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.

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

Dr Franklin to make the advances in question, and that though he could

not promise anything 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, and that he received for answer, "that

Spain knew her own business and interest, and 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 perplexities 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, viz. 27th of January, I received the following letter

from Dr Franklin.

"Passy, January 15th, 1782.

"Dear Sir,

"Mr Grand tells me, that he hears from Madrid, you are uneasy at my

long silence. I have had much vexation and perplexity lately with the

affair of the goods in Holland, and I have so many urgent

correspondences to keep up, that some of them at times necessarily

suffer. I purpose writing fully to you next post. In the meantime I

send the enclosed for your meditation. The ill-timed bills, as you

justly term them, do us infinite prejudice; but we must not be

discouraged.

"I am ever, with the greatest esteem, &c.

B. FRANKLIN."

The paper abovementioned to be enclosed, is in these words.

Translation.

COUNT DE VERGENNES TO B. FRANKLIN.

"Versailles, December 31st, 1781.

"Sir,

"I have received the letter you did me the honor to write me the 27th

instant. I shall not enter into an examination of the successive

variations and augmentations of your demands on me for funds to meet

your payments. I shall merely remark, that whenever you shall consider

yourself fully authorised to dispose of the proceeds of the Dutch

loan, on behalf of Congress, I will propose to M. de Fleury to supply

you with the million required, as soon as it shall have been paid into

the royal treasury. But I think it my duty, Sir, to inform you, that

if Mr Morris issues drafts on this same million, I shall not be able

to provide for the payment of them, and shall leave them to be

protested. I ought also to inform you, that there will be nothing more

supplied than the million abovementioned, and if the drafts, which you

have already accepted, exceed that sum, it must be for you to contrive

the means of meeting them. I shall make an exception only in favor of

those of Mr Morris, provided they shall not exceed the remainder of

the Dutch loan, after deducting the million, which shall be placed at

your disposal, and the expenses of the loan.

"I have the honor to be, &c.

DE VERGENNES.

"_P. S._ I remit to you herewith the letter of Mr Grand."

Although this letter of Dr 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.

"Madrid, January 30th, 1782.

"My dear Sir,

"I had yesterday the satisfaction of receiving your favor of the 15th

instant. You will find by a letter, which I wrote you on the 11th

instant, that I imputed your silence to its true cause, being well

persuaded, that the same attention you have always paid to the public

affairs in general, would not be withheld from those, which call for

it in this kingdom.

"I am happy to find, that you have a prospect of terminating the

difficulties, which the bills drawn upon me have occasioned, and

though I cannot but observe, that Count de Vergennes' letter is

peculiarly explicit and precise, yet I must confess, I should not have

been surprised if it had been conceived in terms still less soft.

Would it not be well to transmit a copy of it to Congress? France has

done, and is still doing so much for us, that gratitude, as well as

policy, demands from us the utmost moderation and delicacy in our

applications for aids; and considering the very singular plan of

drawing bills at a venture, I think we have no less reason to admire

the patience, than to be satisfied with the liberality of our good and

generous allies.

"M. de Neufville had given me a hint of the embarrassments occasioned

by the affair of our goods in Holland.

"It seems as if trouble finds its way to you from every quarter. Our

credit in Holland leans upon you on the one hand, and in Spain on the

other. Thus you continue, like the key-stone of an arch, pressed by

both sides and yet sustaining each. How grateful ought we to be to

France for enabling you to do it.

"Mr Joshua Johnson, in a letter dated the 18th instant, mentions the

arrival at Nantes, of the brig Betsey from Philadelphia, that she

brought letters for me, and that the captain put them in the

post-office. None of them have as yet reached me.

"I have received too many unequivocal proofs of your kind attention,

to render a punctilious return of line for line necessary to convince

me of it. Let such ideas, therefore, be banished, and be assured that

matters of ceremony and etiquette can never affect the esteem and

affectionate regard with which I am, &c. &c.

JOHN JAY."

Not having heard anything further from M. Del Campo respecting his

instructions, I wrote him on that subject as follows.

"Madrid, February 1st, 1782.

"Mr Jay presents his compliments to M. Del Campo, and requests to be

informed whether he has as yet received the instructions necessary to

enable him to execute his appointment relative to the affairs of the

United States at this Court.

"Mr Jay begs leave again to mention his being ready and anxious to

enter, with M. Del Campo, into the discussion of these affairs at any

time and place that may be agreeable to him."

On the 5th of February, I received the following answer.

Translation.

"M. Del Campo has the honor to address his compliments to Mr Jay, and

to transmit him several bundles of letters, which he has just

received. He regrets that he is obliged to inform Mr Jay, that the

Count, by reason of the delicate state of his health, and other

difficulties, has not yet been able to arrange the instructions under

consideration. _The Pardo, February 3d, 1782._"

The packets mentioned in the above note were the first public letters

I have had the honor of receiving from you.

