"Debts"

A recent English will case raises what seems to be a novel point.

The Testator, one Ralph Neville, was the son of a distinguished judge. In a codicil to his will, he said: "I forgive all debts owing to me." Certain companies in which he owned bonds contended that this constituted a cancellation of his investment and a bequest to these companies.

The Court, basing its decision on the spirit and intent of the codicil, decided against the contention of the companies and ruled that not every debt in a strict legal sense was meant. The word "forgive," declared the judge, introduced a personal note.

Said Barren's Weekly: "It is curious, but strictly true, that investors seldom clearly differentiate between stocks and bonds. The difference is vital. The bondholder is a creditor and the bond is, therefore, a debt to him. Stock is an evidence of partnership, with no debtor or creditor relations whatever."