15661. Commercial Bank (New York, NY)

Bank Information

Episode Type: Suspension → Reopening
Bank Type: state
Start Date: June 1, 1837*
Location: New York, New York (40.714, -74.006)

Metadata

Model: gpt-5-mini
Short Digest: 2d7566bc

Response Measures

None

Description

The articles (June–Oct 1837) describe the Commercial Bank's refusal to pay specie and refer repeatedly to a prior suspension of specie payments and to litigation (Windt v. Commercial) that forced payments. There is no description of a depositor run in these pieces. Several articles urge resumption of specie payments and celebrate a jury verdict against the bank, suggesting the bank was expected or pressured to resume. No clear statement that the bank permanently closed or was placed in receivership; therefore I classify as a suspension with subsequent resumption (suspension_reopening). Date information is imprecise in the articles; the suspension is contemporaneous with mid‑1837 suspensions of many banks.

Events (1)

1. June 1, 1837* Suspension

Cause: Macro News
Cause Details: Part of the widespread 1837 suspension of specie payments across banks (systemic banking distress and panic/speculative collapse), not an isolated rumor or single-bank insolvency; articles refer to general suspension and legal/political issues surrounding resumption of specie payments.
Newspaper Excerpt: Since the suspension took place, there is a general conspiracy among the confederates of banks... By the recent suspension of specie payments, with specie in their vaults, the banks have adopted the principles of pickpockets and thieves.
Source: newspapers

Newspaper Articles (6)

1. June 2, 1837 Morning Herald New York, NY

Article from Morning Herald, June 2, 1837

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days ago a gentleman called at the Co. 'nmercial Bank with one of their recent issues-a $14 bill. He wanted it changed. It was refused. He said he would take paper for paper-he would take anything-their note was utterly worthless to him, he could not use it at all in its present shape. The officers of the bank would not change it in any form, on in any way. This is a sample of the many impositions win ch the broken and fraudulent banks are practising on the community. Various other of the banks are eng. aged in similar practices: In consequence of these impositions on the part of the banks, the city begins to be flooded with all kin ds of shin plasters and irredeemable paper money. Since the suspension took place, there is a general cons, i-racy among the confederates of banks to cheat tin community on a grand seale. Such a state of things, such a complete prostration of all morals and integrity, never disgraced any country as they are now disgracing this devoted land. Talk of pickpookets, thieves, burglars, robbers, or banditti,, of Spain or Italy-they are nothing to the schemes of gross-fraud perpetrated by the banks-a scheme invented to ir-dulge mere licentiousness-to keep up prices and to cheat the laborer out of his lader. Is there no remedy? no resource left to the people? no check capable of being put to this audbeious scheme of general fraud? The institutions of a free country ought to ba-capa-ble of setting to rights every evil, and correcting every disorder. From their very natare, the institutions of a land of laws, check and balance cac other. As in the frame of government-the differentalegislatures and the several departments of which they are composed, c'neck and countercheck each other, so, in general society our civil and commercial institutions have the same reconstruetive and purifying power. The criminal institutions of a free country and a land of laws, form the check to the moral axcesses of all others. By the recent suspension of specie payments, with specie in their vaults, the banks have adopted the principles of pickpockets and thieves. Are the latter to be punished, and the former to escape? It is time for the people to inquire into this point. In 1826, the managers of several bond companies