The Philippine Islands, 1493-1803; explorations by early navigators, descriptions of the islands and their peoples, their history and records of the Catholic missions, as related in contemporaneous books and manuscripts, showing the political, economic, commericial and religious conditions of those islands from their earliest relations with European nations to the beginning of the nineteenth century; [Vol. 1, no. 44]

234 THE PHILIPPINE ISLANDS [Vol. 44
duties that belong to them, since on no account would
he allow them to be tolerated.
31. That in order to avoid confusion in the decree
of the year I697 already cited (and leaving these
points settled and in use, in such form that they
should be permanent), if the governor and merchants of Philipinas in giving the Ioo,ooo pesos,
should come to offer it by way of adjustment
[regulacion]70 of the duties in each voyage, and not
70 The phrase regulacion de derechos apparently means, in
reality, a (special) rule for the payment of duties; that is, if the
Manila merchants would pay the Ioo,ooo pesos which they had
offered as an "adjustment" according to the special rule for the
collection of those duties- a rule going above the duties as prescribed by law - they should be permitted to do so, and should be
excused for the penalties which had accumulated, or at least for
the back dues remaining unpaid during the time when the "indult" had been conceded to them of compounding the duties at
74,000 pesos only. The stress seems to be laid upon the fact that
they must not be permitted to consider their payment as an
"indult," but as aft arrangement, and one that was based on a
somewhat higher rate than had previously been granted to them.
Even though it may be considered as a sovereign favor to them,
objection is made to having it specifically stated as an "indult."
The usage of the word indulto in this connection will become
more clear if it is remembered that it means a special favor in one
form or another, a grace of the sovereign, a special exemption
from rule or penalty. Barcia and others define indulto as an impost levied on the cargoes of the galleons from the Indias; but
it seems doubtful if this be strictly correct, as no impost by that
name can be found in Leyes de Indias or Ordenanzas de Bilbao,
even in connection with averias and almojarifazgos. I take it to
mean, rather, the exemption from the duties on ships' cargoes
which would, under other provisions of law, be owed. There is
one interesting instance of the use of indulto to signify exemption,
in Teatro de la legislacion universal de Espafia e Indias (Madrid,
1790-97; 28 vols.), ii, p. 341, under the head, "Administration
of averias," where it is provided by Carlos II that "the proceeds
of certain indultos for gold, silver, and merchandise unregistered
shall be applied to the fund from averlas, in order that it may
result to the benefit of those who shall not have transgressed the
laws of registration; and notification shall first be given to the
Council." This seems to confirm my belief that the indulto was