Vermont farmer. [volume] (Newport, Orleans County, Vt.) 1870-1877, 1876-11-24
The Bankrupt Law.

Some Of our state papers, in view Of the
fact that Hon. Geo. L. Edmunds is chair
man of the senate judiciary committee, and
the legislature has it under advisement
urge that body to let the matter rest,
as the repeal would work great injury to the
country, implying that as goes the Legislature
so will go Senator Edmunds, which we do
not believe, as it is poor logic aud poorer
craftsmanship. As United States senator
Mr.. Edmunds has the interests of the whole
country to consider, and by what law Of
morals or craftsmanship can he delegate his
duties, his responsibilities and his conscience
to the legislature of a single state2 Shall
Senator Conkling 60 to the democratic legis-
lature of his state and ask what they wish
him to do in respect Of matter ofnationa
Importance, irrespective Of his honest con-
victions? 1t is all right enough for our
state legislature to resolve on this matter,
but that must not decide the case with Sea-
ator Edmunds.
Now as to the law itself, it should be re-
pealed and for the following reasons among
the many which might be urged. First, it
has served its day of usefulness and is HIM
derance rather than help to the country in
It's struggles to regain its long lost national
prosperity, and is not worth preserving for
the next centennial as relic of our recon.
struction era. 1t has lent its aid undoubted-
ly in producing or at least in prolonging the
financial distress, as the facilities for fail.
ures which it has afforded have been taken
advantage of by many who might otherwise
have braved the storm and survived.
Second, it works great injury to innocent
men. The instances are numerous where an
honest firm, who could by care and time sue
coed aud meet their engagements, have been
driven into bankruptcy by others who have
immorally taken advantage Of this law.
The ease with which q man can go into
bankruptcy and effect a compromise with the
majority of his creditors leaves the innocent
minority wholly at his mercy. This MAORI
ty compromise is very easily secured, as bus
mess men have found by sad experience that
the bankrupts "frst offer is always the best"
Then honest merhaats find themselves under
sold and greatly injured by men who go into
bankruptcy aud, buying in their goods
through "friend" at much less than their
cost, sell at a very much lower price than
the honest trader can afford to do. Besides,
all the expenses of bankruptcy proceedings
are paid out of the estate before anything
goes to the creditors, including the fees Of
the assignee, who may be the bankrupt him
self.
Third, the law is immoral. BY the facil-
ities-yes, the tcmptaton-which 1t affords
men for getting released from their obliga-
tons without paying them, it weakeus the
confidence Of business men in their asso-
ciates, and destroys the foundations Of bust
ness itself. As a gentleman engaged in one
Of the largest business enterprises Of the
state said to US time since, ave don't know
whom to trust" 1t also debauches the moral
sense Of the bankrupt himself His conduct
is legal, and with conscience somewhat
elastic as well as sluggish and phlcgmatic,
he allows himself to feel that what is legal
is right, as though no legalizod moral abom-
nation like the bred Scott decision ever
existed. 1t puts a strong temptation to dis
honesty continually before men who need
rather to be braced up against it. When
the law not only protects man who repu-
dates his contracts and cnforces a surrender
of their honest claims by his creditors-as
he can at any time by going into bankruptcy
and consuming his assets in its expensive
proceedings virtually invites him to
such a course, it is not only immoral in itself,
but is a prolific source Of business demoral-
ization. Ex.Gov. Bullock in his recent
paper on Political Morality shows that the
intrigues, evasions, fasehoods and evil meth
DDS of diplomacy have spread the poison
through the politics of our modern cviliza-
ton. And thus with this bankrupt law
and there are only too many who are ready
to become its apt pupils.
Finally, the expenses of the processes Of
the law are so great that in many cases the
~ Al
at once as to wait the laws delays, for the
mere pttance of crumbs which will fall to
them 10 the end. Some Of our contempora-
ries say the result of their observations is
that every lawyer who has made this law
a study asks for its continuance. Perhaps
SO, but the result Of our observation and
questioning is just the opposite.