These terms called forth much opposition, and taxed Cutler’s lobbying powers to their utmost. He said:
“Every machine in the city that it was possible to set to work, we now set in motion. My friends made every exertion in private conversation to bring over my opponents. In order to get at some of them so as to work powerfully on their minds, we were obliged to engage three or four persons before we could get at them. In some instances we engaged one person, who engaged a second, and he a third, and soon to the fourth before we could effect our purpose. In these maneuvers I am much beholden to Col. Duer and Maj. Sargent.”
It had been the purpose of the company to secure the governorship of the new territory for Parsons, but it became known that General Arthur St. Clair, the president of the Continental Congress, wanted the position. St. Clair was withholding his influence. Cutler sought an interview with him. “After that,” said Cutler, “our matters went on much better.” It will be remembered that St. Clair became the first Governor of the Northwest Territory.
On the twenty-seventh, Congress directed the Board of Treasury “to take order and close the contract.” That evening Cutler left New York for his home, authorizing Sargent to act in his stead. On the twenty-ninth of August he made a report to the directors and agents at a meeting in Boston. A great number of proprietors attended, and all fully approved of the proposed contract and it was finally executed October 27, 1787.
The Ordinance of 1787 undoubtedly represented the most advanced thought of that time on the subject of free government.
This ordinance irrevocably fixed the character of the immigration, and determined the social, political, industrial, educational, and religious institutions of the territory.
As soon as it was adopted by Congress, it was sent to the Constitutional Convention at Philadelphia, and some of its most important provisions were embodied in the new Constitution. Notable among these was one in the second Article of Compact, in the ordinance, stating that, “for the just preservation of rights and property, no law ought ever to be made, or have force in said Territory, that shall, in any manner whatever, interfere with, or affect private contracts or engagements, bona fide, and without fraud, previously formed.” This appears in Paragraph 1, Section 10, Article 1 of the Constitution, prohibiting a state from passing any “law impairing the obligation of contracts.” This is said to be the first enactment of the kind in the history of constitutional law.
The fact that the Constitutional Convention included this one proviso in the draft of the Constitution, indicates that consideration was given the provisions of the ordinance, and thereby suggests their deliberate omission from the Constitution, for reasons unknown, inasmuch as the debates of that convention were, by agreement, not recorded.
However, after the Constitution was submitted to the states for ratification it quickly became apparent that the people were determined upon specific provision for the rights of men in their fundamental law, and while ratification of the Constitution by nine states was accomplished in 1789, it was only possible by assurance that such provisions would be immediately added as amendments.
In some form, every one of the states admitted from the Northwest Territory later embodied similar provisions in their fundamental law. The adoption or rejection of these principles was not left to the discretion of the states; being “Articles of Compact,” they could not be discarded without the consent of Congress.