Letter of License. Composition Deed. day of 638. The Same; With a Condition That the Debtor Pay by Instalments. [As in the preceding form to the † at the end, then adding the following:] PROVIDED always, and under this condition, that if the said Y. Z., his executors, administrators or assigns, do not well and truly pay unto us the said creditors hereunto subscribed, our respective executors, administrators and assigns, the sums of money to us by him owing, in manner followingthat is to say, on the next ensuing the date hereof, one just part of our said debts, between us to be divided according to the proportions of our several debts by him owing, and on the day of which will be in the year 18 one other part of the present amount of our said debts, to be divided as aforesaid, and on the day of which will be in the year the residue of our said several debts, to be divided as aforesaid: that then, and from and after any default in any of such payments, this our present letter of license shall be utterly void and of none effect, towards him and them of us to whom any such default of payment shall happen to be made; any thing above written to the contrary notwithstanding. IN WITNESS WHEREOF, we have hereunto set our hands and seals, the day first above written. In presence of [Signature of witness.] 639. Composition with Creditors. A. B. [Seal.] C. D. [Seal.] E. F. [Seal.] TO ALL to whom these presents shall come, we who have hereunto subscribed our names and affixed our seals, creditors of Y. Z., of send greeting: WHEREAS* the said Y. Z. does justly owe and is indebted unto us, his said several creditors, in divers sums of money, but by reason of losses, disappointments and other damages, happened unto the said Y. Z., he is become unable to pay and satisfy us of our full debts, and just claims and demands, and therefore we, the said creditors, have resolved and agreed to undergo a certain loss, and to accept of cents for every dollar owing by the said Y. Z. to us, the several and respective creditors aforesaid, to be paid in full satisfaction and discharge of our several and respective debts. Now KNOW YE, that we, the said creditors of the said Y. Z., do, for ourselves, severally and respectively, and for our several and respective executors and administrators, partners and assigns, covenant, promise, compound and agree, to and with the said Y. Z., his [heirs], (d) executors and administrators, by these presents, that we, the said several and respective creditors, executors, administrators, partners and assigns, shall and will accept, receive and take, of and from the said Y. Z., his [heirs], (d) executors and administrators, for each and every dollar that the said Y. Z. does owe and is (d) The word heirs is only appropriate of the debtor binding his heirs are includto be inserted in case sealed obligations ed in the composition. Letter of License. indebted to us the said several and respective creditors, the sum of cents, in full discharge and satisfaction of the several debts and sums of money that the said Y. Z. owes and is indebted unto us; to be paid unto us, the said several and respective creditors, our several and respective executors, administrators, partners and assigns, within months next after the date of these presents. And we, the said several and respective creditors, do severally and respectively, for ourselves, our several and respective executors, administrators, partners and assigns, and not jointly for each other or the representatives, etc., of each other, covenant, promise and agree to and with the said Y. Z., his executors and administrators, that the said Y. Z., his executors, administrators and assigns, shall and may, from time to time, and at all times within the said term of months next ensuing the date hereof, assign, sell or otherwise dispose of his property, at his and their own free will and pleasure, for and towards the payment and satisfaction of the said cents for every dollar the said Y. Z. owes and is indebted, as aforesaid, unto us, the said respective creditors; and that neither we, the said several and respective creditors, or any of us, nor the executors, administrators, partners or assigns of us, or any of us, shall or will, at any time or times hereafter, sue, arrest, attach or prosecute the said Y. Z. or his property and chattels, for any debt or other thing now due and owing to us, or any of us, his respective creditors aforesaid; so as the said Y. Z., his executors or administrators, do well and truly pay, or cause to be paid unto us, his said several and respective creditors, the said sum of cents for every dollar he owes and is indebted unto us respectively, within the said space of months next ensuing the date hereof † [or, if several payments are to be made, state them as in the preceding form]. IN WITNESS [etc., as in the preceding form]. 