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ship, and on the goods on board any ship in the service of the said Cos. respectively, to any captains or other persons employed in the service of the cos. notwithstanding the passing of such Act. Subject to such special exemption, the Act provides :
And if any corp. or body politick, or persons acting in such so. or partnership as aforesaid, other than the two corps. intended to be estab. by this Act, or one of them, shall presume to lend, or agree to lend or advance by themselves, or any others on their behalf, after the said 24 June, 1720, any money by way of B., as aforesaid, contrary to this Act, the bond or other security for the same shall be ipso facto void, and such agreement shall be judged to be an usurious contract, and the offenders therein shall suffer as in cases of usury.
In that same year a co. specially desgined to make advances on B. had been set on foot, called Beele's Bottomree.
A correspondent in Mist's Weekly Journal for 9th Jan., 1720 [was it De Foe?], gives an amusing account of some of the projects of that period, and then proceeds:
Successive to these bubbles we have had another pub. for a subs. of a million also-for they cannot, it seems, talk of less on any account, and what should this be, but as mentioned, to lend upon B., that is to say, to lend money upon the risque of the bottom of the ship; so that if the ship comes home the borrower is obliged to repay, with the sum agreed added to the sum borrowed. If the ship is lost, the lender is to bear his own loss, and the money sinks with the bottom. But it would be of publick service, Mr. Mist, if you would fully expose that scandalous project.
What villanies have not been practised by masters, captains, and owners of ships and cargoes, upon such occasions as this of B.? I need not tell you, Mr. Mist, who perfectly understand sea affairs, how it is come to that pass in trade, that when we know a master or captain of any ship has taken up money upon the bottom, no wise man will send any goods on board that ship, nor any insurers underwrite upon her, except only goods bound to the East Indies.
Since then this is the case, I recommend to you, Mr. Mist, that you will desire of these B. lenders, that they will make it a condition of their management, that every ship that goes to sea, upon whose bottom they shall lend any money, shall be entered in a book, and that book lie always open upon their table, for all merchants to look over at pleasure.
In a previous part of the same letter, he had spoken of that old "fire-ship adventure of Bottomree." We fear his inferences were but too true.
By the Ins. Ordin of the City of Rotterdam, promulgated 1721, we find the following provisions regarding B. :
CXXXIII. When the masters have occasion for any money across the seas, whether it be beyond Dover, or past the Sound and having no goods of his owners on board, or that he cannot dispose of them at a reasonable rate, or at least not so much as he has a call for, they may take up money on B. CXXXIV. Provided the money taken on B., or the sale of goods, do not amount to above one-eighth part of the value of ship and cargo, unless in cases of the utmost necessity.
CCL. Creditors who have lent money on B. shall be preferred before all other bond creditors, excepting the ship-builders, who are to be preferred to the B. B.
CCLI. Among those who have lent money on B., the younger is to be preferred to the elder.
In a form of B. B. in use in Cadiz in 1725, we observe that it had become the custom of owners of ships there, on borrowing money for their expeditions, to pledge the ship's value, together with all its emoluments, wherein the freight was included.
In 1729 Mr. Joshua Gee pub. a work: The Trade and Navigation of Gt. Brit. considered; and therein he says: "The nation in Queen Elizabeth's time being in its infancy in trade, set out with great frugality, and saved money and grew rich apace; and our merchants spread themselves over all Europe, Turkey, and America, as well as India, and introduced our manufactures and products wherever they went. Their riches increasing by this traffic, they not only had money enough to carry on their trade, but supplied foreign princes, lent money upon Bottomry, and upon commodities in all countries." By the Ins. Ordin. of Konigsberg, 1730 [frequently called the Maritime Law of Prussia], it is provided:
XII. The creditor or lender of the B. money shall be allowed to ins. his cap. lent, together with the prem. paid the insurer, but not the stipulated agio, or other profits of the B.; but ins. made by the debtor, or borrower on B., on the same goods and ships so bottomried, shall be of no effect, and void and punishable.
