Alexandria gazette & daily advertiser. [volume] (Alexandria [Va.]) 1817-1822, 1819-03-22
From The National Intefitgencsr.
LAWS.


,,rouA court on the ubiect of the state bank
,unt and Insolvent laws, we have obtained
statement of the points decided by the
court the accuracy of which may be de-
nenied On, and which we now lay before
our readers. The opinions at large, with
,he cases, and the argument of counsel, will
soon avpear in the fourth vol. o. Mr.. Whea-
tons reports. II would be obviously i'm
possibEe 10 include all these in the compass
i of newspaper; and we have therefore,
limited ourselves to brief analysis OF the
opinions Of the court.
The first case on this subject which was
heard and determined by the court, was
that of Sturges against Crownshirld. This
was an action of assumpsit against the
deicndant as promisor upon two promis-
sory notes, both dated al New-York 22d
March. 1911, for the sum of I'll dolls. 90
cts. each, and payable TO the plaintiff,
one OH the FIRST OF August, and the other on
the fifteenth OF August, lell. The defen-
dan, pleaded his discharge under IAN act
for the benefit ofinsolvent debtors and their
!. creditors passed by the Legislature Of
New Y ork, the third day OF April, 1911.
After stating the provisions OF the act the
defendants plea averred bis compliance
with them, and that he was discharged, and
:. certificate given to him the day of
1912.
To this plea there was general demur-
rer aud ioinder. At the October term OF the
circuit court 1917, this cause came on TO be
arpued and heard on the demurrer, and the
following questions arose, viz:
l. Whether, since the adoption OF the
constitution of the United States, any state
has authority to pass bankrupt law, OF
whether the power is exclusively vested IN
the congress Of the United States !
Q. Whether the act of New York, passed
the third day OF April, 1911, and stated in
the plea in this case, is bankrupt act with
IN the meaning OF the constitution OF the
United States
3 Ubether the act aforesaid is an act or
law inpairing the obligation OF contracts,
within the meaning of the constitution oil
the United States?
4, Whether the plea is good and sutfi-
t1ent bar ofthe plaintiffs action?
And, after hearing counsel upon the ques-
t;ons. the Judges of the circuit court were
opposed in opinion thereupon; and' upon |
motion of the plaintiffs counsel, tue ques-
ti5os were certified TO the supreme court,
for their final decision.
On The first question, the supreme court
were of opinion, that, until the pc" con-
tanned in the constitution OF the U. States, |
TO pass uniform laws throughout the union,
on the subject of bankruptcies, be exerci-
sed ny congress, the states have authority |
70 pass 4 bankrupt law, provided such law
contains no principle violating the 10th
section of the lst article of the constitution |
of the United States, which declares that
.spo State shall pass any law impairing the |
obligation of contracts.
Thi. opinion, of course, rendered Ii I'M
necessary to consider the End question.
On the Sd question, the court were OF
opinion that the act OF New ork, which |
was pleaded in this case, land which not
only liberties the person of the debtor, Tut
discharges him from all liability for any
debt previously contracted on his surren-
dering his property in the manner il pre-
scribesj is an act or law impairing the OBJ
Ggation Of contracts thin the meaning OF
M 10Th section Of the Isl article ofthe con-
S,;t,tiun of the United States. In deliver
ing the judgment OF the court, the che
;ustice stated, that, as to what was intend
Ell hy the trainers of the constitution when
tbev med the terms 'aay lac impd'rins !
The obligar,on of contracts" II would seen"
d;thcul, to substitute words which are more
ineligible or less liable TO misconstruc'ion.
A contract is an agreement IN which a par
ty undertakes 10 do or not to do particu-
lar thing. The law binds him TO perform
his undertaking, and this is, OF course, the
obligation of a contract. In the case al bar,
the defendant had given his p:omlssory |
note to pay the plaintiff sum OF money on |
or before a certain day. The contract
binds him 10 pay that SUN on that day, and
this is its obligation. Any law, which re-
leases part Of this obligation, must, in the |