John Jay Papers
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From John Jay to the Secretary for Foreign Affairs (Robert R. Livingston), 28 April 1782

To the Secretary for Foreign Affairs (Robert R. Livingston)

Madrid 28th. April 1782.

Dear Sir,

My Letter to his Excellency the President of Congress of 3d. of October last,1 of which a Copy has ^also^ been since sent, contained a full and accurate account of their Affairs here. Many minute, and not very interesting details of little difficulties were omitted, and among others those which arose from my having no funds for the Bills payable in October and November &c. &c. The Experience I had gained of the disposition of this Court, and the delays which attend all their decisions and Operations, induced me to consider my obtaining timely Supplies from hence as very uncertain. I therefore wished to have an occasional credit from Doctor Franklin to be made use of as necessity might require, and, for that purpose, wrote him the following Letter on the 10th. of September— Vizt:

[Here Jay embedded a copy of his letter to Franklin of 10 September 1781, above.]

It was not till after several of the Bills due in October had become payable, that I received the Doctor’s friendly answer of the 29th. of September,2 in which he permitted me to draw for the Sum requested; so that had not Mr. Cabarrus my Banker consented to make the necessary advances, I should have been extremely embarrassed, for as I before apprehended, any Reliance for immediate, though small, Supplies from this Court, would have proved delusive.

This Credit from Doctor Franklin enabled me to see our Bills duly paid for two Months, and I had some faint hopes that before the Month of December should arrive with further Bills, the intention of this Court on the Subject of Supplies might be ascertained.

I will now proceed to resume the narrative of our Affairs here from the date of my abovementioned Letter to the President of the 3d. of October last, confining myself to such matters as appear to me necessary to enable you to form a just and clear Idea of my negotiations.

My Letter of the 3d. of October mentions my having been then lately promised that a Person should be appointed to confer with me, as well on the Subject of my propositions for a Treaty, as on that of my application for aids and that his Instructions should be compleated before the Court should remove from St. Ildefonso to the Escurial, which was soon to take place.

This Communication was made to me on the 27th. September, and, lest pretext for delay might arise from my Absence, I determined to remain at St. Ildefonso until the Court should be on the point of leaving it.3

On the 5th. October I found that no further progress in our Affairs was to be made before the Court should be settled at the Escurial, to which they were then preparing to go, I therefore concluded to return to Madrid, and with the approbation of the Ambassador of France, I wrote the following note to the Minister— Vizt.

[Here Jay embedded a copy of his note to Floridablanca of 5 October 1781, above.]

To this I received the following Answer.

[Here Jay embedded a copy of Floridablanca’s reply of that same date, above.]

Four Days afterwards the Count sent me a complaint against Commodore Gillon of the South Carolina Frigate then lying at Corunna, and I insert Copies of the papers which passed between us on that occasion, not only because I ought to give an account of all interesting public Transactions, but also that my conduct on this occasion may stand Contrasted with that of the Minister on some other similar ones.

[Here Jay embedded a copy of Floridablanca’s letter to him of 8 October 1781, above, which he received on 9 October.]

My Answer.

[Here Jay embedded a copy of his reply to Floridablanca of 9 October 1781, above.]

Copy of a Letter to Commodore Gillon above alluded to.

[Here Jay embedded a copy of his letter to Alexander Gillon of 9 October 1781, above.]

In answer to this Letter the Commodore wrote me one, which, according to the State of Facts mentioned in it, shewed that the charge against him was precipitate, and, as he in that Letter predicted, I have never since heard any thing further from the Minister on the Subject.4

You may recollect that Copies of certain Letters from Colonel Searle and Mr. Gillon, which I had just received, were subjoined to my Letter of the 3d. October last.5 These Letters were soon followed by several others. Colonel Searle’s Representations against the Commodore’s conduct were very strong, and tended to create an opinion that the Ship and public Stores on Board of her were in Danger. He desired me to send some Person to Corunna with proper Instructions on the Subject, and as an additional Inducement offered to transmit to me through him some important Information which had been confidentially communicated to him in Holland by Mr. Adams, and which he did not choose to hazard by a common Conveyance.

Considering the nature of these Representations, and the Limits and Objects of my Commission and Instructions, it became a difficult question how far I ought, and in what manner I could Interfere. I finally judged it would not be improper to send Mr. Carmichael down with instructions to make a full Inquiry into the facts alleged against the Commodore, and to use my Influence with this Government to stop the Vessel for the present, in Case, on such inquiry, there should arise a very strong Presumption that such a step would be necessary to preserve her. Mr. Carmichael did not think that a Business of this kind was within the Duty of his Appointment, and he doubted his being able to ride Post so far. This was a delicate business, and the management of it could with propriety be only committed to one, in whose prudence and Circumspection much confidence might be reposed. It would have been improper for me to have undertaken it, because I could not justify exposing, by my absence our negotiations for aids and a Treaty to unseasonable delays.6

Soon afterwards I received a very long exculpatory Letter from the Commodore. This Letter placed his Transactions in a different point of view, and inclined me to think that the proposed interposition on my part, would have been unnecessary.7

I forbear burthening these Dispatches with Copies of the Various Letters I have received, and written on this Subject, as well because, as they relate to Transactions in Holland, and France with the Public Agents and Ministers in those Countries, they are not properly within my Province, as because they contain nothing of sufficient importance to make it necessary for me again to send further Copies.

You will be pleased to observe that my last Letter to the Minister was dated the 9th. October, and that there is a paragraph in it soliciting his speedy Attention to the Affairs on which he had promised to write to me.8 I received no Answer. Some weeks elapsed and the same silence continued. I consulted the Ambassador of France, as to the Propriety of my going to the Escurial, and endeavouring to prevail upon the Minister to proceed in our Affairs, observing that the measures of Spain with respect to us, might be important if not to this, yet to the next Campaign, and that the sooner they were decided the better enabled Congress would be to regulate their future operations: He was of opinion that as the Minister had promised to give me notice of the Time when he would be able to transact these Affairs with me, it would be most prudent to wait with patience somewhat longer, and not, by an appearance of too great Solicitude, to give him uneasy sensations. All things Considered, this advice appeared to me discreet, and I followed it.

Thus the Month of October produced nothing but Expectation, Suspense, and Disappointment.

About this time Mr. Gardoqui mentioned to me a singular Ordinance, which occasioned, and is explained in the following Letter from me to the Minister— Vizt.

[Here Jay embedded a copy of his letter to Floridablanca of 28 October 1781, above.]

To this Letter I never received any answer whatever. After waiting six or eight Days I asked Mr. Gardoqui, who almost daily applied to me on the Subject what could be the reason of so much delay in a Case that admitted of so little Doubt. He said he could only Account for it by supposing that the Minister had sent for the original Order to prevent Mistakes. I asked whether these Royal orders were not regularly recorded at the Time they were Issued. He told me they were not.

For my own part I rather suspect that this order treated us as an Independent Nation, and that the Minister found it difficult to establish any general Regulations respecting our Prizes or Commerce without meeting with that Obstacle. Mr. Gardoqui informed me that one of the Judges permitted him to read it, but would not let him take a Copy of it, and that it only Contained an Extension, to American prizes, of the Regulations before ordained for Dutch and French ones.

As to the Prize at Bilboa, a particular Order was issued in that Case, for selling the Ship and Cargoe, on the Captors giving Security to produce, within a Year, an Exemplification of a sentence of an American Court of Admiralty to Justify it.

On the 5th. November Mr. Gardoqui communicated to me certain Letters and papers, from which it appeared that the Cicero, Captain Hill, had been stopped at Bilboa, by an Order of the Minister, on a charge of improper Conduct towards one of the King’s Cutters. Upon this Subject I wrote the following Letter to the Count de Florida Blanca viz.

[Here Jay embedded a copy of his letter to Floridablanca of 6 November 1781, above.]

The Count’s Answer.

[Here Jay embedded a copy, in French, of Floridablanca’s letter of 8 November 1781, above.]

My Reply.

[Here Jay embedded a copy of his letter to Floridablanca of 12 November 1781, above.]

Much Reason has been given me to believe that the hard Proceedings against Captain Hill were not Justifiable, and the Minister’s declining to furnish me with a state of the facts supposed to be alledged against him, speaks the same Language. What Intelligence the Count may have respecting the Misconduct of any other of our Armed Vessels I know not; nor have I heard any other Insinuations of that kind, except what are contained in his note.

The Count omitted to take any notice of my last Letter on this Subject, and it was not before the 26th. November that the matter was determined by the Order alluded to in the following Polite Letter.

[Here Jay embedded a copy and translation of Floridablanca’s letter to him of 26 November 1781, above.]

The next Day I sent the Count some American Papers, which had just come to Hand, and enclosed them with a Card in which there was this paragraph.

[Here Jay embedded a copy of his note to Floridablanca of 27 November 1781, above.]

