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SECTION XI.

With the same view that directed the preceding Section, no owner of metal, who sends it to be reduced by such an establishment, belonging to another person, shall be prevented from attending either personally, or by a confidential agent, all the operations of the reduction, from making trials, from assaying any part of the mass in various ways, and doing every thing else that he may think conducive towards the better reduction of the metal, or the satisfying himself of the manner in which it is done.

SECTION XII.

The amount of carriage to be paid to the mule drivers, upon metals taken from the mines to the establishments, whenever any excessive charge is made, shall be settled by the judge of the district, acting in concert with the Territorial Deputations, having a due regard to justice and equity, and making a difference between the dry and rainy seasons.

SECTION XIII.

And if any of the said mule drivers shall be proved to have stolen or sold any of the metal on the roads, replacing the same by other materials, they shall be proceeded against accordingly, by the proper judges, and Section XXIX. of Chapter III. of these Ordinances, shall be observed in the infliction of penalties on such persons; and also, in case of the offence being repeated, always with due regard to the nature and character of the offence, deciding the same according to law, and in the form prescribed in said Chapter III. and be it understood, that if any of the cases comprised in Section XIII. of this Chapter, the imposition of penalties, or the loss of property, beasts of burthen, or other thing whatever, come under consideration, proceedings shall be had according to Section XXXII. of Chapter III.

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OF THE CONTRACTORS FOR SUPPLYING MINES, (WITH MONEY AND OTHER ARTICLES,) AND OF THE DEALERS IN (GOLD AND) SILVER.

SECTION I.

IT often happens that Mine-owners carry on the works in their mines with the capital of other persons, either because they have not at first sufficient funds of their own, or from having exhausted their own funds in various op erations, before the extraction of sufficient metal to make them a return, and in such cases they are in the habit of agreeing with contractors for supplies,

(Aviadores), in one of two methods; either by letting them have the gold and silver which they may extract, at a price somewhat below the real value, leaving the said contractors the benefit of the difference, which method is called allowing a premium upon the metals, (aviar â premios de platas), or by giving the contractor a share in the mine, making him a perpetual proprietor thereof, or of the metals for a certain time, by a species of partnership; and whereas, the necessities of the Miners, and the facility of some of the contractors often lead to contracts, which, being unjust or usurious, or ill understood from the beginning, or appealed against by one or other of the parties, give rise to litigation, which suspends the supplies, and occasions injury to the mines, and the loss of the capital laid out upon them; it is my sovereign will and pleasure, that no Mine-owner shall conclude any agreement for supplies without a regular signed contract, leaving it at his option to complete the same, or not, before a notary or witnesses; and no agreements that may be entered into without such signed contract shall be capable of being enforced, but such cases to be determined according to the general rules.

SECTION II.

In all agreements of the first mentioned kind, (á premios de plata), attention and consideration must be given to the number of marks in each delivery, and how often such deliveries take place, so that if, through any accidental circumstances in the mine, the number of deliveries should increase or diminish considerably, either of the contracting parties may be allowed to increase or diminish the premium upon the metals, without violating the original contracts in other respects; for which purpose in the instrument as originally drawn up, the number of annual deliveries shall be specified, and the number of marks in each delivery; or the parties, if they please, may renounce altogether any right to avail themselves of such accidents as are above mentioned, in which cases the original contracts shall remain in force for all purposes.

SECTION III.

If the Mine-owner shall secure to the Mine-contractor, a certain sum for the supplies, either by deposit, or security, to the satisfaction of the contractor, the latter shall not receive in the way of premium more than would amount to five per cent. per annum on the capital advanced.

SECTION IV.

The contractors shall furnish the supplies in ready money, or in bills payable without discount or loss, or, if the Mine-owners should prefer having goods and effects such shall be delivered to him of a good quality, and in a good condition; and at the price at which they could be bought for ready * Eight ounces to a mark.

money, at the place where the contractor resides, and in no other manner whatsoever.

SECTION V.

Risks and accidents happening upon the road in the transport of supplies, and the freight and (excise) duties payable upon the supplies, shall be at the expence of the Mine-owner, where the contract is by premium upon the metals; but where the contract is in the way of partnership, such costs shall be at the expence of both, unless any other mode be particularly expressed in the deed of agreement.

SECTION VI.

In case of the capital supplied being entirely expended, or of a part of it not being covered by the remaining effects, the Mine-owner shall not be responsible for the same, in his person, nor in any other property which he may possess, excepting only that connected with the mine, and the reducing establishment, supposing this latter to be erected out of the capital advanced; but the mine, and the effects and profits thereof, after deducting the expences, shall go to the payment of the contractors one after another, beginning with the last or most recent; be it understood, however, that this being a privilege granted by the law only to creditors who advanced second supplies for the restoring and refitting of mines, it is necessary that the three qualifications should all concur, in order to its being enjoyed; but if the Mineowner, from actual necessity, shall abandon the mine, without any fraudulent intention, and having given notice thereof to the creditors, it shall not remain liable for former claims, when it is in the hands of the new possessor; and it is further declared, that if the capital supplied to such mines, and in regard to which such deficiency occurs, has not been furnished in the way of partnership, between the contractor and Mine-owner, in which case, the profit or less is to be in common between them, but in the way of loan, and the Mineowner shall have made his property answerable, either by choice, or because the contractor required it for greater security; under such circumstances, the said obligation shall remain complete in all its parts, notwithstanding the general provisions of this section.

