Rock Island Argus. (Rock Island, Ill.) 1893-1920, 1896-08-20
LONGTALKONLAW
American Bar Association Be.
gins at Saratoga.
SOME EMINENT VISITORS ON HAND

Lord Chief Justice of England and Two
Colleagues Distinguished in the Law
Hear the Discussions President Storey
Calls Attention to the SOcialistic Trend
of Legislation and Attacks the Present
System of Railway Receiverships.
SARATOGA, Y. Y, Aug. 20.-Seatcd IN
places of honor on the platform when tho
American Bar association was called to
order yesterday were Lord Russell OF
killowcn, and Lady Russell; Sir Francis
Lockwood and Montague Crackenthorpe
and their wives. These men are distin-
guished British lawyers, the first being
lord chief justice of England. There were
seated with them the following Ameri
cans distinguished in law: J. Randolph
Tucker, Edward j. Phelps, William Allen
Butler, Henry Hitchcock, Austin G. Fox,
Charles Claflin Allen, Francis Rawle and
James c. Carter. President Storey was
in the chair and opened the meeting with
an address that discussed the question of
| railway receivcrships.
Moving in the Direction of Socialism.
In the first part of his address Storey
said that noticeable point in the matter
of legislation is the rapid growth of a
disposition to assert the general interests
| of the community at the expense of indi-
vidual freedom" The underlying princi-
pie of socialism, that everything that a
| man owns he holds for the state, is as.
serted more and more frequently. The
statutes of every state contain laws that
would have seemed unwarrantable inva-
| sions of private rights not many years ago.
Such legislation is the collateral inherit.
m ,1ua tnd 81
| graduated tax on the estates of deceased
| persons when adopted, and the character
and number of the uses for which money
Is now raised by taxation.
Question Of Railway Receivcrships.
On the question of railway receiverships
the address points out that the great rail.
| way systems of this country have b en-
built up and equipped with borrowed
capital. Many of the securities repr, sent
| investments of more than Their face value
Capital stock has been frequently issued
without payment; often as "a bonus to &c
with the bonds. In this way the money
of creditors has been invested and the con
troll of the property retained by the debtor
the railway company. Great sys: ems OF
railroads have BEEN built up by contracts
| between companies, sometimes in the
form of leases and sometimes of traffic
agreements, carefully drawn by (Dtute
counsel and prOyd ng for the protection
of the properties thus consolidated in case
OF failure to make the payments siipu
! lated in the agreement.
Creditor at the Debtors Mercy.
But the last three years have shown
that these contracts cannot he enforced in
the courts; that the rights that they are in
tended to secure are not recognized, and
that for all practical purposes the creditor
Is at the mercy of the debtor and obliged
to accept substantially such terms as the
debtor chooses to offer. AS matters now
stand counsel must advise their clients
that they can draw no instrument of this
character with the least assurance that its
provisions will be respected. Thc failure
of a railway company finds the managers
united and fully prepared for the emer
gcncy which they inevitably have fore
| seen, while it finds the creditors scattered
ignorant, frightened and entirely unready
| n