New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1876-03-04
THE BANKRUPT LAW.
IT'S REPEAL UNWISE.

To the EdttOr or Ihs IrtOhhe'
SIR: Regularly with the meetings OF Con
rress bills for the repeal and amendment OF the Bank
,t net are presented Since the passage Of the aet all
sort of suggestions been made in regard TO H. ana
tbi. wear more than others legislators nave been the
REGIMENTS OF a shower OF petitions, on the one hahu
asking for repeal, the other amendments ana aer"
hons Tho House OF Representatives has by very large
vote passed bill for 1t repeal, and the SUBJECT IL now
before te Senate for its consideration. That body VIII
no doubt shortly act upon the BILL and thus SET at roSt
this great commercial question. 1t does seem very
srang, that while In England and other countries OF
Europe system Of bankruptcy las prevailed Tor years
that satisfied ALL u similar law hers Should create so
much diversity OF opinion Surely mereanulo
business is as great there as here, equally large
pecuniary interests involved, and the relations
~ debtors and creditors are guarded with equal
jealousy. Why, then, laws similar In most respects
should lie favored in country ana be unpopular ID
others Is difficult to explain.
las been suggested that In Europe It - administered
with less Expense than here, whore the extraOr mary
desire to make large amount OF money by Tal OF lou
means has OF late engcndered I'm every branch OF
trade from the most insignificant mechanic to the high
est official
sort OF feverish disease II ia true, seems to have at
tackled every one in this country, gold feyer-money
must be made ami gold dust or its equivalent Tie only
medicine used. As consequence II has happened tna
the Bankrupt act has been employed AZ one OF inc enc
ments Of the philosophers stone, and 40 much pccunary
expense has been involved in its Administered n, with
I'm many cases SO little results that merchants
perhaps properly have complained Nevertheless thls IL
no occasio for faltlndng with the Law ltsef bhi u
ground OF exception the manner in which II IL admin
isiored Ever body Of late has heard 81 large is ia
the revenue service aud in the management OF csy h
fairs where the people aad the Government have been
deprived Of thousands OF dollars to enrich few Office
holders We are now grooming under weight OF taxa
lion supernduced by public roobes ne'ertEeirSs II"
one would urge the aboishmrn OF revenue departments
or Of municipal corporations, or OF the departments ac
uay necessary 10 carry them on, because ot sch Per
ing Yet the reason Of tle rule IA strong IN the one
case as IA the other. There is no question that
a bankrupt act is "A necessity In this country To
protect creditors. II not debtors. without 1t we
have "A many different collection laws IA there are
States anl Territories, merchant selling hls wares
throu ghoui the country must suly 30 different systea
OF laws 10 enable him 20 know the manner In which he
can reclaim the price OF his goods in Of nonpay
nent Each state has its assignment and nsolvent law
with its pecua- dill rences. In one state preferences
are valid in others not one part of the country per
mts by debtor 20 turn over all ms property 10
favored creditor IN the other pro rata dist lbh'ioh Ia
required Attachments matters Of course oan DO To-
sued at the Of creditor IN one State ~he IN
another aillyitS showing fraud must fist be produced
before the remedy IA permitted In one portion of the
country when JUDGMENT Is obtained. eX cution can I'M
ucdatcy be issued, while H. another stay-iw gives
debtor nine uonts aft decree In which to pay
Aud thus throughout the land; 50 looking at drb
nrry from it, cuociabity--the ndiyi iuai owing II
being equally well on-!n State it Ia worth In
another worth drrJbly less merely because the
facilities ~ collection brtter IN one than IN the other
Asun as "A eonscgu, OF ibis variety Of legal forms.
e follows also That The means OF fraud aud facilities
N carrying the same into cf ct numerous ami
diversified a. the laws Themselves In Que part Of the
r,nuiry fraud can De- easily detected AMI pashoi; w
tile ohcrti be- committed without fear OF detection;
80 TINT without bankrupt law iiorn throughout the
r,untFy Incomes simply question Of honor win the
debtor whether he pays not. Take our general A.
