Year: 1879

HOW WE MAY CHANGE FROM THE LIE


LAW.


One of the great curses of bad system


once thoroughly established, is the difficul


ty of adjusting ourselves to the operation


of new and better one. This difficult


gives to error and wrong almost the powe


of self-perpetuation. Our habits, our bust


ness, and our modes of thought, becom,


so thoroughly confirmed to any system


under which we have long lived, that a


change, however beneficial, can but be at


tended with inconvenience But the incon


venience must be submitted to or else the


wrong must endure forever. The habit OF


buying everything We get on a credit and nj


enormous prices, tends more and more, the


longer it is persisted in, to destroy our


ability to deal for cash. The system pre-


vents our acquisition of any surplus money
through which alone cash trade can be
| carried on. A resort to the energy and
economy recommended in former number


of these papers, if persisted in for single
year, will 60 far to remove the inconven-


ience of the change.


But it is probably impossible to get
through without some credit; and tine ques-
ton is, can we find substitute for the lien
system, which in its operation would be
easier to the farmer and open to him bet
ter prospect of complete emancipation
1t is my object to show that this can be
done.


The evil most to be deplored in the lien
system is, that it necessarily makes credit
dear. that it enhances prices enormously.
1t has been shown in former paper how
precarious the security is-how the solvent
and prudent are made to pay for the pur-
chases of the dishonest and improvident;
and how, Notwithstanding the high prices,
the merchant frequently is loser how,
in fact, the system was benefit to no one
except those who did not pay and possibly
did not intend to pay when the debts were
contracted


1t is a maxim of common sense as well |
as of law, that it takes two to make bar
gain-that trade or contract is the free |
assent of two minds to the same thing. 1t |
is also maxim in commerce, that compe-
titlon is essential to the proper adjustment
Of prices. Where there is competition,
prices will be fixed as low as the business
,an be carried on at, when conducted with
skill and good management. In this way,
md in this way alone, purchaser can be
protected from overcharges.


This protection is wholly lost under the
len system. When once lien or mortgage
$ given, the credit of the mortgagor, a
,erson giving the mortgage, is wholly des-
royed except with the merchant to whom
he mortgage or lien is given. The farmer
aust, therefore, trade with that merchant
lone, even if at the next door goods are
old much cheaper The merchant, there
pre-, has the power of fixing the price abso-
itely, without consulting the customer.
[e dictates the terms of the contract in all I
,spects, and what these terms are we all
now,
Such transaction is, in no Just sense,
aiding. 1t is the mere will of one party
nposed on the other. That some mer-
lants use this power with moderation, is {
ue, but this does not affect the servility {
i'd dependence of the customer on him. q
What then is to be done? 1t is said that f
10 farmers are without supplies, and they b
ust have them on a credit. No merchant il
n be compelled to part with his goods h
cept the credit suits him. If customer Y
proposed customer, be insolvent or dis r,
NEST, the merchant may rightfully decline "
sell goods to him. 1t is clear, also, that al
9 price of credit-legitimate credit Il
len it is the lowest the market affords, B
pends on the nature and value of the L
ourity. Can fair security be established fl
lich will ut the same time leave the un- b.
rtunate farmer the means and opportuni, tC
IS of going into the market, not as the I'll
I'VE and servant of one man. but on equal 81
ms with those who have the advantage st
competition ? think this can be DONE 81
le solution of the difficulty is found in "a
iUtng prompt and efficient remedies for hi
collection Of de6ts.' in
Let the Legislature repeal the lien law as II
merchants, and at the same time provide TO
1t if debt be not paid at maturity, if so
It be brought, there Bhall be a seizure, in hi
, first instance, of property enough to
isfy the debt, and that Judgment shall
rendered at the first term of the Court,
less good cause be shown for a continu-
,e. Let this law apply only to debts Gre 20
d after its passage S'l
The result will be that there will be pa
,ater caution in contracting debts, and 'u
refrom will result a greater economy, VIC
" SO much needed. There will be
amplitude in the payment of debts, and
m this promptitude viii. follow an un- Nc
king of the safes of all those who af
70 money. There will be money to gr'
d because there will be certainty Of its u
edy return by due process Of law, and Ev
the habit of promptness in payments the
lerated by it. The merchants will be as