Composition

An agreement, made upon a sufficient consideration, between an insolvent or embarrassed debtor and his creditors, whereby the latter, for the sake of immediate payment, agree to accept a dividend less than the whole amount of their claims, to be distributed pro rata, in discharge and satisfaction of the whole, “Composition” should be distinguished from “accord.” The latter properly denotes an arrangement between a debtor and a single creditor fora discharge of tue obligation by a part payment or on different terms. The former designates an arrangement between a debtor and the whole body of bis creditors (or at least a considerable proportion of them) for the liquidation of their claims by the dividend offered. In ancient law. Among the Franks, Goths, Burgundians, and other barbarous pcoples, this was the name given to a sum of money paid, a8 satisfaction for a wrong or personal injury, to the person harmed, or to his family if he died, by the aggressor. It was originally made by mutual agreement of the parties, but afterwards establislied by law, and took the place of private physical vengeance,