HL Deb 31 July 1838 vol 44 cc841-3
The Lord Chancellor

moved the consideration of the Commons' Amendments to the Imprisonment for Debt Bill, and observed, that the amendments introduced by the Commons consisted principally in the substitution of certain clauses, which had been submitted to him by the judges of the Bankruptcy Court at too late a period for their insertion while the bill was proceeding through their Lordships' House. They made no alteration in the main features of the bill. The only important amendment was in that which was now the eighth clause. Their Lordships were aware, that a variety of acts committed by bankrupts were what were called acts of bankruptcy. Thus, the denial of the bankrupt to a creditor in order to avoid payment of a debt, or lying in prison for a certain number of days without paying the debt for which he was arrested, were acts of bankruptcy. But these and other acts would not be acts of bankruptcy any longer, because, as arrest on mesne process would be abolished, the debtor would not deny himself to his creditor, as he would be no longer apprehensive of arrest. It was justly considered by the House of Commons, that such provisions would very much interfere with the operation of the bankrupt laws, and an amendment had been introduced to meet the proposed alteration in the law. The amendment provided, that if any single creditor, or two or more creditors being in partnership, to the amount of 100l., or two creditors to the amount of 150l. or upwards, or three or more creditors to the amount of 200l., or upwards, if any trader should file their affidavit, or affidavits, stating that such debts were justly due to them, and that a notice had been served on the debtor, requiring him within twenty-one days to pay such debts or to give security for their payment to the satisfaction of the creditors—then, if such debtor did not pay such debts within the twenty-one days, or give a bond as security for their payment, this should be deemed and taken to be an act of bankruptcy. The effect of this amendment would be to assimilate as nearly as possible the proposed law to that at present in force. The nonpayment of the debt would stand in the place of the arrest of the party and his lying in prison. It appeared, to him, that this amendment would wholly prevent the inconvenience anticipated to the operation of the bankrupt laws, and he, therefore, moved, their Lordships to agree to the amendments of the Commons upon this bill.

The Duke of Wellington

said, that as his noble and learned Friend (Lord Lyndhurst) was not present, and another noble and learned Lord (Wynford), who sat on that side of the House, was not in his place, it would be proper to postpone the consideration of these amendments till the law Lords were in the House. He had another reason for postponing the consideration of the amendments upon this bill. When this bill was read a third time in that House, he took the liberty of suggesting to their Lordships the introduction of a clause of compensation to persons for the losses which they would sustain by the operation of the bill. He had called the attention of the noble Viscount opposite to the subject, and the noble Viscount's answer was, that it should be taken into consideration. He had since then given the noble Viscount a paper upon the question, and he certainly did expect, that the subject would be taken into consideration in another place, but he had observed what had passed there and he had not seen any symptom of its having been considered at all, and the bill had come back to their Lordships without any such clause of compensation. Now, these officers would, in his opinion, be very harshly treated in consequence of this omission; and he also did think, that when a bill of this nature passed that House in the shape it did, in consequence of the peculiar privileges of the other House of Parliament, it was rather a hard proceeding not to give those persons a fair chance of having their claims considered, especially when one of her Majesty's Ministers had promised, that the subject should be taken into consideration. He would, therefore, take the sense of the House upon the postponement, in consequence of the manner in which he had been treated upon this question. He entreated of the noble Viscount opposite to be so good as to take the subject into consideration; the noble Viscount said, that he would consider it—that was his answer—and, of course, he (the Duke of Wellington) thought, that it would be taken into consideration in the other House of Parliament. That had not been done—the subject had not even been mentioned, and these individuals had never had a chance of having justice done to them.

Viscount Melbourne

—I am very sorry, I am sure. I thought, that compensation was given to the gaolers of the Cinque Ports by the bill. Is the noble Duke sure, that that is not the case?

The Duke of Wellington

—It is not Consideration of the Commons' amendments was postponed.