640. Letter of License or Composition Deed, to be Void, Unless All the Specified Creditors Sign. To all to whom these presents shall come, we, A. B., of of C. D., [etc., naming all the creditors who are to sign], who have hereunto subscribed our names, and affixed our seals, creditors of Y. Z., send greeting: * WHEREAS [continuing as in Form 637 or 639, from the near the beginning to the near the end, and conclude thus]: PROVIDED always, nevertheless, and it is the true intent and meaning of these presents, and of the said parties hereunto, that if all the said parties above named as creditors [or, if two-thirds in amount of the said parties above named as creditors, or otherwise, as may be agreed] shall not subscribe and seal these presents, (e) then, and in such case, the liberty and license hereby given and granted, and every clause, covenant, matter and thing herein contained, shall cease (e) A condition inserted that other creditors shall assent, without any thing to indicate that the assent is to be by executing the paper, is satisfied by proof of assent on their part evidenced in other ways. Fellows v. Stevens, 24 Wend., 294. Composition Deed. and be utterly void, to all intents and purposes; any thing hereinbefore contained, to the contrary thereof, in any wise notwithstanding. IN WITNESS whereof, the said parties to these presents have hereunto set their hands and seals, the In presence of [Signature of witness.] day of 18. A. B. [Seal.] [Seal.] 641. Composition Deed, Allowing Debtor to Carry on Business Under In spection of a Committee of the Creditors. THIS INDENTURE, made this day of 18 between the several creditors of Y. Z., whose names and seals are hereunto subscribed and affixed, parties of the first part [or, if it is intended that all shall sign in order to make the composition effectual, name them thus]: between A. B., C. D. and E. F. composing the firm of C. D. & Co., of of G. H., of and creditors of Y. Z., parties of the first part, and the said Y. Z., of merchant, party of the second part, witnesseth: WHEREAS the said Y. Z. is indebted to the several persons of the first part, in the several sums of money placed opposite to their respective names in the schedule hereunto affixed; and whereas, at a meeting of the creditors of the said Y. Z., held on the day of 18 at it was made to appear to them, that by reason of losses and obstacles in trade he was unable to pay the several demands upon him immediately, but that his stock in trade, and his other estate and effects were sufficient for that purpose, whereupon it was mutually agreed by and between the parties hereto, that the term of years should be given to the said Y. Z. to collect in and dispose of his said estate and effects, and that, in the mean time, he should be permitted to manage and improve the same under the inspection of the parties of the first part by a committee of their number to be by them chosen, and by them, their executors, administrators and assigns, renewed from time to time for that purpose, under and subject, nevertheless, to the conditions, stipulations and agreements hereinafter contained respecting the same: Now in consideration thereof, and of the covenants and agreements hereinafter contained, on the part of the said Y. Z. to be performed, the said parties hereto of the first part, and each of them for themselves respectively, and their respective partners, and his and their several and respective executors, administrators and assigns, but not any one of them for any other of them, nor for the executors, administrators, partners or assigns, of any other or others of them, do: I. Give and grant unto the said Y. Z., free liberty and license to carry on, conduct and manage his said trade or business of and all his other affairs and concerns, and collect, get in and sell and dispose of, convey and assign all or any part of his estate, debts and effects, under the inspection and subject to the approbation and control of the said parties of the first part, by their committee as aforesaid, from henceforth until the day of 18 if he, the said debtor, shall so long live, and continue to observe and perform the several covenants and agreements hereinafter contained, on his part or behalf to be observed or performed; and they Composition Deed. agree with him and with each other that they, the said parties of the first part, creditors as aforesaid, or any or either of them, shall not nor will, during the time or period, and observance and performance aforesaid [for any cause or consideration now existing], sue, arrest, attach or prosecute him, the said Y. Z., or his property, or in any way impede or molest him in the carrying on or management of his said business or concerns, or the sale or disposition of his estate or effects, under such control and inspection as aforesaid, nor seize or possess themselves of, or in anywise attach, or intermeddle with his goods, estates, property or effects in anywise whatsoever. [If desired to add a clause that creditors violating the license shall forfeit their debts, it may be like the last half of Form 637.] II. And for the purposes aforesaid, the said party of the second part hereby covenants and agrees with the parties of the first part, to make and deliver to them or their committee within a reasonable time, a full and true account of all the creditors of the said Y. Z., showing the place of residence of each creditor, if known; and if not known, the fact to be stated; the sum owing to each creditor, and the nature of each debt or demand, whether on written security, account or otherwise; the true cause and consideration of indebtedness in each case, and the place where it accrued; and a full and true inventory of all the estate, both real and personal, in law and equity, of the said