Chap. VII. treats of B. entirely. We can only notice the more important provisions. Thus :
I. He who advances on B., that is, lays down either ready money or the value of it, on a ship or goods shipped, under obligation that if the same shall be lost, he shall also lose his deposit, without any claim or return, shall be allowed to contract for as high an int, as he and the borrower can agree upon. II. In the contract, and likewise in the whole procedure relating to B., the contracting parties, particularly the master of the ship, and the broker who may be employed in transacting the contract, shall, on the penalty of severe punishment in goods, body, or character, together with reparation of all damages occasioned thereby, proceed justly and uprightly, without fraud, and not insidiously draw in any one to advance money or anything else, on a deceitful B.
Sec. III. defines whether and when a master may take up money on B., against the owner's consent. IV. When and how a master of a ship, being abroad, may take up money on B. V. The lender on B. acting contrary to the preceding art. has no redress on the ship. VI. That is included under the mortgage of the bottom of the ship. VII. Duration of the hazard on B. VIII. Concerning B. goods returned. IX. Payment to be made within 8 days after the arrival of the B. goods. X. Or after they are duly sold; and if proceeds insufficient, no further claim or demand upon the borrower.
XI. The preceding art. shall take place, although the borrower shall have engaged both his body and goods for the sum taken up; this engagement being to be understood only as a security that he shall act fairly and justly in the things so Bottomry'd, that the lender may not suffer by his neglect,
mistakes, or dishonesty; and in case of any such thing, that he shall, with his person and substance. make good all losses.
XII. No payment after loss of things bottomry'd. XIII. Damages incurred by any fault to be made good by offender.
XIV. The like to be observed concerning any bottomry'd goods damaged or lost through the fault of any one; but in case the damage or loss arises from their own natural decay, or the fall of the price, and thus are not equivalent to the B., the proprietors shall not be entitled to compensation by cession, or legal sale, but must duly stand by the contract.
XV. Upon proof of fraud, the B. to be paid, though the goods or ship be lost. XVI. The last bond to be paid preferably to the others. XVII. A third possessor of the bottomryed things cleared upon payment of value. XVIII. An action for B. demands to be brought within a year and a day after arrival of the ship.
In the Ins. Ordin. of Hamburg, 1731, there are the following brief provisions only: Title 9. Of assurances upon money lent upon goods going by sea and B. I. When any person lends money on B. he may make his assurance to the full, for principal, int., and prem. II. Whoever insures upon B. is free from all average, and not liable to contribute thereunto.
Among the forms ordered by this Ordin. to be "pub. in print, in the German language, and whereof everybody is to make use in assu., was the following:
Policy for money lent at B. on a Ship, or Goods, or Freight.-We, the underwritten assurers, for ourselves and heirs, assure unto each of us for the sum underwrote by him hereunto, upon receipt of prem. upon B. money, which he has advanced on the bottom of the ship [or upon goods, and likewise the freight shipped on board of the ship] called the ..., whereof. .. or any other is master, from where she is to unload and discharge her cargo; Pray God conduct her in safety! We take upon ourselves the danger and risk of all accidents and misfortunes which may befall or happen to this ship [these goods], to the whole or part thereof, in any shape whatever during this present voyage; whether it be by perils of the Sea, Storms and Tempests, Shipwreck, Running ashore, being Sailed over, Fire, Carelessness and Steering Wrong Courses, Arrests and Restraints of Kings, Princes, or Republicks, being taken and carried in by Enemies, Reprisals and Confiscations, forcible Plundering of Privateers or Pirates, Mistakes or Bad Conduct of the Master and his Mariners, and by any manner of accident, whether to be imagined or not, from the Day or Hour that this Ship did begin to take its cargo or ballast on board [that the goods on which the money is lent are carried from the shore on board of...] till it is arrived at . . . and has there discharged her whole cargo. We put ourselves entirely in the place and stead of..., to keep him harmless from any loss; and we promise, in case any misfortune or damage should happen to this ship, or these goods the money is lent upon, or to the freight, by the above-mentioned, or any other manner and means, that we will pay to... the sums by us respectively underwrote hereunto, or such part thereof as shall be sufficient entirely to indemnify him, with all his extraordinary expenses, within two months after due notice has been given, that the requisite proofs exhibited of the loss or damage, and this fairly and justly without any contradiction.
