The provisions in the Treaty of Friendship, Commerce, and
Navigation with the King of Denmark concluded April 26, 1826, and
revived by the convention of April 11, 1857, do not, by their own
operation, authorize the importation, duty free from Danish
dominions, of articles made duty free by the convention of January
30, 1875, with the King of the Hawaiian Islands, but otherwise
subject to duty by a law of Congress, the King of Denmark not
having allowed to the United States the compensation for the
concession which was allowed by the King of the Hawaiian
Islands.
This was an action to recover back duties alleged to have been
illegally exacted by the collector at New York. Judgment for
defendant. Plaintiff sued out this writ of error. The case is
stated in the opinion of the court.
MR. JUSTICE FIELD delivered the opinion of the Court.
The plaintiffs are merchants doing business in the City of New
York, and in March and April, 1882, they made four importations of
brown and unrefined sugars and molasses, the produce and
manufacture of the Island of St. Croix, which is
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a part of the dominions of the King of Denmark. The goods were
regularly entered at the custom house at the port of New York, the
plaintiffs claiming at the time that they should be admitted free
of duty under the treaty with Denmark because like articles, the
produce and manufacture of the Hawaiian Islands, were, under the
treaty with their King, and the act of Congress of August 15, 1876,
to carry that treaty into operation, admitted free of duty. The
defendant, however, who was the collector of the port of New York,
treated the goods as dutiable articles, and, against the claim of
the plaintiffs, exacted duties upon them under the acts of
Congress, without regard to those treaties, amounting to $33,222,
which they paid to the collector under protest in order to obtain
possession of their goods. They then brought the present action
against the collector to recover the amount thus paid. The action
was commenced in a court of the State of New York, and on motion of
the defendant was transferred to the circuit court of the United
States.
The complaint sets forth the different importations; that the
articles were the produce and manufacture of St. Croix, part of the
dominions of the King of Denmark; their entry at the custom house,
and the claim of the plaintiffs that they were free from duty by
force of the treaty with the King of Denmark and of that with the
King of the Hawaiian Islands; the refusal of the collector to treat
them as free under those treaties, his exaction of duties thereon
to the amount stated, and its payment under protest, and asked
judgment for the amount. The defendant demurred to the complaint on
the ground, among others, that it did not state facts sufficient to
constitute a cause of action against him. The circuit court
sustained the demurrer and ordered judgment for the defendant with
costs, 15 F. 212, and the plaintiffs have brought the case to this
Court for review.
We are thus called upon to give an interpretation to the clause
in the treaty with Denmark which bears upon the subject of duties
on the importation of articles produced or manufactured in its
dominions, and the effect upon it of the treaty with the Hawaiian
Islands for the admission without duty of similar articles, the
produce and manufacture of that kingdom.
Page 122 U. S. 118
The existing commercial treaty between the United States and the
King of Denmark, styled "General Convention of Friendship,
Commerce, and Navigation," was concluded on the 26th of April,
1826. It was afterwards abrogated, but subsequently renewed, with
the exception of one article, on the 12th of January, 1858. The
first article declares that
"The contracting parties, desiring to live in peace and harmony
with all the other nations of the earth by means of a policy frank
and equally friendly with all, engage mutually not to grant any
particular favor to other nations in respect to commerce and
navigation which shall not immediately become common to the other
party, who shall enjoy the same freely if the concession were
freely made, or upon allowing the same compensation if the
concession were conditional."
The fourth article declares that
"No higher or other duties shall be imposed on the importation
into the United States of any article the produce or manufacture of
the dominions of his majesty the King of Denmark, and no higher or
other duties shall be imposed upon the importation into the said
dominions of any article the produce or manufacture of the United
States, than are or shall be payable on the like articles being the
produce or manufacture of any other foreign country."
