constitution of one warranted to be "in good health" is radically impaired, and the life made unusually precarious, there is a breach of the warranty, although no specific disease is shown which must have that effect. On the other hand, this warranty is not broken by the presence of a disease which does not usually tend to shorten life (in one English case dyspepsia was said to be such a disease), unless it were organic, or had increased to that extreme degree as to be of itself dangerous.

Consumption is the disease which is most feared in this country, as well as in England. And the questions which relate to the symptoms of it, as spitting of blood, cough, and the like, are exceedingly minute. But here also there must be a reasonable construction of the answers. Thus, if spitting of blood be positively denied, there may be no falsification in fact, though literally speaking the lifeinsured may have spit blood many times, as when a tooth was drawn, or from some accident. If there be an action on the policy, and the insurers rest their defence on any falsification of this kind, the question usually put to the jury is: Was the party affected by any of these or similar symptoms, in such wise that they indicated a disorder tending to shorten life? And any symptom of this kind, however slight,- as a drop or two of blood having ever flowed from inflamed or congested lungs, should be stated. Statements materially untrue on these points avoid the policy, although the insured, at the time of his application, did not believe that he had any pulmonary disease, and the statement made by him was not intentionally false, but, according to his belief, true.

The insurers almost always ask who is the physician of the lifeinsured, that they may make inquiries of him if they see fit. And his name must be stated fully and accurately. It is not enough to give the name of the usual attendant; but every physician really consulted should be named, and every one consulted as a physician, although he is an irregular practitioner or quack.

If the warranty be that the life-insured is a person of sober and temperate habits, it has been held, in an action on such a policy, that the jury are not to inquire whether his habits of drinking are such as might injure his health; for if he has any "habits of drinking," this would discharge the insurers, because they have a perfect right to say that they will insure only those who are temperate. But it may be answered, that although the insurers have this right, and there may be good reasons why this should be the general practice, yet unless they use the word "abstinence," or something equivalent, they have no right to say that any one is not "temperate who does not drink enough to affect his health; for as, generally, all intemperance must affect health injuriously, if there be no such

injury, the presumption would be that there was no intemperance · and there is clearly a broad distinction between temperance and total abstinence.

An answer, "not subject to fits," is not necessarily falsified by the fact that the life-insured has had one or more fits. But if the question had been, "Have you ever had fits?" then it is said that any fit of any kind, and however long before, must be stated. But if a man had a fit when a young child, and forgot to mention it, or considered it wholly unimportant, and it had nothing to do with his state of health, it would hardly be held a falsification which would avoid the policy.

As there is always a general question as to any facts affectIng health not particularly inquired of, a concealment of such a fact goes to a jury, who are to judge whether the fact was material, and whether the concealment were honest. As when a life-insured was a prisoner for debt, and so without the benefit of air and recreation, and this was not told; and where a woman whose life was insured had become the mother of a child under disgraceful circumstances some years before, and this fact was concealed, the plaintiffs were non-suited, and lost the case.

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If the policy, and the papers annexed or connected, put no limits on the location of the life-insured, he may go where he will. But if, when applying for insurance, he intends going to a place of peculiar danger, and this intention is wholly withheld, it would be a fraudulent concealment.

If facts be erroneously but honestly misrepresented, and the insurers, when making the policy, knew the truth, the error does not affect the policy. Nor does the non-statement of a fact which diminishes the risk.

If upon a proposal for a life insurance, and an agreement thereon, a policy be drawn up by the insurers, and presented to the insured, and accepted by them, which differs from the terms of the agreement, and varies the rights of the parties concerned, equity will interfere and deal with the case on the footing of this agreement, and not of the policy. But not if it be shown by evidence and circumstances that it was intended by the insurers to vary the agreement, and propose a different policy to the insured, and that this was understood by the insured, and the policy so accepted.

SECTION VII.

INSURANCE AGAINST ACCIDENT, DISEASE, AND DISHONESTY OF SERVANTS.

Of late years, all of these forms of insurance have come into practice, but not so long or so extensively as to require that we should speak of them at length. In general, it must be true that the principles already stated, as those of insurance against fire or death, must apply to these other and indeed to all other forms of insurance, excepting so far as they may be qualified by the nature of the contract.

From one interesting case which has occurred in England, it seems that, when an application is made for insurance or guaranty against the fraud or misconduct of an agent, questions are proposed as we should expect, which are calculated to call forth all the various facts illustrative of the character of the agent, and all which could assist in estimating the probability of his fidelity and discretion. But a declaration of the applicant as to the course or conduct he was to pursue was distinguished from a warranty. He may recover on the policy, although he changes his course, provided the declaration was honest when made, and the change of conduct was also in good faith. In this case the application was for insurance of the fidelity of the secretary of an institution. There was a question as to when, and how often, the accounts of the secretary would be balanced and closed; and the applicant answered that these accounts would be examined by the financial committee once a fortnight. A loss ensued from the dishonesty of the secretary; and it appeared to have been made possible by the neglect of the committee or the directors to examine his accounts in the manner stated in the policy. But the insurers were held, on the ground that there was no warranty.

