Daily Ohio statesman. [volume] (Columbus, Ohio) 1855-1870, 1864-11-16
An Important Decision by Judge
Grier i'm Reference 10 Legal Ten-
Anv. NAfns
from The PhiIadelphia Acc Of Fridayl

From The Philadelphis Age of Friday.l
In the U. S. Circuit Court, Judges Griel
and Cadwalader, an opinion was delivered
yesterday in the case of the Philadelphi;
and Reading Railroad Company Us. Charles
MOison ct a., which was before the court IN
the shape Of bill in equity to compel the
defendants to accept in extinguishment oi
the principal of certain ground rents, to the
amount of 100000, the legal tender notes
of the United States. The case was argued
a few days ago, and the opinion of Judge
Grier is as follows:
Coined money, In modern times, forms
but very small portion of the current
money used in commercial transactions.
Paper money representing credit has long
been used as current and lawful money.
But no one could be compelled to accept the
promise of bank to pay money, instead Of
the coin itself The notes of the Bank of
the United States, issued under the authori-
ty of the Government, were current money,
and lawful money, because issued by such
authority, but were vermade legal ten
der for the payment of debt.
A contract made in the United States for
the payment of a certain number of dollars
would be construed as meaning not Prus-
sian dollars or Spanish milled dollars, but
lawful coin of the United States. The ad-
dition Of the description "lawful money of
the United States" is entirely superfluous,
and does not change the nature of the obli-
CATION.
The statutes of Congress always make a
distinction between lawful or current money
and that which shall be tender for pay
ment OF debts. Hence, we find that when
such is the intention, the language is, "And
shall be a legal tender" &c.
apfac nf fho n NJ 1an
tender below a certain amount, but not be-
yond. Thus, by act Of 9th February, 1893,
after the expiration of three years all for
eign coins except Spanish milled dollars
shall cease to be legal tender. q,
By act of April, 1906, "Foreign gold and
silver coins shall pass current as money,
within the United States" and be legal
tender for the payment of all debts, &C., at
the several and respective rates following,
&c. rfaf H.U- III
Again, by act of 2sth June, 1884, "The
following gold coins shall pass as current
money, and be receivable in all payments by
weight at the following rates. &c.
Hence we find that in all cases where
other money than the coinage of the United
States is ordered TO be received as current
or lawful money, the statute carefully pro-
yides the rate and conditions under which
butY arc uidut u tCkdl bcUuCI DAY lutIlL VI
debts. 1t is clear, therefore, that Congress
has always observed the distinction between
current and lawful money, which may be
received in payment of debts, If the creditor
sees fit to accept it, and that which he may
be compelled to accept as a legal tender.
It is clear also that IL Congress make any
other thing than their own coin alegal ten
der, it may be used as such. Thus in the
act authorizing the National Banks, their
notes are made a legal tender for. certain
debts due to the Government, for taxes, &c.,
but not for debts due from one citizen to
another. s4. l8 tie
The Treasury notes are made lawful or
current money, "and legal tender for
debts" &C., as between individuals. AS
this is the first act, in which this high pre-
rogatiye of sovereignty has been exercised,
it should be construed strictly. Its doubt
full In policy and dangerous as precedent.
The only question then Is whether this
Is the money which may be paid to ex-
tinguish . ground-rent within the category
Is it q debt? The owner Of the land Il
not bound to pay 1t. The owner Of the rent
cannot compel him to pay 1t. There Is nc
obligation as between the parties. 1t can
not be converted into an obligation by the
election Of one Of the parties without the
consent of the other. "A man may execute
his bond to me voluntarily, but unless
accept it he does not become my debtor.
| Tliese ground rents In the nature of a rent
service, are somewhat peculiar to Pennsyl-
vania, and little known in other States
But the Supreme Court Of the State has al
ready settled and determined their nature
The cases are too well known to the legal