In re Monsarrat

Citations

• 3 D. Haw. 641

Syllabus

<p>Banlcruptcy — Sale of property — Inadequacy of price — Appraisal, necessity of — Disposition of property on setting aside sale: While the want of an appraisal does not necessarily invalidate a sale by a trustee of property of a bankrupt’s estate, and a sale for a reasonable price, without appraisal may be confirmed, a private sale without appraisal for one hundred dollars, though ordered by the referee, of property which was worth five hundred dollars and which would probably have brought that, sum at public auction, not allowed to stand unless the purchaser pays to the trustee the difference in value, with interest.</p> <p>As the alternative, the purchaser may return the property and have back the purchase price with interest, the property to be sold by the trustee at public auction after due advertisement; provided, that if the funds of the estate shall be sufficient to pay the claims allowed and proper costs and expenses of administration, the property to be returned to the bankrupt.</p> <p>Same — Sale of property — Notice to creditors:. Under the law requiring that notices to creditors “ shall be addressed as specified in the proof of debt,” notice sent to a creditor whose name and address appear in the bankrupt’s schedule of liabilities, is not notice to an assignee of the creditor, whose proof of claim, containing his address, was duly filed with the referee; unless the notice sent to the assignor reaches the assignee.</p> <p>Same — Administration of estate — Collection of assets — Trustee’s duty: The trustee’s failure to use proper efforts to realize upon collectable debts due the estate, subjects him to the risk of being surcharged to the extent of their value less reasonable costs and expenses of collection.</p> <p>Same — Administration of estate — Payment of taxes — Trustee’s duty: The trustee’s failure to pay taxes, when having in hand sufficient funds, by reason whereof the estate is subjected to interest and penalties, renders him liable to be surcha