The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1842-10-10

cents.
ASTOUNDING OPERATION OF THE BANKRUPT LAW.
"A RADICAL REVOLUTION IN SOCIETY The ope.
ration of the new Bankrupt Law is begin ling TO
create one of the deepest and most radical revol,-
tons in American society than ever was produced
in any country, by change in the organic laws
This revolution goes to the very heart of the COM
mercial, financial, and fashionable circles : but
seems not TO reach at all the industrious and work
ing classes, who are comparatively economical,
contented, and honest-thus operating like the hur
ricane in the forest, sweeping down the tall oaks
while the willows bend to its force. II is also a
law OF the most radical and multiplying description
In relation to the courts acting under State au-
thorty In our paper to-day, most singular deci-
sion, In this point of view, will be found-in which
the Court q Chancery, created by the State of New
York, is entirely and efiectually abolished.
This is only sample OF the principle Of nullifi-
cation, organized by Congress, and operating on
State authority. From the practical operation of the
present Bankrupt Law, we think there can be no
doubt, but we are in the commencement of one of
the most quiet, Intellectual unpretending revolu-
tloDs In society and IN government that ever took
place IN any country, with the single exception Of
the effect caused by the abolition of the laws of pri.
mogenture in France The revolution produced in
society by the mismanagement and suspension of
the banks in 1897, and their bad conduct since, was
merely preparation for that which has how begun
under the Bankrupt Law. Whether this radical
change in society," in legal institutions in banking
and other companies, and in moral effects, win be
better worse for the country, seems yet doubt
full question, As far we are able 10 Judge we are
disposed to believe that it will be beneficial in the
end. No doubt much niquity and injustice will be
perpetrated under the Bankrupt Law-and many
who conceal their property and defraud their Gre
dtors, may escape punishment; but yet it may be
considered certain that the revolution in society
will be beneficial in the long run
few days ago, the estates of 24I of these bank
rupts sold, the whole of which brought only
81 ,500-whie their debts amounted to more than a
million of dollars. Others again. in several sections
OF the country who have taken the benefit OF the
act--and got rid of debts to large amount-yet,
by some mysterious process, are able to come forth
in style, exhibit much uxurousness of life, and
live at such an expense 10 indicate the secret
possession of much property, and great resources.
Yet with all its faults-and its doubtful results
we are not sure but the new Bankrupt System, with
some further amendments, may not be beneficial TO
society-to morals-to integrity, in the long run.
Under its operation thus far it has been one of the
most powerful secret checks upon the banks, that
has been known-compelng the rotten banks
10 wind up--and the sound institutions to be
honest, wary and careful. 1t has also operated as
a check on the expensive habits of fashionable
society-and compelled the luxurious classes to CAL
culate-to think--to economse-and TO make the
two ends of the year meet together. 1t will also,
in time, draw the line between responsibility and
nfamy, in the business affairs of life-and operate
aha al e L..
acknowledge no other law, either human or divine.
BY and by no man will trust, credit, or associate
with any person, however respectable in mere
appearance, without first consulting the bankrupt
lists