Colonial Despatches

I have the honor to acknowledge the receipt of your despatch No. 35 of the 6th of May, submitting a proposal for the settlement of the Land Claims of the Hudson's Bay Company in British Columbia.

I enclose for your information an extract ofa a Report by the Board of Emigration together with the Memorandum therein referred to showing the result of the negotiation which has taken place with the Hudson's Bay Company on the subject. I also enclose a copy of a letter which I thereupon caused to be addressed to the Company and of their answer by which letters you will perceive that the arrangement is adoptedby by the Company and by Her Majesty's Government.

You will observe that in the event of differences as to the boundaries or other details of the different plots of land contemplated in the agreement those difference are to be determined by Arbitrators. As the ordinary business of carrying the whole arrangement into effect will devolve on the Land Department of which Colonel Moody is thehead head, it appears necessary to look to some other source for an Arbitrator to be employed in case of need. It is fortunate that the presence of Captain Gosset of the Royal Engineers supplies an Officer whose acquirements and former experience render him very appropriate for this Office. You will therefore name him as the Arbitrator to serve on behalfof of the Government if occasion should arise. I shall be very happy however if the progress of the business should be so satisfactory as not to cause a reference to arbitration.