The policy of providing for the service by contract was then reverted to. It now appeared, however, that vessels sailing for commercial purposes could be counted upon to sail and arrive regularly, and the Government desired therefore to make use of them for the despatch of mails. It was proposed to forward mails by the _Great Western_ under the powers conferred on the Postmaster-General by the Act of 1837 (1 Vict. 34, § 19) for the prescribed remuneration (§ 24). The owners refused to carry mails on these terms, and the Law Officers advised that the Postmaster-General had no power, either by Statute or Common Law, to compel the owners to carry mails.[698] It was not found necessary, perhaps it was not deemed wise, to follow up the question of powers. In 1839 a contract was entered into with Samuel Cunard for the provision of a steamship service between England and North America, at a cost to the Post Office of £55,000 a year. This policy proved successful. It has been followed in the case of all the great routes, and has continued until the present day. In considering the question of the rates of postage the sums paid to the shipping companies are a little misleading. The payments were not then, and are not now, made solely from regard to the fact that the vessels convey mails. Other considerations, such as the desirability of encouraging the shipping industry, its value to the commerce of the nation, and the value of a strong mercantile marine as a naval reserve, have always entered largely into the question. It was in accordance with this view, and largely on account of abuses in the administration of the services by the Post Office which had come to light, that the control of the Post Office packet services and of contracts for the conveyance of mails by sea was in 1837 transferred from the Post Office to the Admiralty. The control was in 1860 retransferred to the Post Office, but the amount of the subsidies paid to steamship companies conveying mails has continued to be influenced by other than purely Post Office considerations. The chief development in this direction has been a legal decision obtained in 1889, in a dispute between the Post Office and the Cunard Steamship Company, which arose from an attempt by the Post Office to introduce the American system of despatching mails by the fastest ships available, and paying, not a general subsidy, but a sum calculated on the basis of the weight of mails carried. The High Court ruled that the Postmaster-General is entitled to have all such mails as he may think fit received on board any of the Company's ships and conveyed and delivered at the ports of destination without delay.[699] Failing agreement as to the payment to be made in respect of such services, the Post Office can fall back on its statutory right to the conveyance by merchant ship of all letter mails at the rate of a halfpenny a letter.