We accordingly submit ourselves to the Ordin. relating to assu. and averages of this City of Hamburg, with all the clauses and conditions thereof, as well as printed, as those added hereunto in writing, which last are esteemed at least of equal value, if not preferable to the printed ones. the true performance whereof we bind all our goods and chattels without any fraud or deceit. Thus concluded by..., Sworn Broker. Hamburg, the [day of], etc.
By the Ins. Ordin. of Bilboa, approved and confirmed by King Philip V., and the Royal Council of Castile, A.D. 1737, there is a special division treating "Of the contracts of money on goods that are given on B., or risk of a ship; and the form of the bonds." It commences as follows:
I. As it is usual in this commerce to give and take money and effects on B., or risk of ships, for certain int. or prems. upon ships' bottoms, apparel, provisions, arms, and other necessaries for a voyage or voyages, or upon goods or effects loaden in them for any ports and voyages, with condition that the ships arriving at those they are bound to, the lenders are to remain free from the risk of such sums for the recovery of their principals and prems. at the time agreed on: It is agreed and commanded that in such cases they make writings, or contracts before notaries public, or between the parties, by means of a broker, or without him, according as it has been or is customary; with the contracts, clauses, and circumstances, in which they shall agree, and covenant; and that to the one, and the others, entire faith and credit be given.
Clause II. provides that not only the ship and appurtenances, or goods, but the freight shall be hypothecated in favour of the lender.
III. No more than three-quarter parts of its value may, for any motive, be taken at B. on the body and keel of the ship, appraising it by skilful men, named by the borrower and lender; on penalty that on acting to the contrary, and it being opposed by either of the two, it shall not be heard, nor admitted in judgment.
IV. Neither on goods loaded may it exceed the value that they shall have in the port where the risk shall begin to run, on penalty that if the contrary be proved, the borrower shall pay the principal sums and their prems., although the loss of the said goods should happen.
V. Neither may money, or effects taken on B., or risk of ship, upon freight, or sailors' wages, when they shall be in voyages regulated by months; but it may be given to the captains, officers, and sailors, that shall sail to the whale and bacallas fishery; the captain's intervention and consent preceding for what regards the seamen.
Sec. VI. provides that no person shall advance money on B. in the port to which the ship belongs, except in cases where, there being joint owners, any one or more shall refuse to contribute his or their proportion for necessary repairs. VII. When any person has lent on B., and neglected to recover, any such loan obtained for a subsequent voyage shall have priority. VIII. Where goods suffer damage from their own bad quality, or from neglect, the lender on B. not to suffer for same.
IX. In regard that all jettisons, ransoms, compositions of ships, masts and rigging cut away for the common good of ship and cargo, and whatever else is comprehended in a gross average, always results to the advantage of him who shall have given money on them at B.; it is ordained, that he or they
ought to contribute in these cases to the payment of the pro rata that shall touch them, but not to single averages, unless the contrary shall have been agreed on in the instrument or contract, as is expressed in the preceding number.
