Why did Pennsylvania court settlements of contracts written in sterling in the middle of the eighteenth century use the current market value rather than the par value?
A) to protect colonists from the avarice of English merchants
B) to help colonial merchants dodge customs
C) to give colonial merchants a clear advantage in their trade with English merchants
D) to protect English merchants from being paidin unanticipated, depreciated paper money.
E) All of the above.

Question

Quizplus · Accepted Answer

The use of current market value rather than par value in settling contracts written in sterling was to protect English merchants from being paid in depreciated paper money, which was a common occurrence due to the fluctuating value of colonial currency. This ensured that English merchants received the full value of the contract in stable currency, safeguarding their interests.

Why Did Pennsylvania Court Settlements of Contracts Written in Sterling