tract no higher rate shall be recoverable, so
that in all proceedings in law or equity
where no rate is proved to have been agreed
upon between the parties six per cent. may be
recoverable, restricting the rate to six per
cent. in that respect, but leaving the parties
free to contract for a higher rate up to ten
per cent.; which puts our people upon pre-
cisely the same footing with other States, in
making special contracts up to the highest
rate of interest that prevails. My substitute
is in these words :
" That the legal rate of interest in this State
shall be six per centum per annum, except in
cases of agreements between contracting par-
ties; and in all such cases parties contract-
ing shall have power to contract, and to re-
cover any rate of interest not exceeding ten
per centum per annum,"
Mr. ECKER. I would suggest that it is neces-
sary to move to open the report.
Mr. ABBOTT. I have an amendment which
I desire to offer to the article as it stands.
Mr. STIRLING. I am very desirous that the
gentleman from Prince George's (Mr. Bolt,)
who is the chairman of the committee, should
have an opportunity to express his views;
* and I think if the house should after consid-
eration conclude to make some modification
in the report it would do no harm. I move
to reconsider the vote by which the report was
ordered to a third reading, so that it may
again be open to amendment. It cannot
take long to consider the matter, and if the
house is disposed to recede from its judgment,
they will have the opportunity,
I said before that I was not prepared to go
as far as the committee went upon the ab-
stract principle; but I do think that some
modification should be made so that reasona-
ble contracts may be made at a higher rate
than six per cent. I have had information
coming to me from good authority, from my
own constituents, that the commercial class
in the city of Baltimore have a vast interest
in this matter. I had the honor to present
the other day a petition which did not come
from pawnbrokers, stockbrokers, money-
lenders, Shylocks, or anything of the sort,
but the paper was signed by men engaged in
legitimate and honest commercial business,
as respectable as the merchants of any city in
the Union, the Baltimore Flour Exchange;
men who are agents .for the distribution of
agricultural products, who are so using capi-
tal as to develop as far as possible the agri-
cultural resources of the State. They have sent
here a memorial asking for some relief; ask-
ing that they shall not be tied down and fet-
tered by the absurd and useless prejudices of
the last five hundred years, but may be put
upon some sort of equality with the great com-
mercial centre of the Union. I am not dis-
posed to go for an absolutely unrestricted rate
of interest; but something should be done to
enable contracting parties to exceed the usual |
rate to some extent when they find it necessa-
ry. I hope the convention will reconsider
the vote ordering this report to a third read-
ing; that we may lake up the subject for
consideration whether or not we will amend
it; and at least give some opportunity for
the chairman of the committee (Mr. Belt) to
express his views upon the subject.
The motion to reconsider was seconded by
Messrs. PURNELL and KENNARD.
Mr. CHAMBERS. One would suppose that
this question had been passed upon, and the
vote had been taken without debate, without
giving even the chairman of the committee an
opportunity to say a word upon it, or to make
any argument,
Mr. STIRLING. The chairman of the com-
mittee was not here.
Mr. CHAMBERS. The subject was debated;
fully debated. The gentleman talks about
the wants of Baltimore. The wants of Balti-
more were ascertained before, We were in-
formed before that persons engaged in busi-
ness in Baltimore differed widely upon the
matter; but I have heard no one deny that six
per cent, is as much as a fanner can afford to
pay for money. There is no question that there
is a wish very generally entertained among
certain classes that the restriction may be
removed in order that they may be able to
make ten per cent., taking advantage of the
necessities of borrowers. Whatever the limit
is, that is the amount that will be charged
and received, I rise to protest against any
departure from the ordinary practice of the
house I am perfectly willing that the gentleman
from Prince George's (Mr. Belt)
should be beard; but I should desire that the
field should be open for all sides, and not for
one gentleman exclusively.
Mr. BELT. I wish to say by way of explana-
tion, while thanking my friend from Baltimore
city (Mr. Stirling) for his intended courtesy,
that I have said all I propose to say upon the
question, unless a debate should arise and
cause me to say something in answer to gen-
tlemen, That I do not anticipate. It is too
late in the day to make an argument, par-
ticularly after a judgment has been given. 1
only desire to submit this new proposition
and have it decided in some way or other.
It occurred to me that perhaps, if the house
is not prepared to go to the extent they have
gone in England, the total abolition of usury,
which I regard as of no use and of no practi-
cal effect, they would at least be willing to
put the people of this State, and the commer-
cial interests of the whole people upon the
same basis as in other States. But I am per-
fectly content, and 901 am sure will the whole
committee be, to have it fairly decided in any
way the convention think proper.
Mr. ABBOTT. Before the vote is taken, 1
desire simply to give notice of my amend-
ment for the information of the convention. |
