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THE CHINA MAIL, NOVEMBER 14, 1939

SOVEREIGNTY OF CHINA AND THE CHING KEE CASE

THAT THE SOVEREIGNTY OF THE CHINESE REPUBLIC, IN SPITE OF MILITARY OCCUPATION IN SOME PARTS, HAS NOT BEEN LOST, AND IS RECOGNISED BY HIS MAJESTY'S GOVERNMENT, AND THAT THAT BEING SO, THE LAWS OF CHINA, WHICH CREATED THE COM- PANY, CAN ALSO ANNUL, IT, WAS THE ARGUMENT OF MR. ELDON POTTER, K.C., IN THIS, MORNING'S CONTINUED HEARING OF THE APPEAL AGAINST THE DECISION OF THE CHIEF JUSTICE SIR ATHOLL MACGREGOR, GRANTING A PETITION FOR THE WINDING- UP OF THE CHING KEE NAVIGATION CO.

Mr. H. G. Sheldon, K.C., and the Russia, but the British Government Hon. Mr. Leo d'Almada, Jnr., instruct- still recognised the Polish Ambassa- ed by Mr. H. J. Armstrong, of Dea-dor even though there was complete cons, were for the appellants, while occupation of that unhappy country the respondents were represented by by Germany and Russia. True the Mr. Eldon Potter, K.C., and Mr. H. C. sovereign power was suspended,

but Macnamara, instructed by Mr. D. L. that was because Poland was not in Strellet.

position to enforce her laws there. It was different in China, as the Govern- ment could still do so.

Mr. Potter said that the court had not been told what law now governs China.

His point was that the company was incorporated by the laws of China, and not of Chefoo, was bound by that law in the fullest sense of the word, and having been created by the Republic of China, the Republic of China could equally annul its crea- tion and nothing could defeat that right except insurgency of the inhabi- tants, or conquest by another power, such as would be recognised by His Majesty's Government.

Enquiries, if necessary, would be made to find out which Government is recognised by His Majesty's Govern- ment as the sovereign power in China.

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Mr. Potter quoted cases in connec-|TO-MORROW tion with Abyssinia and Spain and then went on to Military occupation.

He said that hostile Military control of a country had no effect on the laws in any shape or form, and in the ab- sence of recognition, their law nothing more that the law of an usurp- ing Government.

Was

An extraordinary situation would

What was the defacto or de jure arise if, His Majesty's 'Government government in China? If the Chinese having not recognised another Gov-Government, then the laws of the ernment in China, the Court did so. Republic were the only laws func- Such a position would be utterly im- tioning in China. possible.

The deciding factor was recognition or otherwise by His Majesty's Govern- ment.

Mr. Sheldon had mentioned land. It was true that Poland occupied by Germany and

He submitted that the Ching Kee firm had, by virtue of the laws under which it had been incorporated, been dissolved and that the only laws in Po-China, until His Majesty's Govern- ment sees fit to recognise another Soviet government, are those of the Repub-

lic of China.

was

Judgment was reserved.

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