I afterwards found that these despatches were brought to Cadiz from

Philadelphia by the brig Hope. How they came into M. Del Campo's hands

I am not informed. On the same day (February 5th, 1782,) I received a

letter from Dr 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.

"Passy, January 19th, 1782.

"Dear Sir,

"In mine of the 15th, I mentioned my intention of writing fully to you

by this day's post. But understanding since, that a courier will soon

go from Versailles, I rather choose that conveyance.

"I received duly your letter of November 21st, but it found me in a

very perplexed situation. I had great payments to make for the

extravagant and very inconvenient purchase in Holland, together with

large acceptances by Mr Adams, of bills drawn on Mr Laurens and

himself, and I had no certainty of providing the money. I had also a

quarrel upon my hands with Messrs de Neufville and others, owners of

two vessels hired by Gillon to carry the goods he had contracted to

carry in his own ship. I had worried this friendly and generous Court

with often repeated after-clap demands, occasioned by these unadvised,

(as well as ill advised) and, therefore, unexpected drafts, and was

ashamed to show my face to the Minister. In these circumstances, I

knew not what answer to make you. I could not encourage you to expect

the relief desired, and, having still some secret hope, I was

unwilling to discourage you, and thereby occasion a protest of bills,

which possibly I might find means of enabling you to pay. Thus I

delayed writing perhaps too long.

"But to this moment, I have obtained no assurance of having it in my

power to aid you, though no endeavors on my part have been wanting. We

have been assisted with near twenty millions since the beginning of

last year, besides a fleet and army; and yet I am obliged to worry

them with my solicitations for more, which makes us appear insatiable.

"This letter will not go before Tuesday. Perhaps by that time I may be

able to say explicitly yes or no.

"I am very sensible of your unhappy situation, and I believe you feel

as much for me.

"You mention my proposing to repay the sum you want in America. I

tried that last year. I drew a bill on Congress for a considerable sum

to be advanced me here, and paid there in provisions for the French

troops. My bill was not honored.

"I was in hopes the loan in Holland, if it succeeded, being for ten

millions, would have made us all easy. It was long uncertain. It is

now completed. But, unfortunately, it has most of it been eaten up by

advances here. You see by the letter of which I sent you a copy, upon

what terms I obtain another million of it. That (if I get it) will

enable me to pay the thirty thousand dollars you have borrowed, for we

must not let your friend suffer. What I am to do afterwards God knows.

"I am much surprised at the dilatory and reserved conduct of your

Court. I know not to what amount you have obtained aids from it, but

if they are not considerable, it were to be wished you had never been

sent there, as the slight they have put upon our offered friendship is

very disreputable to us, and, of course, hurtful to our affairs

elsewhere. I think they are short-sighted, and do not look very far

into futurity, or they would seize with avidity so excellent an

opportunity of securing a neighbor's friendship, which may hereafter

be of great consequence to their American affairs.

"If I were in Congress I should advise your being instructed to thank

them for past favors, and take your leave. As I am situated, I do not

presume to give you such advice, nor could you take it if I should.

But I conceive there would be nothing amiss in your mentioning in a

short memoir, the length of time elapsed since the date of the secret

article, and since your arrival, to urge their determination upon it,

and pressing them to give you an explicit, definitive, immediate

answer, whether they would enter into treaty with us or not, and in

case of refusal, solicit your recall, that you may not continue from

year to year at a great expense, in a constant state of uncertainty

with regard to so important a matter. I do not see how they can

decently refuse such an answer. But their silence, after the demand

made, should in my opinion be understood as a refusal, and we should

act accordingly. I think I see a very good use that might be made of

it, which I will not venture to explain in this letter.

"I know not how the account of your salary stands, but I would have

you draw upon me for a quarter at present, which shall be paid, and it

will be a great pleasure to me if I shall be able to pay up all your

arrears.

"Mr Laurens being now at liberty perhaps may soon come here, and be

ready to join us if there should be any negotiations for peace. In

England they are mad for a separate one with us, that they may more

effectually take revenge on France and Spain. I have had several

overtures hinted to me lately from different quarters, but I am deaf.

The thing is impossible. We can never agree to desert our first and

our faithful friend on any consideration whatever. We should become

infamous by such abominable baseness.

"With great and sincere esteem, I am ever, &c.,

B. FRANKLIN."

You will easily perceive, Sir, that my situation now became very

unpleasant; largely indebted to M. 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.

M. Cabarrus had offered to advance, or rather to supply me with any

sum of money, that the Minister would authorise 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 M. Cabarrus could possibly collect. 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 authorised to enter

into any such engagement, and the Minister remained silent; M.