were indicted and punished for conduet less daring-less culpable-less oppressive than that perpetrated by the broken banks of 1337. The statutes are clear. All the managers of the broken banks, who continue to refuse small change to the people, are indictable at common and statute law, and ought to be punished, as well as the smaller pickpockets. Why should banks be permitted to hand over their specie to the large, rich exchange houses, and deprive the poor of their rights? There is gross, barefaced, palpable, wicked injustice on its face. There is a remedy in the institutions of a free country for general as well as individual fraud. Let a great public meeting be called to prepare indictments against all the corrupt broken bank managers of New York. That is the way to bring them to their senses. Be moving, good people-but with no riots. # NEW WAY TO PUT DOWN A RIVAL IN TRADE. We yesterday alluded to a recent fracas in a cash auction store in Pearl street, Sill & Aaron's, corner of Maiden Lane, and promised to give a further exposition of the affair today. We now proceed to that duty. It will be recollected that for two years past, various complaints have been got up at the police office against the cash dealers in Pearl strect and that neighborhood, accusing them of cheatery and fraud in the sale of their commodities. All these complaints have invariably ended in smoke. The spirit that generated thera was the remains of the old anti-auction mania of some eight years past. The cash system, recently introduced by certain dealers in Pearl street, has been an eyesore to the long winded jobbers of that region, many of whom have fallen in consequence in the recent revulsion. The complaints at the police were instigated by them to put down rivals in trade. Failing hitherto in that plan, they have recently adopted the more expeditious method of mob law-the creation of a riot-raising a hue and cry in the Wall street prints, and endeavoring thus to frig'at-en away people from doing business on the cash system. The first experiment on this new mode was made on the store of Sill & Aaron, corner of Pearl street and Maiden Lane. The facts of the case, as far as we can gather, are substantially these:- A young man went into the store of Sill and Aaron, on Monday afternoon while the sale was going on. There was a box of jewelry put on the counter for the salesman. On the latter commencing to call the goods off, the young man asked to see the goods, and Mr. Aaron took the goods and put them near him. The young man laid hold and turned the box up side down, scattering them on the counter and floor. The salesman requested him "to put the goods in the box." He answered him, "it you will come into the street, I will put you in," making use of noisy and abusive language. A clerk in the store requested him to make less noise, and not to talk quite so loud. He told the clerk "go to hell." Mr. Aaron then told him to leave the store. The young man struck at Mr. A. and made use of abusive language. Mr. A. jumped over the counter and put him out of the store, and told him to stay out. He attempted to come in two or three times, and Mr. A. kept him out. A person well known, then came up and asked "what the matter was?" and said "if they have not acted straight, we will make them straight-we want to get hold of those fellows-we will mob them;" and immediately there was a row kicked up, and the store was filled in a very few moments. Mr. A. then attempted to close the doors, when several men cried out, "the doors shall not be closed-we will mob them." Mr. A. then got up on the counter, and asked the mob "what they wanted?" told them "if they wished to take the goods, they could do so upon their own responsibility, or if they wished his body, they could have it," endeavoring in every way to quell the row, and making no defence to resist the mob. There was not a blow struck till a young man, not connected with the store in any way, came in and asked "what the matter was?" when one of the instigators

