Transactions between persons actually residing within the
territory dominated by the government of the Confederate states
were not invalid for the reason only that they occurred under the
sanction of the laws of that government or of any local government
recognizing its authority.
Page 171 U. S. 389
Within such territory, the preservation of order, the
maintenance of police regulations, the prosecution of crimes, the
protection of property, the enforcement of contracts, the
celebration of marriages, the settlement of estates, the transfer
and descent of property, and similar or kindred subjects were,
during the war, under the control of the local governments
constituting the so called Confederate states.
What occurred or was done in respect of such matters under the
authority of the laws of these local
de facto governments
should not be disregarded or held invalid merely because those
governments were organized in hostility to the Union established by
the National Constitution; this because the existence of war
between the United States and the Confederate states did not
relieve those who were within the insurrectionary lines from the
necessity of civil obedience, nor destroy the bonds of society, nor
do away with civil government or the regular administration of the
laws, and because transactions in the ordinary course of civil
society as organized within the enemy's territory, although they
may have indirectly or remotely promoted the ends of the
de
facto or unlawful government organized to effect a dissolution
of the Union, were without blame "except when proved to have been
entered into with actual intent to further invasion or
insurrection."
Judicial and legislative acts in the respective states composing
the so called Confederate states should be respected by the courts
if they were not
"hostile in their purpose or mode of enforcement to the
authority of the National government, and did not impair the rights
of citizens under the Constitution."
Applying these principles to the present case, the Court is of
opinion that the mere investment by Hunter, as guardian, of the
Confederate funds or currency of his ward in bonds of the
Confederate states should be deemed a transaction in the ordinary
course of civil society, and not necessarily one conceived and
completed with an actual intent thereby to aid in the destruction
of the government of the Union.
The case is stated in the opinion.
MR. JUSTICE HARLAN delivered the opinion of the Court.
Willim H. Baldy, a citizen of Georgia, died in that state prior
to the Civil War, leaving several children, one of whom was
Marianne J. Baldy, who became of full age on the 21st day of
February, 1875.
In 1857, Dr. E. H. W. Hunter was appointed her guardian,
Page 171 U. S. 390
and, after duly qualifying as such, took possession of the
estate of his ward.
By an act of the Legislature of Georgia, passed on the 16th day
of December, 1861, guardians, trustees, executors, and
administrators were authorized to invest any funds held by them in
the bonds issued by the Confederate states, or in lands and
negroes, order to that effect being first obtained from a judge of
the superior court, who was empowered to consider and pass such
applications, either in term time or vacation. Georgia Laws, 1861,
p. 32.
On the 25th day of April, 1863, the Superior Court of Jefferson
County, Georgia, passed an order granting leave to the guardian of
Miss Baldy to invest certain funds then in his hands in Confederate
bonds. This order was granted upon the petition of the guardian,
who expressed the opinion that such funds should be so invested. On
the same day, the investment was made.
The Legislature of Georgia, by an Act approved March 12, 1866,
entitled "An act for the relief of administrators, executors,
guardians and trustees, and for other purposes," declared that all
administrators, executors, guardians, and trustees who, in
pursuance of an order, judgment, or decree of any court having
jurisdiction, or of any law of that state,
bona fide
invested the funds of the estate they represented in the bonds,
notes, or certificates of the State of Georgia or of the
Confederate states,
"be and they are hereby relieved from all the penalties of
mismanagement, misappropriation or misapplication of the funds of
the estates they represent, by reason of such investments,"
and that all administrators, executors, guardians, and trustees
claiming the benefit of the provisions of that act should, before
their final settlement, make oath before the ordinary of the county
in which they had theretofore made their returns,
"showing what funds of the estates they represent they have so
invested, and shall also swear that the notes, bonds or
certificates, so held by them, are the same kind of currency which
they received for the estates they so represent."
Laws Georgia, 1865-66, p. 85.
