6068. No Recognized Form.-There is no regular form of words extant for giving notice of dishonour; but,

6069. Desirable Items.-A notice of dishonour should include the name of the drawer, the acceptor, the amount, the date when due, and when presented; and

6070. Essential Point.—It is essential that every notice of dishonour, to be effectual, should, and it must, include a distinct statement that the bill is dishonoured; for,

6071. Ineffectual Notice.—It has been held that a notice from ƒ to c (6035), merely stating that he held the bill, and should look to c for payment, is not an effectual notice.

PROCEEDINGS UPON DISHONOUR.

6072. Against Whom.-There is a prevalent notion that the holder of a dishonoured bill is bound to proceed against the acceptor before he can proceed against the intermediate parties; on the contrary,

6073. By Holder Only.-Proceedings upon a dishonoured bill can only be taken by the holder for the time being, or his agent; but,

6074. Any or All.-Each and every party to a dishonoured bill may be proceeded against by the holder, either at the same time, or successively; or,

6075. Any One.-The holder may elect to notify and proceed against any of the parties to a bill without recognizing the rest; thus,

6076. The Safest Party.—The holder (ƒ) may be satisfied with his remedy against e, of whom he took the bill, or against c; and 6077. Intermediate Parties.-Should ƒ, the third of the three mere endorsers, think proper to pass over the two first endorsers d and e, and notify c only, d and e are finally and for ever exonerated; while

6078. Position of the Defendant.—If ƒ has sufficient confidence in e, and confines his attentions to him, then e must look to it that (d and c) are duly notified (6070), and proceeded against in due course; for,

6079. Suspended Power of Some Parties.-So far from the earliest responsibility resting with a, on the contrary even c cannot proceed against a until one of the later parties has come upon him, and he has paid, and has got possession of the bill; notwithstanding,

AGAINST ACCEPTOR.

6080. Surviving Responsibility.-Any person in possession of the bill, whether obtained by him before or after dishonour, can sue the

acceptor (a) if he thinks proper, whether he has had notice or not, without impairing his right of action against all subsequent parties who have duly received notice; but,

6081. Fatal Compromises.—If the holder of a bill in any way compromises with the acceptor, before or after dishonour, as by giving him time, even a moment, all other parties are finally exonerated, and the holder's remedy is then against the acceptor only.

6082. Mutual Understanding.-It frequently happens that the intermediate parties to a dishonoured bill, from c to f, come to an arrangement amongst themselves, with an understanding that the holder shall sue the acceptor for the general good; consequently,

6083. False Impression.-The incidental delay which usually follows the dishonouring of a bill has led to an impression that the holder is bound to desist from proceedings for something like ten days; on the contrary,

6084. Immediate Proceedings.-Proceedings, against any or all of the parties to a duly dishonoured bill, may be taken forthwith, or, at any rate, the moment sufficient time has elapsed to enable the party notified to tender the money, which he is bound to do; provided always that,

6085. Necessary Reminder.-It should never be forgotten that lack of due notice of dishonour exonerates every party but the acceptor; but,

6086. Cause of Delay.-When proceedings upon a dishonoured bill are delayed, the delay arises from the neglect or forbearance of the holder, and not from any legal obligation to wait.

6087. By Writ.-It is usual to proceed upon dishonoured bills by writ, issued from a superior court in London, which is more expeditious; but,

6088. County Court.-It is in the option of the holder of a dishonoured bill to proceed in a county court or any other convenient tribunal; and,

6089. Certainty for Plaintiff.-Proceedings upon dishonoured bills may usually be undertaken with certainty; because,

6090. No Defence.-There is no admissible defence to a dishonoured bill, if given for a common debt, consequently no jury is necessary (6093).

6091. Only Defence.-Defence to a dishonoured bill will not be admitted unless it can be proved to be bad in itself, by reason of fraud, illegality (5970), extortion by terror, violence, or false imprisonment.

6092. Expenses and Costs.-The plaintiff upon a dishonoured bill is entitled to the amount, expenses, and costs; but,

6093. Interest.-Interest upon a dishonoured bill can only be obtained at the option of a jury (6090), which may have to be constituted on purpose, at a cost seldom (6618) worth incurring.

LOST BILLS.

6094. Formerly No Remedy.-Formerly, if a bill was lost by the holder, his remedy upon it was gone, and the acceptor and all other parties were exonerated; but,

6095. Consequent Disputes.--Disputes concerning lost bills became frequent in the courts; so that,

6096. Another Bill.—A modern act provides that, in case a bill be lost or destroyed before payment, and evidence thereof is conclusive, the loser shall be entitled to compel the parties to execute another bill of the same tenor, provided that such loser give good security to the parties that they shall be indemnified in the event of the original bill turning up.

