[net.consumers] Legal Tender and the U.S. Government

tackett@wivax.UUCP (Raymond Tackett) (07/03/84)

The person who takes passport applications at the Nashua, New Hampshire,
Post Office refuses to accept U.S. currency in payment of the fee.  Only
money orders and personal checks are acceptable.

An agency of the United States government refusing its own currency?  That
has interesting implications for the "full faith and credit" of the
United States.

Whatever happened to "This note is legal tender for all debts, public and
private"?  Is this a government response to Reaganomics?

-- 
			  Random Access is IMMORAL!                     

                                   Ray Tackett

evans@wivax.UUCP (Barry Evans) (07/03/84)

I know of some offices/etc which really try to avoid any exchange in
currency, instead they would rather deal with money orders or checks.
One such place is the management office at my apartment.  They claim
that there are just too many people around, which might encouraged theft,
and, if this were the case, it would be extremely difficult to trace.

-barry
-- 
Barry Evans - Wang Institute (617) 649-9731 x383
    [apollo, bbncca, cadmus, decvax, harvard, linus, masscomp]!wivax!evans
    evans%Wang-Inst@Csnet-Relay

drr@ihopa.UUCP (D. R. Rueckheim) (07/06/84)

Speaking of legal currency in the US, I believe that the 
constitution states that the only legal currency is
"gold or silver coins". Also to the best of my knowledge
there has never been an ammendment to the constitution
that has changed that. Is there anyone out there that 
can shed some light on this issue.
-- 
        D. R. Rueckheim
	..!ihnp4!ihopa!drr
	AT&T Bell Labs, Naperville, Il.

tac@teldata.UUCP () (07/09/84)

, (sop to the blank line eaters--consider it a religious sacrifice)

The problem is that it is legal tender, not payment.  Check out the
meanings of the words and you will find that while "tender" could include
money, it is not limited to that.  It also is "offered in payment".
Perhaps you will consider this nit-picking, but that is what legal
documents and laws are all about.  Harking (harping) back to an old
discussion there is a phrase in the Constitution of the US which 
grants to the US Government the authority "To coin Money, regulate
the Value thereof, and of foreign Coin, and fix the Standard of Weights
and Measures;".  This taken from my simulated parchment copy of the
Constitution, with the capital letters as they appear in the script
as written.  I don't see anything about printing money there, and
since one of the problems that was being solved with this constitution
was rampant inflation caused by continental dollars being printed
as fast as they were needed, it is reasonable to assume that they
chose these words as carefully as they chose all of the others used
in this document.

	    From the Lecturn of
	    Tom Condon     {...!uw-beaver!teltone!teldata!tac}

	    A Radical A Day Keeps The Government At Bay.

DISCLAIMER:  The opinions expressed herein are those of everyone who
  matters, but not necessarily anyone you know, and most certainly not
  my employers!

mpr@mb2c.UUCP (Mark Reina) (07/10/84)

In the United States Constitution, the phrase "to coin money, regulate the
value thereof" grants the Federal Government to print paper money, prosecute
counterfeiters, switch from gold and silver backing, and whatever else is
deemed necessary by the US Congress.  You'll to trust me on this one.

eac@drutx.UUCP (07/10/84)

It is interesting that they were trying to beat inflation with precious
metal coinage.  In the late 1800's it was just the fact that coinage
was made out of precious metals (silver and gold) that prompted the use
of silver and gold certificates.  The value of the metal was increasing
so fast that coins were forced to be made smaller and smaller to keep
people from melting them down.  This lead to the trend of making the
metal worth less than the face value of the coin--which defeated the
original purpose of the coin.  For example--a "double eagle" (twenty
dollar gold piece) was supposed to contain twenty dollars worth of
gold.  These would go out of circulation quite quickly when the gold
in a single coin became worth more than twenty dollars.  So now we have
come full swing--the actual value of the printed dollar and the coins
is practically nill.  Only convention dictates that a twenty dollar
bill is worth twenty dollars.

Betsy Cvetic
ihnp4!drutx!eac

dee@cca.UUCP (Donald Eastlake) (07/10/84)

US Constitution
	Artilce I, Section 8:  The Congress shall have Power ... To coin
Money, regulate the Value thereof, and of foreign Coin, and fix the
Standard of Weights and Measurers.  ...
	Article I, Section 10:  No >>STATE<< shall ... make any Thing
but gold and silver Coin Tender in Payment of Debts; ...

I think it will be clear to anyone who will bothers to read the
Constitution and the context of these provisions that any resriction to
gold and silver effects only States that are authorizing coins when it
happens that they are being permitted to do so by Congress.

-- 
	+	Donald E. Eastlake, III
	ARPA:	dee@CCA-UNIX		usenet:	{decvax,linus}!cca!dee