foreign
settlement wherein the foreigners resided. Within these settlements a
municipal council was formed, which regulated everything therein. In
these settlements the Japanese Government had no more power or
authority than they had in Battersea. These settlements were in
effect foreign territory on the Japanese soil, to use what seems to be
a paradox.

In exchange for the privilege of extra-territoriality granted to
foreign residents in Japan, they were placed under restrictions. These
included not being able to travel in the country outside a radius of 25
miles from the treaty ports unless provided with passports, which, I
may remark, there was never any difficulty in obtaining, and not being
permitted to live beyond the same radius. Foreigners engaged in trade
in Japan had a great advantage in regard to a very low scale of customs
duties, not more than 5 per cent. _ad valorem_, but they were strictly
prohibited from owning land. This system of extra-territoriality was
extremely unpopular with the whole of the Japanese people, and a
constant movement was in force in the country for the abrogation of
what the Japanese considered an invidious distinction and in the
direction of making every person who voluntarily took up residence in
Japan answerable to the law of the land and under the jurisdiction of
the Japanese courts. The revenue of the country was also, of course,
injuriously effected by the post-office privileges already referred to
as well as by the differential treatment of foreigners in regard to
import duties. As was to be expected, any proposal for the abolition of
extra-territorial rights and the revision of the regulations in regard
to import duties met with a strenuous opposition from the foreign
residents in Japan. On the other hand, it must be confessed that the
Japanese people opposed any compromise in the direction of granting
foreigners facilities in return for the privileges that were asked to
be waived. The proposal to allow foreigners to own land was vigorously
inveighed against. So was a suggestion to establish mixed courts--the
kind of compromise, by the way, which would probably have equally
irritated foreigners and natives. It is, I think, satisfactory to be
able to relate that in the end and after many years of agitation it was
the British Government which took the initiative in the matter, and
some ten or twelve years ago concluded a treaty with Japan wherein the
privileges of English cour