Article 8.  For the purpose of distinguishing claims to be accepted from those to be rejected, the Sub-Commissioners will be guided by the following rules, viz.:—­Compensation will be allowed for losses or damage sustained by reason of the following acts committed during the recent hostilities, viz., (a), commandering, seizure, confiscation, or destruction of property, or damage done to property; (b), violence done or threats used by persons in arms.  In regard to acts under (a), compensation will be allowed for direct losses only.  In regard to acts falling under (b), compensation will be allowed for actual losses of property, or actual injury to the same proved to have been caused by its enforced abandonment.  No claims for indirect losses, except such as are in this Article specially provided for, will be entertained.  No claims which have been handed in to the Secretary of the Royal Commission after the 1st day of July, 1881, will be entertained, unless the Sub-Commissioners shall be satisfied that the delay was reasonable.  When claims for loss of property are considered, the Sub-Commissioners will require distinct proof of the existence of the property, and that it neither has reverted nor will revert to the claimant.

Article 9.  The Government of the Transvaal State will pay and satisfy the amount of every claim awarded against it within one month after the Sub-Commissioners shall have notified their decision to the said Government, and in default of such payment the said Government will pay interest at the rate of six per cent. per annum from the date of such default; but Her Majesty’s Government may at any time before such payment pay the amount, with interest, if any, to the claimant in satisfaction of his claim, and may add the sum thus paid to any debt which may be due by the Transvaal State to Her Majesty’s Government, as hereinafter provided for.

Article 10.  The Transvaal State will be liable for the balance of the debts for which the South African Republic was liable at the date of Annexation, to wit, the sum of L48,000 in respect of the Cape Commercial Bank Loan, and L85,667 in respect to the Railway Loan, together with the amount due on 8th August, 1881, on account of the Orphan Chamber Debt, which now stands at L22,200, which debts will be a first charge upon the revenues of the State.  The Transvaal State will, moreover, be liable for the lawful expenditure lawfully incurred for the necessary expenses of the Province since the Annexation, to wit, the sum of L265,000, which debt, together with such debts as may be incurred by virtue of the 9th Article, will be second charge upon the revenues of the State.