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R. G. Thackery - - 3. know, that the haul by dray fror, the Outer harbor is very much longer and there are several heavy grades for teams to overcoat*• In other words, they could not haul the game tonnage to a motor as they have been hauling fro® Wilmington, and in talking this matter over with other dock people I understand there is not such an advantage to either the ship owner or consignee as appearge>t© ue in the fir s t place, but you, o f course, are a better judge when it comes to ship owner® than I would be in this matter. As I understand i t , at present your mode o f hand­lin g cargoes at the Port is that the Pacific Wharf & Storage Company receive your cargoes and deliver to our road at East San Pedro, they having the s t a ff and, equipment to handle same promptly, none o f the work at the Port being done at your o ffic e ^ Los Angeles with the exception o f a few minor d etails; while it seems to me, should you decide to go to the Outer harbor, or Wilmington, as the case may be, you would have to increase your forces quit® m aterially and in addition, leas® a dock fro® the city* In this connection, when m found out that the city had leased the Wilmington docks to the A®erican-Hawaiian Lin® under a guarantee o f ten or fifteen thousand d o llars, in advance, (and should the total amount for dockage and wharfage be double th is, they w ill get a rebate o f 30 per cent), we believed It was ille g a l and that the city had no right to issue such a license to the American Hawaiian Line. We were w illin g to press this matter in connection with the P acific Wharf & Storage Company and the Crescent Wharf & Warehouse Company, when our Chief Counsel advised me that it was agreeable to you to drop the question at that time, although the papers wars a l l prepared. X am s t i l l o f the opinion that we should contest this license issued by the c ity , but our Chief Counsel feels that the people directly back o f such action should be joined by the private dock owners o f the c ity , and possibly your steamship company as well as others. I think you w ill admit to me that the American- Hawaiian lin e , through this contract, did not act in good faith with your company, forcing you, I presume, to meet conditions created by them. I trust before taking any d efin ite action in this matter, you w ill give it most serious consideration. Let us talk the matter over in a business way, and i f it is not convenient for you to com® to Los Angeles it w ill be my pleasure to c a ll on you in San Francisco. It is just possible that I my have to go to Utah next week on important business and our Chief Counsel advises ®e o f the necessity o f *y being in Denver on June 14th, but I would cancel ay engagement with the Governor o f Utah i f you want to have a conference next week.