DRAGO DOCTRINE. The government of every state, declared Lord Palmerston in 1848, is entitled by diplomatic meth ods to take up the complaint of any of its subjects against the government of another state, and if well founded, to demand redress. It has been the policy of the British Government not to encourage its subjects to hazard their capital by investing in for eign loans, and consequently it has usually refused to interfere when foreign governments have failed to meet their obligations. Lord Palmerston, however, added that in certain circumstances the Government might be prepared to go to the length of using force. To this statement Lord Salisbury subsequently gave his assent in 1880. In 1902 Venezuela having failed to comply with the de mands made by Great Britain, Germany and Italy to make good its default in respect of its external loans, was called upon by these Powers to honour its obligations. Failing to obtain satisfac tion, a blockade of certain Venezuelan ports was instituted. This led to the despatch of a note from Dr. Drago, foreign minister of the Argentine Republic, to the Argentine minister at Washington declaring that the principle should be accepted that for the com mon safety of the South American Republics, just as the Monroe doctrine is a principle enforced by the United States for the preservation of the territorial status quo throughout the American Continent against European aggression, the collection of pecuniary claims of citizens of any country against the Government of any South American Republic should not be effected by armed force. This proposal, however, did not find general acceptance, but by the Hague Convention (1907), the contracting Powers agreed not to have recourse to armed force for the recovery of contract debts claimed from the Government of one state by the Government of another state as due to its nationals. This agreement, however, does not apply if the debtor state refuses or neglects to accept an offer of arbitration, or after accepting the offer, prevents any compromis being reached, or after an award, fails to carry it out. See Sir T. Barclay, Problems of International Law and Diplomacy (190 7) ; Phillimore, International Law, vol. II. (1854-61 ) .
(H. H. L. B.)