with

to the above-named D., his hrs, exs, ads, or assns, [D., E., &
F., their exs, ads, or assns, jtly (a)] the sum of £-
intt for the same from the date of the above-written bond, at
the rate of p.c. p.a., witht any dedon, THEN, &c.

Condition.

For payment of

II.

BOND for PAYMENT of money by INSTALMENTS with INTEREST on each instalment. VARIATION, where INTEREST is to be paid HALF-YEARLY on the whole PRINCIPAL SUM for the time being due, and where in case of DEFAULT in payment of any INSTALMENT or INTEREST, the WHOLE PRINCIPAL SUM is to become immediately due (b).

Bond from A. to B., in a sufft penalty, see p. 204.

THE CONDON of the above-written bond is such, that if the above bounden A., his hrs, exs, or ads, shl pay to the above-named B., his exs, ads, or assns, the sum of £— with intt for the same from the date of the above-written bond, at the rate of p.c. p.a., by the instalmts, at the times & in mner instalments follg (that is to say), the sum of £, pt thof, with intt upon such instalmt from the date & at the rate afsd, on the day of, the sum of £, further pt thof, with intt upon such instalmt from the date & at the rate afsd, on the day of & the sum of £ the residue thof, with upon such residue from the date & at the rate afsd, on the day of [or, the sum of £ interest on paymts on the day of

with interest thereon.

By instalments with

balance.

As to bonds to joint obligees.

intt

by five eql yrly in every yr, the first of such

(a) Under the Conv. Act, 1881, s. 60, the benefit of a bond in this form would survive on the death of any of the obligees; and by s. 61 the receipt of the survivors, &c., would be a good discharge on payment, notwithstanding the severance of the joint account. As to the presumption that joint obligees are in equity tenants in common of the debt, see Steeds v. Steeds, 22 Q. B. D. 537; but the presumption is of course capable of being rebutted, e.g., in the case of a loan of trust money (ib. 542). As to the right to receive interest on a bond beyond the amount of the penalty, see Hatton v. Harris, [1892] A. C. 547.

(b) See p. 204, note. Where in case of default the whole of the money is to become immediately payable, a deed of covenant will be more convenient than a bond.

paymts to be made on the

day of

next, & shl also in

the meantime & until the whole of the sd sum of £- shl be
pd off in mner afsd, pay to the sd B., his exs, ads, or assns,
intt for the same sum of £-, or for so much thof as shl for
the time being remain due & unpd, at the rate of
to be computed from the date of the above-written

day of

& the

p.c. p.a.,

bond, by

day of

principal to become

due on

default (c).

half-yrly paymts, on the -in every yr, the first of such paymts of intt to be made. on the day of next], THEN the above-written bond shl be void, orwise the same shl remain in full force: [But so Whole nevs that in case default shl be made in paymt of any of the sd respive sums of ppal or intt, or any pt thof resply within thirty days after the day or time hinbfe mentd & appted for paymt thof resply, then & in any such case the whole of the sd ppal sum of £ or so much thof as shl then remain due & unpd, togr with the intt wch shl have accrued due thron, shl forthwith after such default become payable to the sd B., his exs, ads, or assns, & be recoverable by virtue of the above-written bond.] THEN, &c.

III.

BOND for Payment of ANNUITY to ONE of Two PERSONS and the SURVIVOR of them for their respective LIVES. Variation for annuity to HUSBAND and WIFE jointly and a REDUCED annuity to the SURVIVOR.

Bond from A. to B. & C., in a penalty of twice the total amt of all the paymts of the anny accdg to its utmost probable duron, see pp. 204, 205.

THE CONDON, &c., is such that if the above bounden A., Condition. his hrs, exs, or ads, shl pay to the sd B. durg his life an anny or yrly sum of £, by 4 equal qtrly paymts, on the day of, &c., in every yr, & shl pay an apportioned pt of

(e) That this stipulation is valid and enforceable, see Sterne v. Beck, 1 De G. J. & S. 595; Protector, &c., Co. v. Grice, 5 Q. B. D. 592; Ex parte Burden, 16 Ch. D. 675. As to what amounts to a waiver of the provision, see Langridge v. Payne, 2 J. & H. 423; Williams v. Stern, 5 Q. B. D. 409.

