Hurlbut v. Johnson

Citations

• 74 Ill. 64

Syllabus

<p>1. Pabtnebship property must first be applied to payment of firm debts. Where a merchant sells an interest in his stock of goods to another who becomes a partner in the business, debts contracted by the new firm must first be paid out of goods afterward purchased before any portion of them can be taken for debts of the former, and only his interest in such of the old stock as remains on hand until levied upon, can be appropriated to the payment of his prior debts.</p> <p>3. On a bill to subject partnership funds to the payment of partnership debts, if it appears that any portion of the property on hand had belonged to one of the partners before the formation of the partnership, and was at that time put into the partnership business by him, his individual prior creditors will be entitled to have his interest in such property as is still on hand, and can be identified, appropriated to the payment of executions against him, which have been levied on the entire stock before the filing of the bill, but nothing more.</p>