MARCH 13, 1832.] Bank of the United States. [SENATE. the note, it is an admission that he has effects of the payee in his hands, and authorizes him to draw his order on the note for the amount; and the endorsement by the payee is no more than such order. swindle the people by circulating what they know not to drawn by one authorized agent or another of the bank, be binding on the bank? Being satisfied that the law re- are nothing more nor less than bills drawn by the corpogarding bills of exchange governs this anonymous cur-ration on itself, in which they are drawer, endorser, and rency, as he has been pleased to call it, he applies what accepter, and are therefore as much bound to pay them he calls tests of transfer and negotiability; and, sir, I con- as they are any promissory note or bank bill they ever fess they are such as I never understood, and such, I issued--as much as would be an individual who would presume to say, he will not find in any approved legal draw a bill on himself, and endorse it to bearer. Thus made authority of the present age. He insists that the drafts negotiable, in such a case, would it not be superlabeing payable to order, they cannot be transferable, but tively ridiculous to require the holder to make presentaby special endorsement to order, and that every subse- tion to the drawer, and, if not accepted or paid, protest quent transfer must be by like endorsement. 2d. He fur- the bill for non-payment or non-acceptance, and notify the ther contends that they are payable to a fictitious payee, party that he did not accept or pay his own note? The and therefore must be specially endorsed to order. maker of a note payable to the order of another, is bound Mr. President, I must be permitted to express my sur-to pay it to the endorser or holder, because, by making prise that, in this body, a Senator, professing a knowledge of the law of the land, should undertake to enlighten this body, and the nation, on a question so important to her interest, with no better recollection of the principles applicable to the subject, and that, too, in open and avowed This instrument, which before could not be assigned, opposition to a decision made by one of the judges of the or sued on, is placed, after endorsement, upon the footSupreme Court of the United States. Sir, who has dis- ing of a bill of exchange. The endorser of a note is viewplayed the greatest legal knowledge on the subject of ed as the drawer of a bill, of which the drawer of the note these orders, the judge who sustained them, or the hon- is accepter, by virtue of his previous promise to pay the orable Senator who opposes them? This question let amount when the order shall be made. The resolution of the nation answer. Had the honorable Senator consulted the board of directors, authorizing the emission of the bills approved treatises on bills of exchange, checks, and pro- in question, amounts, in law, to a promise to pay all such missory notes, he would have found that most of his doc-bills as their agents, the presidents of the branches, shall trines on the subject of the transfer of bills are at war draw on their agent, the cashier of the parent bank; and with established legal principles. These principles are their obligation to pay them is the same as if they had made familiar to most who hear me, and the experience of many and issued promissory notes, payable to the order of the present will attest the correctness of what I state to be presidents of the branches. A promissory note is spethe well-settled law of the land. A note, or bill, payable cial authority to the payee to avow for the amount specito order, may be endorsed to bearer, and thereby becomes fied. The resolution before alluded to is a general aunegotiable by delivery, without the necessity of any fur- thority to draw a number of bills. This is all the differther endorsement by subsequent holders, the same as if ence in fact, and the legal effect is the same in both cases. it had been made payable to bearer; nor would the fact But it is said there is no promise, on the part of the that the name of payee is fictitious, (if such was true,) re- bank, to pay these bills: nor was there ever a bill, draft, quire a special endorsement. On the contrary, such a bill or order, in which any of the parties made an express requires no endorsement at all, but is, in effect, payable promise, to pay; and this the honorable Senator certainly to bearer, and may be declared on as such against all par- knows; and this objection can have no other effect than to ties having such notice of fiction. But as the clerks of mislead the credulous and uninformed, and to do great the bank, who are the payees and endorsers of these mischief throughout the country-not, sir, to the bank, drafts or orders, are not fictitious, there can be no diffi- but to the holders of this paper, who have honestly earned culty on this point. it: and this I proclaim to my constituents, and