.gnuont for instance Can theirs be or Is theirs
rat.r avenue Tor fraud to be found anywhere than in
his chinncii Il permits debtor Ia choose Li7 own
l,.ice without rg riding The wishes Of bis creditors,
lnl irrespective Of tie character or ability "f the
l,I. Giiins him FOR bis lujits The stock aul assets
ESQ valued los tho btIr. the bond given accori,n-lf,
ami the rs rnrc permitted 20 -p1-e OF thcn at such
prices rs hc tunk, ~. su''ci only 10 sui 100 cas-
ho w1utpnly icrIhrcs the properly. tn" dh'ntS UI
i.ropi ~ such easily be appreciated Then b."
has year or Il months T. Gloss ~ thc estate. Pref
orencrs ars permitted Fraudulent transfers stand u the
,si snec IN cpus No opportunity To cX anime the
.chior tho assignee or otter perons Who have nad
irtln y h tIe debtor Is dlJ Srd except crudtOTS
oil IL brought; SO that 1t isa mtttnr prt trtly within
.uc sole sc eon ~ tI debtor "a Dis assignee WLc'h
mis- creditors SHAH d. fairly l'alt with or not Aud on
the other hand. II tbs debtor + really honest AMI
rpplrd fbr fr AMI oln pfOoiro hts discharge 10
,e sure there are what airs called s'lArss granted by
sbo STATE. bat these are only pop within mo Limits 0i
.nr puucular stale winch grants thcin dui uANo hp
,uritirton cue litpl> rcs"s out Of he Si1t', so
that thr debtor cal bo sued witIJdi the limits 81 tucr
-.ao and u a. rally wsIc, 20 rep ih' benefits OF sueh
DISCHARGE he must bee IN prisoner w.sh tho bound
Iarics ~ the state nstrr HUNT, ~ his Jan
Then next in tlo facility VIVA watch fraud
u'ent nrd sham in lsnrnts b. Obtained, permitting
debtor 90 haze al his p,opci soi ont ndi ectly Tor his
enct VITA opportunity lor the creditor Ia prevent
or overcome tIo evil, unless las can actually provo te
iaud which j. rarely done, and % done Is OF no
avail, because Of the irrasponAD;y OF ,Eo parties
concerned in the conspiracy. And thus 1t Is that
| cont leuro il dcstroyCi, wrrcnanS know not
Xaom ur where tr>t, tho credit sy,te Il Il. hrcd ana
The nnorcnt suffer for the guilty Business Dcco.hcs
-ragn mt NJ The want Of fh among men. conn
nercia honor being the It0n aud ro1cry the rule
Now good sys ~ bankruptcy laws 81 prevent all
This Il belug uniform throughout the country, only one
code needs - be stsd AMI the debtor and creditor. no
matter where they reside, will understand tho footing
upon which they deal The people Of The entire country
wII thus be placed equai platform The creditor
VIII know remedies us debtor, and the latter
viii recognize the duties that he owes To the former aud
know also that II he attempts fraud 1t will be of avail.
ana that he Will be- punished Therefore the other hand
he ia In MS dealings aud inevitable misfortune
rnles him unlOle tO meet his Obligations that by fair
surrender Of hs property he viii receive discharge and
hi, energies receive life. The Bankrupt n IL
now exists Is admittedly defective in many hingS The
last amen have deprived 1t OF much Of It's
usefulness aud made IL dstlsteful 10 many.
First. The requirement OF one-fOurth one-thrd 10
bring AN involuntary petition virtually ronders the act
Imperative This provision introduced, apparently,
brciuse u WAS suggested tina, In many instances sin
1e CREDITOR against the wishes Of the rest, forced man
into bankruptcy aud thus deprived the largo majority OF