As further Remonstrance on this Subject would have been useless, I thought it best to appear Satisfied, and not, by any Expressions of Discontent, to hazard new Obstacles to the attainment of our more Important Objects.

I must now return to the Old Subject. Although the Count had been some Weeks at the Escurial, and I had in vain waited with great patience for the Letter which the Minister had promised to write to me on leaving St. Ildefonso, yet as many bills would become payable in December, and I was unprovided with Funds, I thought it high time to remind the Minister of my Situation. I therefore wrote him the following Letter— Viz.

[Here Jay embedded a copy of his letter to Floridablanca of 16 November 1781, above.]

To this Letter I never received any answer and it is remarkable that the Count’s subsequent Letter of the 26th. November, announcing the Permission given to Captain Hill to depart, does not take the least notice of it. Whatever might be the Minister’s ^real^ Intentions as to furnishing me with the funds, necessary to pay the Bills to become due in December, it appeared to me imprudent to neglect any means in my power to provide for the worst. I therefore apprized Doctor Franklin (to whom I am under great obligations, and have given much Trouble) of my hazardous situation by the following Letter.

[Here Jay embedded a copy of his letter to Franklin of 21 November 1781, above.]

This Letter was conveyed by a Courier of the French Ambassador. I did not choose, by putting it in the Post Office, to give this Court an opportunity of knowing that I was endeavouring to obtain a Credit for the Sum in question lest that circumstance might become an additional motive with them to withhold their Assistance.

In short, Sir, the whole Month of November wore away without my being able to advance a single step. Mr. Delcampo’s Illness afforded a tolerable good excuse for delay during the latter part of November, and the first three weeks in December.

On the first of December I found myself without any Answer from Doctor Franklin, with many Bills to pay, and not a Farthing in Bank. Mr. Cabarrus fortunately for me was willing, as well as able to make further advances, and to him I am indebted for being relieved from the necessity I should otherwise have been under of Protesting the Bills due in that Month.9

The Court removed from the Escurial to Madrid without having bestowed the Least Attention either on the Propositions or different Memorials on Commercial Matters which I had submitted to the Minister.

It was natural to expect that our Successes in Virginia would have made a very grateful Impression on this court, but I am far from being persuaded that they considered these events as favorable to their views. Of this some judgment may be formed from their subsequent conduct.

On the 6th. December I sent the Minister the following Card, and a Memorial from Mr. Harrison at Cadiz, the nature of which will be best explained by a Recital of it.

[Here Jay embedded copies of his note to Floridablanca of 6 December 1781, above, and the enclosed memorial.]

The answer I received to the Letter which accompanied this Memorial, is as follows.

[Here Jay embedded a copy and translation of Floridablanca’s reply of 7 December 1781, above.]

This note was not dated, but I received it the 7th. December. On the same day I received a Letter from General Washington, dated the 22d. October, and enclosing Copies of the Articles of Capitulation for York Town and Returns of Prisoners &c. &c. This Letter was brought to France by the Frigate which carried there the first Intelligence of that important Event, and yet it is remarkable that it did not reach me until after these Articles had been published in the Paris and Madrid Gazettes. I nevertheless immediately sent Copies to the Minister.10

As to Mr. Harrison’s Memorial, no answer has been given it to this Day. Nor indeed have any of the representations I have hitherto made to the Minister relative to Commercial grievances procured the least Redress. Even the hard Case of the Dover Cutter still remains unfinished notwithstanding my repeated and pressing Applications on behalf of the Poor Captors. It is now more than a Year Since the Minister promised me that the Cutter should be immediately appraized and the value paid to the Captors, one of whom afterwards came here, and, after waiting two or three months, returned to Cadiz without having received any other money than what I gave him to purchase his daily Bread.11

As the Minister could not see me on Saturday evening, it was not till Monday Evening the 10th. December, that I had an opportunity to converse with him.

He began the Conversation by observing that I had been very unfortunate, and had much Reason to Complain of Delays, but that they had been unavoidable. That Mr. Del Campo had been appointed near three months ago to treat and Confer with me; That shortly after the Court removed from St. Ildefonso, that Gentleman’s health began to Decline, and that his Indispositions had hitherto prevented his attending to that or any other Business, but that he hoped, by the time the Court should return from Aranjuez (to which the King was then about to make a little Excursion) he would be able to proceed on it, and that he should have the necessary instructions for the purpose.

I told the Count that these delays had given me great Concern, and that I was very Solicitous to be enabled to give Congress some positive and Explicit Information on the Business alluded to. He replied that I must now confer on those Subjects with Mr. Del Campo, for that for his part, his Time and Attention were so constantly engaged by other matters that he could not possibly attend to this, especially while at Madrid, when he always enjoyed much less leisure than at the Sitios. He then proceeded to congratulate me on our late Successes in Virginia, He assured me that the King rejoiced sincerely in those Events, and that he himself was happy to see our Affairs assume so promising an Aspect. I was about to descend to particulars, and to remind the Count of the various Memorials &c. which still remained to be considered and Dispatched, when he mentioned he was engaged for the Rest of the Evening in pressing Affairs. This Intimation put an end to the Conference.

It is somewhat singular that Mr. Del Campo should have been appointed near three Months past to treat and confer with me, and yet I should be left all that time without any Information of it. It shews that the King is ready to do what may depend upon him, but that his Ministers find it convenient to interpose Delays without necessity and without even the appearance of it.12

After the King’s return from Aranjuez I took an opportunity of asking Mr. Del Campo when I might promise myself the pleasure of commencing our Conferences: He replied that his health was not as yet sufficiently reestablished to permit him to do Business— The Fact however was otherwise.

On the 27th. December I again waited on him for the same purpose. He told me it was very uncertain when our Conferences could commence, and that he must first converse with the Count on the Subject. I asked him whether he had not received his Instructions. He answered that he had not, for that they were not as yet Compleated, nor indeed, as he believed, as yet begun.13

In this State things remained during the whole Time the Court continued at Madrid. Above a Month since the Date of my Letter to Doctor Franklin about our Bills had elapsed without an answer, nor had any prospects of obtaining Aids here opened. I therefore wrote him the following Letter.

[Here Jay embedded a copy of his letter to Franklin of 31 December 1781, above.]

On the 11th. January I wrote the following Letter to the Doctor, by the Ambassador’s Courier.

[Here Jay embedded a copy of his letter to Franklin of 11 January 1782, above.]

I must however do the Minister the Justice to say that for some little time then Past, and During the whole Month of January I have good Reason to believe that he was greatly and constantly engaged in pressing business, for on speaking several Times during that Period to the Ambassador of France about the Delays I experienced and the propriety of pressing the Minister to pay some attention to our Affairs, he repeatedly told me that he knew the Minister to be then extremely hurried, and advised me not to make any application to him for the present.

On the 26th. January 1782, agreeable to a previous appointment, I had a long Conference with the Ambassador of France. I entered into a detail of the various pretexts and delays which the Minister had used to avoid coming to any Decision on our Affairs, and made some remarks on their keeping me suspended at present, between the Count’s incapacity to do Business, and Mr. Del Campo’s want of Instructions.

I reminded the Ambassador that the Fate of the Bills drawn upon me was a serious Subject and if protested might eventually prove Injurious to France and Spain as well as America, and that though France had already done much for us, yet that it still remained a Question of Policy whether it would not be more expedient for her to advance about thirty thousand pounds Sterling to save these Bills, than risk the expensive Evils which the Loss of our credit might occasion even to her. The Ambassador seemed to admit this, but was apprehensive that the great and pressing Demands for Money caused by the great Armaments which France was preparing to send to different Parts of the World would render such an Advance very inconvenient if not impracticable.

I recapitulated, in the Course of the Conference, the various ill consequences, which might result from Protesting these Bills. Among others, I hinted at the necessity I should be under of assigning to the World, in those Protests, the true Reasons which had occasioned them, Viz. That I had placed too great confidence in the Assurances of his Catholic Majesty. The Ambassador objected to this as highly imprudent, and as naturally tending to embroil the two Countries, which was by all means to be avoided, even though I could make good the assertion. I then enumerated the various assurances I had, at different times, received from the Minister, adding that whatever might be the consequence, I should think it my Duty to pay a higher Regard to the honor of the United States, than to the feelings of a Court by whose finesse that honor had been drawn into Question.

There was also another Circumstance to which I desired him to turn his Attention, viz. That as our Independence had not been acknowledged here, the Holders of the Bills might commence Actions against me on them; And that it was easy to foresee the Embarrassments which would result to all Parties from such a measure. The Ambassador saw this matter in the same point of view.14

It appeared to me useful to take a general view of the conduct of Spain towards us ever since my arrival, and to observe the natural tendency it had to encourage our Enemies, impress Doubts on the minds of our Friends and abate the Desire of Congress to form intimate Connexions with Spain; and that this latter Consequence might become Interesting also to France, by Reason of the strict Alliance subsisting between the two Kingdoms.