2. July 27, 1837 Morning Herald New York, NY

Article from Morning Herald, July 27, 1837

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be recoverable by the party prosecuting, unless the amount of the debt or damages recovered shall be such as would entitle the plaintiff to costs, were the judgment againsta natural person; and every issue of law and of fact joined in such suit, shall brought to trial according to the same rules as apply to other issues joined in the court where the suit pending, notwithstanding the provisions of section 11 of title of chapter 8, of the 3d part of the Revised Statutes; and the provisions of section 8, and 10 of title 4, chap. 8 of the 3d part of the Revised Statutes shall not be applicable to such suits. He then called the following witnesses Daniel E. Tylee, a Director in the Chambers street Bank of Savings; the notes presented are genuine notes of the Commercial Bank am often in the habit of receiving and examining the notes of the said institution; they have not the slightestap pearance of being forgeries; the signatures haveno doubt are genuine. Alderman Brady, examined-I am acquainted with the hand writing of George D. Strong; have often seen him write; 1 have no doubt but that the signature on those notes i in his own hand writing. Saml. McCoy, examined--I am in the employ of Mr. Windt by his direction I took those notes to the Commercial Bank I presented them for payment the Cashier offered me other notes in exchange; told him I wanted specie; he said the bank does not pay specie ; he refused to give me specie for them: I therefore brought them back and returned them to Mr. Windt Cross examined-I refused the notes the cashier of the bank offered me, having been told to receive nothing but specie for the notes I presented I am certain the notes the same notes; 1 marked them; marked one in particular; I will not be quite positive that I marked the others; I believe a Mr. Hunt marked them. Mr. Sandford, of the firm of Graham, Sandford & Martin, appeared for the defence. His argument to the jury was-first, there was Iro proof of the bills being genuine; secondly, it was not made out that the bills now claimed were the bills originally presented for payment; thirdly, the jury had no evidence that the bills he claimed belonged to the plaintiff fourthly, the bank had made a legal tender under the suspension act, when its cashier offered toredeem.j bills presented by the boy, McCoy, with current no of other banks; fifthly, that by persisting to demand specie, and refusing the aforesaid current bank bills, the debt due by the bank was virtually cancelled sixthly, that the bank was borne out by the suspenSIGN act in refusing to redeemits notesin specie. Mr. Soule briefly replied, and read the Revised Statutes, title 4, sections 8, 9, 10, 11, 12, under which he contended this action could be properly maintained. Judge Irving charged the jury. His honor said: The questions for the jury to decide upon were chiefif under the suspension act the banks were justified in their refusal o pay specie-if net, such refusal would evidently be a forfeiture of their charter. By this it must be clear that any bank refusing to pay specie could be immediately wound up. There was a rule of law that an action brought against bank, no matter whalever were its numerical order, should have precedence of all others on the calendar. The legislature had, however, passed a law, by which the operation of this rule was suspended for one year. The cause had however come before them in its equivocation, therefore, on this point, was put an end to. His honor then commented on the evidence respecting the proof of the genuineness of the billsthe signatures, &c. which he said had been incontestibly proved to be genuine. The judge concluded by remarking-"T jury must decide whether the refusal of the plaintiff's agent to receive current bank bills for the ones presented was a valid defence for the bank against the claim now set up by the plaintiff. If the suspension act comprehended this, and contemplated that a tender of the promissory notes of other banks should be an equivalent to the offer of specie, then the Commercial Bank was entitled to a verdict. It was not so expressed the jury, therefore, were to decide if such was its intent and meaning. The jury could do this with the greater safety, since there was no doubt the question would be brought before the supreme court for ultimate decision. The jury, after five minutes' deliberation, returned a verdict for the plaintiff against the bank of 854, with the interest accruing on the same since the day of presentation, the 8th of June last, which by the 12 sec. title 4, Rev. Statutes, is ten per cent. MARINE COURT, July 28th. The Commissioners of the Alms House of the city of New York versus Rawson & McMurray. This was a suit arising out of breach of the alien importation laws. Mr. Blunt opened the case to the jury. He stated that the action was brought to compel the defendants to pay for the support of Margaret McClure, an alien, brought to this country in the British ship Francis. This vessel arrived at Perth Amboy on the 24th of last April, having on board between 200 and 300 passengers. The captain on his arrival, after having gone thirty miles out of his course, in order to elude our laws, hired a small craft, in which his unfortunate passengers were compelled to embark with their baggage, and they were landed at Hackensack bridge.The captain of the sloop, from a feeling of humanity, advanced to twoindividuals the means transporting of themselves to New York. Both of these persons, one whom is a female, are now chargeable on the public, e being both in the alms house. The female who extremely sick, has a brother-in law in this city, but not being enabled to support her himself, be applied to Rawson & McMurray to procure assistance from them. A physician had been to see her, and written a prescription, and recommended the patient to take a little wine and porter occasionally, The brother-inlaw carried this to the agents, Rawson & McMurray, who replied they would have nothing to do with h and one of them tore the prescription inte pieces.The brother-in-law therefore applied to Mr. Mann, the Director of the Alms House, who has had the woman properly taken care of, and the Commissioners, through the Corporation Attorney, now have brought their action to oblige these humane agents to furnish something towards the support of the beings they have imported and fastened upon us. Robert Johnston, examined-- am one of the firm of Ward, Johnston & Barroughs; I know the ship Francis; she is a British vessel; she landed at Perth Amboy in April last over 130 passengers; the vessel was not consigned to us; the captain brought a letter of recommendation to our firm I did not see the manifest the defendants in this suit did not take charge of the vessel the captain paid the commutation tax, after the vessel had been in New York think three days. Bath McClure, examined I remember the landing of the passengers, &c. at Hackensack bridge; my sister was on board the Francis: she had been sick of typhus fever. [The witness then went o to prove the facts as stated by Mr. Blunt in is opening speech.) Two or three other witnesses were called to prove the facts as stated. evidence clearly established them. The jury returned a verdict against McMurray. The Commissioner of the Alma House can compel