admonish 66 It is admitted that these orders, or checks, are issued them to beware of the consequences of this absurdity. under the authority of a resolution of the board of direc- Sir, the true doctrine is this: the drawer requires the tors of the Bank of the United States, to whom is commit- drawee to pay to the payee, or order, a sum of money; the ted the management of the affairs of that institution. It payee directs it to be paid to some other person, or to will not be denied, I presume, that the presidents and bearer generally, and the accepter writes on the instru cashiers of the branches, by whom they are signed and ment, accepted." Now, in all this proceeding, there countersigned, the payees and endorsers, and the cashier is not a word about promise. The law, though regarding on whom they are drawn, are, all of them, the legally the substance and not the form of things, declares that all constituted agents and officers of the corporation. Nor those persons have made a promise, and shall be compelis it contended that the bank cannot draw, endorse, and led to perform it. Another objection is, that these bills accept a bill of exchange, or draft, within the scope of being once taken up, or paid, cannot afterwards be retheir authority, and in their official character, for which issued so as to bind the bank. Very well: and is not this they are not individually liable. Wherefore, then, all this law alike applicable to the promissory notes with which onerous ceremony of presentation, protest, and notice--the Senator seems so in love? It is true, sir, that when a of non-acceptance and non-payment, as described by the bill or note is paid off, it cannot afterwards be negotiated Senator, if, after all, those persons are not individually so as to bind any of the parties to it who do not assent to liable for their official acts? But although they are not the reissue; but it is equally true that all concerned in individually liable for their official acts, the bank is; be- putting such bill in circulation are bound by it. The cause it is the act of the bank, being done by the autho-principles of law are equally applicable to notes as to bills rity of the bank. For an authority to an agent to draw of exchange, here; but, in England, there are exceptions a bill on his principal is the act of the principal, and is, in favor of promissory notes, by statute, which regulate of itself, an acceptance, at the instant of creating the what notes shall be reissuable; so that if the argument is draft; and as the acceptance is irrevocable, without the good against these bills, it is equally fatal to the reissue consent of the holder, it follows that an accepted bill, of the Senator's much preferred promissory notes. draft, check, or order, is as obligatory as a promissory sir, all these obstacles only exist in the overstrained imaginote, and, at common law, has higher privileges; for nation of my honorable friend. The supposed obstacles promissory notes were not negotiable, and did not im- to a reissue of bills and notes never have existed, to my But if we were port a consideration, until they were placed on a footing knowledge, in reference to bank bills. But, with bills of exchange by statute. These bills being to apply to the bills under consideration all the rules ap SENATE.] men. plicable to bills of exchange, with the most consummate rights which all American citizens have to connect themstrictness, still they would be reissuable. The corpora selves together as a private banking company, and, as tion, as has been shown, is the only party to them in their such, to do any thing, not against the law of the land; creation, and alone is concerned in their reissue, and, and, as such, they had a right to issue the bills in quesupon the principle referred to, is as much bound to pay tion, and to issue bills of any size, and for any amount. them, as upon their first emission. The bank, in con- But the charter, among many other things, restricted the templation of law, has promised to pay those bills, both issue of notes to the minimum sum of five dollars, but did as drawer and accepter, and has put them into circula- not restrict the issue of these checks. In short, the bank, tion, and is bound to pay them upon every principle of by fair legal right, may do all things as bankers, which law, unless there exists a prohibition in the charter to issue are not restricted by the charter. The ninth and twelfth them, and disqualifies the bank from making such con- articles have been examined, with great particularity, by tract. I say disqualifies, because one incompetent to con- the Senator, to prove that the power to issue these orders tract cannot be bound by a supposed contract, or one does not reside there. Here, he is manifestly wrong. attempted to be made. Disqualification renders the con- He considers these as grants of power. They are not tract absolutely void; and is this, sir, the doctrine