400 HARVARD LAW REVIEW. V. We have studied now the rules of law applicable to lottery bonds in their respective countries. Bonds, however, are not alone public funds; they are besides, in a way, international commercial paper. Frequently, for. example, a foreign company will open in quite another country than its own a public subscription with the inten- tion of negotiating thereby an issue of bonds. Often, as well, bonds issued in one country circulate and are bought and sold in another country than the one in which they were authorized. In France, as in most of the countries of Europe, share lists or sub- scriptions relative to bonds issued by foreign loans are entirely free. It is the same with the negotiation of foreign bonds. These transactions are always more or less protected in the respective states, where the admission to the official quotation list is more or less strictly regulated. But if the principal countries of Europe are thus freely open on the whole to bonds of foreign origin, we may not say, however, thSt it is the same for the special bonds which we are considering, — lottery bonds, — for the issue and transfer of these are of a nature to interfere with certain rules of public order. It is then pertinent to examine here the following questions: ist. On what conditions may lottery bonds be issued by a borrower outside of his own country? 2d. On what condi- tions may lottery bonds circulate in a country other than the one in which they were regularly issued, and become the subject of valid negotiation? ( I ) Issue of lottery bonds. — We have called attention above ^ to the license permitted a borrower, in view of the diff"erent statutes forbidding lotteries, with regard to the issue of lottery bonds in the principal countries of Europe. There is a general tendency to recognize in the arrangements which forbid lotteries a character not only of public regulation, but also of international regulation. In consequence of this, foreign lotteries, and therefore the issue of foreign lottery bonds, are considered to be forbidden by the sam.e laws. Moreover, most States have formulated special prohibitions in regard to foreign lotteries,^ and these are universally applied to the issue of foreign lottery bonds. 1 Supra, II. 2 France, law of 2ist of May, 1836, Art. 4. Germany, Art. 286 of Penal Code, and Prussian law of 20th of July, 1885. Englaftd, 6 & 7 Will. IV. c. 66. Denmark, law of 6th of March, 1869. United States, sect. 2851, 3894, 3929, 4041, of the Revised Statutes. Italy, Decree of 5th of November, 1863. Sweden, law of 6th of August, 1881.