3. July 27, 1837 Morning Herald New York, NY

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By the Southern Express. of Our advices are from New Orleans to the 19th July. The New Orleans papers were busy in speculations upon the news by the Oxford. The U. S. sloop-of-w Boston was off Gaiveston, Texas, OR the 11th, with despatches from Commodore been Dallas to the general government, not having able to get satisfaction from Mexico aggressionson our flag. Mr. Van Buren will now have a chance of kicking up a row with the Don. For some years past, a negro ruffian by the name of of has been concealed in the marshes back He has killed several men, On the 17th, he to ways New Squire Orleans. escaped. attempted Castilian shoot and turn- al- a Spaniard, but failing in the design, the ed on him, knocked him down, and beat out the his brains. The body of the wretch was exposed on public square, for the inspection of the curious. without Squire was the Massaroni of the Orleans swamps, the latter's good qualities. The police of the First Municipality is in full and satisfactory operation. Steamboats are now plying regularly from New of Orleans to Brazos, Matagorda, and other Constitu- ports Texas. The Convoy, the Orleans and the are on the line. They are going to introduce five tion steamers upon the various Texian rivers. In their fertile banks will be thickly inhabited. years Great complaint made in New Orleanso account Dr. of the offensive condition of the grave yards. A Plough has invented a new sort of cemetry by which dead can be properly buried. His plan does will not take the with the nabobs. It is to be hoped that he be sustained by the mideling class of citizens. The cow money of Texas, says the Orleans Adver- of is nothing more than the circulating medium tiser, and Italy. Those countries used the pecas for money and and hence their term old cattle Greece sheep,&c. pecunia or when they came to use metals with cows, derived stamped upon them. Even our word coin is Texfrom the Saxon kine, and signifying cattle. The to bless themselves that they have not rags place ans represent may their cows, as no suspension can take in the bank of old Dame Nature. The Orleans Picayune is very severe against duelling. Can our friend Kendall stop madmen from killing themselves in their own way McKeen of Columbus, Ga., proposes to carry 15 to Mr. the wharf at Mobile vessels drawing from elastic 20 up feet to water, by means of his cylindric gum buoys. the latest news from the Indians. We give AND AUTHENTIC FROM FORT King.-From we have LATEST correspondent at Black Creek interesting our attentive the following, which will prove 1937.-Dear received CREEK, FLORIDA, July 12th, authentic Sir,-Below BLACK you have the latest and most information from I will the interior. forward you a " list of &c. all &c. the In my the next Territory, with the force at each, excesposts in have suffered much from the unusually hasrangWe season. The thermometer 104. sive ed within heat of the the lest ten days from 95 degrees have to but little FORT KING, You have heard, about one hundred are in this and another party of the same chiefs not Johns, presume, Indian news that to FA., communicate. July 11th.-" Indians number, on the St. to vicinity, people, or to interfere some promolest met one or two of our white hunting, with orders from their with Indians to their come perty, and sent word that they wished would have days since, do so with safety; that Indians, could They they Creek if they before had they seen any wishes in communicate their to enable them to Word was then sent that they that been peace &.C. five made it was come in, and the next day four &c. or They say might their planted appearance melons with and melons, corn that beef, before the corn they will left this not they country last spring, having been amount part of the to much in consequence of not freed of weeds one in season. of the Indians from that been time to until Fort "I missed he returned; he had reyesterday, Mellon or Phillip's when town, to inform them of their ception. this time they said they were to and return that It over is about the line established to by go treaty, to St. Augusfive or six commanding officer a and to see they wish to trade at Gen. this Jesup was (with pleased to learn that and tine, they go appeared which of the their chiefs were about place,) with store, them, there. have their women and children not intend reThey conclusively shows that they do only waitwhich hostilities, and talk as if they to were quit the coungian of July 20. newing ing try for agreeable the sickly to season their to pass off, -Savannah Georversus COURT OF COMMON PLEAS, the July Commercial 25th-BeforeJudge Bank Irving. John Windt of New the This action city of the refusal was York. brought of the by Commercial in the specie. plaintiff Bank Mr. to test Windt to the relegality promissary notes Commercial Bank, deem its holder of the notes of the the bank instructbeing a of 854, sent them to same. The to the amount bearer to demand specie for the notes in ing the refused to redeem the teller of the bills of other banks in the prebut current Bank and exchange coin, offered notes; this was rejected, to make sent suit for their own instituted to compel the Bank specie payment. appeared for the plaintiff, and stated action the case Mr. to Soule the jury. He said, against The present an individual, brought against ction of " An act, to suspend under certain provisions of affairs, I ited to compel the Bank to wind to proceed to force the the time second the S Bank as law," Bank &c. upits It for was but, on the in an honest and the ennot brought business contrary, equitable fulfil manner with its President and Directors to into with the to oblige its had voluntarily entered to gagements which the public had a Commerpublic, them strictly to perform. merely as compel and they case, stood The just right cial Bank, in the present stand to his ereditor an were indebted to his client and through in individual debtor would sought Mr Windt, The bank 854. Payment was The the hands of will argue that they have paybank the sum perhaps of jury payment would be other obtained. tendered promises offer they made of sundry But was ment, in lieu of their own at all in the strict this a legal term 1 It certainly was not. given to pay in the the tender- it promisory to thisbank-having a tender notes. Suppose sense an of individual indebted would the bank, when the ? it note his note became for the due, amount receive another What note right. in then. payment has would net We Ilknow

