Note (return) — Chapter I

By Spanish law strangers were forbidden to resort to, or reside in, the Indies without express permission of the king. By law, moreover, they might not trade with the Indies from Spain, either on their own account or through the intermediary of a Spaniard, and they were forbidden even to associate with those engaged in such a trade. Colonists were stringently enjoined from having anything to do with them. In 1569 an order was issued for the seizure of all goods sent to the colonies on the account of foreigners, and a royal cedula of 1614 decreed the penalty of death and confiscation upon any who connived at the participation of foreigners in Spanish colonial commerce.33 It was impossible, however, to maintain so complete an exclusion when the products of Spain fell far short of supplying the needs of the colonists. Foreign merchants were bound to have a hand in this traffic, and the Spanish government tried to recompense itself by imposing on the out-going cargoes tyrannical exactions called "indults." The results were fatal. Foreigners often eluded these impositions by interloping in the West Indies and in the South Sea.34 And as the Contratacion, by fixing each year the nature and quantity of the goods to be shipped to the colonies, raised the price of merchandise at will and reaped enormous profits, the colonists welcomed this contraband trade as an opportunity of enriching themselves and adding to the comforts and luxuries of living.