Section XX.

[4]It may have very weighty moral obligation; but it can have no legal obligation.

Consequently, the natural obligation of a contract of debt binds the debtor's property, and nothing more. That is, it gives the creditor a mortgage upon the debtor's property, and nothing more.

A first debt is a first mortgage; a second debt is a second mortgage; a third debt is a third mortgage; and so on indefinitely.

The first mortgage must be paid in full, before anything is paid on the second. The second must be paid in full, before anything is paid on the third; and so on indefinitely.

When the mortgaged property is exhausted, the debt is cancelled; there is no other property that the contract binds.

If, therefore, a debtor, at the time his debt becomes due, pays to the extent of his ability, and has been guilty of no fraud, fault, or neglect, during the time his debt had to run, he is thenceforth discharged from all legal obligation.

If this principle were acknowledged, we should have no occasion, and no use, for insolvent or bankrupt laws.

Of course, persons who have never asked themselves what thenatural"obligation of contracts" is, will raise numerous objections to the principle, that a legal contract binds nothing else than rights of property. But their objections are all shallow and fallacious.

I have not space here to go into all the arguments that may be necessary to prove that contracts can have nolegaleffect, except to bind rights of property; or to show the truth of that principle in its application to all contracts whatsoever. To do this would require a somewhat elaborate treatise. Such a treatise I hope sometime to publish. For the present, I only assert the principle; and assert that the ignorance of this truth is at least one of the reasons why courts and lawyers have never been able to agree as to what "the obligation of contracts" was.

In all the cases that have now been mentioned,—that is, of minors (so-called), married women, corporations, insolvents, and in all other like cases—the tricks, or pretences, by which the courts attempt to uphold the validity of all laws that forbid persons to exercise their natural right to make their own contracts, or that annul, or impair, thenatural"obligation" of their contracts, are these:

1. They say that, if a law forbids any particular contract to be made, such contract, being then an illegal one, can have no "obligation." Consequently, say they, the law cannot be said to impair it; because the law cannot impair an "obligation," that has never had an existence.

They say this of all contracts, that are arbitrarily forbidden; although, naturally and intrinsically, they have as valid an obligation as any others that men ever enter into, or as any that courts enforce.

By such a naked trick as this, these courts not only strike down men's natural right to make their own contracts, but even seek to evade that provision of the constitution, which they are all sworn to support, and which commands them to hold valid thenatural"obligation" of all men's contracts; "anything in the constitutions or laws of the States to the contrary notwithstanding."

They might as well have said that, if the constitution had declared that "no State shall pass any law impairing any man's natural right to life, liberty, or property"— (that is, hisnaturalright to live, and do what he will with himself and his property, so long as he infringes the right of no other person)—this prohibition could be evaded by a State law declaring that, from and after such a date, no person should have any natural right to life, liberty, or property; and that, therefore, a law arbitrarily taking from a man his life, liberty, and property, could not be said to impair his right to them, because no law could impair a right that did not exist.

The answer to such an argument as this, would be, that it is a natural truth that every man, who ever has been, or ever will be, born into the world,necessarily has been, and necessarily will be, born with an inherent right to life, liberty, and property; and that, in forbidding this right to be impaired,the constitution presupposes, implies, assumes, and asserts that every man has, and will have, such a right; and that thisnaturalright is the very right, which the constitution forbids any State law to impair.

Or the courts might as well have said that, if the constitution had declared that "no State shall pass any law impairing the obligation of contracts made for the purchase of food," that provision could have been evaded by a State law forbidding any contract to be made for the purchase of food; and then saying that such contract, being illegal, could have no "obligation," that could be impaired.

The answer to this argument would be that, by forbidding any State law impairing the obligation of contracts made for the purchase of food, the constitution presupposes, implies, assumes, and asserts that such contracts have, and alwayswill have, anatural"obligation"; and that thisnatural"obligation" is the very "obligation," which the constitution forbids any State law to impair.

So in regard to all other contracts. The constitution presupposes, implies, assumes, and asserts the natural truth, that certain contracts have,and always necessarily will have, anatural"obligation." And thisnatural"obligation"—which is the only real obligation that any contract can have—is the very one that the constitution forbids any State law to impair, in the case of any contract whatever that has such obligation.

And yet all the courts hold the direct opposite of this. They hold that, if a State law forbids any contract to be made, such a contract can then have no obligation; and that, consequently, no State law can impair an obligation that never existed.

But if, by forbidding a contract to be made, a State law can prevent the contract's having any obligation, State laws, by forbidding any contracts at all to be made, can prevent all contracts, thereafter made, from having any obligation; and thus utterly destroy all men's natural rights to make any obligatory contracts at all.

2. A second pretence, by which the courts attempt to evade that provision of the constitution, which forbids any State to "pass any law impairing the obligation of contracts," is this: They say that the State law, that requires, or obliges, a man to fulfil his contracts,is itself"the obligation," which the constitution forbids to be impaired; and that therefore the constitution only prohibits the impairing of any law for enforcing such contracts as shall be made under it.

But this pretence, it will be seen, utterly discards the idea that contracts have anynaturalobligation. It implies that contracts have no obligation, except the laws that are made for enforcing them. But if contracts have nonaturalobligation, they have no obligation at all,that ought to be enforced; and the State is a mere usurper, tyrant, and robber, in passing any law to enforce them.

Plainly a State cannot rightfully enforce any contracts at all, unless they have anaturalobligation.

3. A third pretence, by which the courts attempt to evade this provision of the constitution, is this: They say that "the law is a part of the contract" itself; and therefore cannot impair its obligation.

By this they mean that, if a law is standing upon the statute book, prescribing what obligation certain contracts shall, or shall not, have, it must then be presumed that, whenever such a contract is made, the parties intended to make it according to that law; and really to make the law a part of their contract;although they themselves say nothing of the kind.

This pretence, that the law is a part of the contract, is a mere trick to cheat people out of their natural right to make their own contracts; and to compel them to make only such contracts as the lawmakers choose to permit them to make.

To say that it must be presumed that the parties intended to make their contracts according to such laws as may be prescribed to them—or, what is the same thing, to make the laws a part of their contracts—is equivalent to saying that the parties must be presumed to have given up all their natural right to make their own contracts; to have acknowledged themselves imbeciles, incompetent to make reasonable contracts, and to have authorized the lawmakers to make their contracts for them; for if the lawmakers can make any part of a man's contract, and presume his consent to it, they can make a whole one, and presume his consent to it.

