Richmond enquirer. [volume] (Richmond, Va.) 1815-1867, 1843-01-03


s''aeiion 70, the other. We c1n scarcely BE- said to
have IN The country System ct Brgr2.ry or an es
fa5iisitG course OF fEJic Poteu reference thereto
Our scrtllTe and almost isolied exps rnens cannot
perhaps with street pToprcty of language ADM: of an
Application 20 tira OF either 81 the above phrases sill
whenever IN these experiments terms have been aaop.
ed from known sysie"s, under which they haye been
expoundei aad appird II will be fa;iona. 10 enquire
how Tar snrh exposition and application may sccs,L
with our own views aud purposes H. rs apply this
raasoairg TO The &C; CT Congress OF l-i. The trainers
vi iis act have Obviously not confined their attention
or their e5ors to the statutes of james, 10, o. OF
6 Geo, ! { III. Th"y have gone beyond tie provi
sions of tcse statutes concerning fraudulent convey
ances, assignments, transfers, &c. 10 what may b.
called the legislation Of The English Courts viz their
decisions upon the doctrine of frauds upon the pl,cv
OF the Bankrup! system and have drawn from those
decisions, aud ensfaited upon our own law, per.
h'ps, lis most important and powerful provision
In th's provision, they seem to have supplied IN
obvious foundation for those decisions 10 res, u,or.
a. II, IN truth, they bad grown out OF our own
Legislation, ana g'ren them, with respect to our.
selves, ofce and appropriateness that t;ey otherwise
caud never have possessed. allude to the second
section OF the act OF Congress- declaring what trsns
actions shall be hei frauds upoq that act The first
section, s second cause defines The class of ners,us
who may become the subjects Of. involuntary Bank.
Tnpcy- Ii next proceeds enumeraie the acts or pre-
cicamen's tor, or IN whct persons within that c!as,
may te forced into Bankruptcy lind this first section
stood alone, should have restricted those ac,s or ure
dlcemsnts 10 the description contained IN that section
for, recognza fully the prIncrpa laid down b. Sir
Josep Jekyi in Small Us Oadiey-"tha, B,ukrnptcv
IS a term unknown 10 our common law but introduced
5T seve.a. stau egthlt these statutes do ascertain
what acts make man Bankrupt" Aad nya,n, az
expressed by Lord Eldon in Du,,on rs Morrson when
reporting the opinion Of Sir Joseph Jekyil he saws
" If The deed was not fraudulent common lsw, The
" statutes Of bankruptcy not giving any new cha.ac.
" ter TO grants, it not Act OF bankruptcy and
H oTti d.ad
" sary Cessation of the character of trader in that
" man, We: Courts # Justice acquired the right to treat
" men as Bankrupts from Parliamentary authority and
" from tina! alone; and it very d,llcnl,, on prnc.
ple 10 maintain that they liberty 10 give such
" an instrument different character, and 10 make
:. more Of it than the Legislature had done in those
statutes, describing wha: s.:aii be of Bankrupt
"cy-the law being perfectly settled that nothing is
" al Act Of Bankruptcy, though The consequences may
" De precisely The same, eScrp. VIVA, described in
" the statutes.
hold thct there is 10 more power, Independently Of
the language Of the statute, to add to the Of Bank
rupcy enumerated thercia than there is add To the
class who MAJ be subjected 10 Bankruptcy By reason Of
those acts. But Congress have, IN Inv opinion las
they certainly ind the power dol added 10 the Gnu
iie fs. section other acts, which, in order
to give reasonable and consistent Interpretation In
tie law, must BE- held to be acts OF Bankruptcy. Dy
the second section, they have SAID that all future pay
| rcnts, securities, convcyances, &c, mace by any
Bankrupt, III contemplation OF Bankruptcy, and for the
purpose Of giving any creditor, &C. any preference or
priority the general creditors shall BE- deemed Ut
terry void, mt f!a0d upon hts oct. The language
here used in this section fraud upon this act should
be explained as meaning, fraudulent ,shenSoerer they
ron,roseae he directions aaa plainly oppressed purposes
n is act IN other words, not only shall conYevances
!touduent PR sc, or by the coalon ia% be VOID but
every con7cyonce Nc, creating preference prior
n.y. sirce the passage vi l!is ac:, shall be dcclned
traudulp; conveyance within the pervew Of this act
And n jsaaaaiemt, tien liable 10 ali Tie consequences
herein denounced against fraudulent convcyances, the
erinl of which is tina; they s,c ;so faeo
acts Of Bankruptcy. Indeed, il would be difficult TO
assign 10 this pnrt Of the second any reasonable
Office end in declaring these conveyances auduient
that Of placing them upon the footing with
frauds mentioned IN the first section. The construction
here placed upon the second section is objected TO- be.
it is said that these conscyunces, &c, denounced
a frauds upon the act, must be nude by Bankrupt;
and II has been las'seJ that none can be regarded
Bankrupt PRIOR to decree agains. ham, The oh.
jec.ion here attempted, is at removed By IT.
Tie attention 10 the language ot this section The
congeyances, &C., said bc frauds upon the law arc
10 be made by Bankrupt in contemplation If Bank.
rapcg and il the character condition of Bankrupt
can be thrown upon hun only by decree, these
v-yances never occnr, since o. properly
said TO contemplate design the performance future
Of that which already consuInmated and past THIS
section IN using the term bankrupt, may perhnps DO
cargeab'e with verbal inaccuracy want OF precision
but It should he construed referring persons in
condition TO become Bankrupt, and these by Legitimate
connection between the lst and I'd sections of The law
may fairly be understood TO mean persons who have
done of the things defined by the first section
acts OF Bankruptcy those Of particular clues,
who, knowing themselves 20 BE- unGo.c TO meet their
debts and engagements, a.temp; preference priority
IN behalf Of selected creditors 10 the exclusion Of others
From The views here taken il would follow, tina, any
merchant, trader, &c, who, since the passage Of tho
net Of August, IS4l was, ard knew himself TO be- 'ru
able to meet his debts and engocpmcnis, and shall in
at ha nt,da
&c, Of his lands, goods &c. hereby lie has created
general rule, be deemed To have acted in con-
temptation of Bankruptcy and 20 have committed an
ac. Of Bankruptcy within the intent and meaning Of
the act of Congress. rerea, Of the &C, Of Congress,
for it upon tae peculiar provisions of Ibis statute that
my opinion is founded rather than upon any stress Of
The majority Of English viewed as deductions
either from the statute Of Is, james l., or from
that Of 6, George !, O these appearing to me-
10 have gore much beyond tie legitimate Impor, of The
provisions of either Of The statutes asi mentioned
| This CouF; doth decide in this case and accordingly
doth order it TO be certified 10 The District Court OF Tie
Eastern District Of Hireinic at Richmond n answer 10
the question ptopoundca by the latter Court thut the
Dcej ot Trust Of the Goth March, 1872, executed by
Joseph Marsh TO Chiswe Dabney, and referred to in
the petitions fled this cause, was such fraudulent
conveyance, assignment and SALE constituted an
81 BANK ruplcy, and for which the said Marsh should by
the District Court DE decreed bankrupt.
Tnc Who's TRYiyG TO Sow JrALorsY.--Tac Fe.
Jerai press are circulating the Fumor, that MIR Ven
Buren, has said, "iF the QUESTION IS CLAY Or CAT.