date

29 Oct r 1807 L d Eldon's Bill
29 Oct r 1807

L d Eldon's Bill

'.16

Simple or Compound

(2) ( Simple or Compound)

The demonstration made by the word compound added to the word interest is characteristic and instructive: in shew a mountain, in effect a mouse.

Not an atom of satisfaction where[?] the object unjustly withholden is instead of the artificial thing called a sum of money, a natural thing in any shape whatsoever, moveable or immoveable, and up to any value: where the thing withholden is a sum of money, interest merely, by which, no intimation to the contrary being given, any thing more than the legal 5 per cent would not naturally be understood - interest 5 per cent or less, at the outside power given to the wrongdoer, by a forced loan, while he himself is making, 12 or 15 per cent or any higher rate of profit; to borrow the money of the party injured at that price.

To make amends for an omission thus wide and palpable, what have we? instead of more simple interest, enlargement of the power to the extent of compound.

Now what are the views of the learned Advisor with respect the duration of this part of a Scotch cause? till six months have lapsed the difference between simple interest and compound amounts to nothing /is not worth a farthing/: for the computation of the interest I take for granted will not take place oftener than twice a year, if so often. Should the duration of the cause, i.e. reckoning from that stage from which the interest is to begin to be computed amount to 14 years by that time at compound interest the sum to be paid on the score of interest will have been doubled. But /Note/ that if instead of being thus paid at the end of 14 years this double interest had been paid at the time that the first years payment of simple interest ought to have been, the amount of the satisfaction would still fall short of that ordinary per centage in the way of profit of trade which the injured party if a trader would have made.

/the Tables that one sees not being calculated in the supposition of any more frequently recovering[?] mode of payment.
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  • Title: [30 Jan y 1808 Appeals 3. Interest]
    Description: 30 Jan y 1808

    Appeals

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    Viwed in its proper light this remedy such as it is will be seen to [...?] a satire upon the system which gave birth to it. In addition to the 5 per cent interest, compound interest at the same rate! At what point of time is it that the first addiction thus to be made to the ammount of simple interest would commence? At the [...?] not [...?] than half a year after the first payment on the [...?] of the simple interest had become [...?]: so that for a delay that [...?] but a day of half a year, the value of the remedy as equal to 0. At 5 per cent at the end of 14 years, the principal when the interest is computed in the mode of compound interest doubles itself. [...?] now to a commercial man who in the character of plaintiff has been having[?] the whole time commercial profit, and that his[?] compound though it be but the [...?] of the rate of commercial, profit - viz 12 per Cent, the calue of this remedy. At the end of the years or thereabouts instead the ,5 which be at sample interest he would have raised[?] for the interest of the first year on the principal of ,100 to he will receave ,10: at the end of the years 2 per cent less than he ought to have receaved at the end of the first year.

    To [...?] enormous a pitch. must the mass of factitious delay have been swilled[?] before this pretended remedy whether in the character of satisfaction to the party wronged, or of punishment to the wrongdoer, can have become any thing better than chip[?] in porridge.
  • Title: [L d Eldons Bill '.16 Simple]
    Description: L d Eldons Bill

    '.16

    Simple or Compound

    Date of the Decree of the Court of Session suppose 1 st Feb y 1809: sum adjudged ,1,000. Date of the judgment of the Lords House in affirmation of the decree 1 st Feb y 1810. Interest at 5 per Cent of simple interest ,50, of compound interest ,52:10: + │ │ = │ │

    when at simple profit reckoning it but at 12 per cent, instead of the ,50, it would have been ,120.

    (│ │) (the said House in its sound discretion)

    A lantern to light the said House in its paths, and in the said lantern the same ignis fatuus as before. Even as the said Presiding Judge with the said Judges, or any three "of them", the said House having two discretions, a sound and an unsound one, the said legislator in his sound discretion enacts, that on this occasion /for this once/ the sound one shall be produced.
  • Title: [16 June 1808 Scotch Judicature Bill]
    Description: 16 June 1808

    Scotch Judicature Bill. Horner's[?] proposed amendment & addition to

    To Mr. Horner. Pray return to in this sheet. J.B.

    '. 16. If upon hearing the appeal /If the Appeal is supposed to come to a hearing he great probability is that the cause is not a malâ fide one. Almost the only case in which the [...?] takes place is where the Appeal being malâ fide is withdrawn or supposed to be dismissed; and to this the remedy does not extend. The above was written before the proposed new clause was read. But it may serve to shew the utter [...?] of the clause as it stands in L d Eldon's Bill, and thence the need of something to the effect of the here proposed [...?] clause./ it shall appear to the H of Lords to be just that interest should be paid by any of the parties in the cause to which such appeal relates to any other of the said parties it shall be competent to the said House, as in its discretion it shall think just to adjudge such payment of [...?], simple or compound, at any rate not exceeding │ │ per cent. per an. commencing at the time of principal become due from any date subsequent to the date of the first judicial step taken by the party who shall be so adjudged to pay interest in the cause so appealed either in the 6th of [...?] or before an inferior Judge as the case may be, sending with the day on which payment shall have been made under the order /no order of adjudication has been mentioned above. The observation is only a grammatical one./ (date of the s

    d

    [?] order) of adjudication.

    '. 16 In the draught hereby proposed to be substituted the part which the Court of Session is to take in the business is put first, the H. of Lords not being capable of managing details by any other hand than that of the Court. That if any appeal which has been lodged in the H of Lds shall be withdrawn or dismissed for want of prosecution it shall be lawful for the /any/ defendant in such appeal to which the cause originally belonged & upon such application it shall be competent to the [...?] division if in its discretion it shall think just, to decree the payment of interest the ending with the date f the said decree.

    /If the interest does not run on to the very day of payment payment will be delayed by every sort of device after the day in which the order bears date./