Chapter XXXVIII.
Prohibitions on the States.
§1. The next section contains restrictions on the powers of the states. "No state shall enter into any treaty, alliance, or confederation." [For the definition of treaty and the manner in which a treaty is made, see Chapter XL: §3-5.] An alliance is a union between two or more nations, by a treaty, or contract, for their mutual benefit. Confederation and alliance, have nearly the same meaning. If the states, separately, were allowed to make treaties or form alliances with foreign powers, the rights and interests of one state might be injured by the treaties made by another state. As the states united constitute but one nation, it is obvious that the power to treat with other nations properly belongs to the general government. If the states also had the power, they might counteract the policy of the national government.
§2. Nor may a state "grant letters of marque and reprisal." If, as has been shown, this power is properly given to congress, it could not be safely intrusted to the states. (Chap. XXXVI, §5.)
§3. The power to "coin money" is also prohibited to the states. It was given to the general government to secure a uniform currency. (Chap. XXXIV, §7.) But this object would not be likely to be attained, if the power to coin money were exercised by the states.
§4. A state may not "emit bills of credit." Bills of credit, to a vast amount, were issued by the states during the war, and for some time thereafter. They were in the nature of promissory notes, issued by the authority of the state, and on the credit of the state, and put in circulation by the continental congress and the states as money. This paper money, having no funds set apart to redeem it, became almost worthless. Bank bills issued upon the credit of private individuals, do not come under the prohibition. It is also held that the prohibition does not apply to the notes or bills of a state bank, drawn on the credit of a particular fund set apart for that purpose.
§5. No state shall "make any thing but gold and silver coin a tender in payment of debts." Tender signifies an offer, or to offer. In law, it is an offer of something in payment of a debt, or the thing itself which is offered in payment. Some of the states had declared their irredeemable paper money a lawful tender. But paper money and property of all kinds are continually liable to fluctuation in value, and might subject those who should be compelled to receive it to great inconvenience and loss. But although no person is obliged to take in payment any thing but coin, bank bills are by common consent taken in the course of business and in payment of debts, because they may be converted into specie by presenting them at the bank by which they are issued.
§6. Nor may a state "pass any bill of attainder, ex post facto law, or law impairing the obligation of contracts." Bills of attainder and ex post laws have been defined and considered. (Chap. XXXVII, §5.) If these laws are in their nature wrong, the states as well as congress should be prohibited from passing them. Not less unjust are laws impairing the obligation of contracts. Laws that should weaken the force of contracts, or that would release men from their obligations, would be contrary to the principles of justice, and destroy all security to the rights of property.
§7. As bankrupt laws release debtors from the payment of their debts, and consequently impair the obligation of contracts, the question has arisen whether the states have power to pass insolvent or bankrupt laws. From decisions of the supreme court of the United States, which is the highest judicial authority, it appears, that a state may not pass a bankrupt law discharging a debtor from the obligation of a contract made before such law was passed. But it was not to be considered a law impairing the obligation of a contract, if it existed before the contract was made; because the parties, who are presumed to know that such law exists, may guard themselves against loss.
§8. The last thing prohibited in this clause, is, "to grant any title of nobility." This is forbidden to the states for the same reason as it is prohibited to congress. (Chap. XXXVII, §11.)
§9. The first prohibition to the states in the next clause is to "lay any imposts or duties on imports or exports, except what may be absolutely necessary for executing their inspection laws." The objections to the power of the states to lay duties have been considered. They are founded upon the same reasons as have been given for intrusting congress with this power; one of which is to secure uniformity throughout the United States. (Chap. XXXII, §6.) And as congress is properly prohibited from laying duties on exports, (Chap. XXXVI, §8, 9,) there can be no good reason for allowing it to be done by the states.
§10. The exception allowing a state to lay duties necessary to execute its inspection laws was deemed proper. Laws are passed by the states for the inspection or examination of flour and meat in barrels, leather, and sundry other commodities in commercial cities, to ascertain their quality and quantity, and to be marked accordingly. By this means the states are enabled to improve the quality of articles produced by the labor of the country, and the articles are better fitted for sale, as the purchaser is thereby guarded against deception. A small tax is laid upon the goods inspected, to pay for their inspection. But, lest the states should carry this power so far as to injure other states, these "laws are to be subject to the revision and control of congress."
§11. The last restrictions upon the power of the states contained in this section, are: "No state shall, without the consent of congress, lay any duty of tunnage; keep troops or ships of war in time of peace; enter into any agreement or compact with any other state, or with a foreign power; or engage in war, unless actually invaded, or in such imminent danger as will not admit of delay." Some of the prohibitions here enumerated have been noticed in this and preceding chapters; and the reasons of the others are so obvious as to render any remarks upon them unnecessary.