The Leavenworth weekly times., 1878-03-14
States legal tender notes. Therefore Con-
oress hv th,s act deelarad-

he purpose of the Government to discharge
II Just obligations TO the public creditors
'retetions Of the laws by virtue OF which
uch obligations have been contracted, Ii is
hereby provided and declared that the faith
z the United States is solemnly pledged to
he payment in coin or its equivalent of all the
OF the United states not bearing
nters Z known as United States notes, and of
United states, except in cases where the
aw authorizing the issue of any such obli-
Lafton has expressly provided that the same
nay De paid IN lawful money or other cur
'ency than gold and silver. But none of said
nterest-Dearing obligations not already due
'hall be redsemed or paid before maturity
De convertible into coin at the option of the
holder, or unless at such time bonds OF the
han the bonds to be redeemed can be sold at |
par in coin. And the United States also |
pledges its faith to make provision |
at the earliest practicable period for the re- |
BY this law the faith of the United States |
was pledged to pay all the obligations OF
the Government 'in coin," except in cases
where the law authorizing the issue of any
such obligations has expressly provided
thrt the same may be paid in lawful money
or other currency than gold and silver"
1t will be observed that the phrase "gold
and silver" is used in this act synonymous
ly with the term ''coin," so that in legal
the law expressly declares
the coin intended to be both gold and silver,
and we are not of necessity remitted to the
coinage laws of the United States tor de-
fnition OF he term. 1t is plain, therefore
that this act does not impose upon the
American people any equitable or legal du-
ty to pay the public debt IN gold coin.
Now let us glance st the act of July IA.
1870. This is an act 10 authorize the re-
funding OF the national debt. 1t is under
and by virtue of this law that the United
States has issued every outstanding ) per
cent, }, and 4 per cent bond. This act ex
pressly provides that all bonds issued under
and by authority of its provisions should
be ''redeemable in coin Of the present stand
ard value" What was our coin at that
time? Gold and silver. What was the
standard value" of silver then? Why,
precisely the same as that provided for in
the bill before us. This is remarkable
stipulation. "Coin OF the present standard
value" think we will search in vain for
another instance Of such explicit and min
utely defined mode OF payment of our pub
lie obligations. 1t was anticipating that
capitalists of the world contemplating in
vestments in our securities might be
plagued with a suspicion that We would
possibly resort to practical repudiation by
making payment in coin of reduced stand
ard. 1t was as if these capitalists had said
to US, These bonds you offer us are the
product of a war Of section against section.
war OF rebellion, a war by which was sub
dued an element which may itself resume
control of every branch of the Government.
Since the cessation of hostilities your peo-
pie have been constantly agitating the
mode, the time, and the terms of payment
of youI debt; We have seen it tclaimed by one
of the great parties that the other was ini-
mical to your public debt, you have among
you leaders OF men whosecourse is calculated
to incite the people against their creditors
by denOuncing them as Shylocks, as bloated
bOndhOlders, as usurefs, and as robbers of
their industry. What assurance have We
that you will deal with us honorably after
you get our money!" And we had replied ::
"We will expressly stipulate against such
possible contingencies. There is our gold
dollar, it weighs so much there is our sill
yer dollar, it weighs so much. Gold and
silver constitute our coin. We will ex-
pressly promise to pay you in gold dollars
or silver dollars of this same standard, and
it shall be so nominated in the bond itself,"
for this law declares that the said bonds
shall have set forth and expressed upon
their face the above-specifed conditions"
That is the explicit contract between the
Government and every holder OF ) per-
cent. bond, every holder of a 4I-per-cent
bond, and every holder of 4-per-cent bond.
Nor have these conditions been changed
since then by any act of Federal legislation
or otherwise. The resumption act of 1879
in nowise affects the legal status of our
bonds in this regard. 1t author
ICES bonds of the description provi-
ded for in the act OF July If, 1870,
and of like qualities, privileges, and ex
emptions," TO be sold by the Secretary of the
Treasury to enable him to prepare for re-
sumption OF specie payment in 1879. 1t
RENTS the Secretary of the Treasury to the
act of 1870 SO far as it provides at all for
the issue and sale of bonds. and every such
bond, as We have seen, recites upon its face
that it is issued under said law OF 1870, and
that il is payable Sin coin of the standar,
value of that date" There is no act OF
Congress upon the statute-book under and
by authority of which any of the outstand-
ing obligations of the Government were
issued, that was not enacted when thesGov-
r,on. ~, r. lfI ,l:.
~ - ILL., si9i ;n my :1'nlns
t. y, ,ba bns s.ma n ,;" " III ,snJ Jl N.,eh was
ment of all obligations, public and private
arar baJ ~ o;,hor tn mai ~ an, Puoi'e cstG,'oi Or
H. h'. VI" s " 'P.'t VI
. .T; .a, VI ~ 'ne uim' ~ vi sPiri' vi Ms
oo;iS Sa.ion az. assufdnce tiat ne "ouiu oe
pau inhi ~ so'' 'oih eA'i''si'eiy Is utterly uh-
'en.''e =
Nor can 1t be maintained that there is
any mora, Jonsa'ion m 10 ninke sucn pay
.en' IN eoiu .oin. ire m ooneS'ioh Is one
otEAP.; tEGP;ss .o.l III. ine .ss1t anu inorai M
oDIgauons are aiiHe measured Dy the terms
@uu sP:t Q. 'ne con'ra &c. i'se,r II, ana the law
sose:nns 'ha' contract. Inc doctrine
I .nI' ~ sucn case there Is or can oe over
anu Deyond all TINS an obligation founded
IN Puonc morals Is not only wholly un-
known In the administration OF affairs, but
mas no sort oil foundation In reason. In the
case we were considering, every TACT, as
wen as the reason the spirit, and the letter
o. oo'h lhe law ana the contract, hatly neg
asl.es asNo sucn cram. Inc law Oh July IA,
lo,"' not 9niy stipuia'es that the hve, iour
anu q man, anu iour Pe!Gehts shouia DE
Payaoie IN eianer goid OF shveI coih-siiVer
TO-, ,nrOt b. 80, :, III ~ u ;,e.,. '"a'
,h,, | The nubl;c orad;,nr - ' - "u uon5 e, 80
it, f,oa H. 49, ra,r anUd;,;nsn iTu Tho upon
No, absrrJ - 80 H., ,ha.a men 1871
,ron;sa .. r,o,ai ahi;...; % =, an inPie1
r aniJ ,ha, ran;,a, a. %nn roH " Pay st uona
,a,n su I n:I .1 .:1pt upo" ,t LS iaoe lha'
aISl pt ~ I"Iia u t .ne s'anaNru oi
~. Ssoaas aans " sc; ,ha uo Tn5.D Deeause lorsooln
snSl - @ =, .nI ~ io-n may nave
80 .ni ";Irnre sa ''e 'Ne act vi 1910 demone-
s si'e