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 of February he wrote me the following

letter.

Translation.

"Madrid, February 10th, 1782.

"Sir,

"I was summoned yesterday to the Pardo, which prevented me from paying

you my respects as I had intended. Not knowing whether I shall be able

to do it before Tuesday, I write to inform you, that it will be

necessary for me to know on what I am to depend in regard to the

reimbursement you were to make me by drafts on Paris. You are aware,

that I have actually advanced seven hundred and fifty thousand reals

vellon. Independently of this sum, on the 14th of March, which we are

now approaching, nearly thirtyfive thousand dollars of your bills will

become due. I will not conceal from you, that although this double

advance is neither beyond my means nor my disposition, yet the former

is entirely absorbed by the necessities of the government, so that I

shall be the more desirous, that you would enable me to meet these

engagements, as I shall always find a difficulty in disposing of your

paper. I speak to you frankly, since I shall always endeavor, as I

have heretofore done, to serve you in the same spirit.

"I have the honor to be, &c.

CABARRUS."

By way of answer to this letter, I instructed Mr Carmichael to inform

M. 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 M. Cabarrus's discretion. I

could not give him positive assurances of being speedily repaid,

either by a credit on Dr 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 Dr 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 M. Cabarrus had already

advanced to me.

The next day, viz. 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

Dr Franklin and M. Cabarrus' letters.

I requested him to speak seriously and pressingly to the Minister on

the subject, and to remind him, that M. Cabarrus' 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 de

Bourgoing, viz.

Translation.

"Sir,

"The dreadful weather today prevents me from coming to inform you

orally, what M. de Montmorin has to communicate to you in pursuance of

his interview of this morning. I give you the result briefly.

"The Minister being informed of your embarrassment feels for you

sincerely, and would be glad to remedy it. He will make every effort,

but as the actual necessities of the government are pressing, he

cannot answer for his success. He assures Mr Jay, that if the

misfortune he apprehends should take place, Mr Jay may be perfectly

easy in regard to personal consequences, as the Minister will take

care that no inconvenience shall follow it.

"I have thought that these few lines would serve to calm your

apprehensions, until M. de Montmorin shall have an opportunity to give

you further information.

"I have the honor to be, &c.

DE BOURGOING."

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

"Mr Jay presents his compliments to the Chevalier de Bourgoing. The

Minister's answer to the Ambassador is polite and cautious, and if

sincere (which time can only ascertain) will demand Mr Jay's thanks

and acknowledgments.

"The Minister is mistaken if he supposes that Mr Jay views personal

consequences as of any other importance, than as they may affect the

political interests of the two countries; and when considered in that

light, they merit a degree of attention to which mere personal

considerations could not entitle them.

"Mr Jay requests the favor of the Chevalier to present his cordial

acknowledgments to the Ambassador for his friendly interposition on

this occasion, and to assure him that Mr Jay will never cease to be

influenced by the gratitude, which every American owes to the first

friend and steadfast ally of the United States. _Madrid, February

11th, 1782._"

I also wrote this evening to Dr Franklin, and I insert the following

extracts from the letter, because they contain matters proper for you

to know.

"Madrid, February 11th, 1782.

"Dear Sir,

I have been so engaged these two days, as not to have had time to

reply fully to yours of the 19th ult.

"I flattered myself that the loan in Holland would have afforded funds

for all our bills and present demands, and am sorry to hear that this

is not the case. Could not that loan be extended to a further sum?

"The conduct of this Court bears few marks of wisdom. The fact is,

they have little money, less credit, and very moderate talents.

"My ideas correspond exactly with yours respecting the propriety of

presenting such a memoir as you propose. The Ambassador of France,

however, is decided against it, and it appears to me imprudent to

disregard his opposition.

"I have not as yet received a single letter by or from the Marquis de

Lafayette.

"I am, &c.

JOHN JAY."

On the 15th of February, the first advices of the surrender of Fort St

Philip arrived, and the Ambassador of France having been informed at

the Pardo, that M. Del Campo's instructions would be completed by the

end of the week, I thought both 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 M. Del Campo, who was then in the Secretary's office. I

did so.

I found M. 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 despatch 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 anything 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 overrated 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 M. Cabarrus' offer in very precise terms, and told

him, I was glad to hear from the Ambassador, that his instructions

were nearly completed. 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 such like compliments

improper as well us 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 of 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 of February

your letter by the Marquis de Lafayette arrived safe.

On the 25th of February I received the following letter from M.

Cabarrus, viz.

Translation.

"Madrid, February 25th, 1782.

"Sir,

"I have the honor to remit you herewith three accounts, relative to

the payments made for you, viz.

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