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2120. In general; National Guard.-The number of enlisted men of the National Guard to be organized under this Act be determined by the President for each Territory * * ** That the word Territory as used in this Act and in all laws relating to the land militia and National Guard shall include and apply to Hawaii, Alaska, Puerto Rico, and the Canal Zone, and the militia of the Canal Zone shall be organized under such rules and regulations, not in conflict with the provisions of this Act, as the President may prescribe. Sec. 62, act of June 3, 1916 (39 Stat. 198);

32 U. S. C. 4c.

2121. In general; title to lands by prescription. That hereafter no prescription or statute of limitations shall run, or continue to run, against the title of the United States to lands in any Territory or possession or place or Territory under the jurisdiction or control of the United States, including the Philippine Islands; and that no title to any such lands of the United States or any right therein shall be acquired by adverse possession or prescription, or otherwise than by conveyance from the United States. Act of Mar. 27, 1934 (48 Stat. 507); 48 U. S. C. 1489.

2122. Alaska; laws in effect.-That the Constitution of the United States, and all the laws thereof which are not locally inapplicable, shall have the same force and effect within the said Territory as elsewhere in the United States; that all the laws of the United States heretofore passed establishing the executive and judicial departments in Alaska shall continue in full force and effect until amended or repealed by Act of Congress; that except as herein provided all laws now in force in Alaska shall continue in full force and effect until altered, amended, or repealed by Congress or by the legislature: Sec.

3, act of Aug. 24, 1912 (37 Stat. 512); 48 U. S. C. 23.

By act of April 13, 1934 (48 Stat. 583), Federal liquor prohibition laws to the extent that they were in force in Alaska were repealed, and act of territorial legislature establishing a "board of liquor control" was ratified and approved.

Act of June 29, 1936 (49 Stat. 2017), provides for retirement of employees of the Alaska Railroad who are citizens of the United States.

The act of May 31, 1938 (52 Stat. 590), creates an Alaskan International Highway Commission, to investigate and report upon the practicability of constructing a highway through Canada to connect northwestern United States with Alaska.

Provided

2123. Alaska; foreign-controlled telegraph or cable lines.-* further, That no telegraph or cable lines owned or operated or controlled by persons not citizens of the United States, or by any foreign corporation or Government, shall be established in or permitted to enter Alaska. Act of May 26, 1900 (31 Stat. 206); 48 U. S. C. 302a.

2124. Canal Zone; laws in effect. That all laws, orders, regulations, and ordinances adopted and promulgated in the Canal Zone by order of the President for the government and sanitation of the Canal Zone and the construction of the Panama Canal are hereby ratified and confirmed as valid and binding until Congress shall otherwise provide. # Sec. 2, act of Aug. 24, 1912

(37 Stat. 561); 48 U. S. C. 1309.

Important laws affecting the Canal Zone have been enacted as follows:

Feb. 21, 1933 (47 Stat. 859), amending Penal Code.

Feb. 21, 1933 (47 Stat. 880), amending Code of Criminal Procedure.
Feb. 27, 1933 (47 Stat. 908), Code of Civil Procedure.

Feb. 27, 1933 (47 Stat. 1124), Civil Code.

Others modifying the Organic Act, enactments by the Isthmian Canal Commission, and Executive orders, are acts of July 5, 1932 (47 Stat. 571-579); July 14, 1932 (47 Stat. 661); Feb. 16, 1933 (47 Stat. 810-818); June 19, 1934 (48 Stat. 1116), control of liquor traffic; June 19, 1934 (48 Stat. 1122) as amended by acts of June 24, 1936 (49 Stat. 1903); July 9, 1937 (50 Stat. 486); July 10, 1937 (50 Stat. 509); and August 24, 1937 (50 Stat. 750), Canal Zone Code.

Executive Order No. 6997, March 25, 1935, prescribes regulations governing the manufacture, importation, and sale of alcoholic beverages in the Canal Zone, with a special provision for areas reserved for the use of the Army and Navy.

