50 U.S.C. § 4307 — Lists of enemy or ally of enemy officers,

Page 1066 TITLE 50—WAR AND NATIONAL DEFENSE § 4307 retary of the Treasury rather than the Attorney Gen- eral or vice versa. SEC. 5. [Amended section 1 of Ex. Ord. No. 10644, former 22 U.S.C. 1631a note] SEC. 6. Executive Order No. 8389, this order and all delegations, designations, regulations, rulings, instruc- tions and licenses issued or to be issued under Execu- tive Order No. 8389 or this order are hereby continued in force according to their terms for the duration of the period of the national emergency proclaimed by Procla- mation No. 2914 of December 16, 1950 [50 U.S.C. 1 note prec]. Executive Order No. 10348 of April 26, 1952 [17 F.R. 3769] is hereby superseded. SEC. 7. Nothing in this order shall be deemed to re- voke or limit any powers heretofore conferred on the Secretary of the Treasury by or under any statute or Executive order, or to revoke or limit any powers here- tofore conferred upon the Attorney General by or under any statute or Executive order other than Executive Order No. 9989 or No. 10644. SEC. 8. This order shall become effective at midnight, May 15, 1966. LYNDON B. JOHNSON. § 4307. Lists of enemy or ally of enemy officers, directors or stockholders of corporations in United States; acts constituting trade with enemy prior to October 6, 1917; conveyance of property to custodian; voluntary payment to custodian by holder; acts under order, rule, or regulation (a) Transmission of list to alien property custo- dian; report of property held on behalf of enemy Every corporation incorporated within the United States, and every unincorporated asso- ciation, or company, or trustee, or trustees within the United States, issuing shares or cer- tificates representing beneficial interests, shall, under such rules and regulations as the Presi- dent may prescribe and, within sixty days after October 6, 1917, and at such other times there- after as the President may require, transmit to the alien property custodian a full list, duly sworn to, of every officer, director, or stock- holder known to be, or whom the representative of such corporation, association, company, or trustee has reasonable cause to believe to be an enemy or ally of enemy resident within the ter- ritory, or a subject or citizen residing outside of the United States, of any nation with which the United States is at war, or resident within the territory, or a subject or citizen residing outside of the United States, of any ally of any nation with which the United States is at war, together with the amount of stock or shares owned by each such officer, director, or stockholder, or in which he has any interest. The President may also require a similar list to be transmitted of all stock or shares owned on February third, nineteen hundred and seven- teen, by any person now defined as an enemy or ally of enemy, or in which any such person had any interest; and he may also require a list to be transmitted of all cases in which said corpora- tion, association, company, or trustee has rea- sonable cause to believe that the stock or shares on February third, nineteen hundred and seven- teen, were owned or are owned by such enemy or ally of enemy, though standing on the books in the name of another: Provided, however, That the name of any such officer, director, or stock- holder, shall be stricken permanently or tempo- rarily from such list by the alien property cus- todian when he shall be satisfied that he is not such enemy or ally of enemy. Any person in the United States who holds or has or shall hold or have custody or control of any property beneficial or otherwise, alone or jointly with others, of, for, or on behalf of an enemy or ally of enemy, or of any person whom he may have reasonable cause to believe to be an enemy or ally of enemy and any person in the United States who is or shall be indebted in any way to an enemy or ally of enemy, or to any per- son whom he may have reasonable cause to be- lieve to be an enemy or ally of enemy, shall, with such exceptions and under such rules and regulations as the President shall prescribe, and within thirty days after October 6, 1917, or with- in thirty days after such property shall come within his custody or control, or after such debt shall become due, report the fact to the alien- property custodian by written statement under oath containing such particulars as said custo- dian shall require. The President may also re- quire a similar report of all property so held, of, for, or on behalf of, and of all debts so owed to, any person now defined as an enemy or ally of enemy, on February third, nineteen hundred and seventeen: Provided, That the name of any per- son shall be stricken from the said report by the alien property custodian, either temporarily or permanently, when he shall be satisfied that such person is not an