Hay-Bunau-Varilla Treaty signed between Panama and the US.
The treaty created the Panama Canal Zone and set up the terms for the construction of the Panama Canal. Until 1979, the Panama Canal Zone was a territory of the United States. The French began construction on the Panama Canal in 1881 but had to stop due to engineering problems. The US took over the construction in 1904 and finished building the canal in 1914.