Clayton–Bulwer Treaty

[1] The treaty was negotiated by John M. Clayton and Sir Henry Bulwer, amidst growing tensions between the two nations over Central America, a region where the British had traditionally held strong influence but also saw increasing American expansion into the area.

The treaty proved instrumental in preventing the outbreak of war between the two nations by resolving tensions over American plans to construct a Nicaraguan Canal that would connect the Pacific and the Atlantic.

[2] By 1857, however, the British had ended their diplomatic opposition to American western expansion, while steadfastly maintaining their rights to a potential Nicaraguan canal.

Clayton made a counter-declaration which recited that the United States did not regard the treaty as applying to "the British settlement in Honduras commonly called British-Honduras.

The claims to a part of Belize and the Bay Islands were very old in origin, but were heavily clouded by interruptions of possession, contested interpretations of Spanish–British treaties, and active controversy with the Central American States.

Although ultimately this argument was not successful, it is noteworthy as the first time the American government invoked this principle in its handling of international law.