The Recent Storm of Contract Dysfunction

Jim Woods

Jim Woods has over 20 years of experience in the markets from working as a stockbroker, financial journalist, and money manager.

Word is bond.

That’s the phrase that keeps coming to mind for me amidst the two most prominent political stories of the day — the Stormy Daniels affair and the latest push to restrict gun rights.

Now, “word is bond” is urban slang shorthand for the longer phrase “your word is your bond,” meaning that if you give someone your word, then you also are giving them your solemn promise.

In the case of Stormy Daniels, the former adult film actress gave her legal promise (which included the signing of a non-disclosure agreement, or NDA) that she would not reveal the details of her alleged affair with Donald Trump. In exchange for that promise, Daniels would receive the sum of $130,000.

That payment was made, yet Daniels still talked.

Her recent appearance on “60 Minutes” was just the latest violation of the word-is-bond ethic.

Now, I want to go on record here as saying that I think the whole Stormy Daniels/Donald Trump incident is repugnant on many fronts. And I am most definitely not arguing for the propriety of Mr. Trump and his associates in this matter.

I also am not an attorney, so I can’t attest to the relevance of any lack of signature on the agreement by Donald Trump via an alias, or to whether that legally invalidates the contract. These legal intricacies are all extraneous to my ethic.

What I am saying is that when you make an agreement with another party, and then you violate your part of the agreement, you are guilty of what I consider the most serious ethical breach… i.e. the breach of “word is bond.”

In my own business career, I have signed many NDAs having to do with the trade secrets, methods and practices of my employers. And if I were to violate those agreements, I would rightly deserve the social and legal scorn coming to me.

Call me old fashioned, but I believe the principle that “word is bond” is sacrosanct.

I also believe that when it comes to our rights as Americans, the word-is-bond ethic also applies.

That’s why it’s been disturbing to me to see the latest push for a restriction of our Second Amendment rights.

The March for Our Lives protest last weekend in Washington, D.C., and in dozens of cities around the world, has focused attention on ending the horrific gun violence and mass shooting incidents that afflict our society.

And while I sympathize and agree with the need to make our society safer for all Americans, I also can’t help but think that the focus on restricting gun rights is a violation of the word-is-bond ethic in the United States Constitution.

You see, the Founding Fathers were intent on creating a nation free from government tyranny.

That’s why it is no accident that the ability to speak freely (the First Amendment) as well as the means by which to protect oneself from government-initiated physical force (the Second Amendment) are bedrock foundations of a tyranny-free state.

I see the Constitution as a kind of word-is-bond agreement between the Founders and future generations of Americans. A word-is-bond agreement that ensures and safeguards our liberties better than any other document in world history.

Now, however, there are those who wish to essentially default on that agreement because they think it will make society safer.

Indeed, even a former Supreme Court justice thinks we should alter our Constitutional bond, arguing that the Second Amendment is a “relic of the 18th century.”

Of course, part of the brilliance of the Constitution is the provisions in it that allows Americans to alter that agreement provided there is enough consensus.

So, if we want to have that debate, then we should have it.

If we do, I suspect we’ll discover the true wisdom in the concluding text of our Founders’ promise, “…the right of the people to keep and bear Arms, shall not be infringed.”

Word is bond.

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On Freedom, Fast Money and Sin City

What’s the one thing you can do to increase your freedom?

While some might say it’s getting politically active and working to enact legislative change, I say there’s something much more personal — and eminently easier — that you can do to increase your freedom quotient.

And, the best part of this freedom-enhancing move on your part is that you’re also going to have a lot of fun in the process.

You see, the one thing you can do to increase your freedom is to get richer.

Yes, accumulating wealth is perhaps the best way to increase your personal freedom. The reason why is that having financial peace of mind allows you the freedom to do what you want—and to do it on your own terms.

Fortunately, increasing your wealth doesn’t have to be a mystery. In fact, all it takes is a little discipline, a little confidence and a little knowledge.

And, when it comes to the knowledge component, I am proud to announce that I, along with my investment advising partner and world-renowned economist, Dr. Mark Skousen, will be teaming up to help provide you with the knowledge you can use to supercharge your freedom.

Along with Eagle Financial Publications partner and publisher Roger Michalski, Mark and I will be holding a special event we’re calling the “Fast Money Summit” at this year’s FreedomFest conference.

Known as “The World’s Largest Gathering of Free Minds,” FreedomFest takes place from July 11-14, 2018, at the Paris Resort, Las Vegas, NV.

Dr. Skousen and I will start the summit with a special session of our Fast Money Alert service, revealing our winning formula for successfully maneuvering through the treacherous marketplace by using our own special brand of fundamental and technical analysis.

In the past year, we’ve used our system to make substantial profits, including a stock that rose 120% in only six months.

Our session will include a specific stock recommendation that has equal potential to double in price in 2018.   

Then you will meet with our experts in the “Eagle’s Nest,” a designated room for subscribers, and hear them reveal their most valued secrets to make you a much better investor and speculator. Roger Michalski, Eagle’s Publisher, will be the moderator.

The Fast Money Summit also will feature some of the best and brightest of the investment field, including such luminaries as Jim Rogers, Donald Smith, Rob Arnott, Gary Smith, Doug Casey, Peter Schiff, George Gilder, Mark Mobius, Keith Fitz-Gerald, Alex Green, Robert Kiyosaki and many, many more.

If you want to put yourself on the path to achieving more personal freedom, then this event is aimed directly at you.

And, if you register for this event by March 31, you’ll get a very special discount price—and one that increases your freedom even more by increasing your savings!

We hope to see you there.

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Adams’ Rib

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“And that the said Constitution be never construed to authorize Congress to infringe the just liberty of the press, or the rights of conscience; or to prevent the people of the United States, who are peaceable citizens, from keeping their own arms…”

— Samuel Adams

The is no doubt that the Founding Fathers were intent on creating a nation free from government tyranny. This fact remains regardless of today’s tearfully loud youth protestations or arguments impugning the applicability of these principles some 230 years later.  

Wisdom about money, investing and life can be found anywhere. If you have a good quote you’d like me to share with your fellow readers, send it to me, along with any comments, questions and suggestions you have about my newsletters, seminars or anything else. Click here to ask Jim.

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