Also known as:emits · emitted · emitting · emission · issue
Written by attorneys · grounded in primary & secondary sources — see below
An action by which a government or authorized entity puts paper currency or bills of credit into circulation. The term appears in constitutional prohibitions that bar states from engaging in this conduct without congressional consent.
Sources & Authorities· 37 primary sources
Select any source to read its text and confirm it supports the definition.
Cases
Statutes
How it applies
Common Examples
6
State Issues Bills of Credit
The legislature of State A enacts a statute directing the state treasurer to print and distribute promissory notes intended to circulate as money. Private parties refuse the notes, and a court declares the emission unconstitutional under the federal prohibition.
State Bank Notes Circulate
State B charters a bank whose notes are made legal tender for state taxes and debts. Holders present the notes to discharge obligations, prompting a challenge that the arrangement constitutes an emission of bills of credit forbidden to states.
Congressional Consent Sought
State C proposes to issue interest-bearing certificates to pay public creditors and seeks congressional approval before circulation. Without consent the plan would violate the constitutional bar on state emissions of bills of credit.
State D prints certificates promising future payment in gold and allows their use to satisfy state obligations. The promise of redemption does not save the instruments from classification as an unconstitutional emission of bills of credit.
Private Bank Notes Distinguished
A privately owned bank chartered by State E issues its own notes. Because the state itself does not emit the instruments, the constitutional prohibition does not apply even though the notes circulate within the state.
Federal Government Unaffected
Congress authorizes the Treasury to issue United States notes during wartime. The constitutional restriction on emitting bills of credit applies only to states and imposes no limit on federal power to issue currency.
Common questions
Frequently Asked
3
What does the Constitution prohibit states from emitting?+
The Constitution bars states from emitting bills of credit, which means issuing paper currency or similar instruments intended to circulate as money.
Does the prohibition on emitting bills of credit apply only to states?+
Yes. The clause directly restricts state action and does not limit the federal government, which may issue currency under its enumerated powers.
What remedies follow when a state attempts to emit bills of credit?+
Courts treat the emission as unconstitutional and may enjoin enforcement or declare the instruments invalid, consistent with the Supremacy Clause.
5 U.S. (1 Cranch) 137 (1803)Property
…February 24, 1803 - Judges: Chief Justice Marshall Syllabus The Supreme Court of the United States has not power to issue a mandamus to a Secretary of State of the United States, it being an exercise of original jurisdiction not warranted by the Constitution. Congress have not power to give original…