The act of August 24, 1935 (49 Stat. 743), as amended by act of May 23, 1938 (52 Stat. 436), authorizes the erection on an appropriate site within the Canal Zone of a suitable memorial of heroic size to Major General George W. Goethals, in commemoration of his signally distinguished services in connection with the construction and operation of the Panama Canal.

An appropriation for carrying out this project is contained in section 1, War Department civil appropriation act of July 19, 1937 (50 Stat. 520).

Lands on which the Quarry Heights Military Reservation was established by previous Executive orders, were redefined and set apart as a military reservation under the control and Jurisdiction of the Secretary of War by Executive Order No. 7407, July 6, 1936, Under section 5, title 2, Canal Zone Code of June 19, 1934, supra, certain parcels of land in the Canal Zone were reserved and set apart as Fort William D. Davis Military Reservation, by Executive Order No. 7806, February 5, 1938.

Certain lands in the Canal Zone were set aside as a military reservation to be known as the Cerro Pelado Ammunition Depot by Executive Order No. 7979, September 26, 1938. Open-market purchases in amounts not exceeding $500, for the use of the Panama Canal or for use in the Canal Zone, were authorized by Governor's Circular No. 690-2, March 29, 1938 (3 F. R. 965).

Notes of Decisions

In general. The eight-hour law, 744, | construction of the Panama Canal. (1905) ante, does not apply to the office force of the 25 Op. Atty. Gen. 441. Isthmian Canal Commission stationed on the Isthmus of Panama, or to any of the employees of the Government who are not within the ordinary meaning of the words "laborers and mechanics," but applies to the employment of laborers and mechanics in the

It does not apply to laborers and mechanics in the employment of the Panama Railroad & Steamship Line; such persons being employed by the corporation, and not by the United States. 465.

(1905) 25 Op. Atty. Gen.

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Clause of tariff act of August 5, 1909, pro- | "and such purposes only." viding rate of duty on articles imported into United States or any of its possessions, does not apply to the Canal Zone. (1909) 27 Op. Atty. Gen. 594.

Whyte Rope Co. v. United Fruit Co. (1922) 225 Ill. App. 286.

Status. A suit nominally against "the Panama Canal as a public utility" and the Governor of the canal, for damages sustained by vessels while in the canal, is a suit in tort against United States in its governmental capacity, and hence not maintainable except as consented to. Compagnie Generale Transatlantique v. Governor of the Panama Canal (C. C. A., 1937), 90 F. (2d) 225.

The Panama Canal Zone is treated by the laws of the United States as a foreign country, except that the act as to extradition of persons accused of crime (sec. 1330, title 48, U. S. Code) is to be considered in force in the Canal Zone, which shall be treated as a territory of the United States for such purposes 2125. Canal Zone; contracts with Panama Railroad.-Hereafter the Panama Railway Company shall not be required to give bond, either with or without surety, in contracts which it may make to furnish services, materials, or supplies to the Army, Navy, Marine Corps, or other departments of the Government, and such contracts may be made for periods less than one year, as may be agreed on, and formal contracts in writing shall not be required unless agreed on. Sec. 6, act of Mar. 4, 1911 (36 Stat. 1452); 48 U. 8. C. 1335.

Executive Order No. 7021, April 19, 1935, authorizes the Governor of the Panama Canal to arrange for the operation by the Panama Railroad Company of Panama Canal piers. By public resolution of July 10, 1937 (50 Stat. 511), the Panama Railroad Company was authorized to dispose of a portion of its holdings on Manzanillo Island, Republic of Panama, the United States to be granted sovereign rights over other areas on said Island.

Notes of Decisions

In general.-The construction, management, and operation of the Panama Canal are governmental functions, and within the constitutional power of Congress to regulate commerce and to provide for the national defense.

Such being the status of the Canal, it follows that all auxiliaries primarily designed and used to aid in its management and operation, and which have that effect, partake of its nature, and constitute, with the Canal, a single great regulator of national and international commerce.

management and operation of the Panama Canal is such as to constitute the Panama Railroad Company a governmental instrumentality of the United States.

