Monopolies -- United States; Railroads and state -- United States
Soon after the appointment of the two judges above named the legal
tender question was again brought before the court, a full bench of nine
judges sitting and participating in the decision of the question. Five
of the nine concurred in holding the legal tender act constitutional,
Justice Strong delivering the opinion of the court. It is a noticeable
feature of the case that a judge who had just taken his seat should be
selected to pronounce the decision; that after a uniform course of
decisions, made and upheld by all the great jurists of the country for
eighty-five years, two judges who had just been appointed should be
found delivering opinions reversing this long settled rule, and that
both of said judges were appointed because of their avowed friendship
for the corporations which were to be so largely benefited by the
reversal of this long settled construction of the constitution upon the
question of legal tenders, and it seems that even these judges base
their decision upon what they deem the necessity for a reversal rather
than upon any constitutional grounds. Justice Strong, as preliminary to
the opinion of the court, says: "The controlling questions in these
cases are the following: Are the acts of congress, known as the legal
tender acts, constitutional when applied to contracts made before their
passage? and, secondly, Are they valid as applicable to debts contracted
since their enactment? These questions have been elaborately argued, and
they have received from the court that consideration which their great
importance demands. It would be difficult to overestimate the
consequences which must follow our decisions. They will affect the
entire business of the country, and take hold of the possible continued
existence of the government. If it be held by this court that congress
has no constitutional power, under any circumstances, or in any
emergency, to make treasury notes a legal tender for the payment of all
debts (a power confessedly professed by every independent sovereignty
other than the United States), the government is without those means of
self-preservation which, all must admit, may, in certain contingencies,
become indispensable, even if they were not when the act of congress now
called in question was enacted. It is also clear that if we hold the
acts invalid as applicable to debts incurred, or transactions which have
occurred since their enactment, our decision must cause, throughout the
country, great business derangements, wide-spread distress, and the
rankest injustice. The debts which have been contracted since February
25th, 1862, constitute, doubtless, by far the greatest portion of the
existing indebtedness of the country. They have been contracted in view
of the acts of congress declaring treasury notes a legal tender, and in
reliance upon that declaration. Men have bought and sold, borrowed and
lent, and assumed every variety of obligation, contemplating that
payment might be made with such notes.
Public-domain text, read in full here on John Shaqi.
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