The daily dispatch. [volume] (Richmond [Va.]) 1850-1884, 1873-03-12
The Last Amendment to the Bankrupt
.sss1y Law.

i lag aSStsS $780,
Law.
The l.ynchburg Tirg'n'on says ttiat 10
tbe anxiety OF many persons 10 aNali 't'e'i'
selves Of The benefit of the homestead eA'
,mnfisn, under the late amendment 10 tut
han.sun, law they are likely to overlook The
fact That they take sHch exemption as IL Is
allowed by the Constitution and laws oil sir
pipia., Section Of article 8 Of the State
Consultation provides that
uThe General Assembly shall, at It's FIRST
session under this Constitution, prescribe in
what manner and on what conditions tho
said householder or head of family shall
thereafter set apart and hold for himself and
family i homestead out of any properly
thereby exempted"
The Virginidn also quotes from INC "c'
pissed In obedience TO this constitution re-
qufrelnent the following: :,
"The homestead provided in tiiiS act stl0I!
continue after his death for The Wido" an''
children of the deceased uDtii her aeath VI
marriage. and after her death or marriage"
the exclusive benefit OF his MINOR cHii'"e"
until the Youngest child becomes tmen,, .oI''
wears 0, age; after which period it shall pass,
scrordius TO the laws Of descent, rs other
rial estate, or as may be devised by said
householder. not being subjec. to dover. yet
subject TO all the debts of the said house.
holder or head of family
The Virgtnian adds:
$50 it secrus that the bankrupt will not
ret a fee.simp!e in his homestead but after
his death and that Of his widow, and the ar,
rival of the youngest child at the age OF
twepty-onc years, property VIII stlh ne
subject to the payment OF the bankrupt
debts. We believe the usual course III bank
ruptcv Is to sci! that rcrcrsionary Interest Tor
the benefit of the creditors
We orine that the Firg'n'an is IN error,
though there are many exceptions in the
State law which would be exceptions under
the bankrupt law lis amended II Congress
had not been out"itted by the Virginia
friends of retrospective homestead law.
We recite them from the State Constitution
A man cannot hold bis homestead against
any execution, order, or process Issued on
any demand in the following cases:
1st For the purchase-pricc Of said home
stead or any pant thereof.
Cd. For services rendered by a laboring
person or mechanic.
Sd. For liabilities incurred by any public
officer, or officer Of court, or any fiduciarv,
or any attorney at law for money collected.
4th. For a lawful claim for any taxes,
ievies, or assessments accruins after the 1st
day of June, 1866.
5sh. For rent accruing (>incc the ratitica-
ton Of the Constitution.
9th. For the legal or taxable fees Of any
public officer, or officers of Il court (Accruing
since the same date).
eth. For debts secured by mortgage deeds
of trust, pledges. or other security thereon.
The first three exceptions above-nancd
arc, under the State law, good in every case.
The last four exceptions are modified by an
other section TO the extent that a debt con-
tracted previous to the 4th day of April,
1860, cannot be made on an execution levied
on property subsequently restored to tie de-
fendant, nor on Il judgment rendered or dock
eted between April II, 1861. and March 2,
1867 This language would Imply, however,
that the Homestead may be sold for debts
contracted since the 4th day Of April. 1860
aud also for debts contracted before that
time; provided the judgment has been rcn-
dered or the execution issued since The ID
day OF March, 1867. So that here was Il
chance, at least to upset the rctros pcc.iye TEA
turc of the bankrupt act, il, as we said be-
fore, the State law W;LS TO be respected by
the Federal courts. But lei Us see how that
is. NIr. HuGHEs'S amendment reads as fol-
lows:
"Bc ii enacted Ly The Senate and House
Of Representatives IF the Untted states o.
dmerica in Congress assembled, That it WAS
the true intent and meaning Of an act ap-
proved June 8, 1872, entitled San act To
amend iii act entitled III act TO establish a uni
form system of bankruptcy throughout the
United States, approved March ,, 1867, that
the exemptions allowed the bankrupt by the
said anendatory act should, and it is hereby
enacted that they shall, be the amount allowed
by the constitution and laws OF each State
respectively, as existing in the year 1871
and that such exemptions be valid against
debts contracted before the adoption pas
sage of SUCH State constitution and laws. Il;
well as those contracted after the same, and
against liens by judgment or decree OF any
State court, any decision Of any such court
rendered since the adoption and passage OF
such constitutions to the contrary nolwilh.
standing"
This puts an end to all exceptions, As We
understand it; for, not satisfied with making
the law provide that the State exemptions
should be allowed TO the bankrupt. Mr..
HUGHES went on to provide that such eX.
emptions shall lie valid against debts con
traM before The adoption Of the ConstiIu
tsos Now we suppose, that Congress in
feJEd, as well it might, from the language o.
tbE amendment, that the Virginia Consti,u
Aon allowed all old debts to be repudiated,
and therefore, laboring under this mistake
passed the amendment in the above shape
We take it, therefore, that neither the State
Constitution nor the State law will be re-
spected, and that all debts, old and new, vii
be swept away as by regulatory flood.
But, honest reader, be in hurry. Con
gress will lind out its mistake before il meet.
again.
-
The County Courts.