In re Goodhile

Citations

• 130 F. 471
• 1904 U.S. Dist. LEXIS 264

Syllabus

<p>1. Bankruptcy — Provable Claims — Surrender op Preference.</p> <p>Under the provisions of Bankr. Act July 1, 1898, c. 541, § 1, cl. 15, 30 Stat. 544 [U. S. Comp. St. 1901, p. 3418], that “a person shall be deemed insolvent within the provisions of this act whenever the aggregate of his property * * * shall not, at a fair valuation, be sufficient in amount to pay his debts,” the fact alone that the indebtedness of a retail merchant to a wholesale house is past due when a payment is made thereon does not give the creditor reasonable cause to believe the debtor to be insolvent, and that it was intended to give a preference, so as to render the payment a voidable preference, which, if made within four months of bankruptcy, is required by section 57g, as amended by Act Feb. 5, 1903, c. 487, 32 Stat. 799 [U. S. Comp. St. Supp. 1803, p. 415], to be surrendered by the creditor before proving his claim.</p>