2 <5 < CO , MinuUs. I saw Colonel Knox this afternoon at his request. He asked me how the position stood as regards Newfoundland and the draft letter. I told him that London and the Governor had both approved it subject to small textual alterations and I gave him a copy of our draft showing the amendments. He read it and said that it looked to him all right. I suggested that Mr. Poster should fix it up with his legal adviser and he concurred. 2 LU m e o 2 5 *- o 2 I mentioned that His Majesty's Government took the view that this letter d not be takeiL-&_s a precedent on which work could be started^ i.e. jve;$ould not ^rft^TU use a letter couched in tl& ofeniffierms to inaugurate work at the other bases} u^'fi^^ I had no reason to think that the Foreign Office were at all opposed to similar brief letters as regards the other bases « »**4 it was merely the fact that conditions varied locally that prevented thtsclottoy being standardised. Colonel Knox took the point. h /fa** NMB:DH an. --- I referred too to the Ambassador having thrown out^the personal suggestion as regards an umpire in the case of disputes arising locally. I said that London wished to withdraw this suggestion; His Majesty's Government's view was that most things could and should be settled by the good sense of the men on the spot; if any dispute got beyond this, it would probably be sufficiently serious to require referring to Washington and London. Colonel Knox concurred. I told the Colonel that^all the Colonial Governments had now agreed to work being begun by the American authorities once agreement had been reached regarding the location of the "Biases;^ I was not quite certain as to Berr..uda, but Colonel Knox assured me that Admiral Greenslade had told him that agreement had been reached there. As regards Bermuda I reminded the Secretary that His Majesty's Government meant to issue some statement and that we had asked the Navy Department not to forestall this. I reminded him also that we had asked that the American authorities should ^ employ local labour, and give British \ /and Dominion firms of contractors opportunity to tender in connexion with the construction of the bases. Colonel Knox said that this was agreeable to the United States Government: American contractors/ Minutes, contractors had their hands full with work at home. I* I did not put to Colonel Knox the point in sub-paragraph (e) of Mr. Hoyer Millar's minute. Perhaps Mr. Poster would take this up when he sees the Navy Department legal adviser about the draft letter. Colonel Knox had no complaints and seemed well satisfied, ^ /tfuv^ /*cC«~V*C v£ h*'c0-^ f& * ft'(U:ff^JV». October 30th, 1940