CHAP. XIII.

CONTRACTS OF LABOUR.

PARTNERSHIP.

I KNOW nothing upon

KNOW nothing upon the fubject of part

nership that requires explanation, but in what manner the profits are to be divided, where one partner contributes money, and the other labour; which is a common case.

Rule. From the flock of the partnership deduct the fum advanced, and divide the remainder between the monied partner and the labouring partner, in the proportion of the interest of the money to the wages of the labour, allowing fuch a rate of interest as money might be borrowed for upon the fame fecurity, and fuch wages as a journeyman would require for the fame labour and truft.

Example. A advances a thousand pounds, but knows nothing of the business; B produces

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no money, but has been brought up to the bufiness, and undertakes to conduct it. At the end of the year the ftock and the effects of the partnership amount to twelve hundred pounds; confequently there are two hundred pounds to be divided. Now nobody would lend money upon the event of the business fucceeding, which is A's fecurity, under fix per cent.-Therefore A must be allowed fixty pounds for the interest of his money. B, before he engaged in the partnerfhip, earned thirty pounds a year in the fame employment; his labour therefore, ought to be valued at thirty pounds; and the two hundred pounds must be divided between the partners, in the proportion of fixty to thirty; that is, A must receive one hundred and thirty-three pounds fix fhillings and eight pence, and B fixtyfix pounds thirteen fhillings and four pence.

If there be nothing gained, A lofes his intereft, and B his labour, which is right. If the original stock be diminished, by this rule B lofes only his labour as before; whereas A lofes his intereft, and part of the principal: for which eventual disadvantage A is compenfated, by having the interest of his money computed at fix per cent, in the divifion of the profits, when there is any.

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It is true, that the division of the profit is feldom forgotten in the conftitution of the partnership; and is therefore commonly fettled by exprefs agreement; but these agreements, to be equitable, fhould pursue the principle of the rule here laid down.

for,

All the partners are bound by what any one of them does in the course of the business; quoad hoc, each partner is confidered as an authorized agent for the reft.

CHAP.

CHAP. XIV.

CONTRACTS OF LABOUR.

OFFICE S.

I

N many offices, as schools, fellowships of colleges, profefforships of the universities, and the like, there is a twofold contract, one with the founder, the other with the electors.

The contract with the founder obliges the incumbent of the office to difcharge every duty appointed by the charter, ftatutes, deed of gift, or will of the founder; because the endowment was given, and confequently accepted for that purpose, and upon thofe conditions.

The contract with the electors extends this obligation to all duties that have been customarily connected with and reckoned a part of the office, though not prescribed by the founder: for the electors expect from the person they choose, all the duties which his predeceffors have discharged,

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charged, and as the perfon elected cannot be ignorant of their expectation, if he mean to refuse this condition, he ought to apprise them of his objection.

And here let it be observed that the electors can excufe the confcience of the perfon elected from this last class of duties only; because this clafs refults from a contract, to which the electors and the perfon elected are the only parties. The other clafs of duties refults from a different contract.

It is a queftion of fome magnitude and difficulty, what offices may be confcientiously supplied by a deputy.

We will state the several objections to the fubftitution of a deputy; and then it will be underftood that a deputy may be allowed in all cafes, to which thefe objections do not apply.

An office may not be discharged by deputy,

1. Where a particular confidence is reposed in the judgment and conduct of the perfon appointed to it; as the office of a steward, guardian, judge, commander in chief by land or fea.

2. Where the cuftom hinders; as in the cafe of school-masters, tutors, and of commiffions in the army and navy.

3. Where