Uniform Commercial Legislation cers and committees. To the Com mittee on Commercial Law has been committed the primary work of formu
lating an American Commercial Code. Its work to date covers acts to make uniform the law of Sales, Transfer of Stock, Negotiable Instruments,
Warehouse Receipts, and Bills of Lad ing. Some errors crept into the Negotiable Instruments Act, which arose largely from the fact that it had not been sub
jected for a sufficient length of time to public criticism.
Time, however, has
623
adopt the mercantile theory of credit and give negotiability to bills, drafts, notes, checks, warehouse receipts and
bills of lading when to l‘order."
The
"order bill of lading" plays a peculiarly important part in American domestic and foreign commerce—being in the best sense a "commodity currency" because usually accompanied by a draft
wherein is expressed a unit of value. These commercial acts have been con structed in harmony with actual busi ness usages and customs where such usages and customs rest on sound eco nomic principles and are not contrary to ethics underlying all American juris prudence. They have brought into
demonstrated that these errors are in significant and have been largely cor rected by judicial construction. The possibilities of similar errors have been avoided in the preparation of the other uniform commercial acts by adequate criticism in which the whole public has been invited to participate. This is
and customs, neither strictly nor liber ally, but to accomplish their great pur
particularly true of the act to make uniform the law of Bills of Lading, the
commercial law.
discussion of which was participated in by shippers, consignees, carriers and
plete codification of the law upon each
existence a new rule of statutory con
struction that they are to be construed in harmony with such business usages
pose of bringing about uniformity of They wisely do not attempt a com
mous approval of the representatives of
subject to which they pertain, but give room for the growth of new uses and
these four seemingly hopelessly conflict
customs by providing that “in cases
ing interests.
between persons residing in difierent states, the vital importance of an act to make uniform the law of Sales is appar ent.
not provided for in this act the rules of law and equity including the law mer chant . . . shall govern." If Congress in its wisdom shall adopt the recommendations of the Aldrich committee and substitute an elastic asset currency for a rigid bond secured
i. Credit is, today, the medium of ex
currency, the importance of uniform
bankers.
This act received the unani
As almost every business transaction culminates in a sale, and most sales are
change by which ninety-five per cent of
legislation affecting all instruments of
the business of the world is transacted.
credit becomes doubly important, and
That the law governing all instruments of credit should be universal through out the commercial world would seem to
those who in 1895 suggested a confer ence of Commissioners on Uniform State Laws will have builded wiser than they
be apparent.
knew.
These acts, therefore,
Cincinnati, October 31, 1911.
