The bankruptcy laws date from the time of Henry VIII., and the insolvency laws from the time of Elizabeth, the distinction as above explained having always been kept LID between them till the old statute. 24 and 25 Vict. c. 134. passed in 1391. Rv that statute, the insolvent court was abolished. The court now administering this branch of the law is called the court of bankruptcy, which, as far as the London district is concerned, sits in Basingliall street, city. The London district includes all the area of the ten metropolitan county courts. The rest of England is divided into separate juris dictions, and the judge of each county court is the ordinary judge. In London, the chief judge in bankruptcy, who is also one of the judges of the chancery division of the high court, sits, and has several registrars under him, to whom he has power to delegate his jurisdiction. Each county courts has also all the jurisdiction of a judge in chancery; and each county court is a branch of .the bankruptcy court. Theme is an appeal from a local court to the chief judge, and then to the high court of appeal. The office of official assignees is abolished, and the creditors choose a trustee to represent their interests and administer the estate, and collect and distribute the effects. The reg istrar of each county court is an official trustee, but lie merely acts till the creditor's trustee is appointed. The comptroller, whose office is in London, keeps a register of all bankruptcies, showing the state and progress of each; and the high bailiff serves all summonses, and inserts advertisements in the Gazette.
The tests of bankruptcy, or rather the acts done by a trader which make him liable to be proceeded against as a bankrupt, are technically called acts of bankruptcy. These are departing time realm—remaining abroad—absenting himself from his dwelling-house —keeping (himself prisoner in his) house—suffering himself to be outlawed and sued by creditors for debt—or allowing his goods to be taken in execution for debt—execnting a fraudulent grant, gift, or conveyance of his lands or goods. If a trader execute a conveyance of his whole property to a trustee for the benefit of his creditors, this will be treated as an act of bankruptcy, if any creditor petition within six months thereafter to make him a bankrupt. And, after a petition has been presented, the paying or giv ing security to any one creditor, so that he shall receive more than the other creditors, is void and null. If any creditor make au• affidavit of debt, and give notice to the trader immediate payment, time court of bankruptcy may order this to be filed, and call on the trader, if he do not bona jide dispute the debt, to enter into a bond with sureties to pay it in a given time, and refusal or neglect to attend or to pay this is an act of bankruptcy. With regard to a non-trader, the acts of bankruptcy were these: if, with intent to defeat or delay his creditors, he depart the realm, or remain abroad, or make a fraudulent gift, conveyance, or transfer of his real or personal estate; but in these cases the court did not declare him bankrupt until it was shown he had. whether abroad or not, been personally served with notice of the intended application, or at least that every reasonable effort had been made to effect such personal service; that is to say, to put into his hands written notice and full information of what is intended against him. Other acts of bankruptcy, which were applicable to both trader and non
trader alike, were the lying in prison for debt—suffering his goods to be taken for debt —filing a declaration in the court of bankruptcy that he is unable to meet his engage ments, provided a petition for adjudication of bankruptcy be filed against him within two months thereafter. The acts of bankruptcy, in all cases, are now the same, and are as at first stated, one being also the filing of a declaration of inability to pay his debts.
The mode in which an adjudication in bankruptcy is conducted in England is as follows: The act of bankruptcy, as already explained, must have occurred within six months before the proceeding is commenced. The first step is a petition to the court. This may be presented either byone or several creditors. If, as is most usual, it is pre sented by a creditor, then such creditor must have a claim of debt amounting to not less than or if the debt of two creditors amount to £50, they may jointly petition; or if the debt of three creditors amount to £50, they may jointly petition. Such debts may be due under mortgages, securities, or liens, and the costs and interest previously due in respect of such debts count as part of the whole debt. If a person in prison for debt is too poor to pay the fees, he formerly could be allowed to present the petition against himself in forma pauperk; and as a monthly return of all debtors must be for warded to time bankruptcy court, if prisoners stayed beyond a limited time—viz., if traders beyond a fortnight, and if non-traders beyond two months—without voluntarily petitioning, the court would at once make them bankrupts. But, impriSonment being abolished, creditors now begin the process. On the petition for adjudication of bank ruptcy being presented, together with an affidavit of the debt, it is filed in court., and on proof of the particular act of bankruptcy. the court adjudicates the debtor a bankrupt. The court then appoints the official registrar to take possession of time property and premises. Before the adjudication is advertised in the Gazette, the debtor is to have notice personally, or by service, at his premises, and a certain number of days, from seven to fourteen, are allowed to him to show cause why the adjudication should not be deemed valid. The.bankrupt is then to deliver up all his books and papers on oath to the official registrar. He is bound to give information to the official registrar and the court, and to attend from time to time for that purpose, and he is allowed remunera tion for that purpose. A small sum is also allowed for his and his family's maintenance during the proceedings. In general, the bankrupt from this time to the end of the pro ceedings is free from beingarrested by individual creditors, and receives a protection from the court. The petitioning, creditor, at his own costs, prosecutes the petition up to the stage when the creditors choose their trustee, when these costs are repaid to him.