I begged the favor of him to give me his candid advice what would be most proper for me to do. He confessed that he was perplexed and at a loss what to advise me to— He hoped that the Dutch Loan would enable Doctor Franklin to make the Advances in Question, and that though he could not promise any thing from his Court, yet that he would write, and do his best. He advised me to give the Doctor a full statement of our Affairs here, but that I had already done, by giving him the perusal of my Letters to Congress of the 3d. of October, &c.

He said he had written to the Count de Vergennes about the delays and Embarrassments I had met with, & that he received for answer “that Spain knew her own business & Interest, & that France had no right to press her on such points.

The Ambassador advised me by all means to continue patient and moderate, and to cherish the appearance of our being well with this Court. I observed to him that one protested Bill would dissipate all these appearances. He said that was very True; That he saw difficulties on every side, and that he really pitied my situation, for that these various perplexit[i]es must keep me constantly in a kind of Purgatory. I told him if he would say Mass for me in good Earnest I should soon be relieved from it. He renewed his promise to write, and we parted.

The next Day, vizt 27th. January, I received the following Letter from Doctor Franklin.

[Here Jay embedded a copy of Franklin’s letter of 15 January 1782, above.]

The paper above mentioned to be enclosed, is in these Words.

[Here Jay embedded a copy of Vergennes to Franklin, 31 December 1781, printed as the enclosure to Franklin to Jay, 15 January 1781, above.]

Although this Letter of Doctor Franklin does not, in Express terms promise me the aid I had desired, yet the general Tenor of it, together with the grant of the Million mentioned by the Count de Vergennes, led me to suppose that on the receipt of it, he would be able to make me the necessary advances. Under this Idea I returned the following answer to the Doctor’s Letter.

[Here Jay embedded a copy of his letter to Franklin of 30 January 1782, above.]

Not having heard any thing further from Mr. Del Campo respecting his Instructions, I wrote him on that Subject, as follows.

[Here Jay embedded a copy of his letter to Campo of 1 February 1782, above.] On the 5th. February I received the following answer.

[Here Jay embedded a copy of Campo’s letter to him of 3 February 1782, above.]

(Here follows description of the papers.)

The Packets mentioned ^in^ the above note were the first Public Letters I have had the honor of receiving from you vizt. 28th. November, marked No. 2, a Duplicate and another dated 13th. December and marked No. 3—

The following papers were enclosed with these Letters Vizt.

Copy resolution of Congress of 2d. November stating quotas of Money &c.

Ordinances of . . .  4 Decr. abt. Captures on the Water.
Resolutions of . . . 10 Decr. calling for Men.
Resolutions of . . . 23 Novr. for enforcing Law of Nations.
Resolutions of . . . Do. giving leave of absence to M. de la Fayette.

Some News Papers.

I afterwards found that these Dispatches were brought to Cadiz from Philadelphia by the Brig Hope— How they came into Mr. Del Campo’s hands I am not informed. On the same day (5th. Feby. 1782) I received a Letter from Doctor Franklin, which almost entirely dissipated my Hopes of aid from him. The following extract from it contains every part of it except a few paragraphs that have no relation to our Affairs here.

[Here Jay embedded a substantial extract from Franklin’s letter of 19 January 1782, above.]

You will easily perceive, Sir, that my Situation now became very unpleasant; largely indebted to Mr. Cabarrus, and without Funds, as well as almost without the hopes of speedily procuring any, either to satisfy him, or pay the Swarm of Bills that would be payable in the next month.

Mr. Cabarrus had offered to advance, or rather to supply me with any Sum of Money that the Minister would authorize him to furnish, on the same Terms on which he procured Money for the Government. The answer I received to this proposition was, that the Government had occasion for all the money that Mr. Cabarrus could possibly collect.15 He also repeatedly offered to advance the Money wanted for the Month of March, if the Minister or the Ambassador of France would become responsible for the repayment of it with Interest within a reasonable Time, sometimes mentioning seven Months, and at others Extending it to ten or twelve. The Ambassador did not conceive himself authorized to enter into any such Engagement and the Minister remained silent; Mr. Cabarrus began to grow uneasy, and a Day was appointed between us to confer on this Subject. Some intervening Business however prevented his Attendance, and on the 10th. February he wrote me the following Letter.

[Here Jay embedded a copy of Cabarrús’s letter of 10 February 1782, above.]

By way of answer to this Letter I instructed Mr. Carmichael to inform Mr. Cabarrus of the exact State I was in; with Respect to my expectations of Aid both here and from France, for I did not choose to commit a matter of this kind in writing to Mr. Cabarrus’ discretion. I could not give him positive assurances of being speedily repaid either by a credit on Doctor Franklin, or by Money to be obtained here, but I submitted to his consideration the improbability that this or the French Court would permit these Bills to be protested, and assured him that Doctor Franklin was using his best Endeavors in our favor, and had so far succeeded as to encourage me to expect that he would soon be able at least to replace the Sum which Mr. Cabarrus had already advanced to me. The next Day vizt. the 11th. of February I waited upon the Ambassador of France. I represented to him in the strongest terms the critical situation of our Credit, and communicated to him the Contents both of Doctor Franklin and Mr. Cabarrus’ Letters.

I requested him to speak seriously and pressingly to the Minister on the Subject, and to remind him that Mr. Cabarrus’s offer was of such a nature as to remove any objection that could arise from the low state of the Public funds. The Ambassador was just then setting out for the Pardo. He promised to speak to the Minister accordingly, and that his Secretary the Chevalier de Bourgoing (who has been very friendly and given himself much trouble on this occasion) should inform me of the result in the Evening.

I received in the Evening the following Letter from the Chevalier— Vizt.

[Here Jay embedded a copy of Bourgoing’s letter to him of 11 February 1782, above.]

I returned by the bearer of the above Letter the following answer.

[Here Jay embedded a copy of his reply to Bourgoing of this same date, above.]

I also wrote this Evening to Doctor Franklin, and I insert the following Extracts from it because they contain matters proper for you to know.

[Here Jay embedded extracts from his letter to Franklin of 11 February 1782, above.]

On the 15th. February the first advices of the Surrender of Fort St. Philip arrived, and the Ambassador of France having been informed at the Pardo that Mr. Del Campo’s Instructions would be compleated by the End of the Week, I thought both of these Circumstances rendered it proper That I should pay the Minister a visit. I accordingly went to the Pardo the next Evening. The Minister was too much indisposed (as was said) to see Company. He sent me an apology and a request that I would speak to Mr. Del Campo who was then in the Secretary’s Office— I did so.

I found Mr. Del Campo surrounded by Suitors. He received me with great and unusual civility and carried me into his private apartment. I told him that as he was evidently very busy, I could not think of sitting down, and wished only to detain him a few Minutes. He said that he was indeed much engaged, but that we might nevertheless take a Cup of Chocolate together. I mentioned to him in a Summary way, the Amount of the Bills which remained to be paid, and the Promises made by the Minister to the Ambassador on that Subject, desiring that he would be so obliging as to give that business all the Dispatch in his power. He replied that the urgent Demands of Government rendered advances of Money very inconvenient. That the Minister had not mentioned to him any thing on that head, but that he would speak to him about it. I told him that as the greater part of these Bills would be payable in March, I was anxious to see the arrangements for paying them speedily made. That my hopes were chiefly confined to this Court, for that France having this year supplied us with near twenty Millions besides a fleet and Army it would be unreasonable to ask for more. To this he remarked that France received from us with one hand (in the way of Commerce) what she paid out with the other, whereas Spain was called upon for Supplies without enjoying any such advantage. I told him If he had been more at leisure it would have given me pleasure to have entered with him into the Discussion of that Point. I nevertheless observed that Spain was indebted to the American War for the Recovery of West Florida and the possession of Minorca, and that the Time would come and was approaching when Spain would derive essential Benefit from our Trade and Independence. That he over-rated the value of our Commerce to France, which at present did not Compensate for the Expenses she sustained on our Account.

I mentioned to him Mr. Cabarrus’ offer in very precise Terms, and told ^him^ I was glad to hear from the Ambassador that his Instructions were nearly compleated— He avoided saying whether they were or not, but answered generally, that he hoped things would soon be settled to the Satisfaction of all Parties, that it would always give him pleasure to treat with me. That he was much my Friend— That he esteemed my private Character, and many other such like Compliments improper as well as unnecessary for me to commit to paper. He promised to speak to the Minister and to write me his answer. I desired him to present my Congratulations to the Count, and to inform him how much I regretted the Indisposition which prevented his seeing company that Evening.

