Time: Sat Mar 29 19:47:59 1997 by primenet.com (8.8.5/8.8.5) with ESMTP id QAA13553; Sat, 29 Mar 1997 16:19:53 -0700 (MST) by usr01.primenet.com (8.8.5/8.8.5) with SMTP id QAA17742; Sat, 29 Mar 1997 16:19:44 -0700 (MST) Date: Sat, 29 Mar 1997 19:33:23 -0800 To: (Recipient list suppressed) From: Paul Andrew Mitchell [address in tool bar] Subject: SLS: [TL] WHAT IS MONEY? [2/2] <snip> > >> -=>>> Continued from previous message <<<=- >> >>72. Act of Dec. 23, 1923, Sec. 317: Upon the >> deposit with the treasurer of the U.S. of >> bonds so purchased, and Federal Reserve >> bank making such deposit, shall be >> entitled to receive from the comptroller >> of the currency circulating notes in >> blank. Such notes shall be the >> obligations of the Federal Reserve Bank. >> They shall be issued and redeemed under >> the same terms as national bank notes. >> (In the beginning the Federal Reserve >> banks bought the bonds with money; they >> issued notes in the amount of bonds >> purchased. The Federal Reserve banks >> bought bonds and deposited them with the >> treasurer. The U.S. Treasurer had >> possession of both the bond and the >> money. The Federal Reserve banks issued >> the notes. The notes were to be >> obligations of the Federal Reserve banks. >> The Federal Reserve banks loaned the >> notes to the government, and in this way >> the Federal Reserve banks got back all >> the money they paid for the bonds; but >> also, in the beginning, the notes were to >> be used only for settling accounts >> between the 12 Federal Reserve banks, and >> for no other purpose were they >> authorized.) >> See: >> 12 USC 411. >> >>73. The case of a State which pays off its >> own debts with paper money, no more >> resembles this than do those to which we >> have already adverted. The courts have no >> jurisdiction over the contract. They >> cannot enforce it, nor judge of its >> violation. Let it be that the act >> discharging the debt is a mere nullity, >> and that it is still due. Yet the federal >> courts have no cognizance of the case. >> But suppose a State to institute >> proceedings against an individual, which >> depended on the validity of an act >> emitting bills of credit; suppose a State >> to prosecute one of its citizens for >> refusing paper money, who should plead >> the constitution in bar of such >> prosecution. If his plea should be >> overruled, and judgment rendered against >> him, his case would resemble this; and, >> unless the jurisdiction of this court >> might be exercised over it, the >> constitution would be violated, and the >> injured party be unable to bring his case >> before that tribunal to which the people >> of the United States have assigned all >> such cases. >> See: >> Cohens v. Virginia, 6 Wall 100. >> >>74. According to State v. Thomas money was >> property but Federal Reserve notes are >> only a claim on property and, Federal >> Reserve notes shall be redeemed in lawful >> money--not legal tender. >> See: >> State v. Thomas, 12 USC 411. >> >>75. Make the bank identify the thing loaned. >> Certainly if the bank claims to have >> loaned something they can identify it, >> and according to the law of tender, the >> tender must be kept good. If a judgement >> could be settled with a tender, then the >> litigation would never end. A Federal >> Reserve note being a chose in action, >> something to be sued upon (UCC), but >> then, under state law, there can be no >> "holder in due course" on an incomplete >> instrument, and a fed note is an >> incomplete instrument as it will not pay >> to bearer. This amounts to a common law >> cheat, which is the obtaining of money or >> property by means of false tokens, >> symbols, or device; this being the >> definition of a cheat or cheating at >> common law. >> See: >> State v. Renick, 33 Or 584, 56 p >> 275, 44 L R A 266, 72 Am. St. Rep. >> 758. >> >>76. What a triumph for the advocates of >> despotism to find that we are incapable >> of governing ourselves, and that systems >> founded on the basis of equal liberty are >> merely ideal and fallacious. In a word, >> they are determined to annihilate all >> debts, public and private, and have >> agrarian laws, which are easily effected >> by means of unfunded paper money which >> shall be a tender in all cases. >> See: >> Gen. Knox. >> >>77. In order to constitute a loan, there must >> be a contract whereby one party transfers >> to the other a sum of money. >> See: >> U.S. v. Neifert White, 247 F.Supp. >> 878. >> >>78. A loan may be defined as the delivery by >> one party to, and the receipt by another >> of a sum of money. >> See: >> Kirkland v. Bailes, 155 S.E. 2d 701. >> (Yet the Federal Reserve Bank of >> Chicago says in Modern Money >> Mechanics that banks make loans