HL Deb 28 February 1843 vol 67 cc2-4
Lord Cottenham

, on presenting a petition complaining of the heaviness of the costs in bankruptcy and insolvency proceedings, took occasion to say that he had been subjected to great blame for delaying the second reading of the Creditors and Debtors Bill, which he had laid on the Table within a few days of the meeting of Parliament, with the view of passing a) measure for diminishing the expenses of such cases. Now, he wished to say, that he had not abandoned the measure, as he was accused of doing, but only postponed proceeding with it in order that he might see what course Government would take on the subject, and whether any measure would be introduced under the authority of the law officers of the Crown to remedy the evils of the present law.

The Lord Chancellor

said, a bill had been introduced, at a late period last Session, for the purpose of transferring the jurisdiction of insolvency cases to the commissioners of bankruptcy. This bill passed; but considerable inconvenience had been experienced from its operation. To obviate the inconveniences felt, the law officers of the Crown were preparing a bill, which would carry out the principles of his noble and learned Friend's measure, and render it more effectual. Perhaps the better way would be to refer all the bills to a select committee, which might consider the whole subject of insolvency, with the view of amending the present system, and removing the evils which now attended it, or of reconstructing a new system. If his noble and learned Friends would lend him their aid in considering the subject, he had no doubt they would be able to produce a system free from the objections brought equally against that which was formerly established, and that which at present existed.

Lord Brougham

thought the course suggested by his noble and learned Friend on the Woolsack a very advisable one. He wished to observe, that he had been himself deterred from proceeding with the measure he had introduced at the commencement of the Session, the Debtors and Creditors Bill, from the same cause as his noble and learned Friend (Lord Cottenham)—a wish to ascertain what were the intentions of Government.

Lord Cottenham

said he was particularly anxious to correct an evil which now pressed heavily on the unfortunate class of persons whom these bills would affect. It was now impossible for an insolvent debtor to take the benefit of the act without paying 51., which was a great burthen on the debtor himself, while it was a payment to the injury of his creditors.

The Lord Chancellor

said he should communicate with the law officers of the Crown in the preparation of the measure to which he had adverted, and then introduce it into that House, which would afford time to consider it properly in the course of the Session. With respect to the point just instanced by his noble Friend, it would be easy to correct the grievance by means of a short bill, which could he introduced and passed for that purpose. He would propose, that insolvent debtors should be discharged without paying their fees, unless their estate should produce the amount requisite.