It established separate judgeships for the U.S. circuit courts, and for the first time included a provision allowing federal judges to retire without losing their salary.

The Judicial Circuits Act of 1866 had provided that the Court be reduced in size from ten to seven justices, but the reduction was to occur only as seats were vacated.

(bold added)The 1869 Act had the effect of creating a single new seat, filled by the appointment of Joseph P. Bradley.

In addition, the act stipulated that federal judges (including Supreme Court justices) who had served for ten years or more would receive a pension upon their retirement.

An earlier version of this legislation had been approved by the 40th Congress at the close of the session in March 1869, but fell victim to a pocket veto from outgoing president Andrew Johnson.