the such. The ninth, instead of conferring power, is entirely honorable Senator wishes to establish? and if it were a limitation of power, and restricts the natural and original established, against whom would it militate? Against the rights of private citizens to deal, or trade, in any manner bank? No sir; the bank has put oceans of this paper into they may deem best. No one, in his right senses, who circulation--has received great profit by it; and this paper once understood legal principles, for a moment ever supis in the hands of the people-and there, sir, would this posed that, under this clause, the bank derived its power doctrine sink it, to the utter ruin of hundreds of honest to deal or trade in bills of exchange, gold and silver bulOr, suppose the doctrine erroneous, as I most con- lion, or merchandise. The clause was intended to rescientiously believe it to be, yet, sir, if by this course the strain the exercise of the power to deal, which, in its currency is disparaged, the people will be the losers by absence, would have extended to other things, and other it, and the bank will certainly gain. Men who have taken purposes, than those named. Does any one believe that this paper at par will be obliged to sell it at a discount--to deal or trade in bills of exchange means to make and and who, sir, will buy it up? Why the bank, by her agents, issue, or accept them? or does any one believe, to trade will do it; and, sir, no part of this Union will share this or deal in merchandise means to manufacture and sell it? loss equally with the Western country, where most of It is conceded, sir, that, under the ninth fundamental artithis kind of bills circulate. I call on members of this body cle, the bank does not derive a power to issue paper seto pause, and examine the subject. I invoke the people, curities of any kind. Where does it get it, then? Sir, my constituents, to examine for themselves, before they the right is derived from a higher authority than the staswallow the fatal drug. Sir, the Western people are tute of incorporation; it is founded in the genius of freeprosperous, happy, and content. They want no change dom which every American citizen possesses, and which in the currency or revenue of the country. Take not can only be taken away by his own consent, expressly from us the means of improving the internal condition of given. Then, sir, how far have those intuitive and sacred the country, and it is all we desire. This, sir, we need, rights been surrendered, under the provisions of the charand have a right to demand, and ought to receive; and ter which the bank has accepted? As far as they are surthis, sir, we never will surrender. Mr. President, I have rendered, the bank does not possess them, but no further. said thus much to show that, by the common law, or law It is said that the twelfth fundamental article enumerates merchant, the bank had a right to issue these bills, and and defines the different species of paper securities which are bound to pay them. How far I have succeeded, I this corporation may issue, and contains a grant of power; leave for others to judge. I will now proceed to examine and it is insisted that bills obligatory under the corporate the prohibition said to exist in the charter; and, first, I will seal, and bills or notes signed by the president and countake occasion now to say that I do not admit that a cor- tersigned by the cashier, are all the paper securities the poration has no other power than that expressed in the bank can issue. But it will be seen that no power whatact of incorporation. I maintain that a power neccssa- ever to issue any paper security is given by that article. But rily incidental to what is given by the letter is as fully suppose the position of my friend to be true, and what is granted as if described by words, and is a part of the the result? Why, sir, that we have a bank which cannot power specifically granted. This doctrine is fully established by the decision of the Supreme Court of the United States, in an action against the Bank of Columbia, on a contract made by a committee of directors for building a banking house. And the doctrine established by that decision has since been fully recognised as the undoubted law of the land by the supreme court of New York, and in other States of this Union. So far, then, from the bank But, sir, as he denies that the bank has any power spehaving no power but what is given by the letter of the cifically granted, and that all paper securities not authorizcharter, it has full power, by its authorized agents, to ed by the twelfth article are forbidden, may I ask him make all contracts within the legitimate scope of its bank- whence he derives the power to make, accept, or issue ing duties, except such as are forbidden by the terms of bills of exchange at all? The term bills in the twelfth arits charter. Now, let us see what are forbidden. We ticle cannot mean bills of