Greenbacks Law and Legal Definition

Greenbacks are United States Notes, also known as a Legal Tender Note. They were a type of paper money that was issued from 1862 to 1971 in the U.S., issued for longer than any other form of U.S. paper money. They were a form of fiat currency. Since, their value derives from their status as legal tender they bear the inscription "This Note is a Legal Tender" and are often called Legal Tender Notes. They were originally issued directly into circulation by the U.S. Treasury to pay expenses incurred by the Union during the American Civil War. The legislation governing these notes was modified many times and numerous emissions were undertaken by the Treasury.