If the lawmakers can make any part of men's contracts, they can make the whole of them; and can, therefore, buy and sell, borrow and lend, give and receive men's property of all kinds, according to their (the lawmakers') own will, pleasure, or discretion; without the consent of the real owners of the property, and even without their knowledge, until it is too late. In short, they may take any man's property, and give it, or sell it, to whom they please, and on such conditions, and at such prices, as they please; without any regard to the rights of the owner. They may, in fact, at their pleasure, strip any, or every, man of his property, and bestow it upon whom they will; and then justify the act upon the presumption that the owner consented to have his property thus taken from him and given to others.

This absurd, contemptible, and detestable trick has had a long lease of life, and has been used as a cover for some of the greatest of crimes. By means of it, the marriage contract has been perverted into a contract, on the part of the woman, to make herself a legal non-entity, ornon compos mentis; to give up, to her husband, all her personal property, and the control of all her real estate; and to part with her natural, inherent, inalienable right, as a human being, to direct her own labor, control her own earnings, make her own contracts, and provide for the subsistence of herself and her children.

There would be just as much reason in saying that the lawmakers have a right to make the entire marriage contract; to marry any man and woman against their will; dispose of all their personal and property rights; declare them imbeciles, incapable of making a reasonable marriage contract; then presume the consent of both the parties; and finally treat them as criminals, and their children as outcasts, if they presume to make any contract of their own.

This same trick, of holding that the law is a part of the contract, has been made to protect the private property of stockholders from liability for the debts of the corporations, of which they were members; and to protect the private property of special partners, so-called, or limited partners, from liability for partnership debts.

This same trick has been employed to justify insolvent and bankrupt laws, so-called, whereby a first creditor's right to a first mortgage on the property of his debtor, has been taken from him, and he has been compelled to take his chances with as many subsequent creditors as the debtor may succeed in becoming indebted to.

All these absurdities and atrocities have been practiced by the lawmakers of the States, and sustained by the courts, under the pretence that they (the courts) did not know what the natural "obligation of contracts" was; or that, if they did know what it was, the constitution of the United States imposed no restraint upon its unlimited violation by the State lawmakers.

But, not content with having always sanctioned the unlimited power of theStatelawmakers to abolish all men's natural right to make their own contracts, the Supreme Court of the United States has, within the last twenty years, taken pains to assert that congress also has the arbitrary power to abolish the same right.

1. It has asserted the arbitrary power of congress to abolish all men's right to make their own contracts, by asserting its powerto alter the meaning of all contracts, after they are made, so as to make them widely, or wholly, different from what the parties had made them.

Thus the court has said that, after a man has made a contract to pay a certain number of dollars, at a future time,—meaning such dollars as were current at the time the contract was made,—congress has power to coin a dollar of less value than the one agreed on, and authorize the debtor to pay his debt with a dollar of less value than the one he had promised.

To cover up this infamous crime, the court asserts, over and over again,—what no one denies,—that congress has power (constitutionally speaking) to alter, at pleasure, the value of its coins. But it then asserts that congress has this additional, and wholly different, power, to wit, the power to declare that this alteration in the value of the coinsshall work a corresponding change in all existing contracts for the payment of money.

In reality they say that a contract to pay money is not a contract to pay any particular amount, or value, of such money as was known and understood by the parties at the time the contract was made, butonly such, and so much, as congress shall afterwards choose to call by that name, when the debt shall become due.

They assert that, by simply retaining the name, while altering the thing,—or by simply giving an old name to a new thing,—congress has power to utterly abolish the contract which the parties themselves entered into, and substitute for it any such new and different one, as they (congress) may choose to substitute.

Here are their own words:

The contract obligation ... was not a duty to pay gold or silver, or the kind of money recognized by law at the time when the contract was made, nor was it a duty to pay money of equal intrinsic value in the market.... But the obligation of a contract to pay money is to pay that which the law shall recognize as money when the payment is to be made.—Legal Tender Cases, 12 Wallace 548.

This is saying that the obligation of a contract to pay money is not an obligation to pay what both the law and the parties recognize as money,at the time when the contract is made, but only such substitute as congress shall afterwards prescribe, "when the payment is to be made."

This opinion was given by a majority of the court in the year 1870.

In another opinion the court says:

Under the power to coin money, and to regulate its value, congress may issue coins of same denomination [that is, bearing the same name] as those already current by law, but of less intrinsic value than those, by reason of containing a less weight of the precious metals,and thereby enable debtors to discharge their debts by the payment of coins of the less real value. A contract to pay a certain sum of money, without any stipulation as to the kind of money in which it shall be made, may always be satisfied by payment of that sum [that is, thatnominalamount] in any currencywhich is lawful money at the place and time at which payment is to be made.—Juilliard vs. Greenman, 110U. S. Reports, 449.

This opinion was given by the entire court—save one, Field—at the October term of 1883.

Both these opinions are distinct declarations of the power of congress to alter men's contracts,after they are made, by simply retaining the name, while altering the thing, that is agreed to be paid.

In both these cases, the court means distinctly to say that,after the parties to a contract have agreed upon the number of dollars to be paid, congress has power to reduce the value of the dollar, and authorize all debtors to pay the less valuable dollar, instead of the one agreed on.

In other words, the court means to say that, after a contract has been made for the payment of a certain number of dollars,congress has power to alter the meaning of the word dollar, and thus authorize the debtor to pay in something different from, and less valuable than, the thing he agreed to pay.

Well, if congress has power to alter men's contracts,after they are made, by altering the meaning of the word dollar, and thus reducing the value of the debt, it has a precisely equal power toincreasethe value of the dollar, and thus compel the debtor to paymorethan he agreed to pay.

Congress has evidently just as much right toincreasethe value of the dollar, after a contract has been made, as it has toreduceits value. It has, therefore, just as much right to cheat debtors, by compelling them to paymorethan they agreed to pay, as it has to cheat creditors, by compelling them to acceptlessthan they agreed to accept.

All this talk of the court is equivalent to asserting that congress has the right to alter men's contracts at pleasure,after they are made, and make them over into something, or anything, wholly different from what the parties themselves had made them.

