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Home » Law Dictionary » C » CONTRIBUTION

CONTRIBUTION

TheLaw.com Law Dictionary & Black's Law Dictionary 2nd Ed.

In common law. The sharing of a loss or payment among several. The act of any one or several of a number of co-debtors, co-sureties, etc., in reimbursing one of their number who has paid the whole debt or suffered the whole liability, each to the extent of his proportionate share. Canosia Tp. v. Grand Lake Tp., 80 Minn. 357, 83 N. W. 346; Dysart v. Crow, 170 Mo. 275, 70 S. W. 089; Aspinwall v. Sacchi, 57 N. Y. 336; Vandiver v. Pollak, 107 Ala. 547, 19 South. 180; 54 Am. St Rep. 118. In maritime law. Where the property of one of several parties Interested in a vessel and cargo has been voluntarily sacrificed for the common safety, (as by throwing goods overboard to lighten the vessel,) such loss must be made good by the contribution of the others, which is termed “general average.” 3 Kent, Comm. 232-244; 1 Story, Eq. Jur. f 490. In the civil law. A partition by which the creditors of an insolvent debtor divide among themselves the proceeds of his property proportiooably to the amount of their respective credits. Code La. art. 2522, no. 10. Contribution Is the division which is made among the heirs of the succession of the debts with which the succession is charged, according to the proportion which each is bound to bear.

Law Dictionary – Alternative Legal Definition

(A) civil law. A partition by which the creditors of an insolvent debtor divide, among themselves the proceeds of his property, proportionably to the amount of their respective credits. Civ. Code of Lo. art. 2522, n. 10. It is a division pro rata. Merl. Rep. h. t. (B) contracts. When two or more persons jointly owe a debt, and one is compelled to pay the whole of it, the others are bound to indemnify him for the payment of their shares; this indemnity is called a contribution. 2. The subject will be considered by taking a view, 1. Of right of the creditors where there are several debtors. 2. Of the right of the debtor who pays the whole debt. 3. Of the liabilities of the debtors who are liable to contribution. 4. Of the liability of land owned by several owners, when it is subject to a charge. 5. Of the liability of owners of goods in a vessel, when part is thrown overboard to save the rest. 3. 1. The creditor of several debtors, jointly bound to him, has a right to compel the payment by any he may choose; but he cannot sue them severally, unless they are severally bound. 4. 2. When one of several debtors pays a debt, the creditor is bound in conscience, if not by contract, to give to the party paying the debt all his remedies against the other debtors. 5.3. A debtor liable to contribution is not responsible upon a contract, but is so in equity. But courts of common law, in modern times, have assumed a jurisdiction to compel contribution among sureties, in the absence of any positive contract, on the ground of an implied assumpsit, and each of the sureties may be sued for his respective quota or proportion. White’s L. C. in Eq. 66. The remedying equity is, however, much more effective. For example, a surety who pays an entire debt, can, in equity, compel the solvent sureties to contribute towards the payment of the entire debt. But at law he can recover no more than an aliquot part of the whole, regard being had to the number of co-sureties. 6. 4. When land is charged with the payment of a legacy, or an estate with the portion of a posthumous child, every part is bound to make contribution. 7. 5. Contribution takes place in another case; namely, when in order to save a ship or cargo, a part of the goods are cast overboard, the ship and cargo are liable to contribution in order to indemnify the owner of the goods lost, except his just proportion. No contribution can be claimed between joint wrong doers.

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  • DIVIDEND
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  • INDEFINITE NUMBER
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