Hardeman v. Downer

39 Ga. 425
Supreme Court of Georgia·Decided June 15, 1869·Published·Cited by 6 cases

Opinions

McCay, J.

1. That no State shall pass any law impairing the obligation of contracts, is the plain letter of the Constitution of the United States, Article 1, Section 10, Part 1, and without doubt it is firmly settled, by a long series of decisions, that a State can no more pass a law professing only to regulate the remedy, though in fact impairing the obligation, than it can one acting directly upon the terms of contracts.

I do not care to examine in detail these various decisions. They all in express terms admit the power of the State over the remedy, and they all decide that if this power be so used as to violate the obligation of the contract, the legislation is void. 4 Wheat., 198; 12 Wheat., 213; Ib., 370; 9 Peters, 329; 1 How. 202; Ib., 315; 2 How., 608; 3 How. 707; 6 How., 330; 15 How., 334; 7 How., 279; 4 Wallace, 553. All of these cases admit that it is not every modification of the remedy that is void. Judge "Woodbury, in the case of Planters’ Bank vs. Sharp et al., says upon modifications of the remedy: Some other laws are referred to which are upheld and which affect the whole community, and seem to violate some of the important incidents of contracts between individuals, or between them and corporations. But it will usually be found that these laws are only such as relate to future con[428] tracts, or if to past ones, relate to proceedings in Courts, to the form of the remedy, merely, to priority in some classes of creditors, (5 Cranch, 298,) to the kind of process, (9 Peters, 319; 10 Wheat. 51,) to the length of the statute of limitations, (6 Wheat., 131; 2 Mason, 168; 3 John. Chan., 190; 4 Wheat., 200; 1 Howard, 315,) to exempting the body from imprisonment, (4 Wheat., 200,) or tools and household goods from seizure, (16 John., 244; 1 Hin., 15; 11 Martin, 730,) or affecting some privilege attached to the person or territory, and not to the terms or obligations of the contract itself. But if professing to alter the remedy only, the duties and rights under the contract itself are changed or impaired, it comes Within the spirit of the constitutional principle. Planters’ Bank vs. Sharp et al., 6 Howard, 330.

It was said in argument that the test is, “ Has the value of the contract been lessened ?” and this very case of Planters’ Bank vs, Sharp et al. is referred to as sustaining that idea. This would indeed be a rule, and, if it were such, it would also be a sweeping onslaught upon nearly every Act of a State Legislature regulating the remedies afforded for contracts. Under such a rule it is hardly possible to conceive of a modification of the remedy that would not be void. Any Act creating the least delay, or casting the least new duty upon the obligee, as a law requiring a bond for costs before suit, or a law permitting an appeal from one tribunal to another, would all be void, since it is plain that it is not the degree of interference which makes the law void, but the fact that the contract is at all impaired. If the laws in force at the time of the contract, relating to the remedy, form a part of it, then any law in the least changing the remedy is void, since it is not the extent of the change, but the fact of the change, which is prohibited. But though the case referred to, of Planters’ Bank vs. Sharp et al., does contain some such language, yet the very instances Judge Woodbury there puts of valid laws necessarily contradicts such an idea.

The repeal of the attachment or garnishment laws oí a State, the change of the number of terms per year of the Courts, and a hundred other laws, admitted to be valid, [429] would do this. Indeed, the same Court has over and over again upheld, as valid, law after law of the State Legislatures under which the contract was by no means worth as much as it was without the law. The strangest of the cases, is that holding valid a law abolishing imprisonment for debt, and actually discharging from custody a debtor arrested on a judgment founded on a contract made before the law was passed, 12 Wheaton, 200 ; Ibid, 370 ; 9 Peter, 329.

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Hardeman v. Downer, 39 Ga. 425 (Ga. 1869).

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