by >> promising to lend.) (However a >> promise to lend cannot be enforced. >> In order to constitute a loan, money >> must be loaned, but banks make loans >> by promising to lend, and promises >> to lend cannot be enforced.) >> 5 MRSA. >> >>79. The thing given or taken in exchange must >> be specific and so distinguishable from >> things of like kind as to be clearly >> known and identifiable. >> See: >> Preston v. Keene, 14 Pet 133. >> >>80. The extension of credit is not the giving >> of value. >> See: >> UCC 3-303:0; >> Atkinson v. Englewood State Bank, >> 141 Colo 436. >> >>81. A loan is the creation of debt by the >> lenders agreement to pay MONEY TO THE >> DEBTOR. >> See: >> Maine Consumer Credit Code 9-A, Sec. >> 1.301 (23)(a)(1). >> >>82. Banks extend credit, not money. >> See: >> National Bank v. Atkinson, 55 Fed. >> Rep. 571. >> >>83. Fair and reasonable value means the best >> price to be at once in money -- cash >> being the antonym of credit-- cash value >> importing value in money. >> See: >> State v. Woodward, 93 SO 826, 208 >> Ala 31. >> >>84. A note given to town treasurer in payment >> of a tax, being illegal as against public >> policy, does not discharge the tax. >> See: >> Embden v. Bunker, 86 Me 313. >> >>85. There is a distinction between a debt >> discharged and one paid. When discharged >> the debt still exists though divested of >> its character as a legal obligation >> during the operation of the discharge. >> Something of the original vitality of the >> debt continues to exist, which may be >> transferred even though the transferee >> takes it subject to the disability >> incident to the discharge. The fact that >> it carries something which may be a >> consideration for a new promise to pay so >> as to make an otherwise worthless promise >> a legal obligation makes it the subject >> of transfer by assignment. >> See: >> Badger v. Gilmore, 33 N.H. 361, 66 >> Am. D. 729; >> William R. Stank v. M.W. White, 172 >> Minn. Reports 390. >> >>86. Although it apparently was still >> necessary in the 1790's to allege >> fictionally that such bills were drawn >> "according to the custom of merchants,' >> Butter v. Ouchterloney, S SC, 3-68) all >> agreed that an instrument executed by a >> non merchant was negotiable if it >> contained words of negotiability >> customarily used by merchants, such as >> "or order" in an appropriate place. >> See: >> Whitney v. Whitney, Quincy 117 >> (1765); >> Laws and Usages Respecting Bills of >> Exchange and Promissory Notes, by >> John Tisdall. >> >>87. According to the Uniform Commercial Code >> (UCC), "a debt can only be paid with >> money or goods." The UCC, of course, is >> state law which supersedes federal law. >> "The Federal Government has no power to >> impose on any state officer any duty >> whatsoever, and compel him to perform >> it." >> See: >> Commonwealth v. Dennison, 24 How. >> 66. >> >>88. A judgement for money must specify the >> amount in words or figures with some mark >> or character to indicate what they >> represent. Re >> See: >> Boyd (D.C. Or) Fed. Case No. l1746 >> (see also >> United Glover Co. v. Harvey Steel, 3 >> F.2d 634.) (Figures in the absence >> of dollar marks should be void as >> there would be no figure or mark to >> indicate what the numbers >> represent.) >> >>89. In the absence of any provision of law >> precluding payment in a particular kind >> of coin specifically designated in a >> contract, the general rule is that such >> contract may be enforced by the rendition >> of a judgement for the particular kind of >> coin designated. >> See: >> The Emily Sounder, 17 Wall 666; >> Trebilcock v. Wilson, 12 Wall 687; >> Land v. Gluckauf, 28 Cal 288; >> Gilman v. Douglas County, 6 Nev. 27. >> >>90. The support of the general rule by the >> courts has been based not on the >> difference in the kinds of money, but on >> the ground that the party specifically >> contracted for payment in a specific >> thing. >> See: >> Thompson v. Butler, 95 US 694. >> >>91. The issuance of Federal Reserve notes is >> not an attempt by the government to coin >> money, it is a pledge of the government >> to pay dollars. >> See: >> U.S. v. Ballard, 14 Wall 457. >> >>92. No payment is effectuated by the delivery >> of a bill or note which is unenforceable. >> See: >> Lee v. Fontaine, 10 Ala 755. (A note >> is unenforceable unless it is >> negotiable.) >> >>93. Giving of a note does not constitute >> payment. >> See: >> Echart v. Commissioners C.C.A., 42 >> F.2d 158, 283 US 140; >> Noland v. Maryland Casualty Co., >> D.C. Md. 38 F.Supp. 497. >> >>94. When a decree provides for the payment of >> money, that term imports constitutional >> currency. >> See: >> Shackleford v. Cunningham, 41 Ala >>203; >> West Oliver