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What is the NORTZ v. UNITED STATES case?

The case involved the owner of $106,300 in federal gold certificates who was required to surrender them under Executive Order 6102 during the Great Depression.

The plaintiff, F.

Eugene Nortz, sued the U.S.

government in the Court of Claims, seeking an additional $64,000 to compensate for the loss of value of the dollar against gold.

The Supreme Court examined whether the provisions of the Emergency Banking Act of 1933 and the Treasury Secretary's order requiring the surrender of gold certificates were valid under the law.

The Court determined that the government's actions were valid, as the applicable legislation had already established a different value for gold, which the plaintiff's claim was based on.

The Court held that the plaintiff's allegation about the value of gold at $33.43 per ounce was a conclusion of law, not a fact, and therefore could not be the basis for additional compensation.

The case highlighted the government's authority to regulate the currency and monetary system during times of economic crisis, as granted by the Emergency Banking Act.

Nortz v.

United States was part of a series of "gold clause" cases that challenged the government's ability to abrogate gold clauses in private and public contracts.

The Court's ruling in Nortz v.

United States was consistent with its earlier decision in Norman v.

Baltimore & Ohio Railroad Co., which upheld the government's power to override gold clauses.

The case demonstrated the Supreme Court's deference to the government's economic policies during the Great Depression, even when those policies resulted in financial losses for individuals.

Nortz v.

United States was decided just a few months after the Court's landmark decision in Perry v.

United States, which also upheld the government's power to invalidate gold clauses.

The case is notable for its legal reasoning, which focused on the distinction between factual allegations and conclusions of law in the context of a demurrer.

Nortz v.

United States has been cited in subsequent cases related to the government's authority to regulate the monetary system, particularly during times of economic crisis.

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