All this looked very fair, but Experience had taught me that Professions were sometimes insincere. On the 18th. February I communicated the Substance of this Conference to the Ambassador of France, requesting him to remind the Minister of his promise and to press the importance of his performing it. The Ambassador promised to take every proper opportunity of doing it. On the 24th. February your Letter by the Marquis de la Fayette arrived Safe.16

On the 25th. February I received the following letter from Mr. Cabarrus— Vizt.

[Here Jay embedded a copy of Cabarrús’s letter to him of 25 February 1782, above.]

This letter needs no Comments; it breathed the Fears and precautions of a Creditor striving to make the most of a failing Debtor, and therefore I considered this Letter as inauspicious. I returned a verbal answer that an examination of these Accounts must precede a Settlement of them, and that as to a speedy payment of the Balance due to him he knew my exact Situation.

A Day or two before the Date of this Letter, Mr. Cabarrus had a Conference with the Minister on these Subjects, and according to Mr. Cabarrus’s Representations the Minister then declared that he would pay the balance due on the 150,000 Dollars,17 and no more— That the King was dissatisfied at Americas having made no returns to his good Offices either in Ships or Flour &c. &c. That he had mentioned to me a year ago, his Desire of having the Men of War building in New England, but had not yet received an Answer, &c.

It appeared to me very extraordinary that the Minister should promise the Ambassador to do his best and yet tell Mr. Cabarrus that he would do nothing, and yet so, I believe, were the Facts.

The next Morning (vizt. 26th. Feby.) I paid the Ambassador an early visit, and mentioned these circumstances to him minutely. I expressed my apprehensions that the pretended discontents of the King belonged to the same system of Delays and Pretexts with which we had been so long amused, and which in this Instance were probably dictated by a desire of avoiding Inconvenient Advances.

I reminded him that Doctor Franklin had given me expectations of his being able to replace the Money I had borrowed of Mr. Cabarrus, and that this Sum, added to the Balance to be paid by the Court, would reduce the remainder of the Money wanted to less than twenty thousand pound Sterling, and that it would appear a little surprising in the Eyes of Europe as well as America, that our Credit should be permitted, either by France or Spain, to suffer essential Injury for the want of such a Sum. I requested him to advise me what to do. He said that he knew not what advice to give me. That he saw no resources anywhere; That he should dismiss a Courier on Saturday next, and that he would again write to the Count de Vergennes on the Subject. I observed to him that the Answer, if favorable, would probably come too late, as a great number of the Bills would become payable about the 14th. March. He replied that if the Court should resolve to supply the money he would soon be informed of it.

We had some Conversation about the Marquis de la Fayette— The ambassador spoke well of him, and as a proof of the confidence of Congress in the Attachment of that nobleman, I mentioned my having received Orders to correspond with him.

I then drew the Conversation to our affairs in Holland and the prospects of an Alliance with the Dutch: He said those prospects were less fair than ever.18 For that though Mr. Wentworth had been sent there by England on pretense of settling a cartel, yet that his real business was to Negotiate a separate Peace. I observed that in my opinion England would be the first nation to acknowledge our Independence (for there are many Reasons that induce me to think that France does not in fact wish to see us treated as Independent by other Nations until after a Peace, lest we should become less manageable in proportion, and our dependence upon her shall diminish) I threw out this Opinion to see how it would strike him. He made a short pause, and then asked me if I had heard that Lord Germain had resigned? I told him I had, and as he chose to waive the Subject, I did not resume it least he should, from my pressing it, suspect that I meant more than a casual remark. The conversation then turned upon our Affairs here. I remarked that the friends of Spain, in America, must greatly diminish, That the manner we were treated by this Court was far from conciliatory, and that it would perhaps have been better as things have turned out, if America had not sent a Minister here. He gave in to this Opinion, but added we must be contented here now during the War. That Spain was necessary: That she was to be treated like a mistress. He also said that if I had been landed in France instead of Spain, I should not probably have come to Madrid so soon as I did, and was going to explain himself when the entry of his Servants with breakfast interrupted us.

Having made it a rule to give Doctor Franklin frequent and minute information of my situation, I wrote him the following Letter by the Ambassador’s Courier.

[Here Jay embedded a copy of his letter to Franklin of 1 March 1782, above.]

I forbear inserting my Letter to the Marquis19 because this and my former Letters render it unnecessary. I solicited his immediate Attention to the state of our Bills &c.

As there could be no doubt but that the Minister mentioned to Mr. Cabarrus the King’s Discontents, by way of Apology for not granting further Supplies, and with design that they should be represented to me in that light, I thought it prudent to write to the Minister on the Subject, although if in other Circumstances it might have been more proper for me to have omitted taking notice of such an Indirect communication. I wrote him as follows.

[Here Jay embedded a copy of his letter to Floridablanca of 2 March 1782, above.]

This Letter, if I may use the Expression, might have been higher mounted, and the Strange conduct of this Court would have justified my writing in a different Stile, but I feared that Offence might have been taken, though perhaps for no other purpose than to cover a refusal to aid us with a plausible pretext.

Although I had little Confidence in Mr. Del Campo’s late Professions of Friendship, yet as the present occasion afforded an opportunity of trying their Sincerity, and as Men ill disposed towards us are sometimes pushed into Acts of Friendship merely by an Opinion of their being thought friendly, I enclosed the above Letter in the following note to him.

[Here Jay embedded a copy of his letter to Campo of 2 March 1782, above.]

A Week elapsed without my receiving any Answer either from the Minister or Mr. Del Campo. The time when our Bills would be due, was drawing very nigh. My Expectations of Aid from France were at best uncertain, and every Consideration urged me not to leave any thing in my power undone here to avoid the Catastrophe I had so much reason to apprehend. I therefore concluded to wait on the Minister, and in a plain and pointed manner, enter into a Detail of the Reasons given us to expect Supplies from this Court and the Impolicy of withholding them.

For this purpose I went to the Pardo on the 9th. March.

The Minister received me with great Cordiality; He was in uncommon good Spirits: He entered largely into the nature of his indisposition: The Effect of the Weather upon his nerves, and how much he found himself the better for the last three fine Days, and after we had conversed a while about the Conquest of Minorca and the Importance of it; He said he supposed that I wished also to speak to him on the Subject of our Affairs.

I told him that was really the Case, for that the Bills which remained to be paid, and the want of Funds for the purpose, gave me great uneasiness. He interrupted me by remarking, that he had ordered the Balance due on the one hundred and fifty thousand Dollars to be paid—20 That the public exigencies had even rendered this payment inconvenient, but that he was an honest Man— A man of his Word, and therefore as he had promised me that Sum, he was determined that I should not be disappointed. That as to further Aids he could promise nothing Positively: That he would do his best, and Shrugging his Shoulders, intimated that he was not Minister of Finance.

I observed that the Sum now wanted was not very considerable, and that Mr. Cabarrus’ offer rendered the advancing of it very easy. He was in a very good humor; and after a few hesitations, he told me cheerfully and smilingly, that when I found myself very hard pressed, I should desire Mr. Cabarrus to wait upon him.21

This I considered as an implied Consent to comply with Mr. Cabarrus’ offer, in case such a step should become absolutely necessary to save our Bills; and I imagined he chose to delay it as long as possible in hopes that the French Ambassador might in the mean Time interpose his Credit, as he had before done on a similar occasion. I was content that the matter should rest there, and would not hazard losing what I thought I had gained, by requiring more at present.22

I Thanked him for this mark of Favor, and then turned the Conversation to Major Frank’s arrival, and my anxiety to communicate some certain Intelligence to Congress relative to the proposed Treaty, and what they might expect on that head. The Count went into a Detail of Excuses for the Delays which had ensued since our leaving St. Ildefonso. His Indisposition and that of Mr. Del Campo— His forgetting to give Mr. Del Campo the Papers, and Mr. Del Campo’s neglecting to ask for them, were the Chief Topics from which these Excuses were drawn. He said the Ambassador of France had talked to him about the matter eight Days ago; and he promised me that the Conferences should begin at Aranjuez to which place the Court would soon remove. He authorized me to communicate this to Congress, adding that pressing business obliged him to postpone it ’till then, though I might now begin to speak on the Subject to Mr. Del Campo if I pleased.

I remarked that I had so often disappointed Congress by giving them Reasons ^soon^ to expect Mr. Gardoqui, that I wished to be enabled to give them accurate Information on that Point. He replied that a variety of particular Circumstances had intervened to prevent his Departure, but that he certainly should go, unless he made personal Objections to it, and that I might tell Congress so.

I rose to take my leave—He repeated what he had before said respecting my sending Mr. Cabarrus to him, and assured me of his Disposition to do what he could for us. I again thanked him, and we parted in great good humor.

