Mississippi Democrat. (Carrollton, Miss.) 1844-18??, 1845-11-03

!, ~. ID, Ugden, IN case OF McLaren vs.. Pen
nington, Pages G. h. l07, and the
9 Chancellor at p. 1ll.--Folget VS.. Chase
I s Pick. R.--And I. L. Robins, w. w
, Frazer and W. s. Bodlcy. in the deed Of
: assignment of the Com. r. r. Bank oil
c Vicksburg, to them, and signed by them
: The Indiana case may be found published
: in the Mississippan, Of Sept. 10, l845.
The friends Of the Brscoe bill advocate
the repeal of the amendment 10 that bill
as it originally passed the lower House OF
the Legislature in 1913, al the extra SEES.
son--w which amendment was rejected BY
} the House, and afterwards tackled on in the
Senate, Judge Guion proposing ii, and
passed, when some four members of the
lower House had gone home, on the last
day of the session. The Sth, 9th. 10th
and llth sections of the law as il now
stands on the statute book, constitute the
amendment. The friends of the bill con-
tend that the amendment which provides
that the debtors of the banks shall not be
released after judgment Of forfeiture
shall hare been obtained against the banks
for rioldtions of their charters, by The eff.
feet, and as legal consequence of such
Judgment Of .forfeitwe-and for the ap.
pointment of trustees TO collect debts, &c.
is unconstitutional, as impdring the
obligations of The contracts made by he
debtors Nth the banks.
The law is, that so much Of the exist.
ing law as is applicable at the time of maxi
ing a contract, enters into it, and forms a |
part of il, and the parties are in law pre-.
sumed 10 know it, and to contract with |
reference TO the existing law. And, also, |
that every person contracting with cor
porotion is, by law, presumed to know the
law that applies 10 such corporation, and
TO contract with reference, and subject TO
it. And we have seen by the well set
tied law Of the land existing at the date of
the contracts made by individuals with the
banking corporations Of this State, the
debts due to and by a banking corporation
become ertinguished by the judgment of
forfeiture. Every contract made with a
bank is made upon the condition imputed
by law, that il judgment of forfeiture Is
got against the bank before the contract is
paid or otherwise discharged, the same Is
hereby ertinguished. "Erery creditor of
a corporation contracts Nth reference 10
ibis coa.ingcncy.'-Angcl 81 Ames on
Corporations, l2s-9,-Peier's Sup Court
U. s. Rep. 2sl, 2s7. The Constitution /
of Mississippi and of the United States
provide that The legislature shall pass no i
lao impairing the obligation Of contracts. i
Hence il is paIpabe that the amendment h
in declaring that bank debtors shall not be i
released after a judgmeat of forfeiture, 0
Dioldtes The obligation Of tie contracts Of n
iadip,dnals NTH the banks, making them o
contracts, Dhen by their ma. II
IRE and legal effect, they are conditional s
and revving debts which are legally
lischarged--and, therefore, il is uncon. il
null and void. 8,
Now, for tho legislature 10 enact thai G
.tter a Judgment Of forfeiture against a n
'ank shall have been obtained, that The NJ
ebiors shall not be discharged, is unexam. n,
lied in the history Of American legislation, IN
5 TO deny to the debtors the right and law n.
|, iheir contracts, is special legislation in o,
collation. Of our constitutions, State and II
'ederal, in favor OF bank officers, bank h,
ttorneys, trustees, and brokers, who may eli
ave purchased up the bank paper for er
Iere song. Such d law clearly impairs IN
ianges, alters and destroys the obligation TO
all contracts with the banks. IL the nj,
inks had by the common law Of the land, in,
J it existed al the time of granting their IN,
iarlcrs and the making Of all contracts III
it'll them, The right 10 enforce the collec- IN
on of their debts after judgment of for in
iture entered against them, the lcgisla. yid
re could not take tina, right away BY sub. col
quent legislation. pr,
II banks did not possess that right by Inc
Q law, as il existed when they were ere. dis
ed, and their contracts with individuals ha,
ere made. il was not and is not compe. wa
nj for The legislature, by subsequent adj
actment, 10 confer such right. II is ind
lie that it has been decided that legis- sor
lure may waive forfeiture of the char. ba,
+ Of corporation, in some cases in The cor
sw York and Massachusetts reports, but did
where has il been decided that such rem
liver can be made 10 take effect after a 4" I
igmeat Of forfeiture has been obtained, the
the extinguisbment Of debts has taken bar
eel, thereby 10 affect the rights and rec
apgc the contracts Of individual citizens sid.
Ihout their consent, BY an act snbsc. OH,
ent 10 The granting Of the charter and moi
, making Of such contracts. II the lc- "A
'lature can do this,it can pass law i'm iud
iring the obligation Of contracts, though ihe
ohibiled by the constitutions Of our own be
lte, and Of the U. States, and make and lota
er contracts Of individuals al pleasure. uot
Not one out OF ten oil the banks Of This .ha,