The Rock Island Argus. (Rock Island, Ill.) 1877-1885, 1884-03-04
LAWFUL MONEY.
The Supreme Court Decides Green
backs To Be Lawful Money.
synopsis of the Deeisi0u---The Next
can Pensions bill Passes the
HOuse---News Notes from
the Capital.

WASHINGTON CITY, March A. "A decision
has been rendered by the supreme
court of the United States in
:he long-pending legal tender case
of Augustus D. JGillari VS.. Thomas S. Green
man, brought here by writ Of error to the
circuit court of the United States
for the southern district of New
York The question presented by the
case, rs stated by the court is:
"Whether the notes of the United States, is
sned in time of war under an act of con-
gress declaring them to be legal tender in
payment of private deb.s, and afterward in
peace redeemed and paid for in gold coin at
the treasury, and then reissued under the act
of 1878, can, under the constitution of the
United States be a legal tender in
payment of such debts" The court is
unanimously of the opinion that the
present case can not be distinguished in
principle from the cases heretofore de-
cided and reported under the names of de
gal-tender Cases" l2 Wall, 49, "Dooly vs..
Smith" Is Wall, COB, Railroad Company
vs.. johnson rs Wall, 1885, and Maryland
VS.. Railroad Company" E2 Wall, l05, and
all the justices except Justice Field, who ad-
heres to the views expressed in his dissent
ing opinions in those cases, are of
the opinion that they were rightly
decided. The court holds, therefore,
that congress had power to issue obi
impress upon them such qualities as currency
for the purchase of merchandise and the pay
ment of debts in accord with the usages of
sovereign government. The power las Incl
dent to the power of borrowing money and
issuing bills and notes of the government for
money borrowed of inipreSsing upon
those bills or notes the quality of
being legal tender fer the payment
Of privGte debts, was a power unver-
sally understood to belong to the sovereignty
in Europe and America at the time of franz
ing and the adoption of the constitution of
the United States This power of making
notes Of the United States legal tender in
payment of private debts, being included in
the power to borrow money and to provide
national currency, is not defeated OF re-
stricted by the fact that its exercise may at
feet the value Of private contracts. If, upon
just and fair Interpretation Of the whole
constitution, a particular power or authority
appears TO- he vested in congress, it is no con-
stitutional objection to the existence or to its
exercise that the property or contracts of in
diyiduals may be incidentally affected
Congress" the court says in conclusion
"as the legislature Of a sovereign nation,
being expressly empowered by the constitu-
ton to lay aud collect taxes to pay debts and
to provide for the common defense and
general welfare of the United States, and to
-, 80 l
States, and to coin money and regulate the
value thereof, and of foreign coin, and being
clearly authorized, as Incidental to exercise of
these great powers, to issue bills of credit,
to charter national banks, and TO provide a
national currency for the whole people in the
| form of coin treasury notes and national
bank bills, and the power to make the notes
! of the government legal tender in payment
| of private debts, being one of the powers be.
! longing to the sovereig in other civilized
nations, and not expressly withheld from
| congress by the constitution, we are
| irresiStibly impelled to the conclu-
sion that the impressing upon the treasury
notes Of the United States the quality of be-
| ing legal tender in payment Of private debts,
| is an appropriate means conducive and
| plainly adapted to the execution of IN
| doubted powers of congress- and consistent
| with the letter and spirit Of the constitution,
and, therefore, within the meaning Of that
instrument, necessary and proper for
the carrying into execution of the
powers vested by this constitution in
the government of the United States. Such
being our conclusion in the matter Of the law
the question whether at any particular time
in war or peace the exigency is such by reason
of unusual and pressing demands on the
resources of the government or of the in
adequacy of the supply of gold and silver
coin to furnish the currency needed for uses
| Of the government and of the people, that il
| is as matter of fact wise and expedient to
resort to this means, is a political question to
| be determined by congress, when the ques-
ton of exigency shall arise, and not
judicial question, to be afterward
passed upon by the courts. 1t fol
lows that the act of May 81, 1878,
is constitutional and valid, and that the cir
cult court rightly held that the tender in
treasury notes reissued and kept in circula-
ton under that act, was a tender of lawful
money, in payment Of defendants debt to
the plaintiff. The judgment of the circuit
court is affirmed" Opinion by Justice Gray,
Justice Field dissenting.