is in dispute, must apply to the court by petition and not to a register. In re Graves, 237.
5. The 20th section of the bankrupt act confers authority on the assignee to make a sale of incumbered property without any order of court. In re J. McClellan, 389.
6. When, however, the debt claimed by the creditor is not admitted by the assignee, and cannot be agreed between them, then the assignee should resort to the proper court to ascertain it, and for a sale of the property at the same time. Ib.
7. A levy was made by the sheriff on certain goods of bankrupt after the date of filing his petition in bankruptcy. Held, that the title being vested in him, the assignee must make sale and deposit proceeds of such goods subject to whatever claims may be determined by the court
to be upon them. G. W. Pennington, Assignee in bankruptcy of James
F. Stewart, v. Sale & Phelan et al. 572.
8. If the assignees are satisfied that property taken by them did not be- long to the bankrupt, they should return it without delay; if, however, they are in doubt, the claimant must seek redress by the appropriate remedy in the courts of the state. In re Thomas Noakes, 592.
9. The costs will be paid according to the discretion of the court. Ib. 19. The rule requiring the assignee to make a report of exempted prop- erty within twenty days, is to receive such a construction as to prevent injustice to the bankrupt, and it may be extended by the court and leave granted to the assignee to make a further report. In re David Shields, 603.
See ACCOUNT; EXEMPTIONS, 4, 7; PROOF OF DEBT, 13.
1. A general assignment by an insolvent debtor, though made for the ben- efit of all his creditors, is an act of bankruptcy under the bankrupt act of March 2, 1867. In re William H. Langley, 559.
2. Where a creditor is about to get a judgment against his debtor, and the latter makes a general assignment under a state insolvent law for the benefit of his creditors, this is a conveyance with intent to delay, defraud, and hinder, the creditor, and is an act of bankruptcy under section 39 of the bankrupt act. lb.
3. It comes also under the description of a conveyance to defeat, or delay, the operation of the bankrupt act. Ib.
4. Where a debtor made an assignment under a state insolvent law, and a creditor applied to the state court to have the security of the as- signees increased, this was not such an assent to the proceedings as estopped him from claiming that the assignment was an act of bank- ruptcy. Ib.
5. A debtor made an assignment under the insolvent law of Ohio, on May 25, 1867, and under it, a state court took cognizance of the mat-
ter. On July 17th, a petition in bankruptcy was filed by a creditor. Held, that as to this matter the bankrupt act of 1867 was in force on May 25th, and the United States court could rightfully take jurisdic- tion of the whole matter under the petition filed in July. Ib. 6. An assignment made bonâ fide, twelve months prior to the filing of the petition for bankruptcy, is good against the assignees of bankrupts; the assignees, except in cases of fraud, take only such rights as the bankrupt had, and could himself claim at the time of his bankruptcy. In re George H. Arledge, 644.
7. A general assignment by insolvent debtors under New York state law, for the benefit of creditors untainted by fraud as against any creditors or the bankrupt act, is valid, and the property will not be turned over to the assignee in bankruptcy. John Sedgwick, Assignee, &c. v. James K. Place et al. 673.
1. An attachment was issued out of a state court on the 11th of April, On a motion to quash the attachment, the court held that the conditional lien acquired by the levy of an attachment may be divested by the operation of a general bankrupt law, and that to this extent the act became a law in March, 1867. Demurrer to motion overruled. William H. Corner v. E. G. Miller & W. S. Moore, Garnishees of John S. Moody, 403.
2. Attachments in state courts, brought within four months before a commencement of proceedings in bankruptcy, are dissolved. In re Ellis, 555.
3. Moneys arising from sale, pendente lite, of property attached, represent the property. Moneys arising from sale of household furniture, sold under process of attachment, belong to the bankrupt. lb. 4. An attachment of a bankrupt's goods under process in a state court, within four months before bankruptcy, is defeated by the provisions of section 14 of the bankrupt act. Demurrer overruled, and the defendant allowed fifteen days in which to answer. G. W. Pennington, Assignee in bankruptcy of C. D. Bryan, v. J. H. Lowenstein et al. 570.
1. The counsellor of the assignee may act as attorney for creditors in bankruptcy proceedings. In re Samuel W. Levy & Mark Levy, 184. 2 The claim of an attorney for services and disbursements is not a claim to be paid in full under section 28 of the act of bankruptcy. In re Louisa Heirschberg, 642.
See COUNSEL; PROOF OF Debt, 7.
BURDEN OF PROOF.
See DISCHARGE (OPPOSITION TO), 3, 12.
1. B. acts as agent and attorney for his brother in buying and selling merchandise in New York city, at an office having a sign with his brother's name on it, and well known by those who had dealings with him to be doing such business at that office. Held, to be carrying on business within the meaning of the 11th section of the act. In re Tat- nall Baily, 613.
2. Where petitioner in bankruptcy had carried on business and resided in New York for twenty years prior to June, 1866, and removed to New Jersey that year, but was still engaged as a clerk with his suc- cessors in business: Held, that his petition was properly filed in the district court for the Southern District of New York. In re William K. Belcher, 665.
A question, in order to be properly certified to the judge, must arise reg- ularly in the course of proceedings before the register, and between the parties having the legal right to raise it. In re J. W. Wright, 393.
