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Show oo Their Rights to be Fully Determined De-termined by United States. Washington Sept. 1. Tho immediate effect of today's developments in Arabic case Is to open the way for resumption of negotiations between the United States and Germany for an agreement upon the rights of neutral shipping on the high seas The state department had decided to have no further exchange of notes with the German government, as officials concluded con-cluded that the apparent disregard of American representations as shown by the sinking of the Arabic demanded demand-ed a severance of diplomatic relations, rela-tions, unless some satisfactory explanations explan-ations were volunteered by the German Ger-man government. It was felt that it was undignified for the state department depart-ment to solicit such, an explanation Secretary Lansing pointed out that tho note delivered today "appears to be" a recognition of the fundamental principle for Avhich the United States has contended. It is understood the next step will be to clear up any possible pos-sible misunderstanding as to tho extent ex-tent of Germany's acquiescence. Officials noted that orders to the submarine commanders applied to liners. lin-ers. While that probably will be regarded re-garded as applying to nil passenger ships, the American contention went further and asserted the same privilege priv-ilege of protection against unwarned attacks for all merchant ships on which neutrals might bo traveling, either as passengers or part of tho crew. In all the correspondence up to this point the state department has not confined itsself to an assertion of tho rights of American to peculiar privileges and exemptions but spoke In behalf of all neutrals. Ambassador Bernstorff has a general gen-eral and longer communication from the foreign office dealing with tho ense of the Lustanla which is expected expect-ed to clear up any doubt as to the extent of the German assurances. In German quarters, It is insisted, they will be satisfactory. Chief Justice White, who was among Secretary Lansing's callers, declared the outcome was the greatest great-est diplomatic achievement of tho United States in a generation. |