PLEDGES AND PAWNS.

ANTIQUITY.

6097. There is abundant evidence that the necessities of individuals suggested the process of pawning in the earliest ages of the historical world.

6098. Bible Evidence.-Biblical records prove that pawning was a recognized institution in patriarchal times, some centuries prior to the bondage of the Israelites in Egypt.

6099. China.-Pawning was recognized and regulated by law in China more than two thousand years ago.

6100. India. The customs of India have included the frequent process of pawning as early as there are any historical records.

6101. The Romans.-Amongst the Romans of the Empire, and throughout Europe, pawning was practised in the ordinary course of human emergencies in the earlier centuries of the Christian era.

ENGLAND.

6102. By the Jews. It is said that systematic pawnbroking was first introduced into England by the Jews, by whom it is known to

have been freely practised about the year 750, and thenceforward, until riots arose out of the alleged extortions, which caused the Jews to be prohibited from any more taking pawns.

6103. Lombard Merchants.-The prohibitions which restrained the Jews from pawnbroking threw the monopoly of that business into the hands of the party who were then known as Lombard Merchants, who vigorously cultivated and throve upon their consequent gains.

6104. Idle and Needless Trade.-In the middle ages pawnbroking continued to be much deprecated as a despicable business, so that various acts were passed for restraining it as one of many other so-called idle and needless trades;" but,

6105. Upstart Brokers.-Notwithstanding the legal difficulties which beset pawnbrokers in earlier times, they are written of in various records of contemporary opinion as "upstart brokers," a designation which, out of the mouth of enemies, is the best evidence of the heavy emoluments and consequent prosperity which has always (even under the most unfavourable circumstances) characterized the business.

FIRST LEGISLATIVE AUTHORITY.

6106. "Charitable Corporation."-In 1708, the so-called "Charitable Corporation" was authorized by Act of Parliament to carry on the business of pawnbroking under the guise of "lending money to the industrious and necessitous poor." The original capital of £30,000 was progressively increased to £100,000, and ultimately to £600,000. The original idea of employing the money in pawnbroking became subordinate in favour of speculations in stocks, shares, and building schemes, which ultimately led to a collapse, whereby all the capital was lost, leaving also a deficiency of half a million.

PAWNBROKING COMPANIES.

6107. Since the commencement of the eighteenth century several companies have been started in England for carrying on the pawnbroking business, but they have all failed.

THE PAWNBROKERS' SIGN.

6108. "Byzants."-The sign of the three balls, which is still so generally displayed by pawnbrokers, is said to have taken its rise from the Lombard merchants, who adopted as their trade mark the gold "Byzant," of which they boasted largely as the coin they were prepared to pay in, and the purest money known.

6109. The Set of Three.-It appears that three Byzants were originally fixed upon by the Lombard merchants as the correct number for display, in accordance with the then prevailing practice of other classes of organized traders and city companies, who generally made use of symbols in sets of three, as still extant; but,

PROFANE INTERPRETATION.

6110. "Two to One."-Profane people, amongst whom familiarity breeds contempt for respectable traditions, are prone to indulge in the perpetuation of a vulgar error that the three balls displayed by pawnbrokers signify that it is always two chances to one against a pawn being redeemed.

DEFINITION.

6111. Bailment.—A pawn is a bailment or delivery of goods by one person to another, to be holden as a security for the payment of a debt or the performance of some engagement, and upon the express or implied understanding that the thing deposited is to be restored to the owner as soon as the debt is discharged, or the engagement has been fulfilled.

6112. Legal Restrictions.-Though the old prejudices against pawning have for the most part died out, considerations of public policy have originated and maintained laws which strictly limit and define the obligations and rights by which the law of pawnbroking is governed.

EXEMPTIONS.

6113. Not under £10.-All persons, except publicans (6116), may take goods in pawn, by implied or special contract, where, when, and upon what terms they please, subject only to the common law, provided they never advance on goods pledged a less amount, at any one time, than £10, nor ostensibly carry on a pawnbroking business (6119).

6114. No Interest or Profit.-All persons, except publicans (6116), may at any time legally take goods in pawn for any amount, however small, provided there is a distinct understanding between the parties that the pawnee shall receive no interest or profit whatever; or,

6115. Five per Cent.-No greater interest or profit than five per cent. per annum, unless they ostensibly carry on a pawnbroking business (6119); but,

PUBLICANS.

6116. Cannot Take Pledges.-Under the Tippling Act, publicans