enemy or ally of enemy. The President may extend the time for filing the lists or reports required by this section for an additional period not exceeding ninety days. (b) Acts constituting trade with enemy per- formed prior to October 6, 1917 Nothing in this chapter contained shall render valid or legal, or be construed to recognize as valid or legal, any act or transaction consti- tuting trade with, to, from, for or on account of, or on behalf or for the benefit of an enemy per- formed or engaged in since the beginning of the war and prior to October 6, 1917, or any such act or transaction hereafter performed or engaged in except as authorized hereunder, which would otherwise have been or be void, illegal, or in- valid at law. No conveyance, transfer, delivery, payment, or loan of money or other property, in violation of section 4303 of this title, made after October 6, 1917, and not under license as herein provided shall confer or create any right or rem- edy in respect thereof; and no person shall by virtue of any assignment, indorsement, or deliv- ery to him of any debt, bill, note, or other obli- gation or chose in action by, from, or on behalf of, or on account of, or for the benefit of an enemy or ally of enemy have any right or rem- edy against the debtor, obligor, or other person liable to pay, fulfill, or perform the same unless said assignment, indorsement, or delivery was made prior to the beginning of the war or shall be made under license as herein provided, or un- less, if made after the beginning of the war and prior to October 6, 1917, the person to whom the same was made shall prove lack of knowledge and of reasonable cause to believe on his part that the same was made by, from or on behalf of, or on account of, or for the benefit of an enemy or ally of enemy; and any person who knowingly Page 1067 TITLE 50—WAR AND NATIONAL DEFENSE § 4307 pays, discharges, or satisfies any such debt, note, bill, or other obligation or chose in action shall, on conviction thereof, be deemed to vio- late section 4303 of this title: Provided, That nothing in this chapter contained shall prevent the carrying out, completion, or performance of any contract, agreement, or obligation origi- nally made with or entered into by an enemy or ally of enemy where, prior to the beginning of the war and not in contemplation thereof, the interest of such enemy or ally of enemy de- volved by assignment or otherwise upon a per- son not an enemy or ally of enemy, and no enemy or ally of enemy will be benefited by such carrying out, completion, or performance other- wise than by release from obligation thereunder. Nothing in this chapter shall be deemed to prevent payment of money belonging or owing to an enemy or ally of enemy to a person within the United States not an enemy or ally of enemy, for the benefit of such person or of any other person within the United States, not an enemy or ally of enemy, if the funds so paid shall have been received prior to the beginning of the war and such payments arise out of trans- actions entered into prior to the beginning of the war, and not in contemplation thereof: Pro- vided, That such payment shall not be made without the license of the President, general or special, as provided in this chapter. Nothing in this chapter shall be deemed to au- thorize the prosecution of any suit or action at law or in equity in any court within the United States by an enemy or ally of enemy prior to the end of the war, except as provided in section 4310 of this title: Provided, however, That an enemy or ally of enemy licensed to do business under this chapter may prosecute and maintain any such suit or action so far as the same arises solely out of the business transacted within the United States under such license and so long as such license remains in full force and effect: And provided further, That an enemy or ally of enemy may defend by counsel any suit in equity or ac- tion at law which may be brought against him. Receipt of notice from the President to the ef- fect that he has reasonable ground to believe that any person is an enemy or ally of enemy shall be prima facie defense to any one receiving the same, in any suit or action at law or in eq- uity brought or maintained, or to any right or set-off or recoupment asserted by, such person and based on failure to complete or perform since the beginning of the war any contract or other obligation. In any prosecution under sec- tion 4315 of this title proof of receipt of notice from the President to the effect that he has rea- sonable cause to believe that any person is an enemy or ally of enemy shall be prima facie evi- dence that the person receiving such notice has reasonable cause to believe such other person to be an enemy or ally of enemy within the mean- ing of section 4303 of this title. (c) Conveyance, transfer, assignment, delivery, or