In 1869, the United States put forth a claim against Great Britain for violating neutrality by allowing five warships to be constructed, especially the "Alabama", knowing full-well that they would be entered into naval service by the Confederacy. The CSS Alabama had done significant damage to the American merchant marine fleet during the Civil war. Initially Senator Charles Sumner of Massachusetts wanted $2 billion dollars in damages but was willing to settle for British Columbia, Canada. William Seward, secretary of State joined in the fight to gain portions of Canada in exchange for Alabama claims. But by 1870, this plan was dropped and president Grant's current secretary of State, Hamilton Fish worked out a treaty with Great Britain to have an arbitration tribunal meet in Geneva. The Tribunal settled on a final award of $15.5 million paid out by Great Britain to America in gold. In his fourth annual address to congress, President Grant announced that "this decision happily disposes of a long-standing difference between the two Governments"
"The tribunal, which had convened at Geneva in December, concluded its laborious session on the 14th day of September last, on which day, having availed itself of the discretionary power given to it by the treaty to award a sum in gross, it made its decision, whereby it awarded the sum of $15,500,000 in gold as the indemnity to be paid by Great Britain to the United States for the satisfaction of all the claims referred to its consideration. This decision happily disposes of a long-standing difference between the two Governments"
References
En.wikipedia.org. (2018). Alabama Claims. [online] Available at: http://en.wikipedia.org/wiki/Alabama_Claims [Accessed 18 Jan. 2018].Presidency.ucsb.edu. (2018). John Quincy Adams: First Annual Message. [online] Available at: http://www.presidency.ucsb.edu/ws/index.php?pid=29467 [Accessed 12 Jan. 2018].
https://upload.wikimedia.org/wikipedia/commons/4/44/The_Geneva_Board_of_Arbitration_settling_the_Alabama_Claims.jpg
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