The daily dispatch. [volume] (Richmond [Va.]) 1850-1884, 1872-12-14

however, the honor and name Hnd high credit
secured to state by unSroken faith even ID adser-
moro In Enthusiastically morc-than the com.
rarauvely Insignificant amount Of the interest on
Of contract We think the Incidental appropria-
tion OF portion OF the annual revenue Of the
mere FOR pdt s pssr2d os tme OF in hbHqs be I q
l,attonl TO meet the annually aecrning interest on
te sss,e IS aa M mot Ter
grsnt Of ,l,e sane fotesef: yitl perpetual ezemp
Jersey Wilson. The one Is, to say the most Of IT,
only temporary appropriation ia advance. Of a
portion Of the public Re, enue to the payment Of
absolute ani nncondi onal surrender Jorerrr Of
portion Of the public revenue that IS, SO much as
think IL stretch of power than the surrender
of the right 10 tax the property of great and wealthy
| imneasuraby greater than the former.
That such powers uiay be lcgi,imately exercised
has been over aud over again decided by the courts
Of the States and the United States In casos too
merous to mention: and In the face OF the rcry ar
grlment now urged. over and over repeated and rs
often overrulcd In Of the latest cases Home Of
say Up. i3S: Tlc valiityEof this contract Is qucs-
toned the har on the ground that the Legislature
Tho answer to this posilin il that tle question is
no longer open for ar9umcn! here: for is settled
by the respected adttdcatiols of this court tlat
State may by contract based ona consideration e1-
cmpt the property OF an individual or corporation
| from taxation either for specified period or per-
nanen,Iy. Aud It Is equal; well settled that the
exemption is presumed TO be on sufficient conyideru-
ton and binds the State If the charter containing 1t
Is accepted Referring in note to numerous cases
70 tins will add reference 10 the case of the
| City of Richnond r6.The Richmond aud DanvJlle
Railroad Company. tle-al, Grattan, s04.l In which
Court Of tie United Stltes that Tie question was no
longer oyen. In delivering the opinion Of the court
In that Judge Staples says: THE power Of cx-
caption as we'll as tic power Of taxation Is one Of
| essential elements
Legislature to surrender the power Of tlxatton In
specific has hecn the subject of one OF tie
sblcst and most exhaustive judicial decisions ever
known in the Supreme Court of The United States.
| aud Is now regarded rs established upon the most
We nns the rtc Of the ose 6r Us is
covered by the class of eases referred to- hut II not,
the question Is directly decided III the Of Wood
ruff rs. Trapnall aud Furman cs. Nlchol, already
| cited, and the pr}ncAe If those cases has. Us Te
have seen. been unanimously approved hv this court
in tic case of the Exchange Bank Of Firglaia u.s.
| Knox. 10 Grattsn. 1881 We think the qUes-
:ion. therefore, no longer open for discussion 1t
stiniioH and Void because it is rcpngnant to the
eighth section OF the eighth article and 10 the fifth
aud tenth sections If tho tenth aro Of the STATE
Constitutions dedicating certain portions Of tire re-
venue to the support Of free schools
We thiEk there Is no such conflict In the case.
The Interest On the debt may be paid In The IN mode
faiiun to free schools complied with without vicl-
ton of the Constitution II only requires what the
creation Of every new debt imperdtiyelY demands
IN increase of 'axalio;..
The argument is based on the assumption that the
Legislature az the State will itself pursue such a
course rs may rc-ul: in mHlippropr;aHoa OF the
funds referred to tha; II will dccineto provide for
the high obligations resting on it. aud then rely on
the consequence, of that default TO defeat the claims
OF just creditors. The obligation TO provide tor
these coupons Is rs high uncer the Constitution rs
GrS to hh @ ctfn Eh ne is sre nu alike Iet oas
tory, and there is no conflict between them: 1t IS
only by the future to discharge the one that ihc
and il rests with the Legislature by faithfully aid
fcslrc>sy meeting both obligations, to preserve the
plch;cd faith Of The State and protect her Consutu-
ton from violation.