For pay

ment of

annuity quarterly.

Variation

to husband

and wife.

such anny up to the day of the death of the sd B. to his exs, or ads (a), & shl make the first of such paymts on the

day

of next, & shl also, in case the sd C. shl survive the sd B., pay to the sd C. durg the then remr of his life a like anny or yrly sum of £- payable on the like qtrly days, & shl pay an apportioned pt of such last-mentd anny up to the death of the sd C. to his exs or ads, the first qtrly instalmt of such last-mentd anny or a proportionate pt thof, for the interval betn the death of the sd B. & the first of the sd qtrly days wch shl happen thrafter, to be payable on such last-mentd day, AND shl make all the sd paymts witht any dedon (except for income-tax), [for an anny to husbd & wife & a reduced anny to the survor, say, "shl pay to the sd B. & C. his wife durg their for annuity it lives an anny of £sterlg, & to the survor of them from & after the death of such one of them as shl first die durg the remr of the life of such survor an anny of £— sterlg, such respive annies to be considered as accruing from day to day, but to be payable by equal qtrly paymts on the day of -, &c., in every yr witht any dedon (except for income-tax), & the first qtrly paymt to be made on the day of now next ensuing, & so that if eir of the sd annuitants shl die in the interval betn any two of the sd qtrly days of paymt an apportioned pt of such respive annies (as the case may be) shl be payable to the survor of the sd annuitants (whose rect shl be a good dischge for the same), or to the exs or ads of such survor (as the case may be) :] [PROVD that the sd anny of £ payable durg the jt lives of the sd annuitants shl be payable as to one moiety thof to the sd B. on his sole rect, & as to the other moiety thof to the sd C. as her septe este & on her sole rect, & so that she shl not have power durg her coverture to dispose of or chge her intt in eir of the sd annies by anticipon (b)." THEN, &c.

As to change

effected by M. W. P. Act, 1882.

(a) The provisions for apportionment might probably be omitted; see the Apportionment Act 1870 (33 & 34 Vict. c. 35).

(b) In the absence of this clause, under the old law the husband might have charged or assigned the whole annuity during their joint lives, and the whole of it would have gone to his creditors in bankruptcy; Ward v. Ward, 14 Ch. D. 506; Re Bryan, ib. 516; but under the new law since the Married Women's Property Act, 1882, the husband would only take half, and the other half would go to the wife for her separate use, and could not be affected by the husband or his creditors; Re March, 27 Ch. D. 166;

IV.

BOND by a PRINCIPAL and Two SURETIES for securing the BALANCE due on an AccoUNT CURRENT with a BANKING COMPANY,with a PROVISO LIMITING the LIABILITY of the SURETIES. VARIATIONS where the CUSTOMERS and the BANK are both FIRMS, and the Security is to be continued notwithstanding a CHANGE in either FIRM; also where a FRESH BOND is to be SUBSTITUTED on a CHANGE in the CUSTOMERS' FIRM (c).

Jt & sevl bond from A., ppal debtor, & C. & D., sureties, to the Bank Limd, & their assns, or from A. & B., ppal debtors, "carrying on business in co-ptnp togr at, &c., as under the firm of A. & Co.," & C. & D., sureties to L., M., & N., "bankers & co-ptners, carrying on business at, &c., under the firm of L. & Co.," see p. 205.