exchange, as he sometimes apare informed by my colleague, that all the chartered pears to conjecture; for, sir, to enact that a bill of exchange, powers are contained in the eleventh section of the act of payable to order, shall be assignable by endorsement, in incorporation, and that the institution has no other rights like manner and with like effect as bills of exchange, than chartered rights. Here, sir, I must state my entire would certainly be entirely useless, not to use a plainer dissent to this position. There is not a single right word. Besides, he denies any paper securities issued granted to the bank in any one of the seventeen articles by the bank to be valid, unless they are signed by the precontained in that section. They are all what they purport sident, and countersigned by the cashier of the bank. So to be-rules, restrictions, limitations, and provisions. Re- that no bill of exchange could be made at any other place strictions, limitations, &c. are-what, sir? Will the Sena- than Philadelphia; so that neither the Government or any tor say, the chartered privileges of the bank? I presume individual could obtain a transfer of funds but by a transBut they are limitations, &c. on the original natural portation of specie. Checks, orders, drafts, certificates not. transact the appropriate business of banking, or accomplish any of the purposes of its institution-that can neither transfer the public funds, nor furnish the community with the ordinary facilities of commercial exchange. But the honorable Senator attempts to escape this difficulty, by admitting that the bank may make and accept bills of exchange, but not to be circulated as a currency. MARCH 14, 1832.] Apportionment Bill. [SENATE. of deposites, and bills of exchange, are alike excluded by tion was understood by the framers of the charter to be his view. So that the most beneficial objects contemplat-authorized to make contracts other than bills obligatory ed in the establishment of the bank, will be defeated under and promissory notes; and, as there is no restriction as to his view of its powers. the form or the amount of these contracts, it follows that By the common law, bills obligatory were not assigna- the bank has all power to make any contract which indivible, nor could the assignee recover in his own name. The duals might make, and with like effect, with no other limisame difficulty in relation to promissory notes existed. They tation than that it shall be within the scope of the legitiwere not negotiable or assignable, so as to enable the as mate purposes of the institution, (as checks, drafts, orders, signee to recover on them in his own name, nor could the bills of exchange, certainly are;) that no contract in the payee recover on them himself, without averring and prov- form of a bill obligatory, shall be made for a less sum than ing the consideration for which they were given. This five thousand dollars, and no promissory note shall be difficulty in England, as to promissory notes, was obviated made on demand for less than five dollars, nor a credit for by the statute of Anne, which made them assignable by a less sum than one hundred dollars, on a longer time than endorsement, and placed them on a footing with bills of sixty days; so that, instead of bills obligatory under seal, exchange, the validity and negotiability of which had been and bills or notes signed by the president and countersignestablished at common law. Most of the States, it is true, ed by the cashier, being the only paper security which have made sealed instruments assignable, and have adopt the corporation of the bank can issue, they are the only ed in some form the substance of the statute of Anne in form of contract in which there are any limitations or rerelation to promissory notes; but because their laws do not strictions imposed on the power of the corporation. Anogenerally apply to contracts of corporations, we see the ther set of tests has been resorted to by the Senator to twelfth article in this charter incorporated in almost every show that the paper securities in question are not within bank charter, and clearly operates as an enabling power to the scope of the legitimate purposes of the corporation. payers of bills obligatory and promissory notes, by ena- The first is, that they are not signed by the president and bling them to assign, and the assignees to recover. It de- countersigned by the cashier of the parent bank, but are clares the effect of the contract when made and assigned, therefore not authorized by the twelfth fundamental artibut does not give power to make it. As far as the bank cle. Sir, it is sufficient that they are not prohibited by is affected by the twelfth article, its power is restrained. that of any other article, and that they are signed by the The prohibition to make bills obligatory of less amount authorized agents of the corporation. than five thousand dollars, or to make notes not payable