The Railroad Company being immune from State taxation, it necessarily results that fixed salaries and compensation paid to its officers and employees in their capacities as such are likewise immune.

The salary of the general counsel of the Panama Railroad Company held exempt from payment of a State income tax, New York ex rel Rogers v. Graves (1937), 299 U. S. 401.

The interrelation of its activities with the 2126. Canal Zone; control in time of war.-That in time of war in which the United States shall be engaged, or when, in the opinion of the President, war is imminent, such officer of the Army as the President may designate shall, upon the order of the President, assume and have exclusive authority and jurisdiction over the operation of the Panama Canal and all of its adjuncts, appendants, and appurtenances, including the entire control and government of the Canal Zone, and during a continuance of such condition the governor of the Panama Canal shall, in all respects and particulars as to the operation of such Panama Canal, and all duties, matters, and transactions affecting the Canal Zone, be subject to the order and direction of such officer of the Army. Sec. 13, act of Aug. 24, 1912 (37 Stat. 569); 48 U. S. C. 1306.

2127. Canal Zone; ferry and highway.-That the Governor of the Panama Canal, under the supervision of the Secretary of War, is authorized

(a) To establish, maintain, and operate, near the Pacific entrance of the Panama Canal, from a point at or near Balboa on the eastern side of the canal to a suitable point on the opposite shore of the canal, a ferry for the accommodation of the public and adequate to serve military needs, and for

such purposes is authorized to acquire such ferryboats, and other equipment, and to construct and maintain such wharves, docks, and approaches as may be necessary; and

(b) To construct and maintain a highway for the accommodation of the public and adequate to serve military needs, to extend from the western terminal of such ferry to a point at or near the town of Arraijan at or near the Canal Zone line. Sec. 1, act of May 27, 1930 (46 Stat. 388).

(a) The Governor of the Panama Canal, subject to the approval of the Secretary of War, is authorized to make rules and regulations governing the operation, use, and maintenance of the ferry, equipment, wharves, docks, and approaches established, acquired, and constructed under this Act. Any person violating any such rule or regulation shall be punished by a fine of not to exceed $100 or by imprisonment for not to exceed thirty days, or by both such fine and imprisonment.

(b) The ferry and highway provided for by this act shall be operated and maintained free of tolls. Sec. 2, act of May 27, 1930 (46 Stat. 388).

There is hereby authorized to be appropriated the sum of $1,000,000, or so much thereof as may be necessary, to establish the ferry and construct the highway provided for by this Act, and there are authorized to be appropriated annually such sums as may be necessary to carry out the provisions of this Act. Sec. 3, act of May 27, 1930 (46 Stat. 388).

The compilers of the United States Code have not followed the recommendation of the War Department (Op. J. A. G. 010.3, July 10, 1931, p. 203) that the above provisions, based on sections 1, 2 and 3, act of May 27, 1930 (46 Stat. 388), be included in the Code.

2128. Canal Zone; investigations and surveys.-That the President is hereby authorized to cause to be made, under the direction of the Secretary of War and the supervision of the Chief of Engineers, and with the aid of such civilian engineers as the President shall deem advisable, a full and complete investigation and survey for the purpose of ascertaining the practicability and the approximate cost of constructing and maintaining (1) such additional locks and other facilities at the Panama Canal as may be necessary to provide for the future needs of interoceanic shipping; and (2) any other route for a ship canal between the Atlantic and Pacific Oceans. Sec. 1, pub. res. of Mar. 2, 1929 (45 Stat. 1539). The President is hereby authorized to cause to be made, under the direction of the Secretary of War and the supervision of the Chief of Engineers, and with the aid of such civilian engineers as the President shall deem advisable, a full and complete investigation and survey for the purpose of revising and bringing down to date the reports of the Isthmian Canal Commission transmitted to Congress, with respect to the practicability and advantages and approximate cost of constructing a canal across Nicaragua, and for the purpose of obtaining all additional available information respecting (1) the most practical route for an interoceanic ship canal across the Republic of Nicaragua by way of the San Juan River and the Great Lake of Nicaragua, or by way of any other route over Nicaraguan territory, including suitable locations for harbors at each of the termini thereof; (2) the practicability and approximate cost of constructing and maintaining such canal; and (3) the approximate cost of acquiring all private rights, properties, privileges, and franchises, if any, included in or necessarily affected by such canal route. Sec. 2, pub. res. of Mar. 2, 1929 (45 Stat. 1539).