Sec. X. contains provisions as to time such contracts are to run, when same not noted in contract. XI. În case of loss, shipper to prove that he had the goods on board. XII. When all the goods against which loan obtained be not taken on board, contract to be modified. XIII. In case of wreck of ship, salvage of ship or goods to belong to those advancing on same at B. XIV. In such case the lenders on B. to be preferred to the insurers. XV. All writings and contracts to be extinguished in case of loss of ship or goods. XVI. With a view to "avoid lawsuits and differences which are wont to arise between those who give and those who take money on goods and B., or risk at sea,' forms of policies are given. That for a loan on a ship is different from those already given, and hence we quote it as follows:
Be it known that I, . . ., inhabitant of..., owner or captain of the ship named . . ., of the burthen of.. tons, that is now riding and anchoring in ..., say, that forasmuch as I have borrowed inhabitant of..., £... to make a voyage to..., and for that purpose and its expedition he has given and lent to me, of which I declare myself contented and possessed, as having received it, and it being passed into my power, really and effectively, in good common and current money (upon which, its delivery not appearing now, I renounce the exception of the Non numerata pecunia, Laws of the delivery and proof of its receipt), I carry them at the risk of the said..., who gave me them upon the said ship, and upon its rigging, sails, anchors, guns, ammunition, and the other appurtenances, freights, and profits, and of the most certain and secure that shall be saved of the said ship from the sea in winds, storms, fires, enemies, corsairs, and other bad people and risks that may supervene from the time of the said ship's getting under sail, and going out of the aforesaid port where she is, in prosecution of her voyage, until she arrives at that of and being in it in safety, and twenty-four natural hours passed after anchoring, the said risk shall cease; and then I oblige myself to pay to the said . . ., and to him that shall have his power or order, or shall represent his right, the said £ in good current money on... or before, if the said ship shall have arrived before at the aforesaid port of . . ., because from that time the term ought to be deemed finished. And for said sum, and the charges of recovery, he may serve me with an execution; with this writing and his oath, to which I yield, releasing him fromany other proof; for the performance of which I oblige my person and estate which I possess, or may acquire; and I especially and expressly hypothecate said ship, sails, rigging, guns, ammunition, and the other appurtenances and freight, that the whole may be subject and obliged; and it may not be sold nor disposed of, until this debt be satisfied, and what shall be done to the contrary is not valid; and this special obligation does not derogate nor prejudice the general, nor on the contrary: and I give power to the Justices of His Majesty, etc.
Then follows the notarial certificate of submission, renunciation, etc., etc.
In another sec. of the Ins. Ordin. for Bilboa, dated the following year, 1738, we find the following:
Neither may any person get the sum assured that he shall take on B. on pain of nullity; but the person or persons that shall lend it may, for the bare sum which they shall have advanced, without including the prems. they have received for it, under the same penalty.
The Ins. Ordin. of Amsterdam, 1744, in setting forth the purposes to which ins. may be applied in that country, says:
XIX. Also ins. shall be permitted to be made on monies given by the ins. to a mariner, master, or other person navigating on any voyage on B., or adventure of a voyage, with the prem. included, provided the sum of money which is paid on B. be inserted in the pol., as also the prem.; otherwise the cap. only shall be understood to be ins.
The ins. shall, in case of loss, either by the ship's being cast away, taken or detained by friends or enemies, and her being missing a year and a day, not be obliged to produce any other proof, but only of the misfortune befallen the ship; and concerning his interest only his B. B.; provided the ins., on being paid, make over to the underwriter all claim on the taker on B., and deliver up to him the writings thereto belonging.
The ins. shall be obliged to insert in the pol. the name of him to whom the money on B. is given, also the name of the ship with which the taker on B. shall navigate, the name of the master, as also whither the ship is bound, on pain of nullity.
If during the voyage the same is altered by the master, not by means of the taker of the money on B., the underwriter shall, notwithstanding, in case of loss, be obliged to pay his engagement.
But the money on B. being given to the master, and the voyage being altered by order of his owners, the ins. shall be obliged, as soon as he receives knowledge thereof, to give notice to the underwriters, and agree with them concerning the altering of the prem., or leave the said altering to the arbitration of the Commissioners; otherwise the underwriters in case of loss are not obliged to make it good, the insured retaining his action only against the master, as receiver of the money.