WHAS the sd Bank [firm of L. & Co.] at the reqt of the sd Recital of A. [& B.], have agrd to open & keep an acct with him [them], agreement. & to make advces to or for the accommodon of the sd A. [& B.,

& other the pson or psons who may hrafter be in ptnp with them or eir of them in the sd business now carried on by the sd firm of A. & Co.], upon havg the paymt of the balce wch may be from time to time due on any such acct to the sd Bank [the sd bankg firm, or the psons or pson for the time being carrying on the sd bankg business], secd by the jt & sevl bond of the sd A. [& B.] & the sd C. & D. as sureties for him [them]. NOW THE CONDON, &c., that if the sd A., Condition [B.] C., & D., or any of them, or the hrs, exs, or ads of them

Re Jupp, 39 Ch. D. 148, commented on in Re Dizon, 42 Ch. D. 306. As to the effect of a gift to A. and B. (husband and wife) and C., with reference to the old doctrine of the unity of husband and wife, and tenancy by entireties, as affected by the Married Women's Property Act, 1882, see Re March, ubi supra, Thornley v. Thornley, 1893, 2 Ch.229.

(e) See also the forms of guarantees to bankers, pp. 40, 43. A deed of Guarantees covenant might in this case be more convenient in form than a bond. If to bankers one surety executes the bond and the other does not, the former is discharged; Evans v. Bremridge, 8 De G. M. & G. 100. As to non-execution by principal, see Cooper v. Evans, 4 Eq. 45. As to continuing guarantee being revoked by a change in the constitution of either firm, in the absence of agreement to the contrary, see Partnership Act, 1890 (53 & 54 Vict. c. 39), s. 18; ante, p. 42, note. As to guarantees generally, see Goodeve, P. P. 176. K.E.-VOL. I.

Р

Giving

time for

payment not to release sureties.

Release of surety.

or any of them shl from time to time, & at all times hrafter, pay or cause to be pd to the sd Bank or their assns [to the sd bankg firm, or the psons or pson for the time being carrying on the bankg business now carried on by the same firm, or their or his respive exs, ads, or assns], All such sums of moy as shl at any time be due to the sd Bank or their assns [to the sd bankg firm, or the psons or pson for the time being carrying on the sd bankg business, or their or his respive exs, ads, or assns] by or from the sd A., his exs or ads, [the sd A. & B., or eir of them, alone or jtly with any other pson or psons who may hrafter carry on the business now carried on under the sd firm of A. & Co. in ptnp with them or eir of them, or by or from the exs or ads of them, him, or any of them], for or on acct of bills, drafts, or notes accepted, pd, or discounted, or advces or paymts made to or for the use, accommodon, or convenience of the sd A., his exs or ads [the sd A. & B. or eir of them, alone or jtly with any future ptner or ptners in their sd business, or the exs or ads of them, him or any of them], or for or on acct of intt, commission, or any other usual or lful chges wch may be payable in respt of or incident to the transons afsd, or any of them, togr with all costs & expses wch may be incurred or sustained by reason or in conseqce of the premes: AND so that the neglect or forbearce of the sd Bank or their assns [the sd bankg firm or the pson or psons from time to time carrying on the sd bankg business] in enforcg paymt of any moys, the paymt whof is intd to be hby secd, or the givg time by them [them or him] for the paymt thof, shl not in any way rele the sd C. & D., or eir of them, their or eir of their hrs, exs, or ads, in respt of their or his liability under the above-written bond (a):

(a) As to the doctrine that a surety is released by the creditor giving time to the principal debtor without his consent, or any other act altering the position of the surety to his prejudice, a doctrine which is applied with great strictness, and to exclude which so as to make the position of the creditor secure, the insertion of a special clause in the contract is often necessary, see the notes to Rees v. Berrington, 2 W. & T. Lead. Cas. Eq.; 2 Dav. Prec., Part 2, p. 503; Goodeve, P. P., 179, note (m). As to the effect of releasing a co-surety, see Mercantile Bank of Sydney v. Taylor, [1893] A. C. 317; as to the effect of the death of a co-surety, see Beckett v. Addyman, 9 Q. B. D. 783, Re Sylvester, [1895] 1 Ch. 573; and as to bankruptcy, see the Bankruptcy Act, 1883, s. 30 (4).