In re Koslowski

Citations

• 153 F. 823
• 16 Pa. D. 943
• 1907 U.S. Dist. LEXIS 307

Syllabus

<p>Bankruptcy — Award of Arbitrators — Bien Acquired by — Subsequent Judgment Confirming It Witiiin Four Months of Bankruptcy — Collusion — Costs.</p> <p>A creditor of a bankrupt, some nine months prior to the bankruptcy of the defendant, obtained an award of arbitrators in a pending suit, which under the law of the state became a lien from its entry on the defendant’s real estate. The defendant moved to have it stricken off because of irregularities, and later took an appeal within the time limited by law, by which the ease was brought back into court, and upon trial before a jury succeeded in materially reducing the amount recovered. Thereupon the plaintiff moved for a new trial, but before it was disposed of the parties got together and agreed that the verdict should be amended so as to stand for the amount of the award, without interest, and that judgment should be entered thereon, which was done. Six days later the defendant became a voluntary bankrupt. Held that, the lien of the award having attached more than four months prior to bankruptcy, it was entitled to bo paid out of the proceeds of the bankrupt’s real estate, notwithstanding that the judgment confirming it was obtained within that period and that the award was ineffectual without it, the judgment for this purpose not being one that is denounced by the bankruptcy act or in conflict with it; nor was this affected by tlie fact that the judgment was by confession, the remedy, if there was collusion, being by rule to open, or by bill directly attacking it. Held, further, however, that payment should be limited to the amount as,.settled by the judgment, without costs, except such as were made in obtaining tlie award.</p>