Deemed Premature; Legal Fight to Start Again Mexico City, Oct. 8.
The second section of the Supreme Court, by a 4-0 decision, over-ruled -today an appeal by American and British oil companies against the government's expropriation of foreign-owned properties.
The Court contended the appeal is premature until the companies have obtained a decision of "administrative appeal" from the Department of National Economy.
The decision is considered to be a severe setback as it obliges the companies to begin an entirely new legal fight to save their property, valued at U.S,$400,000,000. The court side stepped any direct ruling either as to the constitutionality of the expropriation law or the expropriation itself.
As a result, the companies must await the Economic Ministry's decision, which if unfavourable, will oblige them to seek redress in the lower courts, This will mean a delay of months or years.—United Press.
Text read from the printed page and cleaned; old type leaves the occasional error.