Mr. President, I have now done. I beg pardon for havon demand for a sum less than one hundred dollars, ing so long trespassed on the patience of the Senate, with or a longer credit than sixty days, certainly cannot be con- an argument entirely accidental, and the introduction of strued as a power to make those paper securities. The which I did think uncalled for; but, sir, it was introduced result then is, that bills obligatory and promissory notes not by me-but after it was, I believed it my duty to give are nowhere specifically authorized, and must take the fate my views. I have done so as concisely as possible. I of orders, drafts, checks, and bills of exchange; all of shall not trouble the Senate with any remarks on the which depend upon the same grant of power or original alum salt part of the honorable Senator's argument, nor right, and they are all within the principle decided by the with any particular reasons for my vote in favor of the reSupreme Court, which is the approved law of the land, as solution under consideration. I believe it to be my duty before alluded to. The most that can be said of the twelfth to acquire all the information in my power to enable me article, is, that, by the limitation imposed on the general to discharge my duty to my constituents and my country, right and power to make bills obligatory and promissory and for that reason will vote for the resolution, and take notes, the original power to do so is admitted. There is a book. no specific grant of power to make loans, or take paper After a few words from Mr. FORSYTH, in opposition securities, directly or by transfer; but the tenth funda- to the resolution, and from Mr. KANE and Mr. FOOT in mental article imposes a limitation on the power to do so, its support, the resolution was agreed to by yeas and nays, and consequently recognises its existence. The charter as follows: does not by its letter authorize the corporation to deal or YEAS.-Messrs. Bell, Benton, Bibb, Buckner, Chamtrade in bills of exchange, gold or silver bullion, or in the bers, Clay, Clayton, Dallas, Dudley, Ewing, Foot, Fresale of goods; but the ninth article limits and thus recog-linghuysen, Holmes, Johnston, Kane, Knight, Miller, nises the existence of a general power and authority, Naudain, Poindexter, Prentiss, Robbins, Robinson, Rugthough nowhere granted in words. There is nowhere a gles, Seymour, Silsbee, Smith, Tomlinson, Webster, Wilspecific power to contract debts, or issue paper securities; kins.--29. but the eighth article limits the amount which the corporation may owe, whether by bond, bill, note, or other contract. Here is a clear expression of the opinion of Congress, that without this limitation the bank might have contracted debts to any amount, by bond, bill, note, or any other species of contract. Sir, it is a clear recognition of a general power to contract, in any form, and to any extent, not expressly forbidden. It is worse than idle to say, sir, that the eighth, ninth, tenth, or twelfth articles confer any power whatever. They are all, as far as the bank is concerned, limitations and restrictions of power existing independently of them. Sir, it would be the most unpardonable legislative folly to limit and restrict the loans, trade, dealings, and contracts of the bank, if, without those limitations and restrictions, the bank could neither make loans, trade, deal, or make contracts. NAYS.-Messrs. Brown, Dickerson, Ellis, Forsyth, WEDNESDAY, MARCH 14. Mr. WEBSTER rose, and remarked, that he did not wish to protract the opposition to the bill beyond reasonable bounds, and he confessed that there were circumstances discouraging to a protracted opposition; but, viewing the bill as unjust and oppressive in its operation upon the smaller States, he should not feel his duty, in relation to the The eighth article recognises the power to contract subject, to be discharged, until he had fully shown what he debts by bill, bond, or other contract, without limitation, proposed, as well as what he opposed. He then moved except as to amount; and even in case of excess, the con-that the bill be recommitted, with instructions. This motract is not declared void, but the directors are made liable tion, he was aware, was susceptible of division: and if it as well as the bank. It appears, then, that this corpora- should be wished to take the question first on the recom mitment, he would modify his motion to one simply to recommit the bill to a new select committee, instead of the select committee from which the bill was reported. [MARCH 15, 1832. strance, representing the impolitic, unwise, and unjust course pursued in relation to the tariff; they have looked forward to the period, which has now arrived, when the national debt is about to be extinct, as the most favorable era in our history, as one which could not fail to afford relief from a system so galling, ruinous, and destructive; and The VICE PRESIDENT said the