The Wichita daily eagle. [volume] (Wichita, Kan.) 1890-1906, 1894-09-09
NEED OF A BANKRUPT LAW.

Every day develops the need of wei
guarded bankrupt law. The merchant
who is forced to close his doors, under
existing laws, has no voice in the dis
tributlon of his assets toward paying III:
debts. In the course of business, and al
times when he had no thought of fail
ure, he gave his obligations, differing in
character and amount, expecting to pay
in full at maturity. The day for CLOSING
comes around, and creditors come in G
body, each claiming priority, and eacl
ready to 90 into court to enforce collec
ton of the full amount, to the exclusion
of every one else. The court must de-
| eide upon the evidence before it, regard
less of the joint interest involved, hence
priority depends upon the proof more
than the rule of equity which should
| apply in all such cases. The fact that
one creditor holds a certain evidence OF
debt, differing from all others, that debt
| being contracted simultaneously with
others, is not just reason why he
should collect 100 cents on the dollar,
leaving others TO get nothing.
To correct these abuses is one of the
functions of a bankrupt law. The filing
of petition is notice to all creditors
to present claims to the assignee, and all
are treated alike. The justice of such a
provision is too apparent for comment.
Another most salutary feature of such
law is, that it enables the man hope
lessly insolvent, TO regain his fortune.
No matter how urgent the case, the
creditor is never quite willing 20 sur
render his note, or receipts his bill, to
help a debtor. When there are a
number of creditors this would be I'M
just, unless ali would join in such re-
lease. 1t is the energetic, progressive
man who achieves the greatest success.
This involves risk, and often the con-
tracing of debts. It is only small
percentage of debts that are not
ultimately paid, but contingencies are
liable to arise against which no man can
figure. 1t is needless to say that the
last few years have been fruitful of
disasters which no one could forsee.
Many of the best monied institutions of
the country have gone to the wall. In
dustries, built in solid masonary, so far
as even the conservative operator could
see, have been uprooted. Railways and
great commercial houses are in the
hands of receivers; all on account of the
universal loss of confidence. In con-
sequence of this, thousands OF the best
men of the country are submerged by
load of debt which they can never hope
to pay while the first dollar of profit is
subject to an execution.
Universal relief toward this class
would go further toward reviving our
industries than any initiation of the cur
rency that even the widest fanatic
would suggest. and the remedy lies in
national bankrupt law. 1t would not
imply reputation. Thousands of honest
men paid every dollar of debt long after
the expiration of the old bankrupt law.
and regarded it privilege. This would
be done again.
When we take into account that nine
tenths of the business men are in favor
of such law, the query arises, why is
it delayed? There is but one answer,
and everybody knows what it is. The
one-tenth are opposed to it,
and their holdings are largely in cash
and mortgages. 1t requires cash to buy
votes, both in and out of congress, and
this has been done openly and to the uni
versal injury of business in the whole
country. 1t would be well to discuss
this matter in the campaign now be-
fore us.