Gold Hill daily news. [volume] (Gold Hill, N.T. [Nev.]) 1863-1882, 1864-05-13
SPECIFIC CONTRACTS.

SPECIFIC CONTRACTS.
In the absence of special statute COM
pelhng the strict performance of specific
contracts, the ruling of the Courts has
permitted the cancelEng of any debt with
illegal tender" notes, no matter how ex-
plicitly the terms of the contract may have
been to the contrary. In recent case IN
Philadelphia, where the payment of rent
was contracted to be paid in silver dollars
of the United States, of specified weight,
Court decided that the currency note OF
the United States was, in contemplation
of law, of equal value with the silver dol
lar, and was a legal tender for the extinc-
ton of the contract to pay in silver. The
California Legislature Of 1865 passed a
law for the enforcement Of such special
contracts in strict conformity with their
terms and tenor. The constitutionality
of this law has been mooted question
ever since its passage. The question has
never vet been passed upon by the Su-
preme Court of that State, and its conSti-
nationality is still matter not definitely
decided. Judge Bondurant, Of the Mari
posa District. recently decided that the
law was unconstitutional; but within a
few DAYS both OF the District Judges in
San Francisco have decided otherwise.
On Monday last, in the Fourth District
Court, Judge Sawyer rendered Judgment
on the following note, ordering that it be
satisfied in United States gold coin:
$4,000 SAx FRANCISCO, February Is, 1854.
Thirty days after date without grace, for value
received we promise to pay A. T. Lawton, or or
der in United States coin, two thousand dollars
49, cOOl with interest ~ the rate OF two per
cent. per month, until paid. FONDA & GRAY.
This case viii probably be taken to the
Supreme Court of California, and posi-
bly, to the Supreme Court of the United
States, for final decision. Judges Pratt
and Sawyer both stand high as lawyers,
and their opinion in the matter viii IN
doubtedly have a controlling influence in
that State until the question is definitely
settled by higher tribunal. The statute
OF the same kind which was passed by the
Legislature of this Territory was vetoed
BY Governor Nye, not upon the ground
-. :. -. unconstitutional hrr that ~
partook Of the quality of notification and
a Reputation of the Government curren-
cy. The Governors sentiments, motives,
and views upon the subject we are not
disposed to impugn; but that he greatly
erred in his notions of correct policy, Is
an opinion in which we are sustained BY
a vast majority of those who have money
to lend or are compelled to borrow it.
The development of the resources of this
Territory imperatively demands the i'm
portation of heavy amounts Of capital.
Without it, the country is and must re-
main at a dead stand-srill. To obtain it,
under system which admits Of the can
ceiling of gold debts in currency notes OF
deprecated value, our people have to sub
NIT to a grinding and extortionate usury,
such as is always demanded when secu-
rity is precarious and resting solely upon
basis Of honor. Patriotism is virtue,
commendable above all things in an hour
like this, and its exhibition does credit to
the Governor; but it happens to be one OF
those virtues that have no application to
the case in consideration. Gold has a
fixed and certain value, in relation to
which all other property has its value;
and that relative value cannot be changed
BY legislation. Gold seldom goes begging
for opportunities for investment and if it
lacks proper safeguards here, It will natu-
rally seek that investment elsewhere. If
the recent ruling of the San Francisco
Judges, shall be sustained by the higher
Courts, it will be precious little capital
that will be sent from California to this
Territory for investment. The people of
Washoe,with their noses on the grindstone
of usury, will feel much inclined, while
they honor his patriotism, to damn his
Judgment. ......