It is remarkable that during the course of this Conference, which ^was^ free and Diffusive, the Minister did not mention a syllable of the King’s discontents, nor hint the least dissatisfaction at the Conduct of Congress towards this Court. I cautiously avoided making any harsh Strictures on the Delays I constantly met with, and though the Minister’s excuses for them were frivilous and merely ostensible, yet it could have answered no good purpose to have declared that Opinion of them, especially at so delicate a period of our Affairs.

As many Bills to a considerable amount would be payable on the 14th. March, I thought it high time that the Minister should declare his Intentions at least a Day or two before, and therefore I desired Mr. Cabarrus to wait upon the Minister, and confer with him upon the Subject. Mr. Cabarrus accordingly went to the Pardo on the Evening of the 11th. March. He saw the Minister and mentioned the purpose of his Visit. The Minister said I must have misunderstood him; That it was not until the last Extremity that I was to send him, and he desired Mr. Cabarrus to inform him when that should arrive. Mr. Cabarrus repeated to me his former offers, and assured me that nothing on his part should be wanting.

The Madrid Gazette of the 12th. March contained a paragraph of which you ought not to be ignorant. I shall therefore Copy it verbatim,23 and add a Translation as literal as I can make it.

[”]By a Letter from the Commandant General of the Army of operations at the Havanna, and Governor of Luisiana, his Majesty has advices that a detachment of 65 Militia men and 60 Indians of the Nations Otaguos, Sotu and Putuatami under the Command of Don Eugenio Purre a Captain of Militia, accompanied by Don Carlos Tayon a Sub-Lieutenant of Militia, by Don Luis Chevalier a man well versed in the Language of the Indians, and by their great Chiefs Eleturno and Naquigen which marched the 2d. January 1781, from the Town of St. Luis of the Ilionese, had possessed themselves of the Post of St. Joseph which the English occupied at 220 Leagues distance from that of the above mentioned St. Luis, having suffered in so extensive a march, and so rigorous a Season, the greatest Inconveniences from Cold and Hunger, exposed to continual Risks from the Country being possessed by Savage Nations and having to pass over parts covered with Snow, and each one being obliged to carry Provisions for his own Subsistence, and various merchandizes which were necessary to Content, in Case of need, the barbarous nations through whom they were obliged to cross. The Commander by seasonable negotiations and precautions prevented a considerable Body of Indians, who were at the Devotion of the English, from opposing this Expedition, for it would otherwise have been difficult to have accomplished the taking of the said Post. They made Prisoners of the few English they found in it, the others having perhaps retired in Consequence of some Prior notice. Dn. Eugenio Purre took possession in the name of the King of that Place and its dependencies, and of the River of the Ilionois, in Consequence whereof the Standard of his Majesty was there displayed during the whole time. He took the English one, and delivered it on his arrival at St. Luis to Dn. Francisco Cruyat the Commandant of that Post.

The Destruction of the Magazine of Provisions and goods which the English had there (the greater part of which was divided among our Indians and those who lived at St. Joseph, as had been offered them in case they did not oppose our Troops) was not the only advantage resulting from the Success of this Expedition for thereby it became impossible for the English to execute their plan of attacking the Fort of St. Luis of the Ilionois; and it also served to Intimidate these Savage nations, and oblige them to promise to remain neuter, which they do at present.”24

When you consider the ostensible object of this Expedition, the Distance of it, the Formalities with which the Place, the Country, and the River, were taken possession of in the name of his Catholic Majesty, I am pursuaded it will not be necessary for me to swell this Letter with Remarks that would occur to a Reader of far less Penetration than yourself:25 I will therefore return to our Bills.

The 14th. of March arrived, The Bills then due were presented, and I prevailed upon the Holders of them to wait ’till the next day at noon for my Answer. As the last Extremity in the most Literal sense had now arrived, I presumed that the Minister would not think me too hasty in requesting his Determination. I wrote him the following Letter, and sent it by the Post which passes every Evening between Madrid and the Court.

[Here Jay embedded a copy of his letter to Floridablanca of 14 March 1782, above.]

I thought it advisable to send a Copy of the above Letter to the Ambassador of France with the following Note.

[Here Jay embedded a copy of his note to Montmorin of 14 March 1782, above.]

On this Day, being Thursday, on which Day in every Week Mr. Cabarrus had for some time past kept an open Table Mr. Del Campo was unexpectedly one of the Guests, having visited Mr. Cabarrus but once before on those Days. Mr. Carmichael was present. Some Earnest and Private Conversation passed between Mr. Del Campo and Mr. Cabarrus. In the afternoon Mr. Carmichael, by my desire pressed Mr. Cabarrus to write to the Minister that on the Morrow our Bills must be either paid or Protested. Mr. Cabarrus replied that he had already given that Information to Mr. Del Campo, and that he would not risk that Gentleman’s displeasure by repeating it to the Minister for it would look as if he doubted Mr. Del Campo’s attention to it. Mr. Carmichael informed me at the same Time that Mr. Cabarrus’ manner appeared changed, and somewhat embarrassed.26

On the Morning of the 15th. of March I waited on the Ambassador— He promised to speak to the minister that Morning, to obtain his final Answer, and if possible to render it favorable. On his return from the Pardo, he wrote me the following Letter.

[Here Jay embedded a copy of Montmorin’s letter to him of 15 March 1782, above.]

You will doubtless think with me it was very extraordinary that the Minister should not have received my Letter sent him Yesterday by the Court Courier. Why, and by whose means it was kept back, can only be conjectured. Had not the Ambassador’s application supplied the want of it, a Pretext for the Minister’s Silence would thence have arisen. The Letter did not in fact miscarry, for the Minister afterwards received it. The Minister’s caution in making his becoming engaged for the advances in question to depend on Mr. Cabarrus’ persisting in the same Dispositions he has lately declared relative to the Time he would be content to wait for a Reimbursement, is somewhat singular, considering that his offers on that head had been repeatedly and explicitly communicated to the Minister and to the Ambassador of France, both by him and by me.

Immediately on receiving the Ambassador’s Letter, I gave it to Mr. Carmichael with instructions to shew it to Mr. Cabarrus, and bring me back his Answer without Delay, for I was then expecting the notary and others with Bills.

Mr. Carmichael returned, and informed me that he had Communicated the Letter to Mr. Cabarrus, and that instead of abiding by his former Offer, to be content with the Ministers engaging to see him, repaid in ten or twelve Months, he insisted on being repaid in four months, in four equal monthly payments, and those payments secured by Orders on the Rents of the General Post Office, and that Mr. Cabarrus promised either to write or speak to the Minister about it.

A new Application to the Minister became necessary, and consequently further time and Indulgence from the Holders of the Bills was to be solicited.

I told the notary that I was in Treaty with Cabarrus for the Supplies I wanted, and that one or two Articles remained to be adjusted, which could not be done ’till the next Day.

I therefore requested him to suspend the Protest for twenty four Hours more, and to apply to the Holders of the Bills for permission, adding that near twenty of them belonged to Mr. Cabarrus, and that from the friendly conduct of several of the others I had reason to flatter myself that they would readily consent. He seemed surprised at what I said respecting my Expectations from Mr. Cabarrus, and, with a degree of Indignation, told me that Mr. Cabarrus was more pressing than any of the others and had already sent him two messages to conclude the matter with me without delay, that he had received one of these Messages the Day before, and the other that Morning. He nevertheless cheerfully undertook to obtain permission from the Holders of the Bills to wait ’till the next Afternoon and succeeded in it.

The next morning, vizt. the 16th. of March, I waited upon the ambassador. I mentioned to him these several Facts, and told him that my hopes from Mr. Cabarrus were at an End, for that exclusive of other Circumstances, it was not probable that considering his Lucrative connexions with Government, he would risk treating the promise of the Minister made in consequence of his own offer, with so little respect, as to demand such formal and unusual Securities for the performance of it, unless there had been some previous concert or Indirect management in the Case. The Ambassador declined assenting to this Opinion. He promised to see the Minister with whom he was that Day to Dine, and to send me his positive and final Answer by four OClock in the Afternoon.

Having prepared the Draft of the Protest, I thought it would not be amiss to shew it to the Ambassador. He returned it to me without making any other Remark than that it was rather Pointed.

From the Ambassador’s I went to Mr. Cabarrus’. He had not been at the Pardo, and was then at a meeting of Merchants to whose Consideration his plan of a Bank had been referred.27

The Ambassador went to the Pardo and mentioned the matter to the Minister, who replied briefly “that Affair is already arranged with Mr. Cabarrus,” but the Chevalier de Bourgoyng having been desired to bring back a decided Answer, applied to Mr. Del Campo on the Subject, who told him “that they could not possibly comply with Mr. Cabarrus’ terms, that he had written so that Morning to Mr. Cabarrus by a private Courier, and that in the Evening the Minister would repeat it to him Officially” On the Chevalier’s mentioning this to the Ambassador, he was clearly of opinion that I had not any resource left, and therefore that the Bills must be protested and that the Chevalier should tell me so. I shewed the Protest, as translated into Spanish by Mr. Gardoqui, to the Chevalier— The Original in English is as follows—

[Here Jay embedded a copy of the text of his Protest of Bills of Exchange, 16 March 1782, above.]

