Bogen & Trummel v. Protter

Citations

• 129 F. 533
• 64 C.C.A. 63
• 1904 U.S. App. LEXIS 4064

Syllabus

<p>L Bankruptcy — Acts op Bankruptcy — Suffering Pbeeebence through Legal Proceedings.</p> <p>A debtor who does not pay a lawful debt when due, upon which the creditor obtains a judgment against him and levies on his property, “suffers and permits” the creditor to obtain a preference, through legal proceedings, within the meaning of Banlcr. Act July 1, 1898, c. 541, § 3, subd. 3, cl. “a,” 30 Stat. 546, 547 [U. S. Comp. St. 1901, p. 3422], which, if he is insolvent, and unless he discharges the preference at least five days before the time for sale under the levy, constitutes an act of bankruptcy.</p> <p>2. Same — Burden op Proving Solvency — Failure to Produce Books.</p> <p>Under Bankr. Act July 1,1898, c. 541, § 3d, 30 Stat. 546, 547 [U. S. Comp. St. 1901, p. 3422], which requires a person charged with bankruptcy, who denies his insolvency, to appear for examination “with his books, papers and accounts,” a merchant is required to produce such books, invoices, etc., as should properly be kept in his business, and which are necessary to show the amount of his assets and liabilities, and his failure to do so, without satisfactory explanation, casts upon him the burden of proving his solvency.</p> <p>8. Same — Evidence on Issue op Insolvency.</p> <p>Where a portion of the stock of goods of an alleged bankrupt was destroyed by fire shortly before the filing of the petition, and his insurance thereon was unadjusted, it was competent on the issue of insolvency' to show the value of his stock before the fire as well as that remaining, and evidence was admissible to contradict or impeach his own estimates or appraisals.</p> <p>V1. See Bankruptcy, vol. 6, Cent. Dig. § 82.</p>