Cooper and Kirk has substantial legal expertise in litigating the validity of gold clauses. By way of background, gold clauses were a common feature of contracts, including long-term leases and bonds, at the end of the 19th and beginning of the 20th century. In June 1933, President Roosevelt declared gold causes to be unenforceable. But in 1977, Congress amended the law to allow gold clauses in “new obligations.” The courts have consistently held that novations of contracts, including assignments of leases in some instances, can revive an otherwise dormant gold clause. We have successfully litigated this issue in several cases.
Cases in which a dormant gold clause have been revived typically involve a lease entered into prior to 1933 and assigned subsequent to 1977. If you believe you have a potential gold clause case and would like to schedule a free consultation, please contact David Thompson at email@example.com.