And this is equivalent to denying all men's right to make their own contracts,or to acquire any contract rights, which congress may notafterward, at pleasure, alter, or abolish.

It is equivalent to saying that the words of contracts are not to be taken in the sense in which they are used, by the parties themselves, at the time when the contracts are entered into, but only in such different senses as congress may choose to put upon them at any future time.

If this is not asserting the right of congress to abolish altogether men's natural right to make their own contracts, what is it?

Incredible as such audacious villainy may seem to those unsophisticated persons, who imagine that a court of law should be a court of justice, it is nevertheless true, that this court intended to declare the unlimited power of congress to alter, at pleasure, the contracts of parties,after they have been made, by altering the kind and amount of money by which the contracts may be fulfilled. That they intended all this, is proved, not only by the extracts already given from their opinions, but also by the whole tenor of their arguments—too long to be repeated here—and more explicitly by these quotations,viz.:

There is no well-founded distinction to be made between the constitutional validity of an act of congress declaring treasury notes a legal tender for the payment of debts contracted after its passage, and that of an act making them a legal tender for the discharge ofalldebts,as well those incurred before, as those made after, its enactment.—Legal Tender Cases, 12Wallace530 (1870).Every contract for the payment of money, simply, is necessarily subject to the constitutional power of the government over the currency, whatever that power may be,and the obligation of the parties is, therefore, assumed with reference to that power.—12Wallace549.Contracts for the payment of money are subject to the authority of congress,at least so far as relates to the means of payment.—12Wallace549.

Every contract for the payment of money, simply, is necessarily subject to the constitutional power of the government over the currency, whatever that power may be,and the obligation of the parties is, therefore, assumed with reference to that power.—12Wallace549.

Contracts for the payment of money are subject to the authority of congress,at least so far as relates to the means of payment.—12Wallace549.

The court means here to say that "every contract for the payment of money, simply," is necessarily made, by the parties,subject to the power of congress to alter it afterward—by altering the kind and value of the money with which it may be paid—into anything, into whichthey (congress)may choose to alter it.

And this is equivalent to saying that all such contracts are made, by the parties, withthe implied understanding that the contracts, as written and signed by themselves, do not bind either of the parties to anything; but that they simply suggest, or initiate, some non-descript or other, which congress may afterward convert into a binding contract,of such a sort, and only such a sort, asthey (congress)may see fit to convert it into.

Every one of these judges knew that no two men, having common honesty and common sense,—unless first deprived of all power to make their own contracts,—would ever enter into a contract to pay money, with any understanding that the government had any such arbitrary power as the court here ascribes to it, to altertheir contract after it should be made. Such an absurd contract would, in reality, be nolegalcontract at all. It would be a mere gambling agreement, having, naturally and really, nolegal"obligation" at all.

But further. Asolventcontract to pay money is in reality—in law, and in equity—a bona fide mortgage upon the debtor's property. And this mortgage right is as veritable a right of property, as is any right of property, that is conveyed by a warranty deed. And congress has no more right to invalidate this mortgage, by a single iota, than it has to invalidate a warranty deed of land. And these judges will sometime find out that such is "the obligation of contracts," if they ever find out what "the obligation of contracts" is.

The justices of that court have had this question—what is "the obligation of contracts"?—before them for seventy years, and more. But they have never agreed among themselves—even by so many as a majority—as to what it is. And this disagreement is very good evidence thatnoneof them have known what it is; for if any one of them had known what it is, he would doubtless have been able, long ago, to enlighten the rest.

Considering the vital importance of men's contracts, it would evidently be more to the credit of these judges, if they would give their attention to this question of "the obligation of contracts," until they shall have solved it, than it is to be telling fifty millions of people that they have no right to make any contracts at all, except such as congress has power to invalidate after they shall have been made. Such assertions as this, coming from a court that cannot even tell us what "the obligation of contracts" is, are not entitled to any serious consideration. On the contrary, they show us what farces and impostures these judicial opinions—or decisions, as they call them—are. They show that these judicial oracles, as men call them, are no better than some of the other so-called oracles, by whom mankind have been duped.

But these judges certainly never will find out what "the obligation of contracts" is, until they find out that men have the natural right to make their own contracts, and unalterably fix their "obligation"; and that governments can have no power whatever to make, unmake, alter, or invalidate that "obligation."

Still further. Congress has the same power over weights and measures that it has over coins. And the court has no more right or reason to say that congress has power to alter existing contracts, by altering the value of the coins, than it has to say that, after any or all men have, for value received, entered into contracts to deliver so many bushels of wheat or other grain, so many pounds of beef, pork, butter, cheese, cotton, wool, or iron, so many yards of cloth, or so many feet of lumber, congress has power, by altering these weights and measures, to alter all these existing contracts, so as to convert them into contracts to deliver only half as many, or to deliver twice as many, bushels, pounds, yards, or feet, as the parties agreed upon.

To add to the farce, as well as to the iniquity, of these judicial opinions, it must be kept in mind, that the court says that, after A has sold valuable property to B, and has taken in payment an honest and sufficient mortgage on B's property, congress has the power to compel him (A) to give up this mortgage, and to accept, in place of it, not anything of any real value whatever, but only the promissory note of a so-called government; and that government one which—if taxation without consent is robbery—never had an honest dollar in its treasury, with which to pay any of its debts, and is never likely to have one; but relies wholly on its future robberies for its means to pay them; and can give no guaranty, but its own interest at the time, that it will even make the payment out of its future robberies.

If a company of bandits were to seize a man's property for their own uses, and give him their note, promising to pay him out of their future robberies, the transaction would not be considered a very legitimate one. But it would be intrinsically just as legitimate as is the one which the Supreme Court sanctions on the part of congress.

Banditti have not usually kept supreme courts of their own, to legalize either their robberies, or their promises to pay for past robberies, out of the proceeds of their future ones. Perhaps they may now take a lesson from our Supreme Court, and establish courts of their own, that will hereafter legalize all their contracts of this kind.

