The Statesman.
London, England, 1814-11-07 00:00:00

..e'

LAW 'ELLIGENCE.
COURT OF CHANCERY, Nov. 5. .
TX-PARTS ealtlr, I* TIES It ATTIMIIit WHETS...
This cue was reheard vs Saturday, and judgment
pronounced.
Mr. LitAca, for the Petitioner, stated, that
,It
eras obvious no want of diligence had been mani-
fe%ted in the commencement of this proceeding.
The commission of the bankrupt White had been
taken out in Jan. 11114, at a time when Raise, the
creditor, was himself in confinement as an insolvent
debtfir. By means, however, of a day rule, Rains
had attended two of the meetings, and as to what
passed at these meetings, there was undoebtedly
very diffeientsrepresentations. In answer to the af-
fidavit of Mr. Thomas, produced on the other side,
he now held in his hand the elfidavit of Mr. Rehm
himself, who deposed, that he had attended the first
ilseeting of creditors, and was in course of proving
his debt, when Thomas opposed him, end stated,
that as his claim was matter of account, it must be
referred. The affidavit went on to state, that the
Deponent afterwards atteeded„ both in person and
by Counsel, when his offer** prove was still 0p...
posed, and he was advised by Mr. Basil Montage
to let the matter stand over. It was true that as
action was subsequently commenced against the.
Bankrupt, but was this exercise of his personal re-
medy to bar a creditor from afterwards proving his
debt andei the commission and to operate as a com-
plete discharge of the 'Bankrupt's estate? If the
question was reduced to this point, it became a very.
important coosideration indeed. Ile would suppose
that the creditor shneld. he of opinion, that the corn-.
mission was intended only for the benefit of the
Bankrupt, and that he was not likely to receive a
shillior; and under this impression, that he availed
himself of his legal remedy, was he to be then told,
whatever might be the amount of his claim, that the
certificate had already released and discharged the
estate : that he came toe late, and that his first re-
medy had incapacitated him from proving under the
commi4cion ? The law, which very properly always
looked with a hemanedisposition at the situation of
bankrupts; had become since the last statute indul-
gent to them to excess. Before the late law, a cre.
ditor might first prove under the commission,
„and
remain still entitled to his personal remedy. This
power was now gone, and a few creditors might mew
discharge eke bankrupt from all his obligatlegii
Though it was not entered upon his brief, he sight
add, that there had yet bees no dividend of the pro.
perty of ‘Vbite. Be trusted that his Lordship, after
this expltanetion, would consent to give the order
prayed for in the petition.
Mr. HART observed, that there were two points
for his Lordship's consideration,--first, whither the
creditor was not precluded from the tight which he
new claimed by hit suit at law ; and secondly,
whether the facts of the case were not such as would
prevent any creditor from now interposing. If the
present petition were to stand over, the Petitioner, in
his character of Plaintiff, might go on to fit the hall.
He wished sow to contrast the affidavit of Mr.
White with that of Mr. Raise. Mr. White deposed,
that he had accepted various bills for *sine, upon.
Raise's ears/pow to provide him with the mamas of
paying themt that Raise had failed. in execedms this
engagement • and that these billet-.to -the seassit
7561. had been proved under his commission, and
that there were others outstanding. Farther, that
Rei'm's debt was created by his giving do credit to
White for the bias so accepted.
-Ti. CuAIiCELLGR Prupired, whether the ariment
-or she debt was such as would turn the certificate.
Mr. LEACH laid, it was stated in the affidavit of
the lk.titioner, that be apprehended sad believed it
would.

• Mr. HART resented, and stated, that 19 creditors
bad signed the certificate, and had proved 3,1181.
With respect to the circumstance of therehavlng been
nn dividend, this was owing to the property,
con-
sisting of a brewery, which the assignees had not yet.
found an opportunity of selling to advantage. Mr.
G •'y, to whom the assignment of Rains's debt had
been made, had offered to limit his proof is the mist
of 5(X)'; Hest then, could he now claim to prove
the whet., vit. 8601. ? _ _ _

. -
Mr. MONTAOUI on the tame side, 111Hded to the
hardship suffered by the Bankrupt in having bad this'
petition filed against the estate previous to the long
vocation. He would not hesitate to say, that there
was not a single farthing provable by the Petitioner
ttoder the commission. It was impossible for the
Commissioners to have &Howe(' such a debt until do
estate should be cleared of the bills of acconnalsia...
tion which had passed between the parties.
Mr. ICICH. in reply, repeated his former state.
tnent, that this was ra commission intended- only for
the benefit of the bankrupt. As to theaisertion that
this debt had grown entirely out of bills of access..
etodation, it appeared by Mr. Grey's affidavit, that
Baster, the bankrupt's clerk, had told him that be
alone could understand the intricate account between
the parties, hut that there was a balance of SOM. dee
to Mr. thine. Was it surprising then, that Mr. Grey
shout') upon this information be willing to accept as
a compromise of that sum ; or, again, this offer being
refused, to proceed for the w hole sum which Mr. Rains,
whose assignee he was, had sworn to be due ? By a
statement thou in Court, it clearly appeared that the
claim of his Client, itadmitted, would tarb the ter-
tilicate. With respect, then, to the imputed delay,
Mr. Grey undoubtedly stood Precisely in the stare..
tion of Mr. Maine; but he contended that there was
no [aches to he ascribed to either. Mr. Reim had,
attended two meetings; he had offered to prove Me
debt at both of them. The accounts were complicated
and he was advised to consult Gemmel. lie accord-
ingly consulted Counsel (Mr. Montagu), who sp.
peered to have forgotten ell that passed, for a.very
sehstantial reason,—because ke bad best-since re-
tained by She other side. The assignment of the
dtbr was matte be May, end between that time and
July, Mr. GI" was advised Ie bring Ms action.—
iie now came to take the oMy step which remised
to him to take, the certificate being advanced, and
there being no, prospect of any benefit .aeanitiog to
him from it. •
• .
The Loan CHANCELLOR then ptiesemested his
judgment : be agreed .that Mr. Grey said net be
accused of any unnecessary delay, or of any step
which were not strictly justifiable% him, in hie cite.
rector of trustee for the ether ',editors .of Raies...-.