On the 2d day of July, 1866, the guardian made a return
Page 171 U. S. 391
to the proper court of his acts for the years 1864 and 1865,
showing the amount in his hands, and also made oath before the
ordinary of Jefferson County, Georgia,
"that in 1863, in pursuance of an order, judgment, or decree of
the superior court of said county, as guardian of M. J. Baldy, a
minor, he did
bona fide invest twelve hundred dollars of
the funds of said minor in the eight percent bonds of the
Confederate states, and that the bonds so held by him are the same
kind of currency which he received for said minor's estate."
In 1876, Hunter received from the Ordinary of Jefferson County
letters of dismissal as guardian of the several children of William
H. Baldy. He died nine years thereafter, in 1885, and this suit was
brought in 1893 against his executor, in the name of Marianne J.
Baldy, by her next friend, she having become of unsound mind as far
back at least as 1875, and being at the time this suit was brought
in a lunatic asylum.
At the trial below, the plaintiff asked the court to instruct
the jury that
"an investment by a guardian of money of his ward during the
Confederate war, and while both guardian and ward were residing
within the Confederate territory, in bonds of the Confederate
states was unlawful, and the guardian is responsible to the ward
for the sum so invested,"
and that no act of the legislature of the state
"passed during the late war, authorizing the guardian to invest
the funds of his ward in Confederate bonds, and no order of any
court of the state granted in pursuance of said act of the
legislature, would authorize such investment."
Both of these instructions were refused .
It is not contended that the case involves any question as to
the statute of limitations.
It was agreed at the trial that the only matter in issue was as
to the liability of Hunter's estate by reason of his having
invested the ward's money, in 1863, in bonds of the Confederate
states. This appears from the charge to the jury, in which the
trial court, after observing that its duty was to follow the
decisions of the Supreme Court of Georgia, said:
"In the present case, I am authorized to say that it is agreed
between counsel that the investment was made
bona fide,
and
Page 171 U. S. 392
the only question is whether it was lawful or unlawful for the
guardian to make this investment, and further that as I may decide
the legal question, I shall instruct a verdict for plaintiff or
defendant, as upon that would depend his right to have credit for
that amount in his settlement with his ward. Following the decision
of the Supreme Court of Georgia, I charge you that the investment
by Dr. Hunter, the guardian, in Confederate bonds was a lawful
investment. You are therefore instructed to find a verdict for the
defendant."
A verdict was accordingly returned for the defendant.
The verdict was made the judgment of the trial court, and that
judgment was affirmed by the Supreme Court of Georgia. The latter
court, after referring to some of its former decisions, held
that
"a guardian who, during the war between the states, in good
faith invested the funds of his ward in bonds of the Confederate
states, under an order of the judge of the superior court, properly
obtained under then existing laws, was protected thereby, and is
not liable to the ward for the value of the money so invested."
The case is now before this Court on writ of error to the
Supreme Court of Georgia.
The plaintiff in error contends that the principles to be
deduced from our former decisions require the reversal of the
judgment. As this proposition is disputed, it is necessary to
examine the cases heretofore determined by this Court.
Referring to the government established in 1862 in Texas in
hostility to the United States, and which at that time was in the
exercise of the ordinary functions of administration, this Court,
in
Texas v.
White, 7 Wall. 700,
74 U. S. 733,
said:
"It is not necessary to attempt any exact definitions within
which the acts of such a state must be treated as valid or invalid.
It may be said perhaps with sufficient accuracy that acts necessary
to peace and good order among citizens -- such, for example, as
acts sanctioning and protecting marriage and the domestic
relations, governing the course of descents, regulating the
conveyance and transfer of property, real and personal, and
providing remedies for injuries to person and estate, and other
similar acts -- which would be valid if emanating
Page 171 U. S. 393
from a lawful government, must be regarded in general as valid
when proceeding from an actual, though unlawful, government, and
that acts in furtherance or support of rebellion against the United
States or intended to defeat the just rights of citizens, and other
acts of like nature, must in general be regarded as invalid and
void."
In
Thorington v.