To justify its declaration, that congress has power to alter men's contracts after they are made, the court dwells upon the fact that, at the times when the legal-tender acts were passed, the government was in peril of its life; and asserts that it had therefore a right to do almost anything for its self-preservation, without much regard to its honesty, or dishonesty, towards private persons. Thus it says:

A civil war was then raging, which seriously threatened the overthrow of the government, and the destruction of the constitution itself. It demanded the equipment and support of large armies and navies, and the employment of money to an extent beyond the capacity of all ordinary sources of supply. Meanwhile the public treasury was nearly empty, and the credit of the government, if not stretched to its utmost tension, had become nearly exhausted. Moneyed institutions had advanced largely of their means, and more could not be expected of them. They had been compelled to suspend specie payments. Taxation was inadequate to pay even the interest on the debt already incurred, and it was impossible to await the income of additional taxes. The necessity was immediate and pressing. The army was unpaid. There was then due to the soldiers in the field nearly a score of millions of dollars. The requisitions from the War and Navy departments for supplies, exceeded fifty millions, and the current expenditure was over one million per day.... Foreign credit we had none. We say nothing of the overhanging paralysis of trade, and business generally, which threatened loss of confidence in the ability of the government to maintain its continued existence, and therewith the complete destruction of all remaining national credit.It was at such a time, and in such circumstances, that congress was called upon to devise means to maintaining the army and navy, for securing the large supplies of money needed, and indeed for the preservation of the government created by the constitution. It was at such a time, and in such and emergency, that the legal-tender acts were passed.—12Wallace540-1.

It was at such a time, and in such circumstances, that congress was called upon to devise means to maintaining the army and navy, for securing the large supplies of money needed, and indeed for the preservation of the government created by the constitution. It was at such a time, and in such and emergency, that the legal-tender acts were passed.—12Wallace540-1.

In the same case Bradley said:

Can the poor man's cattle, and horses, and corn be thus taken by the government, when the public exigency requires it, and cannot the rich man's bonds and notes be in like manner taken to reach the same end?—p.561.

He also said:

It is absolutely essential to independent national existence that government should have a firm hold on the two great instrumentalities of theswordand thepurse, and the right to wield them without restriction, on occasions of national peril. In certain emergencies government must have at its command,not only the personal services—the bodies and lives—of its citizens, but the lesser, though not less essential, power of absolute control over the resources of the country. Its armies must be filled, and its navies manned, by the citizens in person.—p.563.

Also he said:

The conscription may deprive me of liberty, and destroy my life.... All these are fundamental political conditions on which life, property, and money are respectively held and enjoyed under our system of government, nay, under any system of government.There are times when the exigencies of the State rightly absorb all subordinate considerations of private interest, convenience, and feeling.—p.565.

Such an attempt as this, to justify one crime, by taking for granted the justice of other and greater crimes, is a rather desperate mode of reasoning, for a court of law; to say nothing of a court of justice. The answer to it is, that no government, however good in other respects—any more than any other good institution—has any right to live otherwise than on purely voluntary support. It can have no right to take either "the poor man's cattle, and horses, and corn," or "the rich man's bonds and notes," or poor men's "bodies and lives," without their consent. And when a government resorts to such measures to save its life, we need no further proof that its time to die has come. A good government, no more than a bad one, has any right to live by robbery, murder, or any other crime.

But so think not the Justices of the Supreme Court of the United States. On the contrary, they hold that, in comparison with the preservation of the government, all the rights of the people to property, liberty, and life are worthless things, not to be regarded. So they hold that in such an exigency as they describe, congress had the right to commit any crime against private persons, by which the government could be saved. And among these lawful crimes, the court holds thatcongress had the right to issue money that should serve as a license to all holders of it, to cheat—or rather openly rob—their creditors.

The court might, with just as much reason, have said that, to preserve the life of the government, congress had the right to issue such money as would authorize all creditors to demand twice the amount of their honest dues from all debtors.

The court might, with just as much reason, have said that, to preserve the life of the government, congress had the right to sell indulgences for all manner of crimes; for theft, robbery, rape, murder, and all other crimes, for which indulgences would bring a price in the market.

Can any one imagine it possible that, if the government had always done nothing but that "equal and exact justice to all men"—which you say it is pledged to do,—but which you must know it has never done,—it could ever have been brought into any such peril of its life, as these judges describe? Could it ever have been necessitated to take either "the poor man's cattle, and horses, and corn," or "the rich man's bonds and notes," or poor men's "bodies and lives," without their consent? Could it ever have been necessitated to "conscript" the poor man—too poor to pay a ransom of three hundred dollars—made thus poor by the tyranny of the government itself—"deprive him of his liberty, and destroy his life"? Could it ever have been necessitated to sell indulgences for crime to either debtors, or creditors, or anybody else? To preserve "the constitution"—a constitution, I repeat, that authorized nothing but "equal and exact justice to all men"—could it ever have been necessitated to send into the field millions of ignorant young men, to cut the throats of other young men as ignorant as themselves—few of whom, on either side, had ever read the constitution, or had any real knowledge of its legal meaning; and not one of whom had ever signed it, or promised to support it, or was under the least obligation to support it?

It is, I think, perfectly safe to say, that not one in a thousand, probably not one in ten thousand, of these young men, who were sent out to butcher others, and be butchered themselves, had any real knowledge of the constitution they were professedly sent out to support; or any reasonable knowledge of the real character and motives of the congresses and courts that profess to administer the constitution. If they had possessed this knowledge, how many of them would have ever gone to the field?

But further. Is it really true that the right of the government to commit all these atrocities:

Are the fundamental political conditions on which life, property, and money are respectively held and enjoyed under our system of government?

If such is the real character of the constitution, can any further proof be required of the necessity that it be buried out of sight at once and forever? The truth was that the government was in peril,solely because it was not fit to exist.It, and the State governments—all but parts of one and the same system—were rotten with tyranny and crime. And being bound together by no honest tie, and existing for no honest purpose, destruction was the only honest doom to which any of them were entitled. And if we had spent the same money and blood to destroy them, that we did to preserve them, it would have been ten thousand times more creditable to our intelligence and character as a people.

Clearly the court has not strengthened its case at all by this picture of the peril in which the government was placed. It has only shown to what desperate straits a government, founded on usurpation and fraud, and devoted to robbery and oppression, may be brought, by the quarrels that are liable to arise between the different factions—that is, the different bands of robbers—of which it is composed. When such quarrels arise, it is not to be expected that either faction—having never had any regard to human rights, when acting in concert with the other—will hesitate at any new crimes that may be necessary to prolong its existence.

