themfelves. There being no other Law or Statute, but the Custom of each Country, for regulating and determining the faid Provifion, which, however, is no ways binding, for Merchants agreeing amongst themselves, may give more or lefs Provifion to their Factors or Correfpondents, as they think fit; but it generally is 4,,, or 1 per Cent. at moft; befides which, they always deduct out of the Sums remitted to them, Brokerage, Poftage of Letters, and all other Charges whatsoever. It being common for Merchants, when they of Discompt. have occafion for Money, to discompt fuch Bills as they may have by them, I think it convenient to acquaint the Reader, that by the Term of Difcompt, is understood, the Diminution that is agreed upon between two Merchants, or Dealers, to be made in a Sum of Money, payable at a certain Term, upon condition to pay the Remainder in Ready Money; and this is practis'd two ways, viz. Between the Creditor or Debtor, or Between the Creditor and a third Perfon. In order to make this plain, suppose that one Merchant has an accepted Bill upon another, for a certain Sum of Money, payable in three Months; Difcompt bebut the Bearer of the Bill wanting ready Money tween the Creoffers to the Acceptor to make a certain Rebate-ditor and ment of fo much per Cent. for prefent Payment, which (if the Acceptor agrees to the Diminution, or Rebatement fo made,) is called Discompt. Debtor. But in cafe the Perfon, upon whom the Bill is Difcompt bedrawn, refufes to difcompt it, then the Bearer of tween the Crethe Bill applies to a Banker, or any other Perfon, ditor and a third Perfon. who deducting the common Allowance, pays the Remainder in Ready Money: The Difcompt is generally equal to the Intereft of that Country where the Bill is difcompted. Having given a full Account of Bills of Exchange, of Provifion, and Difcompt, I fhall now F 2 take tween Bank and current tries. Difference be- take Notice, that in all Countries where there are Banks, (except in England, where there is no DifMoney in Fo- ference in the Value of Money) the Bank Money reign Coun- is confiderably higher than the Current, and all Bills that are not drawn payable in current Money, are payable in Bank; the Agio (which is a Term us'd for the Difference between Bank and Current Money) is between 5 and 6 per Cent. in Holland better than Current; and at Hamburgh, and other Places, from 4 to 16 per Cent. OBSER OBSERVATIONS neceffary and material, 2 N all Countries Proceffes at Law, con- In Cafe they But no Recourse can be taken neither Bills of Exagainst the Drawers, Indorfers, or Acceptors, ex- change not duly cept the Bills of Exchange are duly protefted; but protested, bein cafe they are; not only the Poffeffors of Bills, but come the Lofs of the Poffeffor. 'their Heirs, Executors, or Affigns, may fue the Parties concern'd in fuch protefted Bills of Exchange, and procure speedy Juftice. And no Appeal lies Poffeffors, their from Merchants to fuperior Courts, 'till the Value Heirs or Af of the Bills is actually depofited: nor is there any figns may fue, other way to fufpend, or delay the Execution given Justice. in that Cafe. are protefted, and recover It is not neceffary, as in other Cafes, to prove The Acceptance the Acceptation of Bills of Exchange by Witneffes; of Bills of Exnor are they liable to be arrested or detain'd like change, not reother Effects, being only transferrable by the In-quir'd to be prov'd by Witdorsement or Affignment of the Poffeffors, and no nefes, being otherwife: And in all Cafes of Exchange, the Cu- only negotiable ftoms of the respective Places must be obferv'd with by Poffeffors. regard to the Time of Payments, Manner of protefting, &c. If there be feveral Drawers to one Bill of ExIf the Poffeffor change, they are all bound, ipfo facto, for the due of a Bill should Payment thereof; but if the Poffeffor fhould neglect the neceffary Diligence for of a Bill neglect to proprocuring he has only the cure Payment, Payment, Acceptor for Security; but Payment, he loses all Recourse against Drawer and if it is proved Indorfers, and has only the Acceptor for Security, the Acceptor is tho' even he has failed. not any way the Drawer must pay the Value of the Bill, tho' not the Charges. indebted to the Yet if it appears that the Acceptor had no ProDrawer, then vifion for Payment of the Bill, and is not any way indebted to the Drawer, the latter muft return the Value to the Poffeffor; but is not oblig'd to pay the Charges, because of the other's Negligence. According to the Custom of Merchants in Foreign Concerning Countries, if any Servant fhould accept Bills for his cepting Bills of Mafter, without a fpecial Licence from him, emExchange. powering him to do it, and fpecifying it in the Ac Servants ac Concerning Of accepted In Cafe of Bankruptcy, ceptance of the Bill, if the Mafter fails, the Servant is liable for Payment; but in cafe it can be prov'd, that fuch a Servant has formerly us❜d to accept and pay, and indorfe Bills for his Mafter's Accompt, in his Abfence, and that his Mafter at his Return has approv'd of the fame, the Acceptance of such a Servant will bind the Mafter to Payment, if he is able. No Factor acting for another Man's Accompt, whether in Exchange or Merchandize, muft recede in any manner from the Order of the Principal, whatever Probability there may be of managing things to advantage: But if the Principal give the Factor a general Commiffion to act for the best, he then may act as to him may feem moft convenient. If an accepted Bill be loft, the former Poffeffor of it, may upon the Day of its Expiration, demand Payment, giving fufficient Security to fave the Buyer harmlefs; and in Default of Payment, may caufe the Bill to be protested. tefted When any Merchant becomes a Bankrupt, all Bills accepted Bills accepted by him, tho' not then due, may be promay be protest- upon the firft Notice of his failing, yet if ed the not due. by any Accident, the Poffeffor is hinder'd from protefting immediately, if 'tis done before the Bill is expir'd, he will not be liable for the Damage. When Man's accept a When any Merchant thinks fit to accept a Bill Concerning a of Exchange, (fuffer'd to be protested by another, ing a protested upon whom it is drawn) whether for the Honour Bill for the of the Drawer, or any of the Indorfers, he muft Honour of bis caufe an Inftrument to be drawn up by a Notary, Friend. by way of Proteft; intimating, that whereas fuch or fuch a Bill was protefted for, &c. (reciting the Circumstances and Particularities of the Matter) he does accept or pay the fame for the Honour of his Friend C. D. and then if he pleases, he may draw upon his Friend, for whofe Honour he accepts any fuch Bill, not only for the principal Sum by him paid, or to be paid, but likewife for the Interest of his Money, (if any due, the Charge of the Proteft, Port of Letters, and for Brokerage and Commiffion: All which the Law of Exchange obliges C.D. to pay. Merchants fhould be very wary in accepting or Be careful of paying Bills prefented by unknown Hands, if no accepting Bills Letter of Advice confirms the drawing of them, vice. for otherwise they may easily be ruin'd by For geries. In Protests, the Copies of the Bills must be inferted, together with the Reasons given for refufing to accept or pay. without Ad The Interlining of any Words in an accepted of Interlining. Bill, will not be a fufficient Excufe for denying Payment, if it was fo interlin'd at the Time of Acceptance. If two Perfons of the fame Name live in the Perfons of the fame Town, and the Bearer of a Bill does not know fame Name. upon which of them 'tis drawn, they both refufing to accept, must both be protested againft. If an Acceptant dies before a Bill falls due, Pay- If an Accépment must be demanded of the Executors, and in tant dies. Default of that, the Bill must be protefted. When a Bill is accepted for the Honour of an A Bill accepted Endorfer, the Drawer is oblig'd to make him im-for the Honour mediate Satisfaction. He of an Endorfer~ |