The Five Million Loan

Cover The Five Million Loan
The Five Million Loan
William Watts Folwell
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Chamberlain lost his suit, but the court vouchsafed him a sweet morsel of consolation in an obiter dictum. The bonds, said Justice Dillon, "are the legal obligation of the State . . . . They were issued for work actually done upon the the roads at the rate specified in the constitutional amendment. . . . . If the state were liable in the courts . . . . The bonds would be legally enforceable against it. Justice and honor alike require the court to recognize these bonds as bind- ing against it. "... Believing doubtless that he could fare no worse in the court above, Mr. Chamberlain appealed his suit to the supreme court of the United States, which in October, 1875, affirming the de- cision of the court below, followed its example in administer- ing like words of comfort. "The bonds issued, " said Justice Field for the court, "are legal obligations; the state is bound by every consideration of honor and good faith to pay them. Were she amenable to the tribunals of the country, as private individuals are, no court of justice would withhold its judg- ment in an action for enforcement.

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