Smith, 8 Wall. 1,
75 U. S. 7,
75 U. S. 10-12,
the question arose whether a contract for the payment of
Confederate notes, which was made during the Civil War between
parties residing within the so-called Confederate states, could be
enforced in the courts of the United States. Upon that question,
which was recognized as by no means free from difficulty, the Court
said:
"It cannot be questioned that the Confederate notes were issued
in furtherance of an unlawful attempt to overthrow the government
of the United States by insurrectionary force. Nor is it a doubtful
principle of law that no contracts made in aid of such an attempt
can be enforced through the courts of the country whose government
is thus assailed. But was the contract of the parties to this suit
a contract of that character? Can it be fairly described as a
contract in aid of the Rebellion?"
After referring to
United States v.
Rice, 4 Wheat. 253, relating to the occupancy of
Castine, Maine, in the war of 1812, by the British forces, and
Fleming v.
Page, 9 How. 614, relating to the occupancy, during
the Mexican war, of Tampico, Mexico, by the troops of the United
States -- they being described as "cases of temporary possession of
territory by lawful and regular governments at war with the country
of which the territory so possessed was part," and during which
possession the obligations of the inhabitants to their respective
countries were held to have been suspended, although not abrogated
-- this Court said:
"The central government established for the insurgent states
differed from the temporary governments at Castine and Tampico in
the circumstance that its authority did not originate in lawful
acts of regular war; but it was not, on that account, less actual
or less supreme. And we think it must be classed among the
governments of which these are examples. It is to be observed that
the rights and obligations
Page 171 U. S. 394
of a belligerent were conceded to it, in its military character,
very soon after the war began, from motives of humanity and
expediency by the United States. The whole territory controlled by
it was thereafter held to be the enemy's territory, and the
inhabitants of that territory were held, in most respects, for
enemies. To the extent, then, of actual supremacy, however
unlawfully gained, in all matters of government within its military
lines, the power of the insurgent government cannot be questioned.
That supremacy did not justify acts of hostility to the United
States. How far it should excuse them must be left to the lawful
government upon the reestablishment of its authority. But it made
obedience to its authority in civil and local matters not only a
necessity, but a duty. Without such obedience, civil order was
impossible. It was by this government exercising its power
throughout an immense territory that the Confederate notes were
issued early in the war, and these notes in a short time became
almost exclusively the currency of the insurgent states. As
contracts in themselves, except in the contingency of successful
revolution, those notes were nullities, for, except in that event,
there could be no payor. They bore, indeed, this character upon
their face, for they were made payable only 'after the ratification
of a treaty of peace between the Confederate states and the United
States of America.' While the war lasted, however, they had a
certain contingent value, and were used as money in nearly all the
business transactions of many millions of people. They must be
regarded therefore as a currency imposed on the community by
irresistible force. It seems to follow as a necessary consequence
from this actual supremacy of the insurgent government as a
belligerent within the territory where it circulated, and from the
necessity of civil obedience on the part of all who remained in it,
that this currency must be considered in courts of law in the same
light as if it had been issued by a foreign government temporarily
occupying a part of the territory of the United States. Contracts
stipulating for payments in this currency cannot be regarded for
that reason only as made in aid of the foreign invasion in the
Page 171 U. S. 395
one case, or of the domestic insurrection in the other. They
have no necessary relations to the hostile government, whether
invading or insurgent. They are transactions in the ordinary course
of civil society, and though they may indirectly and remotely
promote the ends of the unlawful government, are without blame,
except when proved to have been entered into with actual intent to
further invasion or insurrection. We cannot doubt that such
contracts should be enforced in the courts of the United States,
after the restoration of peace, to the extent of their just
obligation."
In
Delmas v. Insurance
Co., 14 Wall. 661,
81 U. S. 665,
upon writ of error to the Supreme Court of Louisiana, one of the
questions presented was whether a judgment, which was otherwise
conceded to be a valid prior lien for the party in whose favor it
was rendered, was void because the consideration of the contract on
which the judgment was rendered was Confederate money. This Court
said:
"This Court has decided, in the case of
Thorington v.
