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Rule 203. "The verdict or finding of the jury, as the case may be, shall PART VII. be endorsed by the registrar on the record for trial, and with the jury panel and the names of the jurors, who were sworn, endorsed thereon."

$ 5.-APPEAL IN BANKRUPTCY.

"The Bankruptcy Act, 1869," enacts that—

Sect. 71. "Every court having jurisdiction in bankruptcy under this Appeal from act may review, rescind, or vary any order made by it in pursuance of courts. this act. Any person aggrieved by any order of a local bankruptcy court in respect of a matter of fact, or of law made in pursuance of this act, may appeal to the chief judge in bankruptcy, and it shall be lawful for such judge to alter, reverse, or confirm such order as he thinks just. Any order made by the chief judge in bankruptcy, whether in respect of a matter brought before him on appeal or not, shall be subject to an appeal to the Court of Appeal in Chancery (which court, for the purposes of this act, shall be and form a court of record, and shall have all the jurisdiction, powers and authorities of the court of bankruptcy, to be exerciseable either originally or on appeal, and shall have all the powers and authorities of the Court of Chancery relative to the trial of questions of fact, by jury, issue or otherwise), and also, with the leave of the Court of Appeal, to the House of Lords, but no appeal shall be entertained under this act except in conformity to such rules of court as may for the time being be in force in relation to such appeal."

Sect. 72 enacts that no appeal shall lie from the decisions of any court, except in manner directed by the act (e).

An order made by a county court for the trial of issues of fact by a jury in that court is not an order in respect of "a matter of fact or of law" subject to appeal, or which the chief judge has any power to alter or reverse. It is a matter on which the county court has complete jurisdiction under sect. 72 (ƒ).

Costs of Appeal.]-A successful appellant is not in general entitled to the costs of appeal. The exception is when the respondent has been guilty of misconduct (g).

Rules relating to Appeals.]-The following "Bankruptcy Rules, 1870," relate to appeal.

Rule 143. "An appeal against a decision or order of the chief judge Seets. 71, 72,

(e) See sect. 72, ante, pp. 203, 204. (f) Bacon, C. J., Ex parte Anderson, Re Anderson, 39 L. J. (N. S.) Bankr. 32, citing the judgment of Giffard, L. J., in Ex parte Anderson, subsequently reported in 39 L. J. (N. S.) Bankr. 54. In the case before the chief judge in bankruptcy the object of the application was to get a trial by a special jury in the London court, on the ground of the import

ance of the questions, and that it was
impossible to obtain a fair trial in
the local court.

(g) In re Cherry, Ex parte
Mathews, 40 L. J. (N. S.) Bankr. 90,
where Bacon, C. J., held that he was
bound by the practice of the Court of
Chancery as laid down in Denny v.
Hancock, Law Rep., 6 Chanc. 138;
40 L. J. (N. S.) Ch. 193.

PART VII.
CHAP. X.

in bankruptcy, or a judge of a county court, shall be entered with the registrar of appeals within and not later than twenty-one days from the said decision or order, by leaving with him a copy of the appeal notice of motion."

Rule 144. "Upon entering an appeal, a copy of the appeal notice shall be sent forthwith by the appellant to the registrar of the court appealed from, who shall forthwith file the same with the proceedings, and a similar notice shall be delivered by the appellant to each respondent four days before the day on which he intends to move."

Rule 145. At or before the time of entering an appeal, the party intending to appeal shall deposit with the registrar of appeals such sum, not being less than ten pounds and not exceeding forty pounds, as the court appealed from shall direct, to satisfy, so far as the same may extend, any costs that the appellant may be ordered to pay, and in the absence of any such direction, the sum deposited shall be twenty pounds." Rule 146. "Where there are several respondents in separate interests, the court may, if it shall think fit, direct a separate deposit to be made as to every such respondent."

Rule 147. "All appeals shall be brought on by motion, and no new evidence shall be received on any appeal unless the court of appeal shall so direct; but any of the parties shall be at liberty to bring before the court of appeal, by affidavit, the circumstances under which the decision or order appealed from was made."

Rule 148. "Every affidavit intended to be used upon the hearing of any appeal shall be filed with the registrar of appeals, and a copy thereof sent by the appellant to the respondent four clear days before the day appointed for hearing."

Rule 149. "The registrar of the court appealed from shall, upon the application of the registrar of appeals, transmit to him the file of proceedings in the matter under appeal."

Rule 150. "The office for entering bankruptcy appeals to be heard by the Court of Appeal in Chancery shall be closed during the ordinary vacations of the Court of Chancery, and the time during which such office shall be closed shall not be reckoned in the number of days ordered for the entering of appeals to be heard by such Court of Appeal in Chancery."

§ 6.-DEATH OF THE BANKRUPT.

"The Bankruptcy Act, 1869," enacts, that "when a debtor who has been adjudicated a bankrupt dies, the court may order that the proceedings in the matter be continued as if he were alive” (h).

$7.--ANNULLING THE ADJUDICATION.

Annulling Adjudication where no Trustee appointed.]—If at the first meeting of creditors (or an adjournment of it) 66 no trustee is appointed by reason of the prescribed quorum not being present,

(h) See sect. 80, sub-sect. (9), ante, p. 245 n.; as to the deposition of a

deceased bankrupt, see s. 108, ante,

p. 216.

