In re Great Western Mfg. Co.

Citations

• 152 F. 123
• 81 C.C.A. 341
• 1907 U.S. App. LEXIS 4245

Syllabus

<p>1. Bankruptcy — Trustee’s Title That of Bankrupt in Absence of Attaching or Judgment Creditors or Fraud.</p> <p>A trustee in bankruptcy stands in the shoes of the bankrupt, and has no better title than he, in the absence of fraud, or of attaching or judgment creditors at the time of the filing of the petition.</p> <p>2. Same — Unfiled Contkact op Conditional Sale Retaining Title in Vendor Valid Against Trustee in Nebraska.</p> <p>A contract of conditional sale whereby the parties agree that the title shall remain in the vendor until the purchase price is fully paid is voidable, under the statutes of Nebraska, by purchasers, attaching creditors, and judgment creditors only, if not filed in the office of the county clerk.</p> <p>It is valid against all other creditors though untiled, and hence against a trustee in bankruptcy who represents no attaching or judgment creditors.</p> <p>3. Same — Distribution—Shares op Proceeds op Mixed Property Propor- , tioned to Avalúes op Respective Owners op Property Sold.</p> <p>One who acquiesces in a sale under an order of the court of his property and the property of the estate of the bankrupt in one lot, and thereafter prays for a preference in payment out of the proceeds of the sale, is estopped from receiving a larger proportion of the proceeds than the value of his property bore to the value of the lot Sold at the time of the sale. ,</p> <p>4. Same — Voidable Preference — Contract Prior to Pour Months will Not Protect.</p> <p>A mortgage or transfer of his property by an insolvent debtor within four months of the filing of a petition in bankruptcy against him, which otherwise constitutes a voidable preference, is not deprived of that character or validated by the fact that it was executed in the performance of a contract to do so made more than four months before the filing of the petition.</p> <p>(Syllabus by the Court.)</p>