Smith, 8 Wall. 1, that a contract was not void
because payable in Confederate money, and notwithstanding the
apparent division of opinion on this question in the case of
Hanauer
v. Woodruff, 10 Wall. 482, we are of opinion that,
on the general principle announced in
Thorington v. Smith,
the notes of the Confederacy actually circulating as money at the
time the contract was made may constitute a valid consideration for
such contract."
So, in
Planters' Bank v. Union
Bank, 16 Wall. 483,
83 U. S. 499,
it was a question whether Confederate Treasury notes had and
received by the defendants for the use of the plaintiffs were a
sufficient consideration for a promise, expressed or implied, to
pay anything, and it was held upon the authority of
Thorington
v. Smith, above cited, that
"a promise to pay in Confederate notes, in consideration of the
receipt of such notes and of drafts payable by them, cannot be
considered a
nudum pactum or an illegal contract."
Horn v.
Lockhart, 17 Wall. 570,
84 U. S.
573-575,
84 U. S. 580,
was a suit for an accounting as to funds in the hands of an
executor and to enforce the payment to legatees of their respective
shares. One of the questions in the case was whether the
defendant
Page 171 U. S. 396
was entitled to credit for a certain sum in Confederate notes
which, in March, 1864, he had deposited
"as executor in the Confederate states depository office at
Selma, Alabama, and received a certificate entitling him to
Confederate states four percent bonds to that amount."
The receiving of money by the executor in Confederate notes, and
the investment of such notes in Confederate bonds, were, it was
said, in strict accordance with laws passed by the Legislature of
Alabama in November, 1861, and November, 1863, when that state was
engaged in rebellion against the United States. The circuit court
held that the executor could not exonerate himself from liability
for the balance adjudged to be due the legatees by paying the same
in Confederate bonds; that, as a general rule, all transactions,
judgments, and decrees which took place in conformity with existing
laws in the Confederate states between the citizens thereof during
the late war "except such as were directly in aid of the Rebellion,
ought to stand good," and that the exception of such transactions
was a political necessity required by the dignity of the government
of the United States and by every principle of fidelity to the
Constitution and laws of our common country. Upon these grounds it
adjudged that the deposit by the executor of money of the estate in
a depository of the Confederate states could not be sustained, as
it was a direct contribution to the resources of the Confederate
government. The decree therefore was that the executor should pay
to plaintiff the sum so deposited by him in lawful money of the
United States. Upon appeal, the decree of the circuit court was
affirmed, three of the members of this Court dissenting. This Court
said:
"We admit that the acts of the several states in their
individual capacities, and of their different departments of
government, executive, judicial, and legislative, during the war,
so far as they did not impair or tend to impair the supremacy of
the national authority or the just rights of citizens under the
Constitution, are, in general, to be treated as valid and binding.
The existence of a state of insurrection and war did not loosen the
bonds of society or do away with civil government or the regular
administration of the laws. Order was
Page 171 U. S. 397
to be preserved, police regulations maintained, crime
prosecuted, property protected, contracts enforced, marriages
celebrated, estates settled, and the transfer and descent of
property regulated precisely as in time of peace. No one that we
are aware of seriously questions the validity of judicial or
legislative acts in the insurrectionary states touching these and
kindred subjects where they were not hostile in their purpose or
mode of enforcement to the authority of the national government and
did not impair the rights of citizens under the Constitution. The
validity of the action of the probate court of Alabama in the
present case in the settlement of the accounts of the executor we
do not question except so far as it approves the investment of
funds received by him in Confederate bonds, and directs payment to
the legatees of their distributive shares in those bonds. Its
action in this respect was an absolute nullity, and can afford no
protection to the executor in the courts of the United States."
