The Dallas daily herald. [volume] (Dallas, Tex.) 1873-1887, 1875-01-28
The Usury Law-RaiIraoa rreiEn,s

The usury LNw-hailraOd rPelg,,ts
10 the Editor ofthe Dallas Herald
l notice, with much satisfaction,
that you have taken strong ground In
favor OF q usury law. For many
years. the writer regarded money sim,
ply MS property, and therefore, that In
owner had as perfect right to loan II
for the highest rate of interest as the
owner OF a house or farm had to get
the highest rent, This IL fallacy.
The cases are not parallel, for while il
Is true that money Is property, II Is not
true that II IN property per 10, but Ia
property sui generls, IL possesses Il
dlllerenclal element, conferred toy law,
which makes II measure Of value
and II medium Of exchange. BY law II
possesses an extrlnsic value Infinitely
beyond its intrinsic, aud the same
power that gives II this value can with
equal propriety regulate It's uses.
Money Is the creature Of law, and IL
subordinate to its creator, and there.
fore, may be regulated by legislation.
This view Of the right to regulate in
terest Is presented because the writer
has not met with 1t, in the various dis
cussions he has examined.
Before leaving the subject, II may be
well to say that the old law which
made 3 percent legal rate, but permit
ted IL per cent per annum by agree
ment, was entirely satisfactory TO the
people and, II is believed, would be so
again. Amid the excitement which
prevails against the ruling rates of to-
day, it would be absurd to take as a
guide the usury laws of some of the
older states, where capital Is supera-
bundant. Our want of capital should
be kept in view, and while the rate
fixed should be such rs that the people
could live under 1t, its liberaity should
be standing invitation to capital to
come to the state.
There is another question of greater
magnitude and of more vital impor-
lance, viz: The right to regulate rail
road charges, This question is stared
in the face by the plea of vested rights.
This plea they would make the people
believe Is impregnable. But we pro-
pose to examine the safety of this sup
posed bomb proof To this end we lay
down the great American principle,
that sovereignty resides in the people.
If so can any body of their representa-
tives divest them of sovereignty by
delegating to any mean men or corpo-
ration any function or funct ons of
sovereignty in such perpetutity as to
deprive the people of the right of re-
sumption We answer no. Because
when reduced to its ultimate analysis,
sovereignty must be sovereignty, 9TH
erwise 1t is merely myth. 1t would
annihilate itself, were it to place its
functions irrevocably outside of itself.
The opposite hypothesis is inconceiva-
bic, and, therefore absurd. From
these principles, it follows that
vested rights cannot exist outside
of and independent of the domain
of sovereignty, and therefore that Il
constitutional convention when as
sembled may of right overhaul this
whole railroad question, as has been
done by constitutional convention of
Illinois. If ever arbitrary and high
handed injustice has been practiced by
railroads upon any people, surely it has
been done in Texas. Cheap through
rates are made to build up the COM
merce of terminal points, and for these
benefits the intermediate trade centers
are made to pay eXOrbitant rates. The
charges levied upon the flour of north
ern Texas are so enormous as to con-
stitute prohibitory tariff, while the
low rates given to that of Fort Scott,
Kansas City and st. Louis amounts
to positive protection. Again, the
Central railroad charges upon Il
car load of wheat from Dallas to
Austin seventy dollars, and upon car
load of flour more than double that
sum. 1t is to be hoped that this ques-
ton of freight charges will be placed
in the hands of the legislature so that
they shall be uniform and so that the
railroads shall not be allowed by its
high rate, to drive out of the state
thousands of bales of cotton which |
should go to the building up the COM
merce of our own seaports rather than
that of distant, and in some instances,
interior cities. Every trade center of
the state is entitled to justice and should
be permitted to enjoy the legitimate
results of its natural or acquired ad-
vantages.
One more view and | am done.
When a company of men ask a rail
road charter, which cOnfers upon
them especial privileges and benefits,
the legislature grants it upon the
ground that the people are to be bene-
fitted. There is an implied covenant.
But suppose the company makes itself
the instrument of wrong, injury and
injustice, then it breaks the covenant,
and the failure of consideration on its
part absolves the state from obligation
to protect it, and gives good ground
for forfeiture of its charter. 1t would
help things generally if a little starch
could be taken out of these CO.
porations and especially out If
the Central railroad, that off
standing insult to the decency
of the state by placing in the legisla-
ture its vice president as its repre-
sentative. Let it be made
known that these corporations
are amenable to public sentiment
and law, and at once great reformation
would ensue. 1t Is due to say that the
Texas and Pacific has exhibited great
liberality and fairness in its dealings
with the people. In conclusion will
only add that it Is unfortunate for the
-. .1,ot M, ", uoh af ifa railroad afOpk