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James Burness & Sons
138, Leadenhall Street

London, 13th February 1918
Messrs Worms & Co. - Paris

Dear Sirs,
S/S "Tordenskjold". We beg to enclose copy of a letter which Messrs H. Goldberg & Co. have addressed to the Inter-Allied and from which you will see they are willing to grant the East Coast option provided the war insurance premiums are immediately paid and an undertaking given to pay in future in advance. We briefly referred to this on the telephone today when we told you we thought the insurance was payable by your Cardiff House and you asked us to speak to them on the subject & then to put the position before the Inter-Allied to ask whether they would agree to your making a payment in the circumstances.
Inasmuch as the charter is signed by the Hudson's Bay Co. it occurred to us that they would know the exact position with reference to the insurance and we have seen them when they told us that they find Mr. Goldberg exceedingly difficult and they have not paid any of the insurance premiums on the present charter, it appears that Mr. Goldberg instructed the London city & Midland Bank to produce the policies of insurance to the Hudson's Bay Co. and to ask to ask for a cheque, but they were told that the policies must be left in the Company's possession, which of course was contrary to the instructions the Bank had received; there has been considerable correspondence between the Hudson's Bay Co. and Mr. Goldberg and we understand the latter has placed the matter in the hands of Messrs Wm. A. Crump & Son, Solicitors.
We told the Head of the Insurance Department at the Hudson's Bay Co. that having regard to the clause in the charter we were somewhat inclined to think that Mr. Goldberg might say he had produced the vouchers in terms thereof and although we agreed he was a most difficult man to deal with we asked whether they could not see their way to pay a cheque on account or in some other way settle the difficulty. We pleaded that your position was that the coal you were sending to France by this steamer from the West Coast cost a great deal more, in view of the additional insurance, than it would do if the steamer could lead on the East Coast and we felt sure you would like to bridge over the difficulty if it were possible to do so. The matter was then referred to Mr. Blaxland who said he would not give way to Mr. Goldberg on any account whatever.
After some consideration we came to the conclusion there was nothing for it but to tell the Inter-Allied the exact position. This we did and we pleaded to Mr. Holmden that it was in the interests of all concerned that the difficulty should be got over somehow. We told him we thought you would be prepared to pay a cheque on account of the insurance but that you did not wish to do anything that they did not approve of, for instance to agree to pay the insurance in advance in future. Mr. Holmden said he would write to Mr. Goldberg to say it was in the interests of all concerned that the steamer should trade from the East Coast if necessary and that he understood there was some difficulty with the Hudson's Bay Co. with regard to the insurance premiums, but if Mr. Goldberg would send the vouchers to the Inter-Allied and agree to give the East Coast option Mr. Holmden would see what could he arranged.
We shall be glad to know whether this meets with your approval and whether if the East Coast option can he arranged we may hand a cheque to the inter-Allied on account or in case of need in full settlement of the insurance premiums due under the charter.
We are, dear Sirs,
Yours truly,

James Burness & Sons