In the
Confederate Note
Case, 19 Wall. 548,
86 U. S.
555-557, in which it was held that parol evidence was
admissible to prove that the word "dollars" in a contract made
during the Civil War meant in fact Confederate notes, the Court
said:
"The treasury notes of the Confederate government were issued
early in the war, and, though never made a legal tender, they soon
to a large extent took the place of coin in the insurgent states.
Within a short period, they became the principal currency in which
business in its multiplied forms was there transacted. The simplest
purchase of food in the market, as well as the largest dealings of
merchants, were generally made in this currency. Contracts thus
made, not designed to aid the insurrectionary government, could not
therefore without manifest injustice to the parties, be treated as
invalid between them. Hence, in
Thorington v. Smith, this
Court enforced a contract payable in these notes, treating them as
a currency imposed upon the community be a government of
irresistible force. As said in a later case, referring to this
decision:"
"It would have been a cruel and oppressive judgment if all the
transactions of the many millions of people composing the
inhabitants of the insurrectionary states, for the several
years
Page 171 U. S. 398
of the war, had been held tainted with illegality because of the
use of this forced currency, when those transactions were not made
with reference to the insurrectionary government."
"
Hanauer v. Woodruff, 15
Wall. 448."
Again:
"When the war closed, these notes, of course, became at once
valueless and ceased to be current, but contracts made upon their
purchasable quality, and in which they were designated as dollars,
existed in great numbers. It was at once evident that great
injustice would in many cases be done to parties if the terms used
were interpreted only by reference to the coinage of the United
States or their legal tender notes, instead of the standard adopted
by the parties. The legal standard and the conventional standard
differed, and justice to the parties could only be done by allowing
evidence of the sense in which they used the terms, and enforcing
the contracts thus interpreted."
Sprott v. United
States, 20 Wall. 459,
87 U. S.
460-462, was a suit against the government in the Court
of Claims under the Captured and Abandoned Property Act of March
12, 1863, c. 120, 12 Stat. 820, one of the provisions of which was
that a claimant, before being entitled to recover the proceeds of
the property, must prove that he had never given aid or comfort to
the Rebellion. It appeared that the cotton in question was sold to
the claimant by an agent of the Confederate states as
"cotton belonging to the Confederate states, and it was
understood by the claimant at the time of the purchase to be the
property of the rebel government, and was purchased as such."
After observing that the cotton had been in the possession and
under the control of the Confederate government, with claim of
title, and that it was taken by the Union forces during the last
days of the existence of that government, sold, and the proceeds
deposited in the Treasury, this Court said:
"The claimant now asserts a right to this money on the ground
that he was the owner of the cotton when it was so captured. This
claim of right or ownership he must prove in the Court of Claims.
He attempts to do so by showing that he purchased it of the
Confederate government, and paid them for it in money. In doing
this, he gave aid and assistance to the Rebellion in the most
efficient manner he possibly could.
Page 171 U. S. 399
He could not have aided that cause more acceptably if he had
entered its service and become a blockade runner, or under the
guise of a privateer had preyed upon the unoffending commerce of
his country. It is asking too much of a court of law sitting under
the authority of the government then struggling for existence
against a treason respectable only for the number and the force by
which it was supported to hold that one of its own citizens, owing
and acknowledging to it allegiance, can, by the proof of such a
transaction, establish a title to the property so obtained. The
proposition that there is in many cases a public policy which
forbids courts of justice to allow any validity to contracts
because of their tendency to affect injuriously the highest public
interests, and to undermine or destroy the safeguards of the social
fabric, is too well settled to admit of dispute. That any person
owing allegiance to an organized government can make a contract by
which, for the sake of gain, he contributes most substantially and
knowingly to the vital necessities of a treasonable conspiracy
against its existence, and then in a court of that government base
successfully his rights on such a transaction, is opposed to all
that we have learned of the invalidity of immoral contracts. A
clearer case of turpitude in the consideration of a contract can
hardly be imagined unless treason be taken out of the catalogue of
crimes."