CHAPTER XXV.

BANKRUPTCY.

The Constitution of the United States authorizes Congress to establish "uniform laws on the subject of bankruptcies throughout the United States." In 1800, a bankrupt law was passed, limited to five years; but it was repealed before it had been in operation three

years. In 1841, another bankrupt law was passed, and was repealed eighteen months afterwards. In March, 1867, another bankrupt law was passed, entitled "An act to establish a uniform system of bankruptcy throughout the United States." Several amendatory acts were passed, of which much the most important was that of 22 June, 1874. This act provides so carefully that fraud shall be prevented and justice done in all cases, and seems to be so generally useful and acceptable, that I think it will probably be permanent, and, without being repealed, will be amended from time to time as new exigencies arise, and as experience shows the need of new or different provisions. I now give an abstract of all the sections, excepting those of the greatest and most frequent practical importance, and these I give in full.

Section 1. Makes the several District Courts of the United States Courts of Bankruptcy, with full jurisdiction over all cases which come before them, and arose within their districts.

Sect. 2. The several Circuit Courts of the United States shall have a general superintendence and jurisdiction of all cases and questions arising under this act.

Sect. 3. Concerns the appointment of registers in bankruptcy, the manner of the appointment, and who they may be.

Sect. 4. Describes the powers and duties of registers, and their fees.

Sect. 5. Provides for the proceedings before the registers, the removal of registers by the judge of the District Court, and the filling of the vacancy.

Sect. 6. That the register of the parties concerned may take the opinion of the judge of the District Court in cases or upon questions where that is desired.

Sect. 7. Provides for the attendance of parties and witnesses when and where summoned, and for the punishment of perjury.

Sects. 8, 9, and 10. Relate to appeals from the District Court to the Circuit Court, and from the Circuit Court to the Supreme Court if the matter in dispute exceeds $2,000. And gives the Supreme Court power to provide rules, orders, and forms for practice under this act.

Sect. 11. States how a person wishing to be made a bankrupt may proceed, and what he must do. This section I give in full.

SECT. 11. And be it further enacted, That if any person residing within the jurisdiction of the United States, owing debts provable under this act exceeding the amount of three hundred dollars, shall apply by petition ad

dressed to the judge of the judicial district in which such debtor has resided or carried on business for the six months next immediately preceding the time of filing such petition, or for the longest period during such six months, setting forth his place of residence, his inability to pay all his debts in full, his willingness to surrender all his estate and effects for the benefit of his creditors, and his desire to obtain the benefit of this act, and shall annex to his petition a schedule, verified by oath before the court, or before a register in bankruptcy, or before one of the commissioners of the Circuit Court of the United States, containing a full and true statement of all his debts, and, as far as possible, to whom due, with the place of residence of each creditor, if known to the debtor, and, if not known, the fact to be so stated, and the sum to each creditor, also the nature of each debt or deinand, whether founded on written security, obligation, contract, or otherwise, and also the true cause and consideration of such indebtedness in each case, and the place where such indebtedness accrued, and a statement of any existing mortgage, pledge, lien, judgment, or collateral or other security given for the payment of the same; and shall also annex to his petition an accurate inventory, verified in like manner, of all his estate, both real and personal, assignable under this act, describing the same, and stating where it is situated, and whether there are any, and, if so, what incumbrances thereon, the filing of such petition shall be an act of bankruptcy, and such petitioner shall be adjudged a bankrupt: Provided, That all citizens of the United States, petitioning to be declared bankrupt, shall, in filing such petition, and before any proceedings thereon, take and subscribe an oath of allegiance and fidelity to the United States, which oath shall be filed and recorded with the proceedings in bankruptcy. And the judge of the District Courts, or, if there be no opposing party, any register of said court, to be designated by the judge, shall forthwith, if he be satisfied that the debts due from the petitioner exceed three hundred dollars, issue a warrant, to be signed by such judge or register, directed to the marshal of said district, authorizing him forthwith, as messenger, to publish notices in such newspapers as the warrant specifies; to serve written or printed notice, by mail or personally, on all creditors upon the schedule filed with the debtor's petition, or whose names may be given to him, in addition, by the debtor, and to give such personal or other notice to any persons concerned as the warrant specifies; but whenever the creditors of the bankrupt are so numerous as to make any notice now required by law to them, by mail or otherwise, a great and disproportionate expense to the estate, the court may, in lieu thereof, in its discretion, order such notice to be given by publication in a newspaper or newspapers, to all such creditors whose claims, as reported, do not exceed the sums, respectively, of fifty dollars; which notice shall state,

First, That a warrant in bankruptcy has been issued against the estate of the debtor.

Second, That the payment of any debts and the delivery of any property belonging to such debtor to him or for his use, and the transfer of any property by him, are forbidden by law.

Third, That a meeting of the creditors of the debtor, giving the names, residences, and amounts, so far as known, to prove their debts and choose