Haas v. Whittier

Citations

• 97 Cal. 411
• 32 P. 449
• 1893 Cal. LEXIS 556

Syllabus

<p>Insolvency — Preference of Creditor — Fraudulent Intent — Questions of Fact. — The question of the intent of an insolvent debtor to make a fraudulent preference of a creditor, forbidden by the Insolvent Act, is a question of fact, and not of law.</p> <p>Id. — Transfer out of Usual Course of Business — Presumption — Counter-evidence ■— Bona Fide Intention. — Where the transfer by an insolvent debtor to a creditor is not made in the usual and ordinary mode of business, the transaction is presumed, prima facie, to be a preference, not allowed by section 55 of the Insolvent Act; but such presumption may be overcome by counter-evidence showing that no preference of the creditor over other creditors was intended, but that the insolvent intended bona fide to treat all of his creditors alike.</p> <p>Id. —Transfer of Goods to Pay Debt — Evidence of Intent — Special Verdict — Hew Trial. —In an action by the assignee of an insolvent debtor to set aside a transfer of goods to a creditor in payment of the debt, where there is no evidence of a fraudulent preference, except that the transfer was not made in the usual course of business, and the uncontradicted evidence of the insolvent and of the agent of the creditor showed that there was no intention to make or secure a preference oves? other creditors, but both parties intended that all the creditors of the insolvent should share alike, the prima facie presumption which the law makes from the unusual nature of the transaction is done away with; and it is error for the trial court to set aside a special verdict of the jury, finding that the transfer was not made with a view to give a fraudulent preference, and that the creditor had no cause to believe that it was made with such view, and to grant a new trial for insufficiency of the evidence to sustain such special findings.</p> <p>Id.—Special Findings Control General Verdict.—The special findings of the jury against the fraudulent intent of the parties to the transfer will co