The Court further said:
"The recognition of the existence and the validity of the acts
of the so-called Confederate government, and that of the states
which yielded a temporary support to that government, stand on very
different grounds and are governed by very different
considerations. The latter, in most, if not in all, instances
merely transferred the existing state organizations to the support
of a new and different national head. The same constitutions, the
same laws for the protection of property and personal rights,
remained and were administered by the same officers. These laws,
necessary in their recognition and administration to the existence
of organized society, were the same, with slight exceptions,
whether the authorities of the state acknowledged allegiance to the
true or the false federal power. They were the fundamental
principles for which civil society is organized
Page 171 U. S. 400
into government in all countries, and must be respected in their
administration under whatever temporary dominant authority they may
be exercised. It is only when, in the use of these powers,
substantial aid and comfort was given or intended to be given to
the Rebellion, when the functions necessarily reposed in the state
for the maintenance of civil society were perverted into the
manifest and intentional aid of treason against the government of
the Union, that their acts are void."
From these cases, it may be deduced:
That the transactions between persons actually residing within
the territory dominated by the government of the Confederate states
were not invalid for the reason only that they occurred under the
sanction of the laws of that government, or of any local government
recognizing its authority.
That within such territory, the preservation of order, the
maintenance of police regulations, the prosecution of crimes, the
protection of property, the enforcement of contracts, the
celebration of marriages, the settlement of estates, the transfer
and descent of property, and similar or kindred subjects were,
during the war, under the control of the local governments
constituting the so-called Confederate states.
That what occurred or was done in respect of such matters under
the authority of the laws of these local
de facto
governments should not be disregarded or held invalid merely
because those governments were organized in hostility to the Union
established by the national constitution; this because the
existence of war between the United States and the Confederate
states did not relieve those who were within the insurrectionary
lines from the necessity of civil obedience, nor destroy the bonds
of society, nor do away with civil government or the regular
administration of the laws, and because transactions in the
ordinary course of civil society as organized within the enemy's
territory, although they may have indirectly or remotely promoted
the ends of the
de facto or unlawful government organized
to effect a dissolution of the Union, were without blame "except
when proved to have been entered into with actual intent to further
invasion or insurrection." And
Page 171 U. S. 401
That judicial and legislative acts in the respective states
composing the so-called Confederate states should be respected by
the courts if they were not
"hostile in their purpose or mode of enforcement to the
authority of the national government, and did not impair the rights
of citizens under the Constitution."
Applying these principles to the case before us, we are of
opinion that the mere investment by Hunter, as guardian, of the
Confederate funds or currency of his ward in bonds of the
Confederate states should be deemed a transaction in the ordinary
course of civil society, and not necessarily one conceived and
completed with an actual intent thereby to aid in the destruction
of the government of the Union. If contracts between parties
resident within the lines of the insurrectionary states,
stipulating for payment in Confederate notes issued in furtherance
of the scheme to overturn the authority of the United States within
the territory dominated by the Confederate states, were not to be
regarded, for that reason only, as invalid, it is difficult to
perceive why a different principle should be applied to the
investment by a guardian of his ward's Confederate notes or
currency in Confederate bonds, both guardian and ward residing at
that time, as they did from the commencement of the Civil War,
within the Confederate lines and under subjection to the
Confederate states.
As to the question of the intent with which this investment was
made, all doubt is removed by the agreement of the parties at the
trial that the investment was
bona fide and that the only
question made was as to its legality. We interpret this agreement
as meaning that the guardian had in view only the best financial
interests of the ward in the situation in which both were placed,
and that he was not moved to make the investment with the purpose
in that way to obstruct the United States in its efforts to
suppress armed rebellion. We are unwilling to hold that the mere
investment in Confederate states bonds -- no actual intent to
impair the rights of the United States appearing -- was illegal as
between the guardian and ward.
Page 171 U. S. 402
It is said, however, that any such conclusion is inconsistent
with the decision in
Lamar v. Micou, 112 U.
