In re Dundas

Citations

• 111 F. 500
• 1901 U.S. Dist. LEXIS 84

Syllabus

<p>Bankruptcy—Preference—Rioht to Retain.</p> <p>An insolvent, within four months prior to his bankruptcy, borrowed $100 from one to whom he previously owed $75, and gave him an order on a third person for the entire amount, which order was accepted, and after the debtor’s bankruptcy was paid. Held that, upon a finding that the creditor had at the time no reason to believe the debtor insolvent, he was entitled to the money so paid; the $100 being the proceeds of a security taken for a present consideration, and the $75 a preference, which, because innocently received, the creditor could not be compelled to. surrender.</p>