The sun. [volume] (New York [N.Y.]) 1833-1916, 1900-09-16

DOMESTIC a1hlTb. Bucn ~ mHIFlhko
The conception Of a contract as deriving ia
binding force from the power Of the socs to
avenge breaches Of faith became unnecessary
when business honor and the requirements
OF commercial life produced the same result.
Closely connected with certain features OF
sale. an this was conceived by the Babylonians.
was their idea Of mortgage. In Its usunl form
tho mortgage was n species Of sale In which tho
idea Of the title remaining in the vendor was
more clearly emphasized. Herein also was
present the conception OF the land "a being
the inalienable property Of the family. although
the use OF tho land az distinct from ownership
was subject 20 disposition ut the hands OF the
head Of the family. Mr.. Lee finds that no part
OF Babylonlan law IL older than that OF the
antlchretio mortgage. The Transaction might
be regarded a. a twofoli loan In which the use
Of the land was set against the use Of the money
and tho rent Of the land was regarded as The
equivalent Of the interest on the money That
antichresis was not tho invention OF the Sc
mltIc Babylonians II evident from the fact that
constant reference 10 IL IL made in the Srimerihn-
Babylonian vooabularies, which were commonly
used by tho scribes and others In preparing
the contract tablets. From babylon the anti
chretic form or mortgage seems TO have passed
into Egypt; It certainly spread to Phcenic'a
and Greece end IN the west coast ot india
The Chinese have developed or Inherited from
Akkadian ancestor, n very similar form NJ
transaction. and among them mortgages are
still made upon the same plan. Our author
points out thai several leRnl conceptions arc
involved In the antlchretio mortgage. Note
worthy II the c~learness Of the recognition
that interest Ia TO be paid for money lent.
The proprlety Of such payment was by no
-..,n. .h,ton. 10 tha op,ieuta Thu CretanS.
for instance, regarded the taking OF interest
as robbery. Land would. in tie course OF nature.
produce fruit It's crops were evidence Gifts value
a. a possession. Money. on the other hand.
was sterile by nature, not OF itself productive,
This argument was used IN support Of the
medleval idea that 10 take interest Tor money
was wrong when money. however. came TO be
vie we'd ~ a medium Of exchange. representing
In Itself things capable 81 producing OF render
Ing service, such as lands. cattle. slaves or
vessels. II would then be easy 10 conceive OF
interest az allied TO rent. This conception OF
money "a clearly brought out in the mortgage
contract tablets Of the Babylonlans. one OF
which (, cited In the book before US, II Is
manifest that only In a comLlunity wherein
thsre was a large and important commercial
elias, would a conception Of Interest az alIod 10
rent arise. The agriculturist does not ordlns-
rily 80 regard interest. But the idea would be
evolved spontaneously IN a community where
the exchange Of commodities was carried on
upon a large scale. where many persons were
engaged in trade. and found 10 possible 70 pledge
their ancestral estates without loss OF title.
and where, finally. men were ready TO advance
money on LAND and then to And cultivntors
willing 10 take the land on their hands for a torn
OF years. It Il TO ne observed that the anti
chretlc mortgage. that Is 70 say. a mortgage
where the MORTGAGE acquires the use OF the
mortgaged premises. was possible only where
the returns for agriculture were very remunera-
tive. and where there were many pers ms will
ing 10 undertake the guilty alton OF the soil.
The amount borrowed was very often the full
value Of the land.
There were many casss. on the other hand.
In which the value OF the rent and the
amount OF the interest were not equal. In
such cases. the deficit. on whichever side It
might fall. was paid either by way OF
interest or by way of rent. Another vsria-
ton occurred when the value Of the crop was
guaranteed. In this case II the value Of tho
crop fell below the amount due as interest.
the borrower was obliged TO make good the
deficit; but. when It was in excess Of the In
terest, the lender retained the surplus. Tho
antichretio mortgage was capable Of yet fur
Their de velopment. II was employed IN cases
Of future use and possession. tho object mean
while remaining In the custody OF the mort
gagor. In the Bsbylonian law. the advantage
OF the antiohretic mortgage lay In the fact
that, on the failure OF the mortsasor to pay
the amount borrowed. tho object pledged.
generally house and land. usually. became
tho property Of the mortgage. No deed
was needed TO give title. The contract tablet.
which furnished evidences OF tho antichresi..
was a sufficient deed. The eass with which
money might be raised In this manner rendered
the transaction very popular. and led 10 con-
siderable elaboration Of the principle. Among
the Babylonisns the ordinary land mortgage
or chsttel mortgage also played an important
part. Here the general principle was that
tho object pledged remained In the possess
sion Of the person who contracted the loan,
but could not be used as security for q second
loan until the first creditor had been paid In
full. No other creditor could attach II. Il
wa, not necessary. however. that the propsrty
pledged should be In the possession Of the
mortgagor: a contract for future delivery
seems TO have been SUFFICIENT security for a
loan. This l. an example OF the extent 10
which the negotiable character Of DINNER
cial securities was carried.