payment over to alien property custodian; seizure by alien property custodian If the President shall so require any money or other property including (but not thereby lim- iting the generality of the above) patents, copy- rights, applications therefor, and rights to apply for the same, trade marks, choses in action, and rights and claims of every character and de- scription owing or belonging to or held for, by, on account of, or on behalf of, or for the benefit of, an enemy or ally of enemy not holding a li- cense granted by the President hereunder, which the President after investigation shall deter- mine is so owning or so belongs or is so held, shall be conveyed, transferred, assigned, deliv- ered, or paid over to the Alien Property Custo- dian, or the same may be seized by the Alien Property Custodian; and all property thus ac- quired shall be held, administered and disposed of as elsewhere provided in this chapter. Any requirement made pursuant to this chap- ter, or a duly certified copy thereof, may be filed, registered, or recorded in any office for the filing, registering, or recording of conveyances, transfers, or assignments of any such property or rights as may be covered by such requirement (including the proper office for filing, reg- istering, or recording conveyances, transfers, or assignments of patents, copyrights, trade- marks, or any rights therein or any other rights); and if so filed, registered, or recorded shall impart the same notice and have the same force and effect as a duly executed conveyance, transfer, or assignment to the Alien Property Custodian so filed, registered, or recorded. Whenever any such property shall consist of shares of stock or other beneficial interest in any corporation, association, or company or trust, it shall be the duty of the corporation, as- sociation, or company or trustee or trustees issuing such shares or any certificates or other instruments representing the same or any other beneficial interest to cancel upon its, his, or their books all shares of stock or other bene- ficial interest standing upon its, his, or their books in the name of any person or persons, or held for, on account of, or on behalf of, or for the benefit of any person or persons who shall have been determined by the President, after inves- tigation, to be an enemy or ally of enemy, and which shall have been required to be conveyed, transferred, assigned, or delivered to the Alien Property Custodian or seized by him, and in lieu thereof to issue certificates or other instru- ments for such shares or other beneficial inter- est to the Alien Property Custodian or other- wise, as the Alien Property Custodian shall re- quire. The sole relief and remedy of any person hav- ing any claim to any money or other property heretofore or hereafter conveyed, transferred, assigned, delivered, or paid over to the Alien Property Custodian, or required so to be, or seized by him shall be that provided by the terms of this chapter, and in the event of sale or other disposition of such property by the Alien Property Custodian, shall be limited to and en- forced against the net proceeds received there- from and held by the Alien Property Custodian or by the Treasurer of the United States. (d) Voluntary payment, conveyance, transfer, as- signment, or delivery by holder not an enemy If not required to pay, convey, transfer, as- sign, or deliver under the provisions of sub- section (c) of this section, any person not an Page 1068 TITLE 50—WAR AND NATIONAL DEFENSE § 4308 enemy or ally of enemy who owes to, or holds for, or on account of, or on behalf of, or for the benefit of an enemy or of an ally of enemy not holding a license granted by the President here- under, any money or other property, or to whom any obligation or form of liability to such enemy or ally of enemy is presented for pay- ment, may, at his option, with the consent of the President, pay, convey, transfer, assign, or deliver to the alien property custodian said money or other property under such rules and regulations as the President shall prescribe. (e) Acts or omissions under order, rule, or regu- lation; acquittance and discharge of obliga- tions; certificate of authority No person shall be held liable in any court for or in respect to anything done or omitted in pur- suance of any order, rule, or regulation made by the President under the authority of this chap- ter. Any payment, conveyance, transfer, assign- ment, or delivery of money or property made to the alien property custodian hereunder shall be a full acquittance and discharge for all purposes of the obligation of the person making the same to the extent of same. The alien property custo- dian and such other persons as the President may appoint shall have power to execute, ac- knowledge, and deliver any such instrument or instruments as may be necessary or proper to evidence