CHAP X.

or for any other reason whatever, the court may annul the adjudi- PART VII. cation, unless it deems it expedient to carry on the bankruptcy with the aid of the registrar as trustee. Moreover, if at any time during the bankruptcy no new trustee is appointed to fill a vacancy in that office, the court may either carry on the bankruptcy with the aid of the registrar as trustee, or annul the order of adjudication, as it thinks just" (i).

Where there was a principal creditor of a large amount and only two other unsecured creditors of small amount, it was held that it was not a proper case to annul the bankruptcy under the above section, for one creditor may be properly entitled to have the affairs wound up in bankruptcy (k).

Annulling Adjudication on Acceptance of Composition or Arrangement.]-The annulling the order of adjudication may be made a condition of any composition with the bankrupt or of any general scheme for the liquidation of his affairs (1), and where it is made a condition, the adjudication is "annulled from and after the date of the order annulling the same" (m).

Effect of annulling the Adjudication.]-" The Bankruptcy Act, 1869," enacts that

of adjudica

tion.

Sect. 81. "Whenever any adjudication in bankruptcy is annulled, all Consequences sales and dispositions of property and payments duly made, and all acts of annulling theretofore done by the trustee or any person acting under his authority, or by the court, shall be valid, but the property of the debtor who was adjudged a bankrupt shall, in such case, vest in such person as the court may appoint, or, in default of any such appointment, revert to the bankrupt for all his estate or interest therein upon such terms and subject to such conditions, if any, as the court may declare by order. A copy of the order of the court annulling the adjudication of a debtor as a bankrupt shall be forthwith published in the London Gazette, and advertised locally, in the prescribed manner, and the production of a copy of the Gazette containing such order shall be conclusive evidence of the fact of the adjudication having been annulled, and of the terms of the order annulling the same."

Sect. 81 was passed to provide for many possible cases, where, notwithstanding the annulling of the bankruptcy, various interests in the bankrupt's effects might have arisen; a portion of those effects might have been distributed and a portion not. In such cases it would be necessary to provide that the Court of Bankruptcy should have power to order possession to be taken of the bankrupt's estate. But where no such order is made, sect. 81 almost of necessity provides that the property shall revert to the bankrupt (n).

(i) See sect. 84, ante, pp. 266, 267. (k) In re Finney, Ex parte English Joint Stock Bank, 40 L. J. (N. S.) Bankr. 43.

D. VOL. II.

(7) See sect. 28, ante, p. 297.
(m) Id.

(n) Kelly, C. B., Bailey v. John-
son, 40 L. J. (N. S.) Exch. 192.

X

PART VII.

CHAP. X.

Sect. 81.

No. 59. Notice in Gazette and Paper of Bankruptcy having been annulled. "The Bankruptcy Act, 1869."

In the London Bankruptcy Court [or the county court of

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Whereas under a bankruptcy petition presented to this court against the said A. B., an order of adjudication was made on the

187

day of This is to give notice, that the said adjudication was by order of this court annulled on the

Dated this

day of

187 .

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CHAPTER XI.

THE EFFECT OF ADJUDICATION ON THE BANKRUPT'S PROPERTY AND RIGHTS.

§ 1. THE VESTING OF THE PROPERTY.

§2.-TIME OF COMMENCEMENT of the BankrUPTCY.

§ 3.-DESCRIPTION OF THE PROPERTY DIVISIBLE AMONGST CREDITORS.

§4.- GOODS OF WHICH THE Bankrupt is reputed Owner. § 5.-EFFECT OF ADJUDICATION ON CLAIMS AGAINST BANKRUPT.

§ 6.-STOPPAGE IN TRANSITU.

THE

§ 7.-AVOIDANCE OF VOLUNTARY CONVEYANCES AND TRANS

FERS.

§ 8.-AVOIDANCE OF FRAUDULEnt Preferences.

§ 9.-PROTECTION OF CERTAIN TRANSACTIONS.

§ 10.-EFFECT OF BANKRUPTCY ON PROPERTY TAKEN IN EXECU

TION.

§ 11.- DISCLAIMER OF ONEROUS PROPERTY.

§ 12.-PROPERty Defeasible on BANKRUPTCY.

§ 13.-EFFECT OF BANKRUPTCY IN MISCELLANEOUS MATTERS.

§ 1. THE VESTING OF THE PROPERTY.

IMMEDIATELY on an order of adjudication being made, the property of the bankrupt vests in the registrar (who is trustee until another is appointed) (a), and it becomes divisible amongst his creditors in proportion to the debts proved by them in the bankruptcy (b).

Property means and includes "money, goods, things in action, land and every description of property, whether real or personal ; also, obligations, easements, and every description of estate, interest and profit, present or future, vested or contingent, arising out of or incident to property as above defined" (c).

(a) See sect. 17, ante, p. 274, and see certificate of registrar being trustee, ante, p. 261.

(b) See sect. 14, ante, p. 263.

(c) See sect. 4, ante, p. 201 (note). See also sect. 15, post, pp. 308, 309.

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