Page:The Green Bag (1889–1914), Volume 23.pdf/665

 Uniform Commercial Legislation cers and committees. To the Com mittee on Commercial Law has been committed the primary work of formu

lating an American Commercial Code. Its work to date covers acts to make uniform the law of Sales, Transfer of Stock, Negotiable Instruments,

Warehouse Receipts, and Bills of Lad ing. Some errors crept into the Negotiable Instruments Act, which arose largely from the fact that it had not been sub

jected for a sufficient length of time to public criticism.

Time, however, has

623

adopt the mercantile theory of credit and give negotiability to bills, drafts, notes, checks, warehouse receipts and

bills of lading when to l‘order."

The

"order bill of lading" plays a peculiarly important part in American domestic and foreign commerce—being in the best sense a "commodity currency" because usually accompanied by a draft

wherein is expressed a unit of value. These commercial acts have been con structed in harmony with actual busi ness usages and customs where such usages and customs rest on sound eco nomic principles and are not contrary to ethics underlying all American juris prudence. They have brought into

demonstrated that these errors are in signiﬁcant and have been largely cor rected by judicial construction. The possibilities of similar errors have been avoided in the preparation of the other uniform commercial acts by adequate criticism in which the whole public has been invited to participate. This is

and customs, neither strictly nor liber ally, but to accomplish their great pur

particularly true of the act to make uniform the law of Bills of Lading, the

commercial law.

discussion of which was participated in by shippers, consignees, carriers and

plete codiﬁcation of the law upon each

existence a new rule of statutory con

struction that they are to be construed in harmony with such business usages

pose of bringing about uniformity of They wisely do not attempt a com

mous approval of the representatives of

subject to which they pertain, but give room for the growth of new uses and

these four seemingly hopelessly conﬂict

customs by providing that “in cases

ing interests.

between persons residing in diﬁerent states, the vital importance of an act to make uniform the law of Sales is appar ent.

not provided for in this act the rules of law and equity including the law mer chant. . . shall govern." If Congress in its wisdom shall adopt the recommendations of the Aldrich committee and substitute an elastic asset currency for a rigid bond secured

i. Credit is, today, the medium of ex

currency, the importance of uniform

bankers.

This act received the unani

As almost every business transaction culminates in a sale, and most sales are

change by which ninety-ﬁve per cent of

legislation affecting all instruments of

the business of the world is transacted.

credit becomes doubly important, and

That the law governing all instruments of credit should be universal through out the commercial world would seem to

those who in 1895 suggested a confer ence of Commissioners on Uniform State Laws will have builded wiser than they

be apparent.

knew.

These acts, therefore,

Cincinnati, October 31, 1911.