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doubted, whether an act of Congress subjecting to such a law every description of persons within the United States, would comport with the spirit of the powers vested in them in relation to this subject.' But this doubt was resolved otherwise, and the acts of 1841 and 1867 extended to persons other than merchants or traders, and provided for voluntary proceedings on the part of the debtor, as does the act of 1898.

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"The laws passed on the subject must, however, be uniform throughout the United States, but that uniformity is geographical and not personal, and we do not think that the provision of the Act of 1898 as to exemptions is incompatible with the rule.

"Sec. 6 reads: "This act shall not affect the allowance to bankrupts of their exemptions which are prescribed by the state laws in force at the time of the filing of the petition in the state wherein they have had their domicile for the six months or the greater portion thereof immediately preceding the filing of the petition.'

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"We hold that the system is, in the constitutional sense, uniform throughout the United States when the trustee takes in each state whatever would have been available to the creditors if the bankrupt law had not been passed. The general operation of the law is uniform although it may result in certain particulars differently in different states.

"Nor can we perceive in the recognition of the local law in the matter of exemptions, dower, priority of payments, and the like, any attempt by Congress to unlawfully delegate its legislative power. In re Rahrer, Petitioner, 140 U. S. 545, 560.

(Held: Constitutional.)

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Question 776: (1) How many bankruptcy laws have been enacted by the federal Congress? For what years were they in force? What is the date of the present act?

(2) Does the constitutional power permit Congress to pass

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a bankruptcy law applying to others besides traders? Does the present act confine itself to traders?

(3) Does the fact that the federal law recognizes the exemptions of the debtor allowed him by the law of his state prevent it from being uniform in the constitutional sense?

§795. (Bankruptcy, Sec. 5.) History of bankruptcy laws in the United States.

(See Hanover Bank v. Moyses, Case 776, supra.)

§ § 796, 797. (Bankruptcy, Secs. 6, 7.) Function of Bankruptcy Act to benefit creditors, and to benefit debtor.

(See Sec. 791.)

§ 798. (Bankruptcy, Sec. 8.) Kinds of obligations discharged.

(Note: Debts mature and immature are discharged. See. hereafter, subject Discharge. See also § 859 (Unliquidated claims).)

§ 799. (Bankruptcy, Sec. 9.) Brief view of proceedings in bankruptcy under present law.

1. Petition filed; either by bankrupt (called voluntary bankruptcy); or by creditors (called involuntary bankruptcy).

2. Appointment of receiver by court of bankruptcy pending election of trustee, where necessary for preservation of estate.

3. Reference to referee in bankruptcy.

4. Adjudication, that is, the entry of an order declaring the debtor a bankrupt. He may, in involuntary proceedings contest the case on some ground and if he prevails in his defense adjudication does not follow. He may contest on the ground

(1) He is not subject to involuntary proceedings because of the nature of his occupation or business; (2) He is not insolvent;

(3) He did not commit an act of bankruptcy;

(4)

Other jurisdictional requirements not fulfilled.

5. Filing of schedules; in voluntary proceedings; filed with the petition; in involuntary proceedings, filed after adjudication.

6. First meeting of creditors to elect a trustee and examine the bankrupt.

7. Collection of assets by trustee, bringing suit where

necessary.

8.

9.

Proof of debts by creditors.

Declaration of dividends.

10. Application by bankrupt for his discharge. 11. Objections to discharge and hearings thereon. 12. Discharge.

CHAPTER 104

THE COURTS AND OFFICERS IN BANKRUPTCY

§ 800.

The courts of bankruptcy jurisdiction.

§ 801. The territorial limits of the court's jurisdiction.

Jurisdiction as determined by the location of the bankruptcy cause within the jurisdiction.

§ 802.

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§ 806. Jurisdiction of state courts.

§ 807. Summary proceedings in district court to recover property. § 808. Appellate jurisdiction.

§ 809. The referee in bankruptcy.

(Note: This chapter concerns itself with general questions of jurisdiction and procedure. Clearly to the business student, the subject matter is not of that primary importance which other subjects are, and hence no cases are given, and the comment is of general character.)

§ 800. (Bankruptcy, Sec. 10.) The courts of bankruptcy jurisdiction.

Case 777. Bankruptcy Act, Sec. 1 (8).

"Courts of bankruptcy shall include the district courts of the United States and of the Territories, the Supreme Court of the District of Columbia, and the United States Court of the Indian Territory, and of Alaska.”

Question 777: What are the courts in which bankruptcy cases are begun under the present bankruptcy act?

§ 801. The territorial limits of the court's jurisdiction.

(Note: The United States is divided into Judicial Districts being either territorially coterminous with the territory of the state, or a portion thereof, as the Maine Judicial District, or the Northern District of Illinois. In each of these judicial dis

tricts is a United States District Court, and these are the courts vested with jurisdiction in bankruptcy cases. Such district courts are the federal courts of original jurisdiction.)

§ 802. (Bankruptcy, Sec. 12.) Jurisdiction as determined by the location of the bankruptcy cause within the jurisdiction.

Case 778. Bankruptcy Act, Sec. 2 (1).

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"[That the courts of bankruptcy as herein before defined] are hereby invested within their respective territorial limits as now established, or as they may be hereafter changed, with such jurisdiction in law and in equity as will enable them to exercise original jurisdiction in bankruptcy proceedings, in vacation in chambers and during their respective terms, as they are now or may be hereafter held to

"(1) Adjudge persons bankrupt who have had their principal place of business, resided, or had their domicile within their respective territorial jurisdictions for the preceding six months or the greater portion thereof, or who do not have their, principal place of business, reside or have their domicile within the United States, but have property within their jurisdictions, or who have been adjudged bankrupts by courts of competent jurisdiction without the United States and have property within their jurisdiction.

(Note: Residence and domicile defined. A person may become or be made a bankrupt in the district in which he has resided or had his domicile for the greater portion of the last six months just prior to the filing of the petition. "There is of course a legal distinction between 'domicile' and 'residence' although the terms are generally used as synonymous the distinction depending upon the connection in which and the purpose for which the terms are used. 'Domicile' is the place where one has his true, fixed, permanent home and principal establishment, and to which, whenever he is absent, he has the intention of returning and where he exercises his political rights. 'Residence' indicates permanency of occupation as distinguished from temporary occupation, but does not

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