Y. Z.; of the encumbrances existing thereon; and of all the books, vouchers, and securities, relating thereto. III. And he further covenants and agrees as aforesaid to manage and collect his assets, and to carry on his said business faithfully and diligently for the purposes of these presents, under the direction and control of the parties of the first part, as they may by their said committee, or otherwise, direct, according to the true intent and purpose of these presents. IV. And he further covenants and agrees as aforesaid, that after payment of just and necessary legal expenses, and the expenses of conducting said business [including a commission of per cent. upon the net proceeds as a compensation for the committee hereinafter provided for], and also after reserving to said Y. Z. so much as may be necessary for his reasonable support, which is not to exceed the rate of dollars per month, nor to exceed the sum of dollars in any one month, he will, subject as aforesaid, pay over and distribute the proceeds of said assets and business, for and towards payment and satisfaction of the sums the said Y. Z. owes as aforesaid unto us the said respective creditors, pro rata [specific liens, however, already secured by any creditors, to be first discharged out of the property which is bound by such liens]. V. And the party of the second part hereby further covenants and agrees as aforesaid, that he will not, during such time make any assignment or transfer of any of his property, with any preference for any creditor; that he will keep just and true accounts of all his transactions, subject at all times to the inspection of the parties of the first part and their said committee, and will render to the said committee, once in each a statement of his accounts, showing [here specify what is desired]; which accounts, as well as the one hereinbefore provided for, shall be verified by him on oath, if so required. Composition Deed. VI. And he further covenants and agrees as aforesaid, that he will not, during the period contemplated by these presents, indorse or accept for accommodation, or become surety in any wise for any person, or voluntarily incur any liability except in the course of his said business, and will not enter upon or undertake any other business or enterprise whatever. VII. And the said party of the second part further covenants and agrees as aforesaid, that he, the said Y. Z., his heirs, executors and administrators, shall and will, well and truly, pay or cause to be paid unto all and every the said creditors, parties hereto, their respective executors, administrators, partners or assigns, or other person or persons by them respectively authorized to receive the same, their full and whole debts and demands, at or before the expiration of the said term of years, in the manner hereinbefore appointed for payment thereof, and according to the true intent and meaning of these presents. VIII. And for the purposes aforesaid, the said parties of the first part have appointed and hereby do appoint A. B. and E. F. their committee, as their agents and attorneys, to act until otherwise ordered, or until others are appointed in their place, by the parties of the first part, and with full power and authority to do, direct and assent to all and any acts, matters and things whatsoever, relative to the matters or things aforesaid, as they, in their discretion, shall at any time and from time to time hereafter think fit and expedient, as fully as the parties of the first part might do if personally present. IX. And such committee are also empowered to nominate and appoint one or more clerks, or other persons, to assist the said Y. Z. in the management of his said trade or business, at such salary or wages as they shall think fit; and are also empowered to give bail, or cause it to be given, if the said Y. Z. or his property shall be arrested, attached or taken under process of law by any of his creditors, or persons claiming so to be; and the said committee may contest, or otherwise act concerning the debt or debts of any such creditor or claimants, at the expense of the estate and effects of the said Y. Z., as they shall think fit and necessary for the purposes aforesaid. X. And it is hereby further covenanted and agreed, by and between the parties hereto, that if, by reason of any unforeseen cause, not wilfully occasioned by the said Y. Z., any delay shall take place in the final settlement of his affairs, during his lifetime, so as to prevent the several creditors, parties hereto, from receiving the full amount of their respective debts, at or before the expiration of the said term of years, hereby limited for winding up the concerns of the said Y. Z., and for payment of his creditors in manner aforesaid, then and in such case it shall be lawful for the said committee, and they are hereby fully authorized and empowered, if they shall think proper, without any further consent of the said creditors than is hereby given, to prolong or extend the said term for a period not exceeding months, to be computed from the expiration of the said term, by an indorsement under the hands of the said committee being made upon these presents to that effect; and that thereupon all and every the said creditors, parties hereto, their executors, administrators, partners and assigns, |