The Chevalier approved of the Protest, but the notary on reading it, observed that the Sum was really so trifling, “that he thought it would do better to strike it out”. The Chevalier was struck with this remark, and advised me with some earnestness to make no mention of the Sum, for said he, “it will appear very Extraordinary that you should be obliged to protest the Bills of Congress for the want of such a Sum, and People will naturally turn their Eyes towards France, and ask how it happened that your good Allies did not assist you. It will look as if we had deserted you.”

I replied that since the Bills must be protested I was content that my true Situation should be known. I admitted his inferences to be just, and naturally flowing from the facts, adding that as France knew my Situation and had withheld relief she had so far deserted us—but that I was, nevertheless mindful of the many proofs we had received of her Friendship, and should not cease to be grateful for the ninety nine Acts of Friendship she had done us, merely because she had refused to do the hundredth.

In short, I directed the notary to recite this Protest verbatim.

This Protest was drawn at my Leisure, and with much Consideration. It operated as I expected, and I am persuaded you will see the Reason of each Sentence in it without the aid of my Comments. I will only remark that I was at first induced to insert, and afterwards to refuse striking out the Sum, lest from leaving it uncertain the public might have had room to Conjecture, or Individuals to insinuate, that I had imprudently run into such rash and expensive Engagements as to render it improper for Spain or France to afford me the necessary Supplies. Nor did it appear to me that both of them should have reason to be ashamed of permitting our Credit to be impeached and injured for such an unimportant Sum—both Courts were blamed, and we not only acquitted, but pitied by the Public.

I ought to inform you that the Sum which I really wanted did not amount to twenty ^five^ thousand pounds,28 but as some straggling Bills frequently made their appearance, and it could not be foreseen how much those which might still be behind would amount to, I thought it advisable to make a considerable allowance on that Score; for in Case I should have asked for less than might afterwards have proved indispensable, I should doubtless have been put to great Difficulties in obtaining a Supply for the Deficiency.

In Justice to the Bankers who held the Protested Bills, I must say that they in general appeared disposed to shew me every reasonable Indulgence— The House of Pat. Joyes and Sons, though considered as Anti-American, were particularly civil—29 They offered to take such of the Bills, as had been remitted to them, on themselves, provided I would only pass my word for the payment of them within a few Weeks: But as I had no assurance of Funds, I could not risk it. Besides unless all the Bills due, could have been suspended on the like Terms, it could have answered no purpose, because the difference of protesting a few Bills more or less, was unimportant. The Conduct of Dn. Ignacias Salaia the Notary was so particularly and singularly generous that I can not forbear mentioning it. Though without Expectations, and uninfluenced by Promises from me, he behaved as if the Case had been his own, and proved the Sincerity of his professions by doing every thing in his power to serve me. On Perceiving how much he was engaged in my favor, I did not choose to lessen the appearance of its being disinterested by promises of reward: But after the Bills were protested, and he could be of no further use, I sent him a Gold Piece of sixteen Dollars as an acknowledgment for the Trouble I had given him. He returned it with an Assurance, that he wished to serve me from other motives, and the next Day waited upon me to thank me for that mark of Attention, and again to assure me that his best Services were always at my Command.

When the Bills were protested, and Mr. Cabarrus’ Conduct mentioned in his presence, the poor Fellow Literally shed Tears. I was much affected by the warmth and generosity of this Mans heart, and should not have readily pardoned myself had I neglected to bear this Testimony to the goodness of it.

During the whole Time that this matter was in Agitation, that is from the 11th. to the 16th. March, and for some time Afterwards, Mr. Cabarrus did not come near me.

On the 18th. I wrote a Letter to Doctor Franklin informing him of the Protest,30 and reciting the reasons assigned for it. I also hinted the propriety of taking up the Bills at Paris, if possible.

The national Pride of the ambassador of France was hurt by this Event. I am sure he regretted it as disreputable and impolitic. I remarked to him, that most of our cross accidents had proved useful to us, and that this might save us the Mississippi. For I thought it more prudent to appear a little incensed than dispirited on the occasion. I suspect that there has been an interesting Conversation between the two Courts about us. He told me this Winter that he believed Spain wished to modify our Independence and to keep herself in a situation to mediate between us and England, at the general Peace. He did not explain himself further. As great successes on our part must operate against such designs—the Spanish Minister can neither rejoice in nor be disposed to promote them; and this may help both to account for the little impression made by the capitulation of York and for their conduct as to our Bills and propositions &c. I am sure that they fear us too, and the more perhaps, as they have misbehaved towards us.—

Not many days elapsed before a special Courier from Paris brought advices to this Court that the British Parliament had resolved to advise the King to cease all offensive operations against us, &c. This, and the subsequent debates and resolutions of Parliament, relative to the American War, made a deeper impression, here, in our favor than any Event which has happened since my arrival. New Ideas seemed to pervade the Court and People, and much Consultation as well as surprise was occasioned by it.

On the 26th. of March I received the following Letter from Doctor Franklin, from the Hands of Mr. Cabarrus, to whom I behaved, on that occasion, with reserved and Cold Politeness

[Here Jay embedded a copy of Franklin’s letter to him of 16 March 1782, above.]

I answered this Letter as follows by a French Courier.

[Here Jay embedded a copy of his reply to Franklin of 29 March 1782, above.]

On receiving Doctor Franklin’s Letter, I sent for my good Friend the Notary, and desired him to make it known among the Bankers, that I had received Supplies equal to all my Occasions, and was ready to pay to every one his due— He received the Commission with as much pleasure as I had the Letter— He executed it immediately, and our Credit here was reestablished.

Mr. Cabarrus became displeased with himself, and took pains to bring about a reconciliation by the means of third Persons, to whom I answered that as a Christian I forgave him, but, as a Prudent Man, could not again employ him. As this Gentleman has suddenly risen into Wealth and Importance, and is still advancing to greater degrees of Both, I shall insert a Letter he wrote me on the Subject, and my Answer.

[Here Jay embedded copies of Cabarrús’s letter to him of 29 March 1782 and his reply to Cabarrús of 2 April, both above.]

As Mr. Cabarrus was concerned in Contracts with Government for Money, and was the Projector of several of their Ways and Means for supply^ing^ the Royal Treasury, it appeared to me expedient that he should wish us well, and be our Banker. Some advantages have arisen from it, and they would probably have been greater, if not opposed by the great and unfriendly Influence of Mr Del Campo. At the Same time that I blame Mr. Cabarrus, I cannot but Pity him, for there is much Reason to consider him in the Light of the Scape Goat.

I have now employed Messrs. Drouilhet to do our business, That House is one of the Most Considerable here in the Banking way.

I shewed Doctor Franklin’s Letter to the Ambassador of France, and made him my acknowledgments for the Generous supply afforded by his Court to ours. He seemed very happy on the Occasion, and regretted it had not been done a little sooner.

His Secretary remarked to me that Spain would suspect that this Subsidy had been granted in consequence of the Protest of our Bills, and that this Court would make it the cause of complaint against France.

The Court left the Pardo, and Passed the Easter Holidays at Madrid. I denied myself the Honor of waiting on the Minister on that Occasion, nor have I seen him since the Protest of our Bills. My Judgment, as well as my Feelings, approved of this Omission. The Court are now at Aranjuez, where I have taken a House, and purpose to go soon after these Dispatches shall be completed.

On the 30th. of March I was surprised by the following note, being the first of the kind which I have received from the Minister since my arrival.

[Here Jay embedded a copy and translation of Floridablanca’s note to him of c. 30 March 1782, above.]

This Invitation is imputable to the late news from England, and the grant of six millions by France was probably accelerated by it. Both Courts are watching and Jealous of us. We are at Peace with Spain, and she neither will nor indeed can grant us a present Subsidy. Why then should we be anxious for a Treaty with her, or make Sacrifices to purchase it? We cannot now treat with her on terms of equality, why therefore not postpone it? It would not, perhaps be wise to break with her; but delay is in our power, and resentment ought to have no influence.