XX. A master being on his voyage and receiving damage on the hull, or otherwise, and being obliged for the repairing or restoring of his ship, in order to proceed on his voyage, to negotiate money on B. on his ship, the giver of the money shall be permitted to cause the amount of the said B., with the prem., to be ins., although it should happen to appear that the owners, or some of them, had caused the ship, or his share in the same, to be ins. before or after.
XXI. Ins. made upon goods which at the place of their lading, or any where else, are charged to the full with B. are declared null, and of no value; with forfeiture of the prem. for the underwriters, and with penalty of arbitrary correction. But the taker on B., in case he ships more goods than the capital taken on B. doth amount to, may cause that overplus, as also for the gross average, to be ins. The giver of the money or the holder of the B. B. may also ins. his interest to the full, with the prem. thereof; provided that in all the bills of lading, or manifests of the lading, the taking and receiving the B. money on the said goods be particularly inserted, with mention of the date, the place from whence, the person to whom paid, and for whose account. This is only to be understood of money given in this country, and from the American Colonies, etc., to this country; but the ins. being made from other places, the tenor of the B. B. must be observed.
But in case the order of ins. was previously given by the lader, or it was already executed, the taker of the money shall be obliged to transfer by assignment the right to the said pol. or ins. to the holder of the B.; and in default thereof the insurer shall not only be deprived of his demand on account of the said pol., but his prem. paid be kept by the underwriters.
Ins. made on B. on goods is free of all gross average and diminution of value by their own waste. VOL. I. 23
Magens, reviewing these latter provisions , did not consider them satisfactory; and thought it would have been better if the regulations of France or Spain had been followed.
In 1746 was passed the stat. 19 Geo. II. c. 37: An Act to regulate ins. on ships belonging to the subjects of Gt. Brit., and on merchandizes or effects laden thereon, which provided as follows:
V. And be it further enacted by the authority aforesaid, that from and after the said 1st day of August  all and every sum or sums of money to be lent on B. or R., upon any ship or ships belonging to any of His Majesty's subjects, bound to or from the East Indies, shall be lent only on the ship or on the merchandize or effects laden or to be laden on board of such ship as shall be so expressed in the conditions of the bond; and the benefit of salvage shall be allowed to the lender, his agents, or assigns, who alone shall have a right to make assu. on the money so lent; and no borrower of money on B. or at R., as aforesaid, shall recover more on any assu. than the value of his interest in the ship, or in the merchandizes or effects laden on board such ship, or in the merchandizes or effects laden on board exclusive of the money so borrowed; and in case it shall appear that the value of his share in the ship, or in the merchandizes or effects laden on board, doth not amount to the full sum or sums he hath borrowed as aforesaid, such borrower shall be responsible to the lender for so much of the money borrowed as he hath not laid out on the ship or merchandizes laden thereon, with lawful int. for the same, together with the assu, and all other charges thereon, in the proportion the money not laid out shall bear to the whole money lent, notwithstanding the ship and merchandizes be totally lost. It would seem that the preceding regulations were not of general application, but were intended to apply only to ships sailing to the East Indies. Lord Tenterden indeed declared that this Statute was introduced for the protection of the trade of the East India Co. The Act had not in other respects such a limited scope. It was provided (sec. vi.), that in all actions brought after the commencement of that Act, the plaintiff should state, within 15 days after being required to do so, what sums he had ins. upon the whole, and what sums he had borrowed upon R. or B., for the voyage or any part of the voyage in question.
