Evening star. [volume] (Washington, D.C.) 1854-1972, 1874-04-22

Concedins that from the FIRST Wednesday OF
January, 1S10, inclusive, TO the 29.h of Febru-
payment demanded, that Pabst made default
In every one OF his monthly dues the sum would
have amounted TO only 5000. Bus he had in
fact paid within that time SO .25S on account,
and which ought IN have been applied 80 far as
was necessary to the payment OF any OF th, e,
monthly duee. In that case the dues would ell
have been paid, and no fines coald have bean
laid; and large balance have remained in tie
treasury or the association to the credit OF
Pabst, to be appropriated as he mi ght choose to
alrect, or might be agreed upon. The great
shares"
Now, as we have seen there was no loan in the
case, inuch less any loan secured by either of
these deeds Of trust. The company took his
stock and advanced him money in consd alton
OF what had already been paid, and on the
Pabst had to do to pay that "ioan - as il is here
called, was to pay his monthly dues at maturity
until the close OF the association. The same
error appears in a SUI bsequent item of the ac-
count, where he is charged with sloan on forty
shares of stock in December, 1s70"-si,i2).
III these were loans, they are not secured By
these deeds Of trust, and, besides, would be
clearly usurious. 90
Ii they constitute the advances which were
intended to be, aud which In fact were so So
cured, they ought not to appear in the account,
so long as the property remains unsold. Under
these contracts Pabst was obliged only to thu
payment Of his monthly dues at nsturity
These had been paid up, and more than paid.
I'D advance. III he continue 10 pay tbs On until
his pay ments shall reach 81 70 on each SD are or
until the company can wind up its business by
paying that amount, less thirty per cent, his
DEBT viii be paid, because that Is the contract
Of the parties, and agrees exactly with tle
scheme and constitution of the association. By
proviso to be found in the seventh Section of
the constitution OF this Society it il declared
''that no stockh holder shall be permitted 10 sith
draw who has received any portion OF his stock
10 ADVANCE from the association until the same
Is fully repaid"
At the argument of the case counsel for the
association were asked by the court to ay what
vas their construction OF this provIso, and
seemed to be at a loss as to how 1t should be-
interpreted. Its language is certainly far from
being clear. We are inclined to think IL should
be construed B. il IL had been written, any
advances upon his stock, &c. In that sense it
seems TO have been understood by both the
complainant and the defendants. The former
is anxious to withdraw, and prays for an ac-
Count. he Is entitled to withdraw on paving
up any balance due by him on settlement OF
the accounts, and this was the precise effect OF
the decree which was passed BY the court below
The fines or penalties for default in the monthly
payments were excluded, and properly Sd, for,
independently or the repugn8nce of q court of
equity to aid in enforcing pen alties of the oo-
pressive character OF those prescribed in the
constitution OF this association, the sums which
the complainant had paid into the treasury of
the defendant, from time to time, though not
by regular payments OF $40 a mouth far
exceeded the sum which these payments
eoouHeSu W al the TIME tue account was rem
dered.
We have seen that on the 2)sh of February.
le'2, the association rendered its account,
charging Pabst with the full amount OF the al
vaDces received by him, calling them 10 ans, and
threatening that il would proceed to have his
property sold under the deeds or trust unless
within ten days he should pay up these loans, "a
well as the other claims set out in the account.
we nave seen, also, that at this date Pabst was
not In default as TO his monthly payments but
on the contrary, was entitled to q large balance
20 his credit, and that his property was not La
ole 10 sale under tire deeds of trust so long a.
Ihat was the condition of the account betysen
MIN and the association. By this step the assn
citation elected 10 treat him as a borrower. He
might nave still claimed his right to continue
his connection with the society, and have the
amount then to his credit applied, from time In
ume, to the payment of his monthly dues until
mat amount was exhausted, and after wards To
meet the monthly dues by new paymenrs, and
ultimately have the advances made to him re-
paid from bis share in the profits OF the associa
ton at Its close. He has chosen, however to
take the association at its own word. and has
come into court praying an account, and asking
TO be renewed from his connection with the as
AID to this relief we think he is en-
Titled upon the very terms prescribed in the
iecree OF the court below, namely, that the al
vances shall be treated as loans, and his pay-
ments as credits upon them.
The decree at special term is affirmed with
costs.