Western Reserve chronicle. [volume] (Warren, Ohio) 1855-1921, 1863-10-21
Validity of the United States Legal
Tender Notes.

In the New York Court of Appeals, on
Tuesday last, an important decision was
rendered, affirming the validity OF the
act of Congress making certain United
States Treasury notes legal tender IN pay
ment OF debts. The issue had been pre-
viously tried in two of the Districts OF the
Supreme Court of that State, resulting in
conflicting decisions, and the cases hay-
ing been carried to the highest Judicial
tribunal short of the Supreme Court of
the United States, has now resulted in
the affirmation of that decision which
held the notes to be valid legal tender.
When the case was up before the Court
from which it was appealed, the Judge
lYho then decided the case, and whose
decision is now sustained by the Court of
Appeals, summed up his judgement in
the following propositions or conclusions:
"F.fst. That the issue of Treasury
notes j. warranted by the Constitution of
| the United States at all times, in the dis
cretiou Of Congress, as medium for the
payment of taxes, under the taxing pow
er. and as form of security to the public
creditors for money loaned under the
power TO borrow money.
Second. That the form, size, and de-
nomination of such notes, and the max
ing of them in the sin1ilitude of bank
bills, and payable to bearer, so as to be
transferable by delivery, and go into cir
! culation as money, are matters entirely at
the discretion of the legislature and SO
far as relates to their voluntary receipt
and circulation by the public, they stand
upon precisely the same footing as bills
of exchange or promissory notes issued
| by private individuals or corporations,
and rest exclusively upon their credit as
merchantable securities. r-
Third. That the power to make such
notes substitute for money, and lega
tender in payment Of debts, may rest, as
an incidental or implied power, upon the
4 power 80 impose taxes. duties and I'M
1 posts and upon the power to borrow
money and also upon the power giyer
to Congress TO pass such laws as shall be
necessary and proper to, carry into etfecl
the other specified powers ..
I q Fourth That in connection Will
these powers, the power TO declare war
"a ise and support armies, provide anc
support navy, to suppress an insurrec
ton and repel an invasion, being great
governmental and sovereign powers, in
clude and imply grant of all the othel
means necessary to the end of the pow
ers granted. and that money, being an in
dispensable agent. and necessary to carrI
such powers into effect, the power is i'm
, Piled to command, obtain and secure il
by any practicable means known or prac
ticed among civilized nations and tha
the issue of Treasury notes, making then
legal tender in payment OF debts, Is
proper and lawful means to that end, I
process of borrowing money from tn
people, or making from them forcet
loan to meet the governmental necessi
!. ties, and is entirely within the legitimate
power of Congress. as the sovereign legis
iative authority of the nation
at follows from these premises, thai
the act in question was fully warranted
by the express or implied power given t
Congress, and is a measure entirely with
in the discretion of the national legisla
ture, and with which the Judiciary ha
no rightful authority to Interfere"