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COMMITTEE ON MILITARY AFFAIRS

UNITED STATES SENATENTE
SEVENTY-SEVENTH CONGRESS

FIRST SESSION

ON

S. 1579
A BILL TO AUTHORIZE THE PRESIDENT OF THE
UNITED STATES TO REQUISITION CERTAIN
PROPERTY FOR THE USE OF OR DISPO-
SITION BY THE UNITED STATES

cpt. la

JUNE 18, 19, 23, 30 AND JULY 1, 1941

Printed for the use of the Committee on Military Affairs

UNITED STATES
GOVERNMENT PRINTING OFFICE

WASHINGTON : 1941

COMMITTEE ON MILITARY AFFAIRS

ROBERT R. REYNOLDS, North Carolina, Chairman ELBERT D. THOMAS, Utah

* WARREN R. AUSTIN, Vermont EDWIN C. JOHNSON, Colorado

STYLES BRIDGES, New Hampshire JOSH LEE, Oklahoma

CHAN GURNEY, South Dakota I C. SCHWARTZ, Wyoming

RUFUS C. HOLMAN, Oregon TER HILL, Alabama

JOHN THOMAS, Idaho EERIDAN DOWNEY, California

HENRY C. LODGE, JR., Massachusetts
* BERT B. CHANDLER, Kentucky
LARRY S. TRUMAN, Missouri
MON C. WALLGREN, Washington
HARLEY M. KILGORE, West Virginia
JAMES E. MURRAY, Montana

WESLEY E. MCDONALD, Clerk
WALTER I. SMALLEY, Assistant Clerk

CONTENTS

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91.

Heard on June 18, 1941:

Hon. Robert P. Patterson, Under Secretary of War ----

J. P. Catton, office of the general counsel Office of Production

Management.----------------

Hon. James E. Emery, general counsel of the National Association of

Manufacturers --------

Heard on June 19, 1941:

Mr. Robert R. Mehornay, Chief of Defense Contracts Service of the

Office of Production Management..

Lt. Col. Ray M. Hare of the Facilities Division of the office of the

Under Secretary of War ----

Hon. Robert W. Byerly, representing the New York Patent Law

Association ----

Heard on June 23, 1941:

Hon. Robert P. Patterson, Under Secretary of War.

Brig. Gen. H. K. Rutherford of the office of the Under Secretary of

War..

99

Admiral E. S. Land, Chairman of the United States Maritime Com-

mission.

115

Rear Admiral S. M. Robinson, Chief of the Bureau of Ships of the

Navy Department..

119

Hon. Harold T. Stowell, representing the American Patent Law

Association.

123

Hon. Edmund C. Fletcher, a lawyer of Washington, D. C.-- 124

Heard on June 30, 1941:

Mr. Merwin K. Hart, president of the New York State Economic

Council.------------------------------------------------

129

Hon. Arthur W. Dickey, representing the Michigan Patent Law Asso-

ciation ----

Hon. Karl Fenning, representing the National Council of Patent Law

Associations..

139

Mr. Lester P. Barlow, Stamford, Conn. --

145

Mr. Carl M. Mote, of Indiana and New York..

Col. John Thomas Taylor, representing the American Legion --

162

Mr. A. P. Haake, representing the National Association of Furniture

Manufacturers.---

163, 179

Mr. George H. Cless, Jr.---

170

Mr. B. C. Marsh, representing the People's Lobby-----

Heard on July 1, 1941:

Mrs. Cathrine Curtis, representing the Women Investors of America,

Inc.--------

185

APPENDIX

Statement submitted by Hon. Fulton B. Flick, of the Patent Law Associa-

tion of Pittsburgh, Pa...

199

---------

Statement submitted by the National Lawyers Guild.-------

201

Statement submitted by the National Small Business Men's Association.. 202

Statement submitted by Mr. M. Shakespeare, Kalamazoo, Mich..

204

Statement submitted by Mrs. Elizabeth F. Wimsatt, Washington, D. C.. 207

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REQUISITION OF PROPERTY BY THE UNITED STATES

WEDNESDAY, JUNE 18, 1941

UNITED STATES SENATE,
COMMITTEE ON MILITARY AFFAIRS,

Washington, D. C.
The committee met, pursuant to call, at 10 a. m., in room 104-B,
Senate Office Building, Senator Robert R. Reynolds (chairman),
presiding.

Present: Senators Reynolds (chairman), Johnson of Colorado, Hill, Downey, Kilgore, Gurney, Thomas of Idaho, and Lodge.

The CHAIRMAN. The committee will now come to order.

I shall ask the official reporter to insert in the record at this point the full text of S. 1579.

(The bill S. 1579 above referred to is as follows:)

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A BILL To authorize the President of the United States to requisition certain property for the use of or

disposition by the United States

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That, during any period of national emergency proclaimed by the President, the President is authorized, when he deems it in the interest of nazional defense, (a) to requisition and take over, either temporarily or permanently, property of any kind or character, whether real or personal, tangible or intangible, or any part thereof, or any right or interest therein or with respect thereto, whether by virtue of contract, patent, license, or otherwise, which itself or through its exercise or control can be used or is adaptable for use directly or indirectly in any way for national defense or in the construction, manufacture, production, transportation, repair, testing, or storage of military or naval supplies or other articles, commodities, materials, machinery, or equipment for national defense; and (b) to use and, on such terms as he shall deem satisfactory, to sell or otherwise dispose of, either temporarily or permanently, any property, right, or interest requisitioned or taken over pursuant to the provisions of this Act.

Sec. 2. Whenever the President shall requisition and take over any property pursuant to the provisions of this Act, the person or persons having any right, title, or interest therein shall be paid as compensation therefor such sum as the President shall determine to be fair and just. If any such person or persons entitled to receive it are unwilling to accept as full and complete compensation for such property the sum so determined by the President, such preson or persons shall be paid 75 per centum of the sum so determined by the President and shall be entitled to sue the United States for such additional sum as when added to the sum already received shall be determined as fair and just compensation for such property in the manner provided for by section 24, paragraph 20, and section 145 of the Judicial Code (U. S. C., title 28, sec. 41, par. 20, and sec. 250), but no recovery shall be allowed against the United States in any such action unless the action be brought within two years after the date on which notice shall have been given of the determination by the President of the amount to be paid as compensation.

Sec. 3. Appropriations available for the acquisition of property for nationaldefense purposes shall be available for the acquisition of such property under the provisions of this Act; and any moneys received by the United States as the

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