The Baltimore County union. [volume] (Towsontown, Md.) 1865-1909, 1867-06-01
Tho uanrY Law.

The Board Of Trade Of Baltimore City have
incmoralizcd the Constitutional Convention At
Annapolis to remove the present uRwise constr
iulional restrictions fixing the rate vi in,crcs, IN
this State. The memorial sets forth The views OF
the Board on this subjeCi, which We doubt no,
are in accordance with the ideas " the grca, ma.
joriiy OF the business men Of the State 10 refer
ence to the question. We make the following
extracts from the document,
This memorial Of the Board OF Trade " the
City Of Baltimore would most respectfully urge
upon your honorable body the consideration 81
thcii view, that IN the adoption Ola provision 20
the proposed Constitution relating tn the rate
OF interest ia this State. such rate ia eases OF
open account, 10 the absence Of special contract
SHOULD be fixed At per cent; that IN all other
cases tue rate should be left TO tc adjustment vi
the contracting parties, and tina, any legislation
in conflict with these principles prohibited
Tho reasons for these changes IN the organic
law are obvious TO business men, aud doubt
less as well understood by your honorably body
as they are by your niemorialisis they would
crave permission. however, briefly To present
some Of them In this succinct form, as justifca.
ton for their appeal 10 you at this time.
Al 10 the legal rate In open accounts or in ca
80 where there IL no contract, Il Is respectfully
has the tendency no, only to prevent foreign cap.
tai from coming 10 our State, but also drives q
large amount Of our own capital from this Stat,
10 scck investment in New York where the lCga
rate Is per cent, ani where lenders can thu
generally obtain per cent. more on equal sccu
rites, than the legal rate In Our State Aud q,
TO the second proposition, they urge that IL re
fleets the sentiment Of our entir commercial com
iagnity, which Is against such restrictions Usur,
aud sump,uary laws like bounty and colouia
laws. have hal their 'lay and generation cVpc
riCncc has long since demonstrated their utter "a
Utility. Such laws, ostcngihly intended " pro
tcci the industrial Glasses only serve 20 oppfcs
them, inasmuch A. they are not the borrowers
hut Ia their savings banks. even To some cNicu;
lenders.
The large borrowers are the railway eompaniCo
manufacturing and other corporations The small
borrower does not now &c, his money AZ po
cent, but often Il obliged 10 buy it in hIs build
ing association lof which there arr hundred D
az the highest rate which IL hii cor IL q; auction
Tie buyer ola pronissory note can VA his oWi
rate, while the lender Of money j. limited 9, "a"
% & per cent.
The very law invites disobclicncc 20 itself {
encourages is own violation and causes cXac
tons TO pay ;ug the dsFcpaic attached To 90 iu-
fraction and Il serves ouiy 70 sharpen the arts o
men 10 ind shifts &c cvadc a statue which q not
sanctioned by the moral scnse o. the community
!; barely received the support OF lha; BODY ofcrn
ncn; ciiikens who framed the Constitution " 81
for the section IN reference 10 the sa;c o. incrcs
was adopted only oy majority OF ten votes. I!
WAS opposed then. as 10 all rstIuccs. hy the land
81 pruprieioss. under ihr mistaken lea that pro
hleilcry clauses scCarc 20 them money % low rs,r
o. mortgage