1. When notices, Form 52, are served by mail, the clerk must mail them. In re John Bellamy, 113.
2. The order in Form 51, although the register is to direct it to be issued, is to have the signature of the clerk and seal of the court. Ib.
3. The register, on directing the order, Form 51, to issue, shall forthwith transmit to the clerk a list of all proofs of debt furnished to the register or assignee, containing names, residences, and post-office addresses of creditors, with sufficient particularity to insure proper service of notice, Form 52. Ib.
4. The certificate of the clerk that he has mailed notice to creditors on a certain day, is sufficient evidence to that effect. In re William E. Townsend, 216.
5. It is the duty of the clerk to mail the notices. Ib.
COMMENCEMENT OF PROCEEDINGS.
See EXAMINATION OF BANKRUPT, 5; JURISDICTION, 14.
1. Where a trader stops payment of his commercial paper and does not resume payment thereof within fourteen days, he commits an act of
bankruptcy. In re Alfred L. Wells, Jr., ex parte H. B. Claflin & Co.
2. It is not necessary to show the stoppage of payment of commercial paper was fraudulent; suspension of payment and non-resumption within fourteen days is all that is contemplated by this provision of the bankrupt act. In re Walter C. Cowles, 280.
3. The suspension of payment by a manufacturing company, and non- resumption of payment within fourteen days, does not of itself consti- tute an act of bankruptcy, unless such suspension is fraudulent. In re Jersey City Window Glass Company, ex parte R. B. Wigton, 426. 4. Leave granted to amend the petition by the insertion of the word fraud- ulent in the allegation as to suspension of its commercial paper. Ib. 5. A suspension of payment of commercial paper for fourteen days is not, in the absence of fraud, an act of bankruptcy. In re William Leeds, 521.
1. If the debtor has property concealed, the assignee is the proper per- son to receive it for the benefit of the general creditors. In re James L. Fowler, 680.
2. Such a concealment would be itself an act of bankruptcy, and is no ground for refusing to adjudge the debtor a bankrupt on his own peti- tion. Ib.
See DISCHARGE (OPPOSITION TO), 5; DISCHARGE, (MISCELLANEOUS), 7, 10.
CONFESSION OF JUDGMENT.
1. An insolvent debtor commits an act of bankruptcy by confessing judgment, and allowing his property to be taken on an execution issued thereupon, with intent to give a preference to a creditor. His insol- vency or contemplation of insolvency must be averred and shown. In re Asa W. Craft, 378.
2. In deciding whether giving a warrant to confess judgment is an act of bankruptcy, the character of the alleged bankrupt's business may be taken into consideration; and where it appears that the purposes of the warrant of attorney may have been to enable the debtor to continue in business, and that there was no intention to defeat or delay the opera- tion of the bankrupt law, it is not a sufficient ground for an adjudica- tion of bankruptcy. In re William Leeds, 521.
3. The denial of a debtor, in his answer to a petition of bankruptcy filed against him, is not sufficient to prevent adjudication when it admits the confession of a judgment, although it denies that there was a fraud- ulent intent to give a fraudulent preference; for such negative allega- tion implies that the judgment was conferred with an intent to give a preference, although not a fraudulent one. In re Sutherland, 531.
CONTEMPLATION OF JANKRUPTCY AND INSOLVENCY.
A bankrupt who fails to attend on the adjourned day of his examination by reason of sickness, cannot be punished for contempt of court. In re Josiah Carpenter, 299.
See EXAMINATION OF BANKRUPT, 19.
Where the general assignee of the bankrupt made certain conveyances of the real estate, the administrators of the grantee made application to have the amount paid on the contract of sale refunded, which was denied for the reasons that the contract of sale was not delivered up to be cancelled, and further, that there was a failure to show that the transaction with decedent was made in good faith by the general assignee. In re Jacob H. Mott & Jordan Mott, 223.
any lawful busi- do so, is such a Any debt which
A corporation created for the purpose of carrying on ness, defined by its charter, and clothed with power to corporation as is contemplated by the bankrupt act. may be proved by complying with any of the provisions of the bankrupt act is a provable debt; suffering a sale to take place from inability to resist is not an act of bankruptcy, even if by so doing one creditor should be preferred to another. After the passage of the so-called or- dinance of secession, all acts passed by any pretended legislature are void. The government organized in the states lately in insurrection, by direction of the president, are, by act of congress, declared provis- ional, with full power to execute such laws as were in force prior to the passage of the so-called ordinance of secession. A sale by the trustees under the provisions of the internal improvement act of Florida, of the stock, franchises, &c., of a corporation organized agreeable thereto, is not an act of bankruptcy. Petition dismissed with cost. Rankin & Pullan et al., Petitioners, v. The Florida, Atlantic and Gulf Centra Railroad Company, 647.
See ASSIGNEE (Choice of), 6; ATTORNEY, 1; WITNESS, 1.
1. The difference explained between the meaning of the following phrases in section 29th, namely: "since the passage of this act," and "sub- sequently to the passage of this act." In re Isaac Rosenfield, 575.
2. By the term "fraudulent preference," used in item nine of section
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