II Is con,rndci also that the entire funding act is
invalid because il violates tine 9Th section of the 10Th
article of the Constitution which requires that the
unflndcd debt Of the State sha not be funded or
redeemed at Il va!ne exceeding that established by
law al the time said debt was transacted"
ltmight. perhaps, with good reason be held that
that provision does not apply to the funding act at
all as h M dea funnfq 3 s was a not ,hs cb na m
accretions but it is unne:cssryto decide
tion, iecuse ccncedins the lection TO be appl;ca-
blc its provisions are not violated hy The funding
act In uSin" the wCrd value" of Tie unfundcd
debt VT think there WAS no reference 70 The amount
OF the ct hut 10 tic rate OF interest The rate Of in
tert.st may he and las always been "establised by
bat we d" not we'll see how the Legislature could
reasonably sGk Of che amount mt OF r an rn;nnded 1
str,lcton cnncnacd i0r would be 10 prohibit the
payment Of l arear Ecs OF incrt on ne red, nl
lion of the S;a,c tlc'f. because The Constitution for
bids alike The funding or the redemption cf the in-
funded debt Of the STA ae at value exceeding inai
established ny law ut the creation OF the d%ht. Under
that construction the large aricaraec ni Interest a
the date Of the funding act could lot have been paid
AT all had The state been reidy to TeHecn the ucbt,
since the arrearages of interest when added TO the
| PRINCIPAL would make an aggregate greatly larger
than the original d"ht. such, ccrtaialy i Io the
meaning OF the Constitutions.
| Again. are toll! tlat the funding act iS void be-
cause |: impars the rights OF Eol'i rs OF coupons
untc. the ct O! April -, ist7 II is enough to 81
that the QUESTION l. not me're Us. ,o, No holder o
;stS is here con- planning of The funding act: and II
| is well So tied that tttc cnur! will never pronounce
aert Se.tai ohcrs not befarc the court; Tile stu" l.
assumed TO be valid uuil sone one complains
whose rights II imvadcs." Cooley rs Constitutional
| Limitation. page lG3-i, anl cases there cited.
Upon the whole, W" are of opinion that the M
dcriakr2 or the part Of the state in the funding
thercnlcr. constitutes valid legislative contract
on sufficient consideration; that said coupons
aud due TO The s,atc, and that te obligation Of such
contract cannot. under the State ana Federal !oi-
stimtions, be Impaired by subsequent legislation.
The inyiolahility OF contracts public and pri-
vae" says Judge Christian. deliver nG tho opinion
| Of the whole court IN the homestead cases, not yet
reported. is tic Foundation OF Ill social progress
aud the CORNERSTONE Of all the forms Of civilized
society whCreycr all enlightened jurlsprL"encc pre-
| vai!s.''
this cas-: lre.l impaired hy the act Of March = Isl:
The statement Of tie sr)Sta nee oi rach VIII
| furnish he auswerin tie question.
| rhc contr;icf is that The coupons issued i;Hdcr the
funding act shall be receivable in payment Of III!
public dues. ,..,,,. t., ,.,,,s...,,o
| tha, they shall not he 50 received. ~
IN The language of CiIirf-Justice Marshall In New
Jersey rs. Wilson This contract IS cIftany ii
part Of it, Wcare ct opinion: Therefore, tiia te M
&C! aforesaid Of March :. 1879? is Repayment to the
Constitution of this State and OF the United States
inasnulch rs 1t impalrS the obligation OF contract
aud is OH that account and to that extent void anu
being further Of opinion boih on prheiihte i ana as
in the case the duty Of tie sheriff being purely min
lsteriull pcrcmplory writ Of isstndan@S must hc
awarded In ic case oi 4nioni r$. Wright, and the
judgment Of tc Circuit Court Of the cit: ot Rich
mond in the case oi Wright rs. emlh must be
affirmed.
and painful uty thar Will he cast OF the Legislature
hv this decision, bu. we iet assured 1t VIII DC ilith
2y and N n %iE met tnt ta e G rap TItG %
from peculiarly pressure would hr too dearly hnuShi
Il, the price Of The broaGn faith Of Virginia She has
just emerged irolua terrible riailn ordeal OF Gre
without stain Oh her cscnchcon. Impoverished
crushed, aud d!smcinhr!cd, but not disI"nored. she
Is now taking new departure. und we woulu horC
t. see it in the right direction In the language ol
vigorous writer. Now Is the Secd-tme Of Iiiih ant
hnor. The least fracture nor will lie like name
engraved with the point Of pin the tender rinC
of i young hccril-tle wounh will enlarge with Tho
tree andposterily Will read II in fullgrown clirac
| terS.H
This Court is unwilling toinhict that wound.
This opinion of Judge Bouldin was full,
concurred in by Judges Christian and An
derson. Judge Staples alone dissenting in al
able opinion, which we have not space te
publish.
Judge Moncure then stated from the bencl
the reasons which. III bis opinion, rendered
it improper for him to sit in the case, anf
showing that be had little or no interest il
the question; and after the case was decided
he stated that if it had been proper, il
!. his Judgment, for him to have sat in the case
| frn,n the invaStip1tiOn that he had Tiyen the