Time would secure advantages to us which we should now be obliged to yield. Time is more friendly to Young than to Old nations, and the Day will come when our Strength will Insure our Rights. Justice may hold the Balance and decide but if unarmed will for the most part be treated like a Blind Woman. There is no doubt that Spain requires more cessions than England, unless extremely humbled can consent to. France knows, and fears this. France is ready for a Peace, but not Spain. The King’s Eyes are fixed on Gibraltar. The Spanish Finances indeed are extremely mismanaged, and I may say pillaged. If England should offer us Peace on the terms of our Treaty with France, the French Court would be very much embarrassed by their Alliance with Spain, and as yet we are under no obligations to persist in the war to gratify this Court. It is not certain what England will do, nor ought we to rely on the present promising appearances there; But can it be wise to instruct your commissioners to speak only as the French Ministers shall give them utterance?31 Let whatever I write about the French and their Ambassador here, be by all means kept Secret.— Marbois gleans and details every scrap of news— His Letters are very minute, and detail names and Characters. Sweden is leaning towards us, and it will not be long before the Dutch become our allies. Under such Circumstances Spain ought not to expect such a Price as the Mississippi for acknowledging our Independence.—

As it is uncertain when I shall again have so good an opportunity of conveying a Letter to you, as the present, I have been very particular in this. The Facts might perhaps have been more methodically arranged, but I thought it best to State them as they arose; and though some of them, separately considered, do not appear very important, yet when viewed in Connexion with others, will not be found wholly uninteresting.

You will readily perceive on reading this Letter that Parts of it relate to Mr. Morris’s Department. I hope he will excuse my not repeating them in a particular Letter to him, especially as he will readily believe that the Length of this, and the Cyphers used in it have fatigued me a good Deal.

All the Cyphers in this Letter are those in which I correspond with Mr. Morris, and the only ones I have received from him— They were brought by Major Franks and marked No. 1— Several of my former Letters to Mr. Thomson and you, mentioned that his Cypher was not to be depended upon— The Copy of it, brought by Mr. Barclay (which is the only Copy I have received of the Original by Major Franks) having passed through the Post Office, came to my Hands with marks of Inspection on the Cover.32

I received the 12th. April a Packet of news Papers, which I believe was from your Office. It was brought to Bilboa by Mr. Stockholm; but not a single Line or Letter from America accompanied it.33

On the Back of the Packet there was this Indorsement; “Bilboa 3d. April 1782 Brought and forwarded by your Excellency’s Very humble Servt. Andrew Stockholm.” Notwithstanding this, it was marked PARIS by the Post Office, and charged with Postage accordingly vizt., 106 Reals of Vellon. I sent the Cover to the Director of the Post Office, but he declined correcting the mistake— Thus are all Things managed here.

The Courier de l’Europe informs us that the English ministry are totally changed, and gives us a List of those who form the new one.34 I think it difficult to predict how this Change may eventually operate with Respect to us. I hope we shall persevere vigorously in our military Operations, and thereby not only quiet the Fears and Suspicions of those who apprehend some secret Understanding between us and this Ministry, but also regain the Possession of those Places, which might otherwise counterbalance other Demands at a Peace—

Great Preparations are making here for a serious attack on Gibraltar— The Duke de Crillon will doubtless command it. His good Fortune has been very great.

It is natural as well as just that Congress should be dissatisfied with the Conduct of this Court, They certainly have much Reason; and yet a Distinction may be made between the Ministry and the Nation—the latter being more to be pitied than blamed.

I must now resume a Subject which I did not expect to have had occasion to renew in this Letter.

You may observe from the Copy of the Count De Florida Blanca’s note, containing an Invitation to his Table at Aranjuez and left at my House by his Servant, that it was not expressly directed to me. This omission raised some Doubt in my Mind of its being intended for me, but on Inquiry I found that the other Ministers had, in the same manner, received similar ones, and not directed to them by name. I mentioned my having received it to the Ambassador of France— He told me the Count had not mentioned a Syllable of it to him. I desired him to take an Opportunity of discovering from the Count, whether or no there was any mistake in the Case, and to inform me of the Result, which he promised to do.

On the 23d. April Instant, the Ambassador being then in Town, I paid him a Visit. He told me that on mentioning the matter to the Count, he said it must have happened by mistake, for that he intended only to ask my Orders for Aranjues, but that he was nevertheless glad the Mistake had happened, as it would give him an opportunity, by mentioning it to the King to obtain his Permission for the Purpose, and to that End desired the Ambassador to write him a note stating the Fact. The Ambassador did so, and the Count afterwards informed him that he had communicated it to the King, who with many Expressions of Regard for our Country; had permitted him to invite me as a private Gentleman of Distinction belonging to it. He authorized the Ambassador to communicate this Invitation to me, and also to inform me that I might bring Mr. Carmichael with me.

Much Conversation ensued between the Ambassador and myself, consisting of my Objections to accepting this Invitation, and his Answers to them. But as we continued to differ in Sentiment and he was going out, I agreed to think further of the matter before I gave my final Answer.

For my Part, I doubt there having been any mistake. I think it more probable, that the Minister, afterwards reflecting on the Use that might be made of this note, wished to render it harmless by imputing it to mistake, and substituting a more cautious Invitation. For it can hardly be supposed, either that his Servant would, for the first Time in two years, leave such a note at my House, unless ordered; or that he himself would for the first Time in his Life, and that in Writing, inform me of his having called to take my Orders for Aranjuez, without taking Care that his amanuensis wrote as he dictated. He was probably warmed by the news from England and Holland, and in the Perturbation of Spirits occasioned by it, was more Civil than on cool Reflection he thought was expedient, especially on further considering that the Ambassador might not be well pleased at not having been privy to it.

A few days afterwards I wrote the Ambassador the following Letter on the Subject.

[Here Jay embedded a copy of his letter to Montmorin of 27 April 1782, above.]

Reasons similar to those assigned for this Refusal, have induced me ever since my arrival, to decline going to Court, where I might also have been presented as a Stranger of Distinction35 but as Mr. Carmichael had been presented in that Character previous to my coming to Madrid, I never objected to his making subsequent Visits. I am, Dear Sir, With great Regard and Esteem, your most Obedient and Very humble Servant,

John Jay36

LbkCs, partly in code, decoded in margins, DNA: PCC, item 110, 2: 7–132 (EJ: 4184); NNC: JJ Lbk. 1; CSmH (EJ: 3433). RDC description begins Francis Wharton, ed., The Revolutionary Diplomatic Correspondence of the United States (6 vols.; Washington, D.C., 1889) description ends , 5: 336–77. Es, included in JJ’s report to Congress of 17 Aug. 1786, DNA: PCC, item 81, 2: 218–21; item 125, 59–61; item 124, 2: 221–25; JCC description begins Worthington C. Ford et al., eds., Journals of the Continental Congress, 1774–1789 (34 vols.; Washington, D.C., 1904–37) description ends , 31: 538–39. Much of the material included in the dispatch seems to have been based on material previously recorded in NNC: JJ Lbk. 6, but the information and commentary have been considerably revised.

4Letter not found.

6See “The Jay-Carmichael Relationship” (editorial note) on p. 171.

7Letter not found.

9See JJ to BF, 18 Mar. 1782, above.

11On the British cutter Dover, seized by Thomas Shuker and other American seamen, see JJ to Floridablanca, 20 June 1780, and the enclosed memorial; and 28 June 1781, both above. On the Cicero, Captain Hill, see JJ to Floridablanca, 6 Nov. 1781, above. On the South Carolina, Captain Alexander Gillon, see Floridablanca to JJ, 8 Oct. 1781, above.

12On Campo’s appointment, see the notes to JJ to the President of Congress, 20 Sept. 1781, above.

13For a later promise that the instructions would soon be ready, see Cabarrús’s letter to JJ of 10 Feb. 1782, above.

14For Floridablanca’s commitment to prevent JJ’s fears from being realized, see the notes to Bourgoing to JJ, 11 Feb. 1782, above.

16See JJ to BF, 1 Mar. 1782, above, note 1.

17See the account for the loan published under the date of 21 Mar. 1782, JJUP, 2: 48. This account is extracted from DNA: RG 39, Foreign Ledger of Public Agents in Europe, 1: 195 (EJ: 11828).

18On Dutch recognition of American independence, see Lafayette to JJ, 28 Apr. 1782, below, note 2.

19Letter not found.

20See the account for the loan published under the date of 21 Mar. 1782, JJUP, 2: 48.

21This JJ did in a letter to Cabarrús of 10 Mar. 1782, Dft, NNC (EJ: 8203).

22See BF to JJ, 16 Mar. 1782, above.

23Spanish text of the Madrid Gazette omitted; for a copy, see DNA: PCC, item 110, 2: 89–91 (EJ: 4184).

24For BF’s comments on the article in his letter to RRL of 12 Apr., see PBF description begins William B. Willcox et al., eds., The Papers of Benjamin Franklin (39 vols. to date; New Haven, Conn., 1959–) description ends , 35: 137. For varying interpretations of the accuracy of the report in the Madrid Gazette and of JJ and BF’s belief that the purpose of the incident, or at least of the article concerning it, was to establish Spanish territorial claims east of the Mississippi River, see Clarence W. Alvord, “The Conquest of St. Joseph, Michigan, by the Spaniards in 1781,” Missouri Historical Review 2 (1908): 195–210; Franklin Asbury Sampson, “The Capture of St. Joseph, Michigan, by the Spaniards in 1781,” Missouri Historical Review 5 (1911): 214–28; and Lawrence Kinnaird, “The Spanish Expedition against Fort St. Joseph in 1781: A New Interpretation,” Mississippi Valley Historical Review 19 (September 1932): 173–92. Beerman suggests that the purpose of the “curious” Spanish attack was to prevent another British attack on St. Louis. He also notes that it disposed the Indians in the area to be more friendly to Spain than to the English. See Beerman, España y la independencia description begins Eric Beerman, España y la independencia de Estados Unidos (Madrid, 1992) description ends , 62–65.