Here was a government that had never had any legitimate existence. It professedly rested all its authority on a certain paper called a constitution; a paper, I repeat, that nobody had ever signed, that few persons had ever read, that the great body of the people had never seen. This government had been imposed, by a few property holders, upon a people too poor, too scattered, and many of them too ignorant, to resist. It had been carried on, for some seventy years, by a mere cabal of irresponsible men, called lawmakers. In this cabal, the several local bands of robbers—the slaveholders of the South, the iron monopolists, the woollen monopolists, and the money monopolists, of the North—were represented. The whole purpose of its laws was to rob and enslave the many—both North and South—for the benefit of a few. But these robbers and tyrants quarreled—as lesser bands of robbers have done—over the division of their spoils. And hence the war. No such principle as justice to anybody—black or white—was the ruling motive on either side.

In this war, each faction—already steeped in crime—plunged into new, if not greater, crimes. In its desperation, it resolved to destroy men and money, without limit, and without mercy, for the preservation of its existence. The northern faction, having more men, money, and credit than the southern, survived the Kilkenny fight. Neither faction cared anything for human rights then, and neither of them has shown any regard for human rights since. "As a war measure," the northern faction found it necessary to put an end to the one great crime, from which the southern faction had drawn its wealth. But all other government crimes have been more rampant since the war, than they were before. Neither the conquerors, nor the conquered, have yet learned that no government can have any right to exist for any other purpose than the simple maintenance of justice between man and man.

And now, years after the fiendish butchery is over, and after men would seemto have had time to come to their senses, the Supreme Court of the United States, representing the victorious faction, comes forward with the declaration that one of the crimes—the violation of men's private contracts—resorted to by its faction, in the heat of conflict, as a means of preserving its power over the other, was not only justifiable and proper at the time,but that it is also a legitimate and constitutional power, to be exercised forever hereafter in time of peace!

Mark the knavery of these men. They first say that, because the government was in peril of its life, it had a right to license great crimes against private persons, if by so doing it could raise money for its own preservation. Next they say that,although the government is no longer in peril of its life, it may still go on forever licensing the same crimes as it was before necessitated to license!

They thus virtually say that the government may commit the same crimes in time of peace, that it is necessitated to do in time of war; and, that, consequently, it has the same right to "take the poor man's cattle, and horses, and corn," and "the rich man's bonds and notes," and poor men's "bodies and lives," in time of peace,when no necessity whatever can be alleged, as in time of war, when the government is in peril of its life.

In short, they virtually say, that this government exists for itself alone; and that all the natural rights of the people, to property, liberty, and life, are mere baubles, to be disposed of, at its pleasure, whether in time of peace, or in war.

As if to place beyond controversy the fact, that the court may forever hereafter be relied on to sanction every usurpation and crime that congress will ever dare to put into the form of a statute, without the slightest color of authority from the constitution, necessity, utility, justice, or reason, it has, on three separate occasions, announced its sanction of the monopoly of money, as finally established by congress in 1866, and continued in force ever since.

This monopoly is established by a prohibitory tax—a tax of ten per cent.—on all notes issued for circulation as money, other than the notes of the United States and the national banks.

This ten per cent. is called a "tax," but is really a penalty, and is intended as such, and as nothing else. Its whole purpose is—not to raise revenue—but solely to establish a monopoly of money, by prohibiting the issue of all notes intended for circulation as money, except those issued, or specially licensed, by the government itself.

This prohibition upon the issue of all notes, except those issued, or specially licensed, by the government, is a prohibition upon all freedom of industry and traffic. It is a prohibition upon the exercise of men's natural right to lend and hire such money capital as all men need to enable them to create and distributewealth, and supply their own wants, and provide for their own happiness. Its whole purpose is to reduce, as far as possible, the great body of the people to the condition of servants to a few—a condition but a single grade above that of chattel slavery—in which their labor, and the products of their labor, may be extorted from them at such prices only as the holders of the monopoly may choose to give.

This prohibitory tax—so-called—is therefore really a penalty imposed upon the exercise of men's natural right to create and distribute wealth, and provide for their own and each other's wants. And it is imposed solely for the purpose of establishing a practically omnipotent monopoly in the hands of a few.

Calling this penalty a "tax" is one of the dirty tricks, or rather downright lies—that of calling things by false names—to which congress and the courts resort, to hide their usurpations and crimes from the common eye.

Everybody—who believes in the government—says, of course, that congress has power to levy taxes; that it must do so to raise revenue for the support of the government. Therefore this lying congress call this penalty a "tax," instead of calling it by its true name, a penalty.

It certainly is no tax, because no revenue is raised, or intended to be raised, by it. It is not levied upon property, or persons, as such, but only upon a certain act, or upon persons for doing a certain act; an act that if not only perfectly innocent and lawful in itself, but that is naturally and intrinsically useful, and even indispensable for the prosperity and welfare of the whole people. Its whole object is simply to deter everybody—except those specially licensed—from performing this innocent, useful, and necessary act. And this it has succeeded in doing for the last twenty years; to the destruction of the rights, and the impoverishment and immeasurable injury of all the people, except the few holders of the monopoly.

If congress had passed an act, in this form, to wit:

No person, nor any association of persons, incorporated or unincorporated—unless specially licensed by congress—shall issue their promissory notes for circulation as money; and apenaltyof ten per cent. upon the amount of all such notes shall be imposed upon the persons issuing them,

the act would have been the same, in effect and intention, as is this act, that imposes what it calls a "tax." The penalty would have been understood by everybody as a punishment for issuing the notes; and would have been applied to, and enforced against, those only who should have issued them. And it is the same with this so-called tax. It will never be collected, except for the same cause, and under the same circumstances, as the penalty would have been. It has no more to do with raising a revenue, than the penalty would have had. And all these lying lawmakers and courts know it.

But if congress had put this prohibition distinctly in the form of apenalty, the usurpation would have been so barefaced—so destitute of all color of constitutionalauthority—that congress dared not risk the consequences. And possibly the court might not have dared to sanction it; if, indeed, there be any crime or usurpation which the court dare not sanction. So these knavish lawmakers called this penalty a "tax"; and the court says that such a "tax" is clearly constitutional. And the monopoly has now been established for twenty years. And substantially all the industrial and financial troubles of that period have been the natural consequences of the monopoly.