motion was not in or-shall these fond anticipations be disappointed? Will not der at present. Mr. FORSYTH, to save time, would move, if it was in order, to strike out that part of the motion which instructs the committee. the conciliatory terms proposed for a compromise by the Mr. HAYNE should vote against the motion to recom-honorable Senator from South Carolina, [Mr. HAYNE,] in mit, as he did not believe it would result in any modifica-that able, convincing, and, I may add, unanswered and tion of the bill, except a reduction of the ratio, to which he unanswerable argument, and which have been acceded to was opposed. He hoped the motion would not be divided. by every other gentleman who has spoken on the same Mr. CLAY suggested that, after the motion to recommit side of this question, be received in that amicable and paciwas carried, various instructions might be moved for mo- fic spirit which prompted them? difying the bill. Though he was himself opposed to the plan of representing fractions, as unconstitutional, yet he believed that the bill might be so modified as to lessen its present inequality. He should, at a proper time, propose a plan which he thought would obviate some of the objections to which the bill, in its present form, was liable. After some further conversation, Mr. MOORE said that, if it was in order to move a reconsideration of the vote by which the amendment of the gentleman from Massachusetts was rejected, he hoped that course would be taken. He believed there was a majority of the Senate in favor of the plan proposed in that amendment. After some remarks from Messrs. MILLER, CLAYTON, and BELL, against the bill as it stood, Mr. CHAMBERS (to give an opportunity for a motion for reconsideration) moved to lay the bill on the table. Agreed to by a vote of 23 to 20. Mr. FRELINGHUYSEN then rose, and said that, upon the suggestion that a majority of the Senate was in favor of the amendment proposing a representation of fractions, and being willing that the will of the majority should prevail, he moved a reconsideration of the vote whereby the amendment referred to was rejected on Monday, at the same time stating that his own views were not changed in regard to the subject. After some further discussion, in which Messrs. WEB. THURSDAY, MARCH 15. I regret that the honorable Senator from Pennsylvania [Mr. WILKINS] has so soon shown a disposition to retract the feeling evinced on that occasion to meet the honorable Senator from South Carolina upon a fair, compromising ground. I trust it has not been the resolutions adopted by his State, on this subject, which have changed his disposition to mete out equal and impartial justice to his Southern brethren. [Mr. WILKINS rose, and said that he had not retracted the feeling evinced on that occasion, and still desired that a compromise might be effected. Mr. MOORE, in reply, expressed his gratification at learning that he had been misinformed as to the gentleman's views on this point, and fervently hoped that the question would be discussed in such a spirit of conciliation as to ensure, finally, a decision that would be satisfactory to all parties.] Where, sir, said Mr. M., is that mutual forbearance and concession, that God-like spirit, which pervaded the councils of this nation in the formation of this Union, and in the establishment of the federal constitution? Where, sir, is that high and sacred flame of patriotism, which, when the opposing and conflicting interests of the different sections of this Union threatened, yes, sir, awfully threatened, its dismemberment, prompted the honorable Senator from Kentucky [Mr. CLAY] to throw himself in the breach to preserve its integrity? (I mean the Missouri question.) Then, the question which divided parties was the slaveholding States, and the non-slaveholding States. Now, it is north and south of the Potomac river; or, to my mind, a more appropriate distinction is, the portion who receive bounties, and the portion who pay them. For it cannot be disguised, that, for the last ten or fifteen years, the the tariff exactions and the internal improvement system, means and substance of the Southern people have, under been dragged from them, for the benefit of other sections, in jestic Mississippi; until we are reduced to the most wretcha current as bold, as rapid, and unceasing as that of the maed state, and the last possible point of suffering. Sir, the picture drawn by other gentlemen on the same side of this question presents a faithful portrait of the depressed condition of the planting and agricultural interest in Alabama, Nothing, said Mr. M., but the magnitude of the ques- except, indeed, in the latter there is a deeper gloom, if postion, the deep and pervading interest involved in the man-sible, hanging over this interest. This unfortunate section ner of its final adjustment, could prompt me to claim the in- of country presents precisely the counterpart to that dulgence of the