In re Estate of Raley

Citations

• 123 Cal. 38
• 55 P. 790
• 1898 Cal. LEXIS 980

Syllabus

<p>Insolvency—Accounts of Assignee—Money not Received.—The assignee of an insolvent debtor cannot be properly charged with money which never came into his hands, if it does not appear that it was lost to the estate through his fraud or negligence.</p> <p>Id.—Mistake in Bookkeeping.—A mistake made by such assignee in bookkeeping, in charging himself with the full amount of moneys collected by former assignees for the benefit of creditors, and crediting himself with moneys paid out by them for attorneys’ fees, instead of charging himself only with the net amount of money received by him from them, does not render him liable for moneys not received. It is error to strike out the allowance for attorneys’ fees, and still to charge the assignee of the insolvent with the full amount received by the former assignees, without any deduction.</p> <p>Id.—Expenditures Incurred by Assignee.—The assignee of an insolvent debtor is to be credited, under section 32 of the insolvent act of 1895, with “all necessary expenses incurred by him in the care, management and settlement of the estate;” and it is incumbent on the assignee to support his right to be reimbursed for expenditures made, by a showing such as will bring them within the purview of that provision.</p> <p>Id.—Allowance of Commissions—Quarterly Account—Preferred Demand.—The assignee of an insolvent debtor is entitled to the allowance of commissions on money accounted for in his quarterly account, as a preferred demand upon the fund in the hands of the assignee, to be satisfied before the funds are used to pay creditors, and only the surplus should be distributed pro rata among the creditors.</p> <p>Id.—Itemization of Accounts—Power of Court—Reference.—The court has power to require the assignee to itemize his account; and it may, in its discretion, refer the account to a referee for hearing and report.</p>