If congress had laid a prohibitory tax upon all food—that is, had imposed a penalty upon the production and sale of all food—except such as it should have itself produced, or specially licensed; and should have reduced the amount of food, thus produced or licensed, to one tenth, twentieth, or fiftieth of what was really needed; the motive and the crime would have been the same, in character, if not in degree, as they are in this case,viz., to enable the few holders of the licensed food to extort, from everybody else, by the fear of starvation, all their (the latter's) earnings and property, in exchange for this small quantity of privileged food.

Such a monopoly of food would have been no clearer violation of men's natural rights, than is the present monopoly of money. And yet this colossal crime—like every other crime that congress chooses to commit—is sanctioned by its servile, rotten, and stinking court.

On whatconstitutionalgrounds—that is, on what provisions found in the constitution itself—does the court profess to give its sanction to such a crime?

On these three only:

1. On the power of congress to lay and collect taxes, etc.

2. On the power of congress to coin money.

3. On the power of congress to borrow money.

Out of these simple, and apparently harmless provisions, the court manufactures an authority to grant, to a few persons, a monopoly that is practically omnipotent over all the industry and traffic of the country; that is fatal to all other men's natural right to lend and hire capital for any or all their legitimate industries; and fatal absolutely to all their natural right to buy, sell, and exchange any, or all, the products of their labor at their true, just, and natural prices.

Let us look at these constitutional provisions, and see how much authority congress can really draw from them.

1. The constitution says:

The congress shall have power to lay and collect taxes, duties, imposts, and excises,to pay the debts, and provide for the common defence and general welfare of the United States.

This provision plainly authorizes no taxation whatever, except for the raising of revenue to pay the debts and legitimate expenses of the government. It no more authorizes taxation for the purpose of establishing monopolies of any kind whatever, than it does for taking openly and boldly all the property of the many,and giving it outright to a few. And none but a congress of usurpers, robbers, and swindlers would ever think of using it for that purpose.

The court says,in effect, that this provision gives congress power to establish the present monopoly of money; that the power to tax all other money, is a power to prohibit all other money; and a power to prohibit all other money is a power to give the present money a monopoly.

How much is such an argument worth? Let us show by a parallel case, as follows.

Congress has the same power to tax all other property, that it has to tax money. And if the power to tax money is a power to prohibit money, then it follows that the power of congress to tax all other property than money, is a power to prohibit all other property than money; and a power to prohibit all other property than money, is a power to give monopolies to all such other property as congress may not choose to prohibit; or may choose to specially license.

On such reasoning as this, it would follow that the power of congress to tax money, and all other property, is a power to prohibit all money, and all other property; and thus to establish monopolies in favor of all such money, and all such other property, as it chooses not to prohibit; or chooses to specially license.

Thus, this reasoning would give congress power to establish all the monopolies, it may choose to establish, not only in money, but in agriculture, manufactures, and commerce; and protect these monopolies against infringement, by imposing prohibitory taxes upon all money and other property, except such as it should choose not to prohibit; or should choose to specially license.

Because the constitution says that "congress shall have power to lay and collect taxes," etc., to raise the revenue necessary for paying the current expenses of the government, the court say that congress have power to levy prohibitory taxes—taxes that shall yield no revenue at all—but shall operate only as a penalty upon all industries and traffic, and upon the use of all the means of industry and traffic, that shall compete with such monopolies as congress shall choose to grant.

This is no more than an unvarnished statement of the argument, by which the court attempts to justify a prohibitory "tax" upon money; for the same reasoning would justify the levying of a prohibitory tax—that is, penalty—upon the use of any and all other means of industry and traffic, by which any other monopolies, granted by congress, might be infringed.

There is plainly no more connection between the "power to lay and collect taxes," etc., for the necessary expenses of the government, and the power to establish this monopoly of money, than there is between such a power of taxation, and a power to punish, as a crime, any or all industry and traffic whatsoever, except such as the government may specially license.

This whole cheat lies in the use of the word "tax," to describe what is really a penalty, upon the exercise of any or all men's natural rights of providing for their subsistence and well-being. And none but corrupt and rotten congresses and courts would ever think of practising such a cheat.

2. The second provision of the constitution, relied on by the court to justify the monopoly of money, is this:

The congress shall have power to coin money, regulate the value thereof, and of foreign coins.

The only important part of this provision is that which says that "the congress shall have power to coin money, [and] regulate the value thereof."

That part about regulating the value of foreign coins—if any one can tell how congress can regulate it—is of no appreciable importance to anybody; for the coins will circulate, or not, as men may, or may not, choose to buy and sell them as money, and at such value as they will bear in free and open market,—that is, in competition with all other coins, and all other money. This is their only true and natural market value; and there is no occasion for congress to do anything in regard to them.

The only thing, therefore, that we need to look at, is simply the power of congress "to coin money."

So far as congress itself is authorized to coin money, this is simply a power to weigh and assay metals,—gold, silver, or any other,—stamp upon them marks indicating their weight and fineness, and then sell them to whomsoever may choose to buy them; and let them go in the market for whatever they may chance to bring, in competition with all other money that may chance to be offered there.

It is no power to impose any restrictions whatever upon any or all other honest money, that may be offered in the market, and bought and sold in competition with the coins weighed and assayed by the government.

The power itself is a frivolous one, of little or no utility; for the weighing and assaying of metals is a thing so easily done, and can be done by so many different persons, that there is certainly nonecessityfor its being done at all by a government. And it would undoubtedly have been far better if all coins—whether coined by governments or individuals—had all been made into pieces bearing simply the names of pounds, ounces, pennyweights, etc., and containing just the amounts of pure metal described by those weights. The coins would then have been regarded as only so much metal; and as having only the same value as the same amount of metal in any other form. Men would then have known exactly how much of certain metals they were buying, selling, and promising to pay. And all the jugglery, cheating, and robbery that governments have practised, and licensed individuals to practise—by coining pieces bearing the same names, but having different amounts of metal—would have been avoided.

And all excuses for establishing monopolies of money, by prohibiting all other money than the coins, would also have been avoided.

