The Cecil Whig. [volume] (Elkton, Md.) 1841-current, 1875-12-04
For The Cecil Wing.
FOr The JtCI Whs
THE ELKTON BUILDING SOCIETY.


This Society, organized in February, 1868
is now in the seventh year and tenth month
of it's existence, and as at this time money
has ceased to bring premium for severa
months past, lots have been drawn to decide
who shall take the money without premium
On the most careful calculation the So
ciety has been, and still is, paying from
10 to 90 per cent to non borrowing mem
beers who withdraw; while like careful
calculation shows that taking nine years
and six months as basis, we can, by nc
possibility, make over 1444 per cent. Now
the present rule is count to % months
from November, rebate half the interest
that is, the party pays for the twenty two
months, gets one half rebate, and gets the
balance in cash, has no future response.
bility whatever, and without paying cent
for the care and trouble or risk of invest
ment for period of over seven years, OF
whatever time it may be when he with
draws, receiving 10 to 20 per cent for his
money. This is all we'll enough for him,
but what is tho status of the members who
were compelled to borrow, some of whom
at this late day are paying 90 per cent to
their more fortunate brothers who have
never been compelled to borrow. While
they are receiving only IA, per cent, and
can only receive in the future at that. Oh.
but some one will say, you entered into a
contract; good faith and fair dealing will
compel you to stand to the contract Now
this is all very we'll while he is getting the
stamps out of the borrowing member, but
it does not require much of an argument
to show that the whole nature of the con-
tract has been changed since it began.
One of the first principles was by it to ena-
BILE men of small means to build houses,
for the improvement of real estate. This,
the borrowing members carried out in good
faith, the non borrower did not He let's
his money lay to accumulate until it shall
be worth 5000 per share, not making a
single bid to keep up the premium and
hasten the time when the stock shall be
worth 5000 per share. It may be asked
what is right? What should he done in
the premises? To this we woul, rc;iv
much has been done that cannot be lii
done; but as to the future, we would say
that the proper plan is for the members
who have borrowed, to hold meeting or
conference with the nom borrowers, and
agree upon some basis of settlement, where
by more equal rights may be obtained by
all alike. One individual cannot do this,
for the Court of Appeals have said, that
so long as the mutually of the contract
exists, each and all are bound to abide by
it (usury will not apply; but where it is
agreed to dissolve the Society, then the
law applies, as in the language of the Court
of Appeals in Applegarth VS.. Banded ct al,
10th Maryland, the rule is where Build
ing Association is prematurely dissolved,
and the mortgages beld by it against the
members, whose shares Of stock have been
redeemed by loans or advances, are fore
closed in determining the true amount due
under such mortgages, the mortgages
should be allowed, not only for the sums
of money paid by them as weekly dues,
but also for what they paid as interest;
while they are to be charged interest at the
rate of per cent annum, and so from time
to time on the balance of such sums after
deducting therefrom the moneys paid by
them for dues and interest.
On the payment of the balance due upon
their mortgages they will be entitled to
have the same released. 1t will be borne
in mind, that the Society in regard to which
the foregoing opinion was given, was dis
solved by reason of the withdrawal of its
members, so that it could not be success
fully carried on in the opinion of the direc-
tors and the majority of its members. A
committee was appointed, who reported
favorably upon winding up its affairs
These terms were accepted by all, except
the appellants, who filed their bill with the
above result. They were compelled to
take per cent.
In conclusion we mark, that it is for the
borrowers to decide, whether they are to
pay, for an indefinite period, 20 per cent,
while they only get ii. JUSTICE.