SECTION VII.

If no agreement shall have been made at first, as to the mode of securing the advances contracted for, when they are supplied in the way of premium upon the metal; the contractor shall not require the same in any manner prejudicial to the Mine-owner in the working of his mine, by cutting off the supplies nor shall he be obliged to receive back from the Mine owner in small sums, the supplies he may have advanced.

SECTION VIII.

Although the Mine-owner may not have observed at any time that his silver contains a mixture of gold, the separation of which from the silver would be expensive; or that there be silver amongst the gold of a baser quality, and the contractor should have discovered the same, either by assaying or other method; be it understood that the profit thereof shall not go to the said contractor, but shall be placed to the credit of the Mine-owner, or proprietor of the metal, in the account kept between him and such contractor.

SECTION IX.

When the contract of supply is made in the way of partnership in the property of the mine, be it understood that the capital invested, until the time when there shall be a surplus profit over and above the expences, is not to be immediately deducted from the profits, with preference to the contractor, but the profits are to be divided, the capital remaining so invested during the continuance of the partnership, (mientras no se separe la compama).

SECTION X.

The Merchants or Dealers in silver who receive it without having advanced any thing to the owners, or encountered any risk, shall pay for it at the full value, and if they give in exchange for it any goods, the latter shall be charged at the regular price, and shall be of good quality; and I strictly ordain and command that the said Merchants or Dealers in silver shall receive it from the Mine Owners, being assayed, and the fifth part deducted therefrom (as Royal duty) conformably to law, and as repeatedly enacted by Royal Decrees, in order to prevent its being illegally disposed of in any of the different ways in which my Royal rights are infringed: And I further declare that in those districts where such assaying or deducting of the fifth part cannot conveniently be managed, on account of their distance from the Royal treasuries or marking offices, the Merchants or Dealers shall bind themselves before the Royal Court and Territorial Deputation, to take the metal forthwith to the office (caxa) of the district, in order to fulfil the said obligation of paying any Royal dues, and to verify the preformance of the like as regards quicksilver, according to the establised custom in New Spain, the said court and Deputation, allowing them a certain time for carrying all this into effect, and giving notice of the said obligation to the Royal officers whom it may concern, so that if the said persons should fail to fulfil the same, such silver shall be deemed to be confiscated, and the said officers shall take steps to obtain possession of it, and to inflict the other penalties imposed by the laws upon the defrauders of my Royal rights.

* It must be understood, I presume, that the profits are to be divided in proportion to the number of barras or shares so held in partnership by the supplier.

SECTION XI.

All the Merchants of the mining districts shall keep a correct and light balance and scales, in which only all the silver and gold shall be weighed; and they shall never use for this purpose steel-yards, however large the masses or quantities of the metal may be; and they must also keep weights marked and properly adjusted according to those which they have received from the proper Royal authorities; and I permit the respective Deputies to inspect the same from time to time, (without prejudice to the regular inspection by the Royal Court and public Magistrate), and to take care that the weighing be always justly and correctly performed, to the end that, in case any fraud should be discovered, and also in case of the repetition of such fraud, proceedings may be had before the competent Royal Court for the imposition of penalties proportioned to the nature and character of the offence, the said Court hearing and receiving information on the subject from the Deputies of the District.

SECTION XII.

All the working Miners must keep their tools and utensils marked, and if any one shall purchase them from any workmen, or receive them in pledge, he shall pay for them double the value.

SECTION XIII.

The aforesaid merchants and contractors may, for their satisfaction, and that of the owner, heat the blocks or ingots of silver (mixed with quicksilver) over a charcoal fire, but not over a flame, or in any manner by which it might be reduced to a state of fusion, except in crucibles; and they may also be allowed to separate them so as to examine them within, but this must be done as well as trying its quality, by heating it upon a counter, or in such manner that the owner may be able to collect and carry away all the waste and refuse fragments of his silver.

SECTION XIV.

Every contractor has the right of appointing at any time an inspector (in terventor) to any Mine-owner whom he contracted to supply, although it be not so expressed in the contract; but be it understood, that such interventor is only to attend to the correctness of the accounts, and to have power over the money and effects; but not to interfere with or obstruct the working of the mine, which belongs entirely to the mine owner; he may, however defer the carrying on of the operations, by presenting an account to the Deputies, requesting the Appointment of surveyors, but this only in cases which will admit of such delay.

SECTION XV.

Whereas the operations of mines in a course of working, particularly where

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