As it is, the constitution imposes no prohibition upon the coining of money by individuals, but only by State governments. Individuals are left perfectly free tocoin it, except that they must not "counterfeitthe securities and current coin of the United States."

For quite a number of years after the discovery of gold in California—that is, until the establishment of a government mint there—a large part of the gold that was taken out of the earth, was coined by private persons and companies; and this coinage was perfectly legal. And I do not remember to have ever heard any complaint, or accusation, that it was not honest and reliable.

The true and only value, which the coins have as money, is that value which they have as metals, for uses in the arts,—that is, for plate, watches, jewelry, and the like. This value they will retain, whether they circulate as money, or not. At this value, they are so utterly inadequate to serve asbona fideequivalents for such other property as is to be bought and sold for money; and, after being minted, are so quickly taken out of circulation, and worked up into articles of use—plate, watches, jewelry, etc.—that they are practically of almost no importance at all as money.

But they can be so easily and cheaply carried from one part of the world to another, that they have substantially the same market value all over the world. They are also, in but a small degree, liable to great or sudden changes in value. For these reasons, they serve well as standards—are perhaps the best standards we can have—by which to measure the value of all other money, as well as other property. But to give them any monopoly as money, is to deny the natural right of all men to make their own contracts, and buy and sell, borrow and lend, give and receive, all such money as the parties to bargains may mutually agree upon; and also to license the few holders of the coins to rob all other men in the prices of the latter's labor and property.

3. The third provision of the constitution, on which the court relies to justify the monopoly of money, is this:

The congress shall have power to borrow money.

Can any one see any connection between the power of congress "to borrow money," and its power to establish a monopoly of money?

Certainly no such connection is visible to the legal eye. But it is distinctly visible to the political and financial eye; that is, to that class of men, for whom governments exist, and who own congresses and courts, and set in motion armies and navies, whenever they can promote their own interests by doing so.

To a government, whose usurpations and crimes have brought it to the verge of destruction, these men say:

Make bonds bearing six per cent. interest; sell them to us at half their face value; then give us a monopoly of money based upon these bonds—such a monopoly as will subject the great body of the people to a dependence upon us for the necessaries of life, and compel them to sell their labor and property to us at our own prices; then, under pretence of raisingrevenue to pay the interest and principal of the bonds, impose such a tariff upon imported commodities as will enable us to get fifty per cent. more for our own goods than they are worth; in short, pledge to us all the power of the government to extort for us, in the future, everything that can be extorted from the producers of wealth, and we will lend you all the money you need to maintain your power.

And the government has no alternative but to comply with this infamous proposal, or give up its infamous life.

This is the only real connection there is between the power of congress "to borrow money," and its power to establish a monopoly of money. It was only by an outright sale of the rights of the whole people, for a long series of years, that the government could raise the money necessary to continue its villainous existence.

Congress had just as much constitutional power "to borrow money," by the sale of any and all the other natural rights of the people at large, as it had "to borrow money" by the sale of the people's natural rights to lend and hire money.

When the Supreme Court of the United States—assuming to be an oracle, empowered to define authoritatively the legal rights of every human being in the country—declares that congress has a constitutional power to prohibit the use of all that immense mass of money capital, in the shape of promissory notes, which the real property of the country is capable of supplying and sustaining, and which is sufficient to give to every laboring person, man or woman, the means of independence and wealth—when that court says that congress has power to prohibit the use of all this money capital, and grant to a few men a monopoly of money that shall condemn the great body of wealth-producers to hopeless poverty, dependence, and servitude—and when the court has the audacity to make these declarations on such nakedly false and senseless grounds as those that have now been stated, it is clearly time for the people of this country to inquire what constitutions and governments are good for, and whether they (the people) have any natural right, as human beings, to live for themselves, or only for a few conspirators, swindlers, usurpers, robbers, and tyrants, who employ lawmakers, judges, etc., to do their villainous work upon their fellow-men.

The court gave their sanction to the monopoly of money in these three separate cases,viz.:Veazie Bank vs. Fenno, 8Wallace, 549 (1869).National Bank vs. United States, 101U. S. Reports, 5and6 (1879).Juilliard vs. Greenman, 110U. S. Reports445-6 (1884).

If anything could add to the disgust and detestation which the monstrous falsifications of the constitution, already described, should excite towards the court that resorts to them, it would be the fact that the court, not content with falsifying to the utmost the constitution itself,goes outside of the constitution, to the tyrannicalpractices of what itcalls the "sovereign" governments of "other civilized nations," to justify the same practices by our own.

It asserts, over and over again, the idea that our government is a "sovereign" government; that it has the same rights of "sovereignty," as the governments of "other civilized nations"; especially those in Europe.

What, then, is a "sovereign" government? It is a government that is "sovereign" over all the natural rights of the people. This is the only "sovereignty" that any government can be said to have. Under it, the people have norights. They are simply "subjects,"—that is, slaves. They have but one law, and one duty,viz., obedience, submission. They are not recognized as having anyrights. They can claim nothing as their own. They can only accept what the government chooses to give them. The government owns them and their property; and disposes of them and their property, at its pleasure, or discretion; without regard to any consent, or dissent, on their part.

Such was the "sovereignty" claimed and exercised by the governments of those, so-called, "civilized nations of Europe," that were in power in 1787, 1788, and 1789, when our constitution was framed and adopted, and the government put in operation under it. And the court now says, virtually, that the constitution intended to give to our government the same "sovereignty" over the natural rights of the people, that those governments had then.

But how did the "civilized governments of Europe" become possessed of such "sovereignty"? Had the people ever granted it to them? Not at all. The governments spurned the idea that they were dependent on the will or consent of their people for their political power. On the contrary, they claimed to have derived it from the only source, from which such "sovereignty" could have been derived; that is, from God Himself.

In 1787, 1788, and 1789, all the great governments of Europe, except England, claimed to exist by what was called "Divine Right." That is, they claimed to have received authority from God Himself, to rule over their people. And they taught, and a servile and corrupt priesthood taught, that it was a religious duty of the people to obey them. And they kept great standing armies, and hordes of pimps, spies, and ruffians, to keep the people in subjection.