In the same year (1746) an Act was passed, 19 Geo. II. c. 32, to amend the laws relating to bankrupts, which recites :
And whereas merchants and other traders frequently lend money on B. or at R., and in the course of their trade frequently cause their ships or vessels, and the goods and merchandizes loaded thereon, to be ins., and where commissions in bankruptcy have issued against the obligor in such B. or R., or the underwriter or assurer in such assu., before the loss of the ship or goods, in such bond or pol. of ins. mentioned, it hath been made a question, whether the obligee or obligees in such bond, or the assurer in such pol. of ins., should be let in to prove their debts, or be admitted to have any benefit or dividend under such commission, which may be a discouragement to trade. For remedy whereof be it enacted, etc., that from and after the said 29th day of October  the obligee in any B. or R. B., and the assured in any pol. of ins., made and entered into upon a good and valuable consideration, bona fide, shall be admitted to claim: and after the loss or contingency shall have happened, to prove his, her, or their debt and demands, in respect of such bond or pol. of ins. in like manner as if the loss or contingency had happened before the time of the issuing of the commission of bankruptcy against such obligor or insurer.
And they were to receive their proportionate dividend.
By the 21 Geo. II. c. 4, 1748—An Act to prohibit assu. on ships belonging to France, and on merchandizes or effects laden therein during the present war with France-all His Majesty's subjects were prohibited from lending money on B., or R., on any ships or goods belonging to France, or to any of the French dominions or plantations, or the subjects thereof; and all such contracts and agreements were to be void, and the parties, and any agent or broker intervening therein, were to forfeit £500.
In the Ins. Ordin. of the City of Stockholm, 1750, among the things permitted to be ins. against are B., Cambio Marino, etc.; and among the forms of pol. ordered to be printed in the Swedish language is one for such risks; but we find no regulations otherwise regarding B. The form of pol. so much resembles that already given for Hamburg [1731), that we need not insert it. Two p. c. was to be deducted by the insurers in case of total loss; and they held themselves free from all averages and charges arising from demurrage. In 1750 Wyndham Beawes pub. his Lex Mercatoria Rediviva, etc. He deals with the subject of B.; but we do not find any views of the subject not already presented by other writers.
In the leading case of Chesterfield v. Janssen, which came before the Courts in 1750, and which will be more especially referred to under USURY, Mr. Justice Burnett said that "the true reason why the Court holds B. B. good is because they are not against the Statute, as by a hazard he runs, he may be entitled neither to principal nor int." And Chief Justice Lee said on the same occasion: "Bottomry bonds are held good, not because they are for the benefit of trade, but because the whole is at hazard."
But it seems clear that it is not the mere form of B. B. that keeps them out of the Statute, for the matter was put as follows in the last-named case: Suppose a contract was made for a ship's return to Newcastle from Lond., or to Dover from Calais, at a season of the year when there is little or no danger, would not the Courts look at this as colourable and a mere evasion of the Statute? And in the case of Joy v. Kent it appears very plainly from what the Court said there, that even a B. B. may be an evasion of the Statute as well as any other contract, or Lord Justice Hale would never have sent it for trial.-Plowden.
By the 25 Geo. II. c. 26, 1752, it was prohibited to make ins. or to lend money on B., or R., on foreign ships, or goods, bound to or from the East Indies. This Act, like that
of 1746, was designed to secure the monopoly of the East India Co., by preventing ordinary marine ins. or B. ins. from being effected on the ships of any other co., or on merchandize carried by any such ships.
In 1755 Mr. Nicolas Magens pub. his famous Essay on Insurances [first ed. pub. in Hamburg, 1753], and therein he observes :
Ins. is everywhere allowed to be made on money lent on B., that is (as was before observed), on the keel or bottom of a ship; or on certain goods specified and shipped on such a bottom (which we understand by the term Respondentia), and for which money usually a bond is given by the borrower, wherein are set forth the conditions of the loan, and what prem. is paid for it. This prem. is something more than the common int. of money, with the add. of a prem, of ins. In consideration of it, the lender takes on him the sea-risk of the ship, or goods, on which he has lent his money, and so is in fact an insurer to the borrower; and if he causes himself to be ins. it is as a re-insurance. The insurers must be governed, in these cases, by the usual custom of such contracts in the countries where they are made, which greatly differ.
