The Mississippi Creole. [volume] (Canton, Miss.) 1841-1851, 1841-06-19

lin law a sufficient consideration TO sup
port the grant of charter of incorpora-
tons TO a bank by State; and, hence.
such grants are regarded by the courts
aS contracts which State cannot impair
cannot alter or amend without the con-
sent of the stockholders. A majority of
the people OF this State thought, in the
years 1887 and 1888, that the public
GOOD was a sufficient consideration to
Justify the grant Of incorporation TO the
subscribers of the Mississippi Union
Bank, how much soever subsequent ex-
pcrience may have persuaded them that
it was a public evil. The public good,
then, was the inducemcnt or considera-
ton of the charter The consideration
of the bonds was different thing and
is expressed in the 18th section Of the
charter in the following language:
''In consideration Of the bonds male
by the State, in addition to voice in its
direction, the State shall be entitled TO
one-tenth part Of the actole profits Of the
bank, which one-tenth part shall be paid
into the treasury, at the times and ia the
proportions provided for by this section
to the stockholders"
The State agreed to lend the bank its
own credit by executing bonds payable
to the order Of the bank and for this ben
eft the bank agreed to pay into the trea
sury of the State, after the payment Of
the bonds due in twelve years, one-tenth
part of the profits or dividends; and so
after the bonds due in 10, IS and 90
years, respectively, should be paid one
tenth of the profits were likewise to be
paid into the State Treasury. This is
the consideration, an cxecutory one it is
true, but one that two legislatures and
the people have recognized as sufficient,
for the lending of the name Of the State
to the Bank. Nor was it supposed a; the
time that the state was mourning q dan
gerous liability. The amount of proper
ty both real and personal which was to
be mortgaged TO the bank to secure the
payment Of the subscriptions for stock.
thus insuring the responsibility of the
Bank the provision contained in the 3Oth
section ofthe charter cautiously instruct
ing the Governor to execute bonds from
time to time, only in proportion TO the
sums subscribed and secured to the salts
faction Of the directors; seemed to forbid
even the suspicion Of danger to the State
tits clear, then, that there is a good and
sufficient consideration agreed to be given
by the bank to the State, so acknowledged
by the State in granting the charter:-I
mean the one-tenth Of all the profits oil
the bank. So we have two ofthe things
necessary to make a binding contract
viz: an agreement Of parties able in lie.
galcontempIation to make a contract; anC
a sufficient consideration.
Sd. The third requisite consists in the
particular thing to be done; which is
that the State shall pay the principal anc
interest the bonds according to theil
tenor and effect.
So much as to my first proposition
that the State is legally bound to pay The
bonds. Before proceed to discuss The
second it may not be amiss for me to no
tico the four frivolous objections to tn
) payment Of the bonds urged by Govcrno
McNutt in his last message, viz: frau
and illegality in selling them for les
, than their par value, &c. &C. | will
this in my next communication.
; These numbers are and will be write
, with the sole view of discussing an
r eliciting discussion upon the subject G
] them;-not as conveying the settled op
J, Mons which may entertain. In hun
4 bic imitation ofold 'nonsinis unsbra'' the
D | will make myself known to you as
: RIENZI.
: Canton, Madison CO., June IS, 1841
J, ANNIVERSARY CELEBRATION.
/ There will be celebration of the ar
r niversary of independence on SATURDAY.