JOURNAL OF THE Institute of Bankers. (FOUNDED 1879.) VOL. XVII.-YEAR 1896. London: BLADES. EAST & BLADES, PRINTERS, 23, ABCHURCH LANE, E.C. 1896. NATHANIEL CORK ... ROBERT DAVIDSON.. RICHARD B. MARTIN, ESQ., M.P. GEORGE RAE, ESQ. Treasurer. JOHN B. MARTIN, ESQ. Council. London and Westminster Bank, Limited. Bank of England. National Bank of India, Limited. Standard Bank of South Africa, Limited. Commercial Banking Company of Sydney, Ltd. SIR JOSEPH COCKFIELD DIMSDALE Messrs. Prescott, Dimsdale and Co., Limited. Parr's Bank, Limited. London Joint Stock Bank, Limited. Martin's Bank, Limited Messrs. Glyn, Mills, Currie & Co. Messrs. Hoare. London and County Banking Co., Limited. Barclay & Co., Limited. Barclay & Co., Limited, Great Yarmouth. City Bank, Limited. Messrs. Child & Co. National Provincial Bank of England, Limited. Messrs. Coutts & Co. Messrs. Smith, Payne & Smiths. Union Bank of London, Limited. National Bank, Limited. Williams Deacon and Manchester and Salford Bank, Limited, Manchester. Williams Deacon and Manchester and Salford Bank, Limited. Honorary Secretaries. Bankers. Martin's Bank, Limited. National Bank, Limited. MARTIN'S BANK, Limited, 68, Lombard Street. Solicitors. MESSRS. JANSON, COBB & PEARSON, 41, Finsbury Circus, E.O. Secretary. W. TALBOT AGAR. Offices. 34 CLEMENT'S LANE, E.C. [Delivered before the Institute, November 13th, 1895.] By T. G. CARVER, Esq., Barrister-at-law. HE subject which is proposed for these Lectures is the law as to the use and effect of shipping documents, regarding them in their connection with the business of bankers. It is not necessary for me to point out to you the immense extent of the financial business done, in this and other countries, upon the security of cargoes of merchandise while still afloat. Without doubt, the facility with which merchants have been enabled to use their goods as security for money advances, while the goods have been in course of transit from one country to another, has been one of the conditions which have rendered possible the great expansions of commerce in modern times. Modern business requires that the merchant shall get money or credit upon his cargo. He takes it for that purpose to his banker. And thus it comes about that at any given moment the sea-borne merchandise of the world is, in the main, held by the bankers of the world; held by them not as traders, but as security for the monies which they have lent to the actual traders. We have to consider the machinery by which this is done. It is strikingly simple. Two documents, the bill of exchange and the bill of lading suffice for the purpose; and if we add the policy of insurance, introduced to relieve both merchant and banker from the risks arising from marine perils, we shall in general have before us the whole apparatus. It is not my purpose to discuss the part which is played by the bill of exchange. The law which governs the use of that has no peculiar relation to shipped goods. It is the same, speaking generally, whether the bill is secured collaterally, or unsecured; or whether the collateral security is afloat or ashore. 409160 |