The Chief of Engineers, under the direction of the Secretary of War, may establish and maintain, during the investigations and surveys authorized by this resolution, such stations as he may deem necessary for ascertaining the

water supply available for the operation of a canal across Nicaragua or elsewhere and for the operation of the additional locks and other facilities at the Panama Canal. Sec. 3, pub. res. of Mar. 2, 1929 (45 Stat. 1539).

The President is hereby requested to report to the Congress not later than two years from the approval of this resolution the results of the investigations and surveys hereby authorized, together with such recommendations in connection therewith as he may deem advisable. Sec. 5, pub. res. of Mar. 2, 1929 (45 Stat. 1540).

That the Secretary of War is hereby authorized to continue the gathering of hydrological data, concerning the proposed Nicaragua Canal, by personnel operating continuously in Nicaragua under the supervision of the Chief of Engineers, as recommended in House Document Numbered 139, 72nd Congress, 1st Session; the cost of this work, and such incidental expenses as may be necessary in connection therewith, to be paid from appropriations hereafter made for examinations, surveys, and contingencies of Rivers and Harbors. Sec. 12, act of June 20, 1938 (52 Stat. 808).

2129. Canal Zone; repatriation of aliens. For repatriation of unemployed aliens who have been employed in the service of the United States Government or the Panama Railroad Company on the Isthmus of Panama for three or more years at any time, and repatriation of members of families of such alien former employees, including expenses of transportation of such alien former employees and members of their families, and the payment in cash of not to exceed $100 to each such alien former employee for assistance in rehabilitation after repatriation, $150,000, to be expended under the direction of the Governor of the Panama Canal and to be available until expended. Pub. res. of May 7, 1934 (48 Stat. 670).

2130. Canal Zone; sales by Panama Canal.-In addition to the foregoing sums there is appropriated for the fiscal year nineteen hundred and thirty for expenditures and reinvestment under the several heads of appropriation aforesaid, without being covered into the Treasury of the United States, all moneys received by the Panama Canal from services rendered or materials and supplies furnished to the United States, the Panama Railroad Company, the Canal Zone Government, or to their employees, respectively, or to the Panama Government, from hotel and hospital supplies and services; from rentals, wharfage, and like service; from labor, materials, and supplies, and other services furnished to vessels other than those passing through the canal, and to others unable to obtain the same elsewhere; from the sale of scrap and other by-products of manufacturing and shop operations; from the sale of obsolete and unserviceable material, supplies, and equipment purchased or acquired for the operation, maintenance, protection, sanitation, and government of the canal and Canal Zone; and any net profits accruing from such business to the Panama Canal shall annually be covered into the Treasury of the United States. Act of Feb. 28, 1929 (45 Stat. 1386), making appropriations for the support of the War Department; 48 U. 8. C. 1323.

The compilers of the United States Code have not followed the recommendation of the War Department (J. A. G. 010.3, Nov. 12, 1929, p. 348) that parts of this section, based on War Department appropriation act of February 28, 1929 (45 Stat. 1386), and subsequent appropriation acts, which are included in 48 U. S. C. 1323, be omitted as temporary.

2131. Hawaii; laws in effect. That the Constitution, and, except as otherwise provided, all the laws of the United States, including laws carrying general appropriations, which are not locally inapplicable, shall have the same force and effect within the said Territory as elsewhere in the United States: Pro

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