Hon. HENRY CLAY, etc.: The undersigned, His Britannic Majesty's envoy extraordinary and minister plenipotentiary, has the honor to acknowledge the receipt of Mr. Clay's note containing a representation which has been made by his excellency the governor of the State of Massachusetts respecting the cutting down of timber upon the disputed territory in the Province of New Brunswick. The undersigned will immediately transmit a copy of Mr. Clay's note to His Majesty's lieutenant-governor of New Brunswick, in order to obtain an explanation of the transaction which has given rise to the remonstrance made by the governor of Massachusetts. The undersigned takes this opportunity of renewing to the Secretary of State the assurances of his highest consideration. CHS. R. VAUGHAN _Mr. Vaughan to Mr. Hamilton_. WASHINGTON, _March 7, 1879_. JAMES A. HAMILTON, Esq., etc.: The undersigned, His Britannic Majesty's envoy extraordinary and minister plenipotentiary, had the honor to receive from the Secretary of State of the United States a note, dated the 9th January last, containing a representation made by his excellency the governor of Massachusetts respecting some trespasses committed on the disputed territory in the Province of New Brunswick. A copy of the note of the Secretary of State having been transmitted to Sir Howard Douglas, His Majesty's lieutenant-governor of that Province, the undersigned has lately received an answer, which he has the honor to communicate to Mr. Hamilton by inclosing an extract[13] of his excellency's letter, which shews in the most satisfactory manner that, so far from the proceedings complained of by the governor of Massachusetts having been authorized or countenanced in any shape by the government of New Brunswick, every precaution has been taken to prevent and restrain depredations in the disputed territory. Mr. Hamilton will see by the inclosed letter that Sir Howard Douglas has sent a magistrate to report upon the mills which have been established without license or authority, to inspect minutely the stations of the cutters of lumber, and to seize any timber brought into the acknowledged boundaries of New Brunswick from the disputed territory, and to hold the proceeds of the sale of it for the benefit of the party to whom that territory may be ultimately awarded.