204 
APPENDIX OF CASES. 
and the principle established by the following case is applic 
able :— 
In the matter of the Royal Liver Friendly Society L. R., 
5 Exch. 78.—Stamps; exemption from duty; friendly society; 
investment of the funds of a friendly society in securities; 
18 cfc 19 Viet. c. 63, s. 37. 
The Friendly Societies Act (18 <£■ 19 Viet. c. 63, s. 37) does 
not exempt from stamp duty securities on which the funds of 
a friendly society are invested. 
Case stated by the Commissioners of Inland Revenue 
under 13 & 14 Viet. c. 97, s. 14, on an appeal against their 
decision as to the liability to stamp duty of a deed, trans 
ferring to the trustees of “ The Royal Liver Friendly 
Society” a mortgage of £1,100, the transfer containing a 
declaration that the money was advanced out of the funds 
of the society. The commissioners, whose opinion was 
requested under 13 & 14 Viet-, c. 97, s. 14, and 16 & 17 Viet, 
c. 59, s. 13, charged a duty of os. 6d., ad valorem (under 
28 & 29 Viet. c. 96, s. 17), and 5s. 6d. progressive duty, and 
from this decision the trustees appealed. 
The society was one established previously to, but then 
regulated by, 18 & 19 Viet. c. 63, which amended and 
consolidated the law relating to friendly societies, and 
the trustees claimed exemption from stamp duty under 
sect. 37. 
By their 9th rule, it is one of the duties of the committee 
of management to negotiate all money transactions, order 
and direct how, when, and upon what security the funds of 
the society shall be invested, and execute all the powers 
vested in them by 18 & 19 Viet. c. 63 (ss. 17-19). 
Kelly, C. B.—The Act exempts from duty all docu 
ments required or authorized by the rules of the society, 
and no doubt the society by its rules authorizes the trustees 
to invest their funds in mortgages of real estate. But the 
question is whether, looking at the whole of sect. 37, it 
only exempts documents required or authorized for the 
purpose of carrying on the internal affairs of the society, 
or required or authorized for the purpose of bringing the 
society into a position to carry on business with the outside 
world, or whether it also exempts all documents which 
may become necessary in the course of carrying out that 
business. We should have expected very express and 
specific language if it had been intended to exempt secu 
rities to so large an amount as on this view the statute 
would include. But on the contrary, when we read the 
- earlier part of the section we find that the instruments 
a