Richmond dispatch. [volume] (Richmond, Va.) 1884-1903, 1895-07-04
SILVER AND QUA OBLIGATIONS.
HIVE We the Right tn Fay u -
Dond. In Gold or silver Either'

/ nOnda In Cold or SuNeT THs"S'
To the Editor Of the Dispatch:
Possibly considerable number OF
those who favor the free coinage OF silver
| have no better reason for their OPINION
| than a deep-seated suspicion that the
| gold monometallsts or rather the gold
! monopolists. are not acting in good faith
To the people. Indeed the average sii-
verite has a decided conviction that there
/ is something occult and sinister In the
policy of his adversaries. and while he may
| not be sufficiently equipped with facts ana
| arguments to make out his case before
a Jury. still he will not abandon his posi-
ton until ne feels that he has been
! honestly dealt with and has been con-
| WINGED that he is wrong.
The repeatedly avowed purpose OF the
administration to make provision. as far
as Is now practicable. for paying the
national debts in gold. may well excite
suspicion. when we find that there Is no
| such obligation on the government; that
the whole question turns upon the SIM
plest principles of the law Of contracts,
and that honor has no more to
! do with IL than II has with
any other matter which has been
made the subject Of definite agreement
| between competent parties. In short.
there is no place in the discussion for the
least particle OF sentiment or cant.
The President In his message of Janu-
airy last says: Besides the Treasury
notes. which certainly ought to be- paid
I'm gold. amounting to nearly five hundred
millions Of dollars. there will fall due ia
1901, one hundred millions Of per cent
bonds issued during the last year, for
which we have received gold, and In
1907 nearly six hundred millions Of
per cent bonds. issued In 1871. Shall the
payment Of these obligations in gold be
repudatcd@'
'hepudlated" is ar offensive word. i'm
plying breach Of faith, ana whether
Mr.. Cleveland uses II with too little or
TOO much deiiberatiOn may h "a question
But he emphasizes the suggestion by nd.
ding that Our national honor aud nation
al solvency demand that these obliga-
tons should BE- paid la gold. He say
further that I'VE should be- relieved from
the humiiiating process Of Issuing bonds
10 procure gold to be Immediately and
repeatedly drawn out on these obligations
FOR purposes not related 10 the benefit
Of our government or our people" what
confession, Is there a civilized and self
respecting nation on earth, besides
this American republic. that would will
lingly submit 10 such "a humiliating
heheht of its government or its people,
Is this country the patron or the dupe
Of ali the Other nations? For we must
be either the one or the other II we per-
sAst IN donating our silver TO furnish sac
riilces for the worshippers of gold.
But let us now inquire whether the
payment of our national obligations i'm
gold is requirement of honor or not:
for the question depends entirely and ex-
clusyely upon the language of the con-
tract, and not upon supervenient condi-
tons. for which the parties failed to pro-
vide in their stipulation.
When We take into cOnsid ration that
those obligations amount TO the incon-
ceivable sum Of 81 ,2O0 100000. about one
third Of all the gold In the world-and
that the whole stock Of gold coin and bull
lion In the United States on July !, 1894
was. in round numbers, Ss27 100000 plus
S6OjOo0 already appropriated in the
Treasury for the redemptions Of outstand-
ing gold certificates. and that of this
amount the government controlled only
about S55.0o0,G0. it becomes perfectly
patent that all this Boosting about ma
tional honor and national solvency is a
sham, if not a sham, of the first magni-
tude. II the government owned all the
gold i'm the country IL would not suffice
by more than 80 per cent. TO make good
this reckless and audaciOus pretensiOn.
My contention IS that IL is not only tx-
pedient, but just, that we should use
silver as well as gold in paying our public
creditors.
But let proceed: The word obligations
Is not used by Mr.. Cleveland in its technl-
cal sens. but includes the outstanding
lesal-tender notes. as well as the bonds
issued az different times in the form de-
scrlted in the rrfunding act Of July IL,
1870.
Now. as a matter of fact. and with
difference to the special pleading Of the
President. not one OF those notes or
obligations is payable specifically in gold.
but. on the contrary, by the very words
OF the law. and OF the contract, they are
all expressly made payable In coin. This
is abundantly shown, first. by the act of
March Is. 1869. in which the faith of
the United States is pledged TO the pay
ment in coin, or It's equivalent, of all
obligations of the United States not bear
ing interest known rs United States
notes. and Of all nterest-bearing )bliga-
tons Of the United States; secondly, by
the act Of July II. 1870. which authorized
the issue of obligations 10 the amount
Of 1860 $1,000, payable in coin" of which
there are now outstanding SJ9,tsl, 100; and.
thirdly. by the face of the obligations
themselves. In a word, 1t is coin every
where.
COIN OBLIGATIONS.
AT the time Of these acts and declara-
lions of Congress. il was known through
out the world that silver. as well as gold,
was legal coin of the United States.
But If not then (Which is hardly credible),
the fact was certainly known to those
who purchased the national obligations.
For Will a man is not bound to know
the laws OF foreign countries. yet If he
becomes a party 10 a contract referring
10. or to be performed in, foreign coun-
try. he recognizes and adopts the lex
loci-Searight VS.. Calbraith. Dali. 32j.
Consequently. every holder of those notes
and obligations was fully notified and
advised when he acquired them that III
were payable either in gold or silver coin,
at the option of the government; for the
right OF election between gold and silver
was inherent in the very essence OF the
contract. according TO a familiar and un-
questionable principle Of law. 1t cannot
be dispu ted, therefore, that a tender Of
payment in silver dollars would be an
offer to perform the promise of the gov
eminent in strict accordance with the
written terms of the stipulation. and the
creditor could not justly complain If he
were compelled to accept silver dollars in
discharge of the obligation. The United
states Supreme Court has repeatedly de-
clared that although an Undertaking to
pay gold may sometimes be implied. yet
the implication must be- found in the
language OF the contract, and cannot be
gath red from the mere expectations Of
the parties" maryland W. r. K. Co..
all ilIt no r.