S. 452,
112 U. S. 476.
That was a suit in the Circuit Court of the United States for the
Southern District of New York, having been removed thereto from the
Supreme Court of that state. One of the questions arising in that
case was as to the liability of a guardian for moneys belonging to
his wards which were invested by him during the Civil War in bonds
of the Confederate states. This Court said:
"Other moneys of the wards in Lamar's hands, arising either from
dividends which he had received on their behalf or from interest
with which he charged himself upon sums not invested, were used in
the purchase of bonds of the Confederate states and of the State of
Alabama. The investment in bonds of the Confederate states was
clearly unlawful, and no legislative act or judicial decree or
decision of any state could justify it. The so-called Confederate
government was in no sense a lawful government, but was a mere
government of force, having its origin and foundation in rebellion
against the United States. The notes and bonds issued in its name
and for its support have no legal value as money or property except
by agreement or acceptance of parties capable of contracting with
each other, and can never be regarded by a court sitting under the
authority of the United States as securities in which trust funds
might be lawfully invested.
Thorington v. Smith, 8 Wall.
1;
Head v. Starke, Chase 312;
Horn v.
Lockhart, 17 Wall. 570;
Confederate Note
Case, 19 Wall. 548;
Sprott v. United
States, 20 Wall. 459;
Fretz v.
Stover, 22 Wall. 198;
Alexander v. Bryan,
110 U. S.
414. An infant has no capacity by contract with his
guardian or by assent to his unlawful acts to affect his own
rights. The case is governed in this particular by the decision in
Horn v. Lockhart, in which it was held that an executor
was not discharged from his liability to legatees by having
invested funds pursuant to a statute of the state, and with the
approval of the probate court by which he had been appointed, in
bonds of the Confederate states, which became worthless in his
hands."
It was, of course, intended that this language of the court
Page 171 U. S. 403
be taken in connection with the history of the guardian's
transactions as disclosed in the full and careful statement of the
case that preceded the opinion. It appears from that statement that
the guardian was appointed prior to the war by the Surrogate of
Richmond County, New York, in which state he at that time (1855)
resided; that immediately upon his appointment, he received, in New
York, several thousand dollars belonging to each of his wards, and
invested part of it in 1856 in the stock of a New York bank, and a
part in 1857 in the stock of a Georgia bank, each bank then paying
good annual dividends; that in 1861 he had a temporary residence in
New York; that, upon the breaking out of the Rebellion, he removed
all his property and voluntarily left New York, passing through the
lines to Savannah, where he took up his residence, sympathizing
with the Rebellion, and doing all that was in his power to
accomplish its success, until January, 1865, and that he took up
his residence again in New York in 1872 or 1873, after which time
he lived in that city. It further appeared that of the money of his
wards accruing from bank stocks he, in 1862, invested $7,000 in
bonds of the Confederate states and of the State of Alabama, and
afterwards sold the Alabama bonds and invested the proceeds in
Confederate states bonds. It thus appears that
Lamar v.
Micou was a case in which the guardian, becoming such under
the laws of New York, in violation of his duty to the country, and
after the war became flagrant, voluntarily went into the
Confederate lines, and there gave aid and comfort to the Rebellion,
and yet he asked that the investment of his wards' money in
Confederate states bonds receive the sanction of the courts sitting
in the state under the authority of whose laws he became and acted
as guardian.
Besides, it is distinctly stated in the opinion in that case
that the sums which Lamar used in the purchase of bonds of the
Confederate states were moneys of the wards in his hands "arising
either from dividends which he had received in their behalf, or
from interest with which he charged himself upon sums not
invested," 112 U.S.
112 U. S. 476,
which is a very different thing from reinvesting (as in the present
case) in
Page 171 U. S. 404
Confederate currency moneys previously received in the like kind
of currency. The present case is governed by considerations that do
not apply to that case. We do not doubt the correctness of the
decision in
Lamar v. Micou upon its facts as set out in
the report of that case; but we hold in the present case, for the
reasons we have stated, that the judgment of the Supreme Court of
Georgia must be
Affirmed.