These differences we have already shown. It is important to note from so great an authority as Magens that the nature of the contract of B. was still preserved intact. Cunningham, in his Law of Bills of Exchange, pub. 1759, says if the B. loan be not repaid, "the lender shall have the ship;" but we assume this would be true only to the extent of realizing his advance. He objects to the term Usura Marina, for "notwithstanding the interest in these contracts is always much larger than the Law prescribes for money lent on landed securities, yet it is never accounted usury; as marine loans are furnished at the hazard of the lender, which the others are not;, and where the risk is greatest to the advanced monies, the profit ought in reason to be so too." Again, 'money lent on B. is commonly on the ship only, though sometimes it is upon the person of the borrower, and sometimes on both."
Valin, in his famous Commentary on the French Ins. Ordin., pub. 1760, says that some writers of the French nation had supposed that this contract was wholly unknown to the ancients, and that it was peculiar to France alone: a view in which he did not agree. He says, in this same commentary, "A B. contract, and a pol. of ins., as depending on the same principles, are subject to the same risks, consequently to all the same averages: and the insurer, being in the place of the lender on B., is equally entitled to share in case of salvage."
In the case of Glover v. Black, 1763, the facts were as follow: A pol. of ins. was made 16th Dec., 1760, on goods and merchandizes loaden or to be loaden on board the ship called the Denham, whereof Wm. Tryon was master, "at and from Bengal to any ports or places whatsoever in the East Indies until her safe arrival in Lond.," which pol. was underwritten by the defendant Black for £200 at 10 p. c. prem. Before the underwriting of the pol., the plaintiff Glover had lent to the master of the ship £764 at Respondentia, for which R. bond was executed by the captain and another. The ship, and all her cargo, were burnt on 31st March, 1760, within the limits insured. The plaintiff asserted that Respondentia was an interest that might be ins. The defendant admitted that upon an East India voyage there were five things which might be ins., viz. Goods, Respondentia, Bottomree, Freight, and the ship itself, but it was absolutely necessary that each interest be specifically mentioned in the pol. In this case the R. interest was not so mentioned. Lord Mansfield delivered judgment:-The Court were satisfied of its being a fair ins. ; but there was the omission to specify the interest ins. He said, it was estab. now, as the law and practice of merchants, that both R. and B. must be mentioned and specified in the pol. The plaintiff was therefore nonsuited.
It was in the course of this judgment that Lord Mansfield said: "I have looked into the practice, and I find that bottomry and respondentia are a particular kind of ins. in themselves, and have taken a particular denomination.
In 1775 Mr. Thomas Parker pub., The Laws of Shipping and Ins., with a Digest of the Adjudged Cases; in which he gives an outline of the legal aspect of many questions arising under B. contracts; but several of the more remarkable of these we have noticed already.
In 1781 John Weskett, Merchant, pub. A Complete Digest of the Theory, Laws, and Practice of Ins.; wherein he says, "B. contracts have everywhere been made use of long before ins. In former times they were made only on the body and keel of the ship." He reviews the practice in other countries, and then adds, "As then we have no fixed laws or rules, universally known in England for settling partial losses on B. monies, it is the business of the parties to consider what accidents they are exposed to, and to have provisions made in their B. B., expressed in a clear and distinct manner how they are to be understood." He adds:
This branch of business is best understood in Spain. The great sums that are required to fit out a ship for the Spanish West Indies, and for obtaining a licence from Court to go with register, rendering it necessary to borrow money on B. on almost every such expedition; and the variation of many circumstances which occur, teaches their notaries to provide in their contracts for things that people in other countries do not think of. We find in their form of bond this condition expressed: that the lender shall run, in partnership with the owner, "the risk on the hull, keel, and earnings of the ship" -which is saying a great deal in few words.
Pothier, who wrote a learned work on Contracts towards the close of the last century (1781), devoted a chap. to contracts of marine ins., including B. He strongly advocated the legality of the contracts of B. and R.