Senate for a moment, after the able and beautiful description of the high state of prosperity, drawn eloquent display of talent and argument with which they have been entertained, and so interestingly entertained, by gentlemen who have preceded me. The unfinished business of yesterday (the apportionment bill) coming up, it was laid by for the present, to permit the debate on the tariff subject to proceed, &c. The Senate took up the resolution offered by Mr. CLAY for the reduction of THE TARIFF. Mr. MOORE, of Alabama, addressed the Senate as follows: But, sir, the acknowledged importance of this question seems to demand that I should not content myself to give a silent vote, and that it is due to the occasion that I should declare the views and feelings of those whom I have the honor, in part, to represent. by the honorable Senator from Kentucky, of the condition of other sections. While I was charmed by the eloquence of the honorable Senator, in his vivid descripton of the prosperity of these the much favored sections of this Union, I was appalled and astonished at the contrast between the condition of these, and the actual gloomy condition of the entire face of the country in my own much beloved State. Sir, the citizens of Alabama have looked forward, with From what source, let me ask, does this high state of the most anxious solicitude, to this session of Congress, prosperity emanate? Not from natural advantages, confor a redress of burdens imposed by an unjust and un-nected with superior soil, climate, salubrious air, or water; authorized system of taxation. for in these we believe the God of nature has been as bounThey have approached this body, time after time, with tiful to us as to any other class of citizens in any other memorial after memorial, and remonstrance after remon-quarter of the globe. MARCH 15, 1832.] OF DEBATES IN CONGRESS. The Tariff. 562 [SENATE. But this state of things is to be ascribed to artificial ad- dollars, and receives in return one hundred dollars worth vantages. It is much better that the Eastern and North- of English penknives, on which he has to pay duties, &c. ern States, including the non-slaveholding States, should amounting to fifty dollars more; he sells these penknives have the power, for we deny the right, to tax our slave to Northern manufacturers, and the Senator from Rhode labor at their own discretion, than to own our slaves them-Island gets one of them. If the price, as the gentleman selves and this is the advantage they possess by a union contends on the other side, is not increased by the duty, of interest on this question. Permit me, Mr. President, to attempt to illustrate this injustice, by stating what I deem to be a fair and correct history of the case. The cotton planter either takes his produce to market, or his merchant does it for him, (the result is the same,) and returns with articles which suit his convenience: and it will not be denied but these are as much his own property and the produce of his own labor, as the manufactured article is the property and product of the manufacturer; but here the Government steps in, and says to the agriculturist, we demand of your stock forty per cent. For what purpose? replies the planter. Is it for the support of Government? No-the public debt is discharged, and we have an overflowing treasury; but there are some wealthy owners of large sugar plantations in Louisiana, some cotton and woollen factories in the Eastern and Northern States, some wealthy owners of iron works in New Jersey and Pennsylvania, salt works and salt factories, and some cotton bagging factories in Kentucky; they are all in a high state of prosperity, it is true, but they are not satisfied, and it is for their benefit we demand of you this tribute and tax. lost to the planter, and the manufacturers will pay no tax at all on their penknives. But if the penknives can be then the fifty dollars paid in duties and charges must be dollars, in what, let us ask, do the manufacturers pay us for these articles? Perhaps in cottons, woollens, or iron, enjoysold to them for the full price of one hundred and fifty ing a protection of from fifty to one hundred per cent.; and our New England brethren must have lost some portion of that wit for which all the world gives them credit, if they cannot work the matter so as to put upon their cloth an increased price fully sufficient to cover any tax they have to pay on the penknives. the duty be added to the price of foreign cloths, and the price of these foreign goods will be a standard by which If the duty is added to the price of the knives, so will the manufacturer will fix the price of his domestic goods; so that, in the long run, the Southern planter will, directly or indirectly, have to pay the duty on very nearly so much of the foreign articles as may be received in exchange for his cotton, rice, and tobacco, no matter by whom they may be consumed. If, in this calculation, the