The Savannah morning news., 1901-12-22
IT HURTS BUSINESS
MERCHANTS WANT THE BANKRUPT
LAW REPEALED.
ITS USEFULNESS HAS PASSED
LAW NOW OPERATES TO IMPAIR
CREDIT AND CONFIDENCE.

Mayor Herman Myers Discusses the
Law, which, He Says, Is Well
Enough to Continue for Some
Months mt Intervals of Fifteen or
Twenty Years-OId Scores May
Thereby Be Wiped Out and Men
May BE ReestnbIished in Business.
In Both Voluntary and Involun-
tary Bankruptcy, as Now Prac-
ticed, However, There Are Abuses,
and the Law Should Not Exist.
MIR. q. II. Levy Declares for the
Repeal of the Law.
The Federal bankrupt law, in the
opinion of many business men of Sa-
vannah, has been in force long enough
and should be repealed. Among those
who take this view is Mayor Herman
Myers, who is also president of the
National Bank Of Savannah, and who
considers that every legitimate purpose
of the law has been accomplished, and
that it would be ruinous to the inter-
ests of the country to have 1t continue.
1.-The bankrupt law said Mayor
Myers, should be passed every fifteen
or twenty years and repealed after 1t
has been in operation as many months.
To continue it longer means that ad-
vantage is taken of it, and the business
confidence of the country is sadly i'm
paired. Credit is injured, and business
generally is hampered and restricted.
The present Congress should repeal the
law.
For some time after its enactment
the bankrupt law operated satisfacto-
rily and accomplished that for which
it was intended. Through it old scores
were wiped out, and many a man was
able to get on his feet again and be-
gin business anew. To that extent,
it has been an advantage.
p The time has come, however, when
the law should be repealed, for it oper-
ates only to the disadvantage of bus
mess. Both classes of bankruptcy, as
1t is construed under the law, are hurt
full. Voluntarily some men go into
bankruptcy who should not do so,
for they seek only to relieve them
selves of their debts and escape pay
ments that should be made to those
whom they had contracted to pay.
1nvoluntarily, business men may be
forced into bankruptcy, for the claims
OF three creditors, aggregating $500,
mean that a man may be declared a
bankrupt If he is not able just at
that time to pay. This is not right,
because he might be able to pay after
a little time and because far larger in
terests than $500 might be represent
ed in creditors willing to give him
grace for the settlement of their
claims
when one is forced into bankruptcy
and when one goes voluntarily into
bankruptcy the creditors suffer. 1t is
seldom that as much as 20 cents on the
dollars can be secured ON a claim
through the bankruptcy court. Assets
are so eaten up by attorneys fees,
court fees and costs as to make it i'm
possible for q creditor to derive any
thing like the amount to which he
might be entitled.
THE way merchants and others are
rushing into bankruptcy, whether con-
scientiously or fraudulently, and the
way they are being forced into it are
having effect upon business. Conf
dence has been sadly impaired and
credit has been damaged. 1t is a diff
ficult matter for country merchants to
get the credit that they enjoyed be-
fore the bankrupt law was enacted, for
Jobbers have been caught so often
through the convenience that is af-
forded by the law that they are wary.
Merchants and business men gener-
ally consider that the law has served
its legitimate purpose and that it
should be repealed. This impression is
widespread. The matter has become Sc
rinnG and eI L.
it,"
Mayor Myers is president of the Sa-
vannah Grocery Company, which does
a great Jobbing business and has in
terests throughout a wide territory. He,
therefore, is able to speak for the en-
tire section.
Mr.. B. H. Levy, of B. H. Levy and
Bro, was asked for an expression of
his views as retailer on the bank
rupt law. He very promptly advocated
its repeal.
THE law should be rescinded." said
Mr. Levy. ut has been in operation
long enough. People have begun to take
unfair advantage of it. 1 would not saw
that all who go into bankruptcy now
do so to cheat those whom they owe.
but certain it is that not a few do so,
1t is surprising to a merchant to OBJ
serve some of the notices of bankrupt
cy reaching them, showing that they
are on the list of some customer who
has taken advantage of the law to free
himself from debts that he could pay if
he desired and would only exert him
self to do it. A merchant is entitled
to and should receive greater consid-
GRAFTON than that, and no law should
exist that would enable one who could
pay to evade the payment of just debts,
debts that represent goods that have
been received and never paid for l
would never try to force any man to
pay an account whom 1 did not believe
able to pay it or whom I might think
needed the money for food or clothing
for himself or family, but. on the other
hand, l do not approve of a law that
admits of rank swindles"