Martial law is declared in Honduras to stop a revolt by banana workers fired by the United Fruit Company.

The United Fruit Company was an American multinational corporation that traded in tropical fruit (primarily bananas) grown on Latin American plantations and sold in the United States and Europe. The company was formed in 1899 from the merger of the Boston Fruit Company with Minor C. Keith's banana-trading enterprises. It flourished in the early and mid-20th century, and it came to control vast territories and transportation networks in Central America, the Caribbean coast of Colombia and the West Indies. Although it competed with the Standard Fruit Company (later Dole Food Company) for dominance in the international banana trade, it maintained a virtual monopoly in certain regions, some of which came to be called banana republics such as Costa Rica, Honduras, and Guatemala.United Fruit had a deep and long-lasting impact on the economic and political development of several Latin American countries. Critics often accused it of exploitative neocolonialism, and they described it as the archetypal example of the influence of a multinational corporation on the internal politics of the so-called banana republics. After a period of financial decline, United Fruit was merged with Eli M. Black's AMK in 1970 to become the United Brands Company. In 1984, Carl Lindner, Jr. transformed United Brands into the present-day Chiquita Brands International.

Martial law is the temporary imposition of direct military control of normal civil functions or suspension of civil law by a government, especially in response to a temporary emergency where civil forces are overwhelmed, or in an occupied territory.