gentleman will only substitute one hundred and fifty cents for one Is it a matter of surprise, then, that the South should of his own penknife, (if it has not been one furnished by feel deeply and sensibly upon this subject--that such op- Uncle Sam.) And if one dollar be the price, and fifty hundred and fifty dollars, he will probably have the price pression should fill the entire South with indignation? For, cents the tax, and he has paid for it out of the profits of a let gentlemen not deceive themselves upon this subject. Rhode Island factory, it is quite possible that I, or some This is the feeling and doctrine of patriotism; and, as has of my neighbors, may have been compelled to pay the tax justly and eloquently been said by my honorable friend on his knife. from South Carolina, [Mr. MILLER,] it is the whig doc- this case actually been paid by somebody, is very certain; for trine, it is the spirit which animated our fathers in resist- the honorable Senator from South Carolina [Mr. HAYNE] That a tax, and a very high tax, too, has in ing British tyranny and British oppression. It is the voice has handed to me two penknives, furnished him by some of seventy-six. Sir, it is the doctrine of the entire South, respectable merchant, the one of English, the other of except, indeed, a small portion, where the soil is adapted American manufacture; the former costing in England 98. to the culture of the sugar cane; and this circumstance is 3d. sterling a dozen, and standing the importer $3 09 a thought sufficient to justify a system of legal oppression dozen, (including duties and charges,) while the wholesale which demands a portion of the hard earnings of their price of the American manufacture is $4 50 a dozen; and neighbor for their own private emolument. Mr. President, the time has nearly arrived, when long-with me that the English knife, which is twenty-five per er to submit will cease to be a virtue. It is due to the cent. cheaper, is by far the better article. yet I think any one who will examine them, will agree oppressed, and to posterity, that this question should be now met, and that this system of inequality of taxation, there is the English knife. Now, sir, we have seen in this restraint upon our natural and inherent rights, should what manner our Northern brethren are indemnified for Sir, take notice that the good old buck horn handle receive the firm and united resistance of freemen. any duty they may be compelled to pay upon their pen Mr. President, the honorable Senator from Rhode Island, knives, or any other article of foreign importation. But [Mr. ROBBINS,] in his argument on Friday last, contend-where is the indemnity for the Southern planter? It is ed that "it was impossible that the Southern planters well known that we cannot now, nor ever can, become could pay any portion of the duties on the articles consum-manufacturers; nature has forbidden it. ed by the Northern manufacturers, and added, that nothing fore, which you require from us, is equivalent to dragging short of necromancy could convince him that he did not that amount from our pockets, in order to put it into the himself pay the tax on his penknife in his pocket." The tax, therepockets of others. Now we think, without dealing in the black arts, that we can convince the gentleman that this thing is quite of view? It is one by which you say to the poor man in possible. He admits that the people of the tariff States his cabin, that he shall pay an exorbitant tax for the salt And what, sir, is this American system, in another point do actually consume a large portion of foreign goods re- put in his bread, the sugar and coffee with which he ceived in exchange for Southern productions. supplies a sick family, the coat which he wears himself, If, as he says, the duty lessen the price, then, of course, the flannels with which he clothes his wife and children, the planter, or the merchant, who is his agent in this the hats which cover their heads, his axe, his plough, hoe, transaction, cannot get back any part of the tax; but if the and other utensils with which he cultivates his crop. duty is added to the price, then the manufacturer takes These, sir, are "the rich blessings," so much lauded by care to indemnify himself for any duty he may pay on the the honorable Senator from Kentucky, [Mr. CLAY,] and foreign article in the increased price of his manufactures the consequence is, that the Southern and agricultural with which he pays the planter. are made the "hewers of wood and drawers of water" for other sections. portion of the country, the real yeomanry of the South, Let us take the case of the knife. We will suppose the duty on penknives, with charges, profits, &c. to be equal to fifty per cent. on the cost. A Southern plan ter sends to England cotton to the value of one hundred says, "as we have a full treasury, and taxes not needed, But the honorable Senator from Kentucky [Mr. CLAY] VOL. VIII.-36 |