Co. v. Bail & Crommelin, >> 12 Ala 340. (Constitutional money >> is not notes or checks.) >> >>95. For judgements payable in US funds. >> See: >> Shaw Savill Albion & Co. v. The >> Frederickburg, C.A. N.Y. 189 F.2d >> 952. >> >>96. Definition of funds: Money in hand; >> assets; cash; money available. >> See: >> Galena Ins. Co. v. Kupfer, 28 Ill >>335; >> U.S. v. Jenks, D.C. Pa. 264 F 697; >> Johnson v. State, 37 Ga. App 129. >> >>97. Money is property. Federal Reserve notes >> are liabilities, not assets. Cash, >> according to the book. >> See: >> "The Federal Reserve Bank; Its >> Purposes and Functions," is coin. >> >>98. Current money: Whatever is receivable and >> current by law as money. >> See: >> Henderson v. Farmers Savings Bank, >> 199 Iowa 496. >> >>99. The precious metals alone are money, and >> whatever else is to perform the functions >> of money must be their representative and >> capable of being turned into them at >> will. So long as bank paper retains this >> quality it is a substitute for money; >> divested of this, nothing can give it >> that character. >> See: >> 3 Websters Works 41; >> Woodruff v. Miss, 162 US Reports >> 307. >> >>100. A Note is only promise to pay. >> See: >> Fidelity Savings v. Grimes, 131 P 2d >> 894. >> >>101. Legal tender notes are not good as lawful >> money of the U.S.. >> See: >> Rains v. State, 226 S.W. 189. >> >>102. Checks, drafts, money orders, and bank >> notes are not lawful money of the U.S.. >> See: >> State v. Nealan, 43 Ore 158. >> >>103. Where the Fed. Gov. is a party to >> commercial paper, it is bound by same >> rules which govern private persons. >> See: >> Continental American Bank v. U.S., >> C.C.A. La. (1947) 161 F.2d 93. >> >>104. The government assumes all >> responsibilities of private persons when >> it issues commercial paper. >> See: >> U.S. v. First National Bank, 138 >> F.2d 681. >> >>105. The term "dollar" means money since it is >> the unit of money in this country, and in >> the absence of qualifying words, it >> cannot mean promissory notes or bonds or >> other evidences of debt. >> See: >> Devenny v. Devenny, 74 Ohio St. 96, >> 76 NE 688. >> >>106. Federal Reserve Notes are a first and >> paramount lien on all the assets of the >> issuing Federal Reserve bank. >> See: >> Moody's Bank & Financial Manual, >> page 2105. (If Federal Reserve notes >> are a lien on the banks, no wonder >> they want to eliminate the use of >> Federal Reserve notes and deal only >> with computer entries.) >> >>107. Negotiable Instruments Law was designed >> to cover commercial paper and U.S. >> currency. >> See: >> LSA-R.S. 17; >> 1 et seq LSA-C.C. art 2139. >> >>108. The public's use of demand deposits as >> money is not based on authorization by >> the Federal Government. Even today, legal >> tender, the kind of money in which debts >> are payable, does not include demand >> deposits. >> See: >> An Introduction to Money and >> Banking, by Colin and Rosemary >> Campbell, Professors of Economics. >> >>109. U.S. Currency does not contain all of >> essence of negotiable instrument under >> Louisiana law. U.S. currency is the >> object for which negotiable instruments >> issue. The very first requirement of our >> negotiable instrument law is that the >> instrument be signed by the maker. The >> signatures on paper money are made by >> facsimile stamp put there by machine. >> See: >> Civil Code Art. 2139 La; 120 So. 2d >> 845. >> >>110. We are involved in a confidence game; >> there is nothing to our currency except >> the confidence the people have in it. >> See: > ><<< Continued to next message >>> > > >======================================================================== >To subscribe: send a message to the fwolist@sportsmen.net >with the word SUBSCRIBE in the subject/topic field. Use UNSUBSCRIBE to >remove yourself from the list. Questions/comments/problems? > email: Not Moderated@sportsmen.net or listmgmt@sportsmen.net >For info about this system and its lists email: info@sportsmen.net > >======================================================================== >via: Sportsman's Paradise~~Online 602-922-1639 - www.sportsmen.net > > > > ======================================================================== Paul Andrew, Mitchell, B.A., M.S. : Counselor at Law, federal witness email: [address in tool bar] : Eudora Pro 3.0.1 on Intel 586 CPU web site: http://www.supremelaw.com : library & law school registration ship to: c/o 2509 N. Campbell, #1776 : this is free speech, at its best Tucson, Arizona state : state zone, not the federal zone Postal Zone 85719/tdc : USPS delays first class w/o this ========================================================================
Return to Table of Contents for
Supreme Law School: E-mail