St. Paul daily globe. [volume] (Saint Paul, Minn.) 1884-1896, 1884-03-04
GREENBACKS GOOD.
The Supreme Court Decides They Are
illegal Tender.
Their Offer in Payment of Debts Sufficient IL
Law at All Times.

WASHINGTON, March ga decision was
rendered by the supreme court of the United
States to-day, in the long pending legal ten
der case of Augustus D. Juillard VS.. Thos. s.
Greenman, brought here by writ of error
from the circuit court of the United States,
for the southern district of New York The
question pr sented by this case, as stated by the
court is: whether notes of the United
States issued in the time of war, under the
acts of congress declaring them to be a legal
ten Ter in the payment of private debts, and,
afterward, in time of peace, to be
redeemed and paid in gold coin at the
treasury, and then re-issued under
the constitution of the United States, shall
be legal tender for the payment of such
debts. The court is of the unanimous
opinion that the present case cannot be dis
tinguished, in principle, from the cases here
tofore decided, and reported under names;
illegal tender cases'' az Wall, $50, "Docly
VS.. Smith, Q3 WALL GOA, RAILROAD CON-
pany VS.. johnson" Us Wall, 1859, and
Maryland VS.. Railroad company (22 Wan,
1867, and all the justices, except Justice
Field, who adheres to the views expressed
in his dissenting opinions in those
cases, are of the opinion that they
were rightly decided. The court holds, there
fore, that congress has the power to issue the
obligations of the United States in such
form, and to impress upon them such quail
ties as currency for the purchase Of mer-
chandise and the payment of debts in accord
with the usage of sovereign government.
The power as incident to the power of Dor
rowing money and issuing bills and notes of
the government for money borrowed, and of
lmpressing upon those bills or notes, tie
quality of being a legal tender for the pay
ment of private debts under the power uni
versilly understood to belong to sovereignty
in Europe and America at the
time of the framing and adoption
of the constitution of the United States, and
this power of making the notes of the United
States legal tender in the payment of pri-
vate debts, being included in the power to
borrow money, and to provide for national
currency, is not defeated or restricted by the
fact that its exercise may effect the value of
a private contract. If, upon just and fair
Interpretation Of the whole constitutions par
ticular power or authority appears to be
vested in congress, it is no constitutional
objection to its existence, or to its exercise,
that the property or contracts of individuals
may be incidentally affected.
Congress, the court says in conclusion, as
the Legislature of a sovereign nation, being
expressly empowered by the constitution to
lay and collect taxes, to pay debts and pro-
vide for the common defense and general
welfare of the United States, and to borrow
money on the credit of the United States,
and to coin money and regulate the value
thereof, and Of foreign coin, and being clear
ly authorized as incidental to the exercise of
those great powers to emit bills of credit,
charter national banks and provide 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 a legal tender in payment
of private debts being one of the powers be-
longing to sovereignty in other civilized
nations, and not expressly withheld from
congress by the constitution, we are irresst-
ably impeled to the conclusion that impress
ing upon treasury notes of the United States
the validity of being legal tender in payment
o. private debts is an appropriate means
conducive and plainly adopted to the
execution of undoubted powers
of congress, consistent with the letter and
spirit of the constitution, and therefore with
in the meaning of that instrument necessary
the power for carrying into execution the
powers vested by this constitution in the
government of the United States. Such be-
question whether at any particular time in
war or peace the exigency is such by reason
of unusual and pressing demands upon the
resources of the government and of the in
adequacy of the supply of gold and silver
coin to furnish the currency needed for
the use of the government and people
that whether it is as q matter of fact wise to
resort TO this means is political question to
be determined by congress when the exgen-
cy arises, and not judicial question to be
afterwards passed upon by the courts 1t
follows that the act of May 81, 1878, is con-
stitutional, and the circuit court rightly held
that tender in treasury notes reissued and
kept in circulation under that act was ten
der of lawful money in payment of defend
ants debt to plaintiff, The judgment of the
circuit court is affirmed.
The opinion is by Justice Gray, Justice
Field dissenting.