4. July 28, 1837 Morning Herald New York, NY

Article from Morning Herald, July 28, 1837

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MORNING HERALD. RIDA JULY 28, 1837. VerResumption of Specie Payments--Th Bank. The against the Commercial diet we can learn, the recent verdict of the As far as the Commercial Bank to become owe, jury compelling to pay its debts, which they justly a of great themselves to the pu lic tled has honest created the and jurors feeling approbation, when thanks specie and of enti- and the community. At this moment, other, whole are nearly within 5 or 6 per cent of each comes paper refusal of any bank to pay its bills in coin, merits very the near being rank swindling, and almost the States Prison. We speak of these things in good old English, so may be understood. Towards the banking intethat we conducted on principles of honor and be fasystem, we are always, have been, and ever will grity, but towards any species of or S we trust we ever shall be vorable; nal fraud, chartered opposed. among perThe verdict of this jury has be n SO popular has been mass of the people, that a call made the great on us for their names. We have procured them, as follows: Hanning Crack, grecer, 172 Houston William street. street. P. Flandrow, turner, 243 street. John Isaac T. Storm, merchant, Houston 12 Greenwich street. James Phelan, grocer, 199 Lispenard street. Sands, importer, 62 Madison street. Richd. C.H. Lawrence, merchant. 87 street. Perly Bartlett Pillow, gentleman, hat dresser, 30 Bewery. 54 Division William Smith H. Clapp, grocer, 1 First Avenue. street. Abel Everitt, merchant, 97 William street. Phiness Davis, merchant, 67 Pike Samuel Morrill, C. com. merchant, 282 William conduct street. George courage which has marked the augus well for the of institutions. The great conflict but publican The these moral men, durability is law, begun, of our not re- on of metaphysical, constitutional on a moral principle which is at order. The suspension of of the social great point specie the foundation payments, brought the fraudulent suspension law, were in the and ut by a terrible state of demoralization For many ab classes of politicians and bankers. the legislature, under the than a years men, has been little higher of past corrupt unprincipled better generating coun- hell sels perpetrating all sorts of gambling, and With for of roguery upon public credulity. a series of every species Safety Fund System, began almost oblitethe famous which have at length and demoralizations, ancient principles of justice, integrity, educated rated the every institution, and every legishonor, from have constitutions, laws, governors, to lators, mind. judges, We witness but of late the havoc years, that it is has melancholy been society.- made look back thing and valueble and honorable remained in pure, in every of the jury has alone of the age, The institution the power of the corruption Bank is the and beyond decision against the Commercial mind and the that will gradually lead the public ancestors. first step example and principles of our discontented back to the that the Commercial Bank, will carry up It is said decision of twelve honest men, Commercial wish the the Supreme Court. Let the indigthe case to other bank, dare to cast such an months, Bank, or any trial, and they will, in three such recusant nity on a jury it will produce against all thousand such see the effect Better would it be that a of the institutions. swindlers were razed from the face to destroy chartered for one moment to permit them the jury, or to earth, than void, the great institution of of every throw and render shackles upon the unalienable rights man We to cannot, recover and his will property. Bank not will believe, permit that their the officers Directors to of the Commercial of freemen, by carrying.so plain the a plain- case insult a before jury another court. Let them pay point-to as this verdict and costs. In a financial Bank, as tiff his of the moral-the Commercial it their interest say nothing other bank, will find well as every payments at once. Small silver specie There is plenty to resume now in the country. quantity, of change specie is selling in Wall street, less. in any Where is the at 5 per in cent, any and bank sometimes resuming specie payments, but we lose and difficulty be honest ? They may reply, the trying to Ought they not to lose for premium? that purthe premium." not chartered and privileged Were they At this moment the evils of the suspension mass of pose? heavier and heavier on the great its glory, are pressing people. Private banking is at last has in almost bethe disgrace. Every boot black end we know and its banker, and when it is to on comea private have been making an experiment class priof vate not. banking, We and thus far it has digusted every society. the banks in this city resume specie payLet all There is no obstacle but a premium bonus ments at once. six cent-they ought to pay that five or In one week after such miserable trash now afloat, will and tion. for of their the privileges. per acquire entirely resump- beget disBy such conduct they will paid, appear. confidence. The foreign debt is nearly republic difficulty disappearing. Resume, resume, against and all If you de not suits will be commenced or have same. bushel, till you must either resume. indigyou by the paper factories, to avoid public shut up The your great institutions of this country and are nation. on justice-moral principles-integrity and mine honor, founded and no array of banks dare sap them any longer. ELECTION.- evening a report Baltimore was BALTIMORE in this city that the election in majority prevalent terminated in favor of the Whigs by a light on of had This morning's mail will throw some Heraid. the 185. subject, which will be given in the Evening LATE DUEL We are enabled to answer relative the to THE of our correspondent yesterday, enquiries affair of honor. Mr. G. did not give his any fire. the recent to Mr. B. that he would not return intimation intimation was made to his second only. of Again, two, The shot was fired by the parties, instead Master as only we one had erroneously stated. And again,