Militia leader Eugenio Purre’s name is also given as Eugene Pouré or Pourré. The primary Indian nation involved was the Potawatomi, while the other names mentioned probably referred to the Ottawa and the Sioux. The leaders, El Heturno or Le Tourneau (also known as Siggenake or Siggenauk) and Naquiguen, were chiefs of the Milwaukee Indians. Ibid., 187 and n, 188–90.

25JJ, as secretary for foreign affairs, included this extract from the Madrid Gazette in his report to Congress of 17 Aug. 1786 as part of a discussion about Spanish territorial claims east of the Mississippi River and about French support for American claims to navigate the Mississippi. See JCC description begins Worthington C. Ford et al., eds., Journals of the Continental Congress, 1774–1789 (34 vols.; Washington, D.C., 1904–37) description ends , 31: 537–52.

26In a letter to the secretary for foreign affairs of 14 Apr. 1782, Carmichael suggested that in the course of the conversation between Cabarrús and Floridablanca, the latter had “excited apprehensions” that Cabarrús would not be reimbursed by the end of the period he had specified. See RDC description begins Francis Wharton, ed., The Revolutionary Diplomatic Correspondence of the United States (6 vols.; Washington, D.C., 1889) description ends , 5: 305.

27Although adapted to Spanish conditions and reflecting English and Dutch banking practices, Cabarrús’s plan for the bank and procedures for establishing it bore many similarities to the Bank of Pennsylvania of 1780 and the Bank of North America of 1781, information on which had been forwarded to French and Spanish officials. See William Bingham to JJ, 1 July; JJ to the President of Congress and to Robert Morris, both 16 Sept.; JJ to Timothy Matlack, 17 Sept. 1780; and Robert Morris to JJ, 13 July 1781, all above; PRM description begins E. James Ferguson et al., eds., The Papers of Robert Morris, 1781–1784 (9 vols.; Pittsburgh, Pa., 1973–99) description ends , 1: 66–74; and Earl J. Hamilton, “The Foundation of the Bank of Spain,” Journal of Political Economy 53, no. 2 (June 1945): 99–101; and “The First Twenty Years of the Bank of Spain I,” Journal of Political Economy 54, no. 1 (February 1946): 17–18.

Cabarrús had presented plans for the bank to Floridablanca on 12 Oct. 1781 and had hoped that it would open in November 1781. It was not, however, chartered until 2 June 1782. Carmichael noted on 20 Dec. 1781 that the Council of State was considering the plan and that the bank, which was to be privately owned, was to have a capital of $15 million, of which Cabarrús had pledged to raise $6 million. The Crown, municipalities, religious orders, companies, individuals of all social classes in Spain and its colonies, and foreign investors were free to purchase and transfer stocks.

Stock sales were slow. Only about one-fifth of the 45,000 shares stipulated to be raised before the first stockholders’ meeting were sold by 20 Dec. 1782, when subscribers nevertheless held their first meeting. The bank began operations on 1 June 1783. Its purposes were to combat the depreciation of the vales issued in 1780 and 1781, to provision the army and navy under the auspices of two permanent bank directors, and to make foreign remittances and execute other commissions for the Crown. It was to redeem vales in specie and at par, and to discount promissory notes and bills of exchange payable within 90 days at 4 percent a year. See Hamilton, “The Foundation of the Bank of Spain,” 99–101; “The First Twenty Years of the Bank of Spain I,” 17–18; and “Plans for a National Bank of Spain, 1701–83,” Journal of Political Economy 57, no. 4 (August 1949): 332–33; Tedde, Banco de San Carlos description begins Pedro Tedde de Lorca, El Banco de San Carlos (1782–1829) (Madrid, 1988) description ends , 47–52; “John Jay’s Conference with Floridablanca” (editorial note) on p. 100; and RDC description begins Francis Wharton, ed., The Revolutionary Diplomatic Correspondence of the United States (6 vols.; Washington, D.C., 1889) description ends , 4: 265; 5: 63, 204, 305–6.

28Carmichael estimated the amount at less than 20,000 pounds. See Carmichael to RRL, 27 Feb. 1782, RDC description begins Francis Wharton, ed., The Revolutionary Diplomatic Correspondence of the United States (6 vols.; Washington, D.C., 1889) description ends , 5: 204.

29On the firm, Messrs. Patrick Joyce and Sons, see JJ to Floridablanca, 28 June 1780 (first letter), above.

32On the problem with the ciphers, see the notes to the Secretary for Foreign Affairs to JJ, 13 Dec. 1781, above.

33On the packet, see JJ to JA, 15 Apr. 1782, Dft, NNC (EJ: 7444); and PJA description begins Robert J. Taylor, Gregg L. Lint, et al., eds., Papers of John Adams (15 vols. to date; Cambridge, Mass., 1977–) description ends , 12: 410.

34Lord North resigned on 20 Mar. and was succeeded a week later by the Rockingham-Shelburne ministry.

35On this status, see “Foreigner of Distinction” (editorial note) on pp. 1–2.

36The bearer of this letter was David S. Franks, who reached Philadelphia by 1 Aug. On that day John Peter Têtard, an interpreter in the Office of Foreign Affairs, brought a large packet of JJ’s dispatches written in the Office of Finance code to be deciphered. Gouverneur Morris was entrusted with this responsibility. Congress had a decoded copy of the packet the next day and appointed a committee consisting of John Rutledge, James Duane, James Madison, Samuel Osgood, and Joseph Montgomery to “revise and consider the instructions from Congress to Mr Jay” (conveyed in a letter from the President of Congress to JJ of 28 May 1781, above) and to report what, if any, “alterations or additions” should be made to them. After its appointment, John Lowell attempted to broaden the committee’s assignment to include a review of the 15 June 1781 instructions to the peace commissioners. Madison succeeded in blocking this attempt, which he considered to be born of “antigallic ferment” fueled by France’s failure to enable JJ to avoid the protest of the bills described above. With regard to Spain, the committee’s report of 6 Aug. recommended that JJ “be instructed in case any propositions be made to him by the said Court for a treaty with the U. S. to decline acceding to the same until he shall have transmitted them to Congress for their approbation; unless the treaty proposed be of such a tenor as to render his accession thereto necessary to the fulfilment of the stipulation on the part of the U. S. contained in the separate and secret article of their treaty with his most Christian majesty, in which case he is to conclude such a treaty on the first requisition of his Catholic majesty.” In the debate that followed, Congress considered whether Spain’s unwillingness to enter an alliance prior to the conclusion of a general peace released Congress from its obligation to strive for a treaty with Spain as specified in the secret article in its treaty with France. The revised instructions of 7 Aug. 1782 were appended to the Secretary for Foreign Affairs to JJ, 8 Aug. 1782, JJUP, 2: 312–15. See also Gouverneur Morris to JJ, 6 Aug. 1782, JJUP, 2: 283–84; PRM description begins E. James Ferguson et al., eds., The Papers of Robert Morris, 1781–1784 (9 vols.; Pittsburgh, Pa., 1973–99) description ends , 6: 118, 119n6, 145–47; PJM description begins William T. Hutchinson, William M. E. Rachal, Robert A. Rutland, et al., eds., The Papers of James Madison, Congressional Series (17 vols.; Chicago and Charlottesville, Va., 1962–91) description ends , 5: 14–15, 20–24; and LDC description begins Paul H. Smith et al., eds., Letters of Delegates to the Continental Congress, 1774–1789 (26 vols.; Washington, D.C., 1976–98) description ends , 19: 4–5, 8, 15, 17, 25, 28, 32–34, 39–40.

Madison reported Franks’s arrival in a letter to Edmund Randolph of 5 Aug. 1782 (LDC description begins Paul H. Smith et al., eds., Letters of Delegates to the Continental Congress, 1774–1789 (26 vols.; Washington, D.C., 1976–98) description ends , 19: 19–20), in which he commented that France would be blamed for JJ’s protest of the bills drawn on him by Congress. He speculated further that this news and the lack of progress in negotiations with Spain would give “fresh leaven” to anti-French sentiment in Congress. This, he feared, might lead to a retraction of instructions to the peace commissioners to seek French advice and a loss of French confidence in the United States, and might encourage Britain to prolong the war.

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