Allen v. Union & Planters' Bank

Citations

• 72 Miss. 549

Syllabus

<p>1. Assignment for Creditors. Subsequent composition. Bill to vacate. Parties.</p> <p>A firm made an assig-nment for creditors, and, in aid thereof, a partner conveyed his individual land. Subsequently nine-tenths in amount of the firm’s creditors signed a composition ag-reement, pursuant to which a like proportion of the assets were returned to the assig-nors, who g-ave extension notes. Failing- to pay these, they reassig-ned the unsold assets to the assig-nee. Thereupon a creditor of the firm filed a bill ag-ainst the assig-nee and the partner conveying- his land, to subject it, on the g-round that the dealings between the parties under the composition agreement was a revocation of the assig-nment and the deed, and, construed with them, made them fraudulent and void. Held: That all the firm creditors were necessary parties — those assenting, because, in the composition and dealings thereunder, the assignee was not their representative; those not assenting-, because the assignee ceased to be their representative under the assignment by returning the property.</p> <p>2. Same. Validity. Evidence. Subsequent acts.</p> <p>A subsequent composition ag-reement, and the dealings of the parties thereunder, cannot be considered in determining the validity of an assig-nment and a deed in aid thereof. English v. Eriedmcm, 70 Miss., 457.</p>