And when, soon afterwards, the revolutionists of France dethroned the king then existing—the Legitimist king, so-called—and asserted the right of the people to choose their own government, these other governments carried on a twenty years' war against her, to reëstablish the principle of "sovereignty" by "Divine Right." And in this war, the government of England, although not itself claiming to exist by Divine Right,—but really existing by brute force,—furnished men and money without limit, to reëstablish that principle in France, and to maintain it wherever else, in Europe, it was endangered by the idea of popular rights.

The principle, then, of "Sovereignty by Divine Right"—sustained by brute force—was the principle on which the governments of Europe then rested; and most of them rest on that principle today. And now the Supreme Court of the United States virtually says that our constitution intended to give to our government the same "sovereignty"—the same absolutism—the same supremacy over all the natural rights of the people—as was claimed and exercised by those "Divine Right" governments of Europe, a hundred years ago!

That I may not be suspected of misrepresenting these men, I give some of their own words as follows:

It is not doubted that the power to establish a standard of value, by which all other values may be measured, or, in other words, to determine what shall be lawful money and a legal tender, is in its nature, and of necessity, a governmental power.It is in all countries exercised by the government.—Hepburn vs. Griswold, 8 Wallace 615.

The court call a power,

To make treasury notes a legal tender for the payment ofalldebts [private as well as public]a power confessedly possessed by every independent sovereignty other than the United States.—Legal Tender Cases, 12 Wallace, p. 529.

Also, in the same case, it speaks of:

That general power over the currency,which has always been an acknowledged attribute of sovereignty in every other civilized nation than our own.—p. 545.

In this same case, by way of asserting the power of congress to do any dishonest thing that any so-called "sovereign government" ever did, the court say:

Has any one, in good faith, avowed his belief that even a law debasing the current coin, by increasing the alloy [and then making these debased coins a legal tender in payment of debts previously contracted], would be taking private property? It might be impolitic, and unjust, but could its constitutionality be doubted?—p. 552.

In the same case, Bradley said:

As a government, it [the government of the United States] was invested withall the attributes of sovereignty.—p. 555.

Also he said:

Such being the character of the General Government, it seems to be a self-evident propositionthat it is invested with all those inherent and implied powers, which, at the time of adopting the constitution, were generally considered to belong to every government, as such, and as being essential to the exercise of its functions.—p. 556.

Also he said:

Another proposition equally clear is,that at the time the constitution was adopted, it was,and for a long time had been, the practice of most, if not all, civilized governments, to employ the public credit as a means of anticipating the national revenues for the purpose of enabling them to exercise their governmental functions.—p. 556.

Also he said:

It is our duty to construe the instrument [the constitution] by its words,in the light of history, of the general nature of government, and the incidents of sovereignty.—p. 55.

Also he said:

The government simply demands that its credit shall be accepted and received by public and private creditors during the pending exigency.Every government has a right to demand this, when its existence is at stake.—p. 560.

Also he said:

These views are exhibited ... for the purpose of showing that it [the power to make its notes a legal tender in payment of private debts]is one of those vital and essential powers inhering in every national sovereignty, and necessary to its self-preservation.—p. 564.

In still another legal tender case, the court said:

The people of the United States, by the constitution, established a national government,with sovereign powers, legislative, executive, and judicial.—Juilliard vs. Greenman, 110 U. S. Reports, p. 438.

Also it calls the constitution:

A constitution, establishing a form of government, declaring fundamental principles,and creating a national sovereignty, intended to endure for ages.—p. 439.

Also the court speaks of the government of the United States:

As a sovereign government.—p. 446.

Also it said:

It appears to us to follow, as a logical and necessary consequence, that congress has the power to issue the obligations of the United States in such form, and to impress upon them such qualities as currency, for the purchase of merchandise and the payment of debts,as accord with the usage of other sovereign governments. The power, as incident to the power of borrowing money, and issuing bills or notes of the government for money borrowed, of impressing upon those bills or notes the quality of being a legal tender for the payment of private debts,was a power universally understood to belong to sovereignty, in Europe and America, at the time of the framing and adoption of the constitution of the United States. The governments of Europe, acting through the monarch, or the legislature, according to the distribution of powersunder their respective constitutions, had, and have, assovereigna power of issuing paper money as of stamping coin. This power has been distinctly recognized in an important modern case, ably argued and fully considered, in which the Emperor of Austria, as King of Hungary, obtained from the English Court of Chancery an injunctionagainst the issue, in England, without his license, of notes purporting to be public paper money of Hungary.—p. 447.

Also it speaks of:

Congress, as the legislature of asovereignnation.—p. 449.

Also it said:

The power to make the notes of the government a legal tender in payment of private debts,being one of the powers belonging to sovereignty in other civilized nations, ... we are irresistibly impelled to the conclusion that the impressing upon the treasury notes of the United States the quality of being a legal tender in payment of private debts, is an appropriate means, conducive and plainly adapted to the execution of the undoubted powers of congress, consistent with the letter and spirit of the constitution, etc.——p.450.

On reading these astonishing ideas about "sovereignty"—"sovereignty" over all the natural rights of mankind—"sovereignty," as it prevailed in Europe "at the time of the framing and adoption of the constitution of the United States"—we are compelled to see that these judges obtained their constitutional law, not from the constitution itself, but from the example of the "Divine Right" governments existing in Europe a hundred years ago. These judges seem never to have heard of the American Revolution, or the French Revolution, or even of the English Revolutions of the seventeenth century—revolutions fought and accomplished to overthrow these very ideas of "sovereignty," which these judges now proclaim, as the supreme law of this country. They seem never to have heard of the Declaration of Independence, nor of any other declaration of the natural rights of human beings. To their minds, "the sovereignty of governments" is everything; human rights nothing. They apparently cannot conceive of such a thing as a people's establishing a government as a means of preserving their personal liberty and rights. They can only see what fearful calamities "sovereign governments" would be liable to, if they could not compel their "subjects"—the people—to support them against their will, and at every cost of their property, liberty, and lives. They are utterly blind to the fact, that it is this very assumption of "sovereignty" over all the natural rights of men, that brings governments into all their difficulties, and all their perils. They do not see that it is this very assumption of "sovereignty" over all men's natural rights, that makes it necessary for the "Divine Right" governments of Europe to maintain not only great standing armies, but also a vile purchased priesthood, that shall impose upon, and help to crush, the ignorant and superstitious people.

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