The treaty, or convention as it is termed, between the King of
the Hawaiian Islands and the United States, was concluded January
30, 1875, and was ratified May 31 following. Its first article
declares, that "For and in consideration of the rights and
privileges granted by his majesty the King of the Hawaiian
Islands," and "as an equivalent therefor," the United States agree
to admit all the articles named in a specified schedule, the same
being the growth, produce, and manufacture of the Hawaiian Islands,
into all the ports of the United States free of duty. Then follows
the schedule, which, among other articles, includes brown and all
other unrefined sugars and molasses. The second article declares
that "for and in consideration of the rights and privileges granted
by the United States of
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America in the preceding article," and "as an equivalent
therefor," the King of the Hawaiian Islands agrees to admit all the
articles named in a specified schedule which were the growth,
manufacture, or produce of the United States of America, into all
the ports of the Hawaiian Islands free of duty. Then follows the
schedule mentioned. By the fourth article it is also agreed on the
part of the Hawaiian King that so long as the treaty remains in
force, he will not lease or otherwise dispose of or create any lien
upon any port, harbor, or other territory in his dominions, or
grant any special privileges or rights of use therein, to any other
power, state or government, nor make any treaty by which any other
nation shall obtain the same privileges, relative to the admission
of any articles free of duty, thereby secured to the United
States.
The fifth article declared that the convention should not take
effect until a law had been passed by Congress to carry it into
operation. Such a law was passed on the 15th of August, 1876, 19
Stat. 200, c. 290. It provided that whenever the President of the
United States should receive satisfactory evidence that the
Legislature of the Hawaiian Islands had passed laws on their part
to give full effect to the convention between the United States and
the King of those islands, signed on the 30th of January, 1875, he
was authorized to issue his proclamation declaring that he had such
evidence, and thereupon, from the date of such proclamation,
certain articles, which were named, being the growth, manufacture,
or produce of the Hawaiian Islands, should be introduced into the
United States free of duty so long as the convention remained in
force. Such evidence was received by the President, and the
proclamation was made on the 9th of September, 1876. 19 Stat.
666.
The duties for which this action was brought were exacted under
the Act of the 14th of July, 1870, as amended on the 22d of
December of that year. 16 Stat. 262, 397. The act is of general
application, making no exceptions in favor of Denmark or of any
other nation. It provides that the articles specified, without
reference to the country from which they
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come, shall pay the duties prescribed. It was enacted several
years after the treaty with Denmark was made.
That the act of Congress, as amended, authorized and required
the duties imposed upon the goods in question, if not controlled by
the treaty with Denmark, after the ratification of the treaty with
the Hawaiian Islands there can be no question. And it did not lie
with the officers of customs to refuse to follow its directions
because of the stipulations of the treaty with Denmark. Those
stipulations, even if conceded to be self-executing by the way of a
proviso or exception to the general law imposing the duties, do not
cover concessions like those made to the Hawaiian Islands for a
valuable consideration. They were pledges of the two contracting
parties, the United States and the King of Denmark, to each other
that, in the imposition of duties on goods imported into one of the
countries which were the produce or manufacture of the other, there
should be no discrimination against them in favor of goods of like
character imported from any other country. They imposed an
obligation upon both countries to avoid hostile legislation in that
respect. But they were not intended to interfere with special
arrangements with other countries founded upon a concession of
special privileges. The stipulations were mutual, for reciprocal
advantages. "No higher or other duties" were to be imposed by
either upon the goods specified; but if any particular favor should
be granted by either to other countries in respect to commerce or
navigation, the concession was to become common to the other party
upon like consideration -- that is, it was to be enjoyed freely if
the concession were freely made, or on allowing the same
compensation if the concession were conditional.
The treaty with the Hawaiian Islands makes no provision for the
imposition of any duties on goods, the produce or manufacture of
that country, imported into the United States. It stipulates for
the exemption from duty of certain goods thus imported in
consideration of and as an equivalent for certain reciprocal
concessions on the part of the Hawaiian Islands to the United
States. There is in such exemption no violation of the stipulations
in the treaty with Denmark, and
Page 122 U. S. 121
if the exemption is deemed a "particular favor" in respect of
commerce and navigation within the first article of that treaty, it
can only be claimed by Denmark upon like compensation to the United
States. It does not appear that Denmark has ever objected to the
imposition of duties upon goods from her dominions imported into
the United States, because of the exemption from duty of similar
goods imported from the Hawaiian Islands, such exemption being in
consideration of reciprocal concessions, which she has never
proposed to make.
Our conclusion is that the treaty with Denmark does not bind the
United States to extend to that country, without compensation,
privileges which they have conceded to the Hawaiian Islands in
exchange for valuable concessions. On the contrary, the treaty
provides that like compensation shall be given for such special
favors. When such compensation is made, it will be time to consider
whether sugar from her dominions shall be admitted free from
duty.
Judgment affirmed.