should then be recited that the debtor is indebted upon mortgage, judgment, bond, and simple contract debts, and has entered into a composition with all his creditors, by which he has agreed to convey his property to trustees for the purpose of discharging these demands; the property is then conveyed or assigned to the trustees, who it is declared shall stand possessed thereof, upon trust, by sale or mortgage, to raise money for the purpose of discharging the debts according to the order in which they are set out in the several schedules, and to pay over any undisposed-of surplus moneys to the debtor: (see the form 3 Con. Prec., Part XII., No. VIII., p. 350, 2nd edit.)

Propriety of authorizing trustees to receive rents and profits.]-It will always be advisable, but particularly if an immediate sale or mortgage of the whole property is not to take place, to authorize the trustees to receive the rents and profits, and, after defraying expenses, to keep down the interest upon mortgages, and then to pay the interest upon debts carrying interest, and to apply the surplus in discharge of the principal: (see the form id. ib.)

Arrears of rent, or other credits, should be assigned to trustees.]-If any rents are in arrear, or any other credits are owing to the debtor, these ought also to be assigned to the trustees, with power of attorney to sue for all such credits, to distrain for arrears of rent, and to give effectual discharges for the same: (Id. ib.)

Covenants and agreements to be entered into by debtor and his creditors.]-The creditors should grant a letter of licence to the debtor, and also covenant not to sue or molest him upon pain of forfeiting all claim to their debts; with all the other usual clauses we have before pointed out; whilst the debtor ought to covenant with the trustees that he has good right to convey, &c., quiet enjoyment, and to sell the policy in either of the above-mentioned events: (see the form id. ib., clauses 11 to 15 inclusive, pp. 354, 355, 2nd edit.)

Debtor who has paid his full composition is entitled to a release from his creditors.]—When a debtor, who has compounded with his creditors, has paid the full amount of the composition, he is entitled to a release from further claims in relation thereto. This is commonly done by deed poll, by which, after reciting the composition deed, and that the

debtor has paid the compositions, proceeds to release him from all their debts and claims: (see the form 3 Con. Prec., Part XII., No. XI., p. 366, 2nd edit.)

Sureties often made concurring parties.]-Sureties are sometimes concurring parties in composition deeds, for the purpose of assuring the due and regular payment of the composition. This is usually done through the medium of bills of exchange drawn upon and accepted by the surety as the surety of the debtor: (see the form 3 Con. Prec., Part XII., No. VI., p. 341, in notis, 2nd edit.) Arrangements of this kind are sometimes resorted to where proceedings in bankruptcy have been instituted against the debtor, which are afterwards annulled by consent of all parties, and a composition deed prepared, in which the sureties concur for the purpose of securing the payment of the composition according to the terms of such arrangement: (see the form 3 Con. Prec., Part XII., No. X., p. 359.)

BOOK THE FIFTH.

RELEASES, INDEMNITIES, GUARANTEES, AND INSURANCE OF TITLE.

CHAPTER I.

RELEASES.

TRUSTEES and executors upon the performance of the trusts reposed in them, and satisfying all claims to which they are liable in either of those characters, are entitled to a release of all demands from the cestui que trusts or legatees. This is properly done by deed, which is prepared by the solicitor of the trustees or executors at the costs of the cestui que trusts or legatees.

Release from a legatee to an executor.]—A release from a legatee to an executor is a very simple form. After the usual exordium, the will appointing the executors and bequeathing the legacy, as also the testator's death and probate of his will, and the amount of the legacy duty which has been deducted, is briefly recited; after which the legatee acknowledges to have received the legacy less the legacy duty, and releases the executors from all claims and demands in respect of the same: (see the form 2 Con. Prec., Part VI., Sect. I., No. I., pp. 506, 507, 2nd edit.)

Where several legatees concur.]-Several legatees may, however, concur in the same instrument, by which con

siderable expense may be saved, and a very slight variation only in the form will be required. This, perhaps, is best done by reciting that the executors have paid the several legacies to the several parties entitled thereto, the latter of whom should then severally release the executors therefrom, and from all claims and demands whatsoever in respect of the same (see the form 3 Con. Prec., Part VI., Sect. I., No. II., pp. 508, 509, 2nd edit.)

Where the legacies are directed to be paid at a future period.]-If the payments are not to be made until after the death of some other person, or until the parties attain a certain age, as twenty-one for instance, or marry, this should be set out in the recitals, as also that the required events had taken place before the payments were made: (id. ib., clauses 2, 3, 4, and 5, pp. 508, 509, 2nd edit.)

As to releases for the residuary estate.]-Where the executors pay over the residue to a residuary legatee, in the release given by the latter should be recited the will appointing the executors, the residuary bequest, the death of the testator, the probate of his will, and that the executors have discharged all the testator's debts, funeral expenses, and the whole of the legacies bequeathed by the will, and the amount of the residuary estate, and that the whole of this, after deducting the legacy duty, had been paid to the residuary legatee, and then the residuary legatee should release the executors from all further claims in respect of the residuary estate: (see the form 2 Con. Prec., Part VI., No. IV., pp. 512, 513, 2nd edit.)

Where there is a probability that future claims may be made upon the testator's estate.]-It sometimes happens that there is reason to apprehend some future claims may possibly be made upon the testator's estate. In cases of this kind the executors have a right to retain a sufficient amount of assets in their hands to meet those claims; and when this is not done, or if there is reason to suppose the sum retained may be insufficient for the purpose, it will be proper to require that the legatees upon receiving their legacies shall indemnify the executors against all subsequent claims upon the testator's estate. This may be effected either by deed poll, or by indenture; by which, after reciting the will, the death of testator, the probate and payment of the legacies, the several legatees, if there is more than one, should release the executors from all claims in respect of their legacies,

and the trusts of the will, and by a further testatum clause, covenant to indemnify the latter against any such subsequent claims as may be made upon the testator's estate (id. ib. No. IX., pp. 521, 523, 2nd edit.)

In this case a still better and less expensive security can be given by a guarantee from the Law Property Assurance Society, of which full particulars are given in a subsequent page.

Where the indemnity is by bond.]-Sometimes a bond is given to the executors by way of indemnity. In this case the bond recites the will appointing the executors, and the bequests to the legatee, the death of the testator, and the probate of his will, and also that the executors have agreed to pay the legatee his legacy upon his indemnifying them in case of a deficiency of assets; and the condition of the bond must be, that the legatee will indemnify the executors accordingly: (see the form 2 Con. Prec., Part VI., Sect. II., No. IX., p. 550.)

Where contingent interests are assigned.]—It sometimes happens that property has been settled by a marriage settlement upon the husband and wife and the issue of the marriage, and in case there should be no issue who should acquire a vested interest in the trust property, either the husband or wife is to become absolutely entitled to the same. Now it very often occurs, where there is no issue of the marriage, and a physical, although not a legal, certainty that there never can be any, that the parties absolutely entitled are desirous of having the settled property in their own possession. Still, as the law presumes the possibility of parties married having children, without any regard to physical impossibilities, trustees, whenever they assign or deliver up the trust property under such circumstances, are clearly entitled to be indemnified against any responsibility they may thereby incur. This is generally done by a bond in a penal sum in double the amount of the trust fund, in which the settlement ought to be recited, and the trusts sufficiently set out to show the nature of them; after which it should be recited that there is no issue of the marriage or any prospect that there will be any such, and that the trustees have therefore, at the request of the parties absolutely entitled to the trust fund in default of such issue, paid, assigned, or delivered up the same to them accordingly, upon their agreeing to indemnify the trustees from all liabilities they may thereby incur; and the conditions of the