5. August 19, 1837 The Columbia Democrat Bloomsburg, PA

Article from The Columbia Democrat, August 19, 1837

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BALTIMORE, August 5. # THE BANKS. The following is the concluding paragraph of the letter of the New York correspon-dent of the Merchant, which we take from that paper of yesterday. We lay it before our readers as one of "the signs of the times." We know no one subject upon which so great an unanimity of opinion exists, as that of an early resumption of specie payment by the banks. Excepting the speculators and shavers, there is but one voice on the subject. "The North River Bank this day paid $65 and costs upon a suit brought against them before the case went to trial. Suits are multiplying every day upon these sus-pended banks, Bill holders begin to look up since the decision in the case of Windt vs. the Commercial. A storm is brewing. The only way for the banks to escape it is to resume at once. You cannot pick a jury out of five hundred men, that would give a verdict in favor of a bank that will not re-deem its notes on demand."—Republican.

6. October 6, 1837 Morning Herald New York, NY

Article from Morning Herald, October 6, 1837

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a year or two before had been at the bottom of the roll but had advanced onwards by paper money and wild speculation. They were not content to have emulation in business, they must also have emulation in personal and household expense. At last, it became almost necessary-if a man wished to keep up his credit-that he should live as lavishly as his neighbor. Expense became a sort of test of a man's fortune, and the result was, that those who were tottering over the precipice plunged deeper than ever in expense, to maintain the show of wealth. The London Times says:- Some interest is felt in the city about the mode in which the considerable amount of bills understood to be returned for non-payment into the great cotton state of Alabama will be dealt with there by the parties concerned. The Legislature of that State, it will be remembered, protected their banks by a legislative enactment against the resumption of specie payments for a term of three years absolute, unless during that time the State Bank of Mobile should find itself prepared to dispense with this restriction, in which event, by six months' notice given of their intention to redeem their paper in specie, all other banks were bound to do the same, or close their doors to business. The paper of all these banks is of course at a considerable discount in all the places of issue, and much more so in other states of the union, where it has never formed part of the circulation, and therefore does not stand on a par with the paper of banks locally known, and long the medium of business transactions. There could be no difficulty as to the manner in which the returned bills would be taken up in the absence of specie, if, as probably would be offered, the general practice of New York were followed. That is, to the amount of the bill, with the expenses of exchange and re-exchange, is added to the difference of the premium between specie to which the billholder is entitled, and the bank paper, in which only he can be, and is paid. It is stated that some of the Alabama billholders are likely to dissent from this course, and to insist upon specie, and that proceedings will be instituted on occasions arising out of these transactions against the Governor and Legislature of the state, who, it is contended, had no legal or constitutional right to supersede or suspend the action of bank charters originally granted by themselves, and on the faith of whose provisions, which render specie payment of notes obligatory on demand, commercial and other persons resident in other parts of the union, in New York or New Orleans for example, have been induced to act, and have suffered damage in consequence. Such actions would be brought of course in the Supreme Court of Justice of the Union, which alone is empowered to take cognizance without appeal of all suits between one state of the Union and another, or between the inhabitants of one state against a state itself, of which they are not subjects. The suspension of specie payments threatens, indeed, to provide employment for the lawyers both in the state courts and those of