to divest the enemy of their title and to revest it in the Governments of the United Nations concerned. The necessary proceedings will be brought in the Prize Court of the State to which the ship is to be ultimately returned, or, failing that, in a Prize Court of the State of which the Commander-in-Chief is a national, but action in the latter Prize Court would be without preju- dice to the operation of the general principle as to return stated in sub-paragraph 1 of Part II above. Except in these cases Prize Court proceedings will only be taken if in any particular instance immediate action is necessary to bring a vessel into service. (d) There may be cases in which it-is subsequently proved that the true owner of a particular vessel is a State or National of a State other than that in which the vessel is registered, or that parties who are not nationals of the State of registration hold equities in the vessel or the right to possession thereof. In such cases, it is under- stood that Allied Governments to whom a vessel has been transferred Ane, p. 1911. in accordance with Article 1 of Part II of this Memorandum have by such transfer acquired custody only and will release the vessel or make such other arrangements as may be necessary in the circum- stances. Vessels for which an Idemnitoywbah (e) In the case of vessels in respect of which total losses have been paid. paid by underwriters, the return to a Government under the arrange- ments agreed in this Memorandum wll be subject to the safeguarding of any rights which underwriters may have. Thus, when the owner of a vessel whether a United Nations Government or a National of a United Nations Government, has been indemnified by the under- writers, the turning over of a vessel to that Government without taking into account such indemnification, would be in the nature of a gift and in such circumstances appropriate equitable adjustments will be made between the Governments concerned.

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