upon the record or otherwise such ac- quittance and discharge, and shall, in case of payment to the alien property custodian of any debt or obligation owed to an enemy or ally of enemy, deliver up any notes, bonds, or other evi- dences of indebtedness or obligation, or any se- curity therefor in which such enemy or ally of enemy had any right or interest that may have come into the possession of the alien property custodian, with like effect as if he or they, re- spectively, were duly appointed by the enemy or ally of enemy, creditor, or obligee. The Presi- dent shall issue to every person so appointed a certificate of the appointment and authority of such person, and such certificate shall be re- ceived in evidence in all courts within the United States. Whenever any such certificate of authority shall be offered to any registrar, clerk, or other recording officer, Federal or oth- erwise, within the United States, such officer shall record the same in like manner as a power of attorney, and such record or a duly certified copy thereof shall be received in evidence in all courts of the United States or other courts with- in the United States. (Oct. 6, 1917, ch. 106, § 7, 40 Stat. 416; Nov. 4, 1918, ch. 201, § 1, 40 Stat. 1020.) Editorial Notes REFERENCES IN TEXT This chapter, referred to in subsecs. (b), (c), and (e), was in the original ‘‘this Act’’, meaning act Oct. 6, 1917, ch. 106, 40 Stat. 411, known as the Trading with the enemy Act, also known as the Trading with the Enemy Act, which is classified principally to this chapter. For complete classification of this Act to the Code, see sec- tion 4301 of this title and Tables. CODIFICATION Section was formerly classified to section 7 of the former Appendix to this title prior to editorial reclassi- fication and renumbering as this section. AMENDMENTS 1918—Subsec. (c). Act Nov. 4, 1918, amended subsec. (c) generally, inserting provisions on recording of property transfers, cancellation of enemy owned stock by cor- porations, and restriction of claims to relief provided by terms of this chapter. Executive Documents TRANSFER OF FUNCTIONS Functions vested by law in Alien Property Custodian and Office of Alien Property Custodian transferred to Attorney General by Reorg. Plan No. 1 of 1947, § 101, eff. July 1, 1947, 12 F.R. 4534, 61 Stat. 951, set out in the Ap- pendix to Title 5, Government Organization and Em- ployees. § 4308. Contracts, mortgages, or pledges against or with enemy or ally of enemy; abrogation of contracts; suspension of limitations (a) Holders of instruments secured by property of enemy or ally of enemy; continued holding of property; rights upon default Any person not an enemy or ally of enemy holding a lawful mortgage, pledge, or lien, or other right in the nature of security in property of an enemy or ally of enemy which, by law or by the terms of the instrument creating such mortgage, pledge, or lien, or right, may be dis- posed of on notice or presentation or demand, and any person not an enemy or ally of enemy who is a party to any lawful contract with an enemy or ally of enemy, the terms of which pro- vide for a termination thereof upon notice or for acceleration of maturity on presentation or de- mand, may continue to hold said property, and, after default, may dispose of the property in ac- cordance with law or may terminate or mature such contract by notice or presentation or de- mand served or made on the alien property cus- todian in accordance with the law and the terms of such instrument or contract and under such rules and regulations as the President shall pre- scribe; and such notice and such presentation and demand shall have, in all respects, the same force and effect as if duly served or made upon the enemy or ally of enemy personally: Provided, That no such rule or regulation shall require that notice or presentation or demand shall be served or made in any case in which, by law or by the terms of said instrument or contract, no notice, presentation, or demand was, prior to October 6, 1917, required; and that in case were, by law or by the terms of such instrument or contract, notice is required, no longer period of notice shall be required: Provided further, That if, on any such disposition of property, a surplus shall remain after the satisfaction of the mort- gage, pledge, lien, or other right in the nature of security, notice of that fact shall be given to the President pursuant to such rules and regulations as he may prescribe, and such surplus shall be held subject to his further order. (b) Abrogation of contracts entered into prior to beginning of war Any contract entered into prior to the begin- ning of the war between any citizen of the United States or any corporation organized within the United States, and an enemy or ally of an enemy, the terms of which provide for the delivery, during or after any war in which a