the union. Some instances have been given heretofore of this kind of litigation. By the papers last received from New York it appears that one cause has been tried and decided against the banks. A Mr. John Windt had obtained a judgment in the state or city court of New York against the Commercial Bank for $55, upon their refusal to pay the notes in specie. The cause, it is said, was to be carried to a higher tribunal. Thus, with powerful banking corporations, to whom law charges are no object, individuals contend at a serious disadvantage. LIVERPOOL. The Orpheus, Capt. BURSLEY, arrived at this port from New York on Tuesday night, and has brought us American papers to the 2d of August. In another column will be found a copious account of the Cotton Market, from July 26 to the above date. It contains some interesting information, and the speculations relative to the advantages which England may derive from Texas, a cotton-producing and manufacture-consuming country, are entitled to serious considerations. It is clear, that if the trade to Texas be properly cultivated-and not over-pushed, a new and extensive market may there be opened for the sale of our principal manufactures. Besides, if what the New York Herald states be true, cotton will probably be much cheaper in Texas than in Charleston, Savannah, New Orleans, Augusta or Mobile. Thus, England will have the double advantage of being able to purchase at a lower rate than at present, and of having a new market for the sale of her own manufactures. Our fear is, not that the enterprise of English traders will fail to take advantage of this, but that there may be a run upon it. This fear is augmented by the knowledge that our commercial relations with the United States were primarily embarrassed, nearly as much by English over-trading, which created incaution, as by American over-speculation, which eventuated in dishonest bankruptcy. We remember, too, what took place when the trade to India was partially opened, by the modification of the East India Charter, in 1812. There was a general rush to supply British manufactures, which had previously been introduced by us through the East India Company, and the result was, the supply so far exceeded the demand, that-except such cargoes as had been the very earliest in the market-the greater portion of the goods so sent out were unsaleable at almost any price, and finally were disposed of at less than the cost prices!-Liverpool Mail, Aug. 26. ### THE IRON TRADE. The demand for iron of all descriptions made in this neighborhood has become unprecedentedly great; so much so, that many of the makers have determined to close their order books and reject orders at any price. We understand that the stocks of iron in dealers hands throughout the empire are remarkably small, owing to the expectation that prices would still recede. The reaction upon this important branch of business has come so suddenly, that many persons conversant with the trade have not been aware of the advance of prices in time to have their orders entered by the makers. The nominal price of bars is 7l. per ton, and of No. 1 foundry pig-iron, 4l. 10s. on board at Newport. -Monmouth Merlin. ### STATE OF TRADE. MANCHESTER. There was a very good demand for yarn yesterday, especially for lower a middling numbers of water twist, for which an advance of about a halfpenny per pound was very generally obtained. There was also a fair demand for goods, and prices were firm, but without any change. -Manchester Guardian. BLACKBURN. We are unfeignedly glad to perceive that the late distressing stagnation in the staple trade of this country seems to be giving way to a more encouraging state of things. Intelligence from all parts testify considerable and progressive improvement. The demand has of late been comparatively brisk, and goods, which a month ago could hardly have been sold at any price, have gone off tolerably well: in consequence of this the weavers, who have suffered bitterly, have a far better prospect; we believe few are now out of employ; and it is gratifying to learn that their employers have been enabled to increase their wages. Altogether commercial indications are more healthy, and if the hopes of an abundant harvest be realized, and at present there is every reason to think they well, we may look forward to a prosperous autumn.-Blackburn Standard.