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This rule on railway material has sought to balance between the necessities of war (i.e.,that such material might be of great military utility) and the interests and rights of neutrals. 217This rule also reflects a compromise between the different views of States. 21815.12 NEUTRAL COMMERCE AND CARRIAGE OF CONTRABANDAlthough neutral States must not provide war-related goods and services to belligerents,neutral persons are not prohibited from such activity by the law of neutrality. 219 The law ofneutrality’s rules on neutral commerce and the carriage of contraband have sought to balance theright of neutral persons to conduct commerce free from unreasonable interference against theright of belligerent States to interdict the passage of war materials to the enemy. 220Neutral merchant vessels and civil aircraft engaged in legitimate neutral commerce aresubject to visit and search, but generally may not be captured or destroyed by belligerentforces. 221 On the other hand, neutral merchant vessels and civil aircraft are subject to captureand other penalties if they engage in certain conduct. 222217 Antonio S. de Bustamante, The Hague Convention Concerning the Rights and Duties of Neutral Powers andPersons in Land Warfare, 2 AJIL, 95, 119 (1908) (“The article in regard to railways – the only article saved in thechapter relating to foreign property – is useful to nations with land boundaries and is based on just terms, making thebest equivalent for the necessities of war and in the interest and right of neutrals. Therefore, its acceptance bringsgreat credit upon the delegation of Luxemburg. It is to be observed that the final redaction only relates to railwaymaterial coming from neutral states, belonging to the said states or to companies or private persons. It has no otherpurpose than to facilitate the return of the compensation or the payment for the use of the cars and locomotives of acountry which may accidentally enter the other state through the occasions of ordinary traffic.”).218 See A. PEARCE HIGGINS, THE HAGUE PEACE CONFERENCES AND OTHER INTERNATIONAL CONFERENCESCONCERNING THE LAWS AND USAGES OF WAR: TEXTS OF CONVENTIONS WITH COMMENTARIES 294 (1909) (“Article19 replaces Article 54 of the Regulations of 1899 and is a compromise between contradictory views. Luxemburgand Belgium denied the right of belligerents to requisition and make use of neutral railway materials within theirterritory. Germany and Austria desired to have the right to use it admitted, on the understanding that an indemnitywas paid for its use after the close of the war. France and Luxemburg as an alternative claimed both an indemnityand the right, in case of need, to retain and make use of a corresponding quantity of railway material coming fromthe territory of a belligerent state. The Conference took the middle course, allowing belligerents to requisition anduse neutral railway material only when absolutely necessary, on condition that it be returned as soon as possible, theneutral being given the corresponding right over belligerent material within its territory, compensation to be paid byone party to the other in proportion to the material used and the period of use.”).219 Refer to § 15.3.2.1 (Duty to Refrain From Providing War-Related Goods and Services to Belligerents).220 TUCKER, THE LAW OF WAR AND NEUTRALITY AT SEA 182 (“It has long been customary to characterize theproblems arising with respect to neutral commerce in terms of two conflicting rights: the right of the neutral state toinsist upon continued freedom of commerce for its subjects despite the existence of war and the right of thebelligerent to prevent neutral subjects from affording assistance to the military effort of an enemy. More accurate,perhaps, is the characterization of these problems in terms of conflicting interests rather than in terms of conflictingrights. Whereas the neutral’s interest has been to suffer the least amount of belligerent interference in the tradingactivities of its subjects, the belligerent’s interest has been to prevent neutrals from compensating for an enemy'sweakness at sea.”).221 Refer to § 15.13 (Belligerent Right of Visit and Search of Merchant Vessels and Civil Aircraft).222 Refer to § 15.15.1 (Grounds for the Capture of Neutral Vessels and Aircraft).967