T. H. & J. M. Allen & Co. v. Montgomery

Citations

• 48 Miss. 101

Syllabus

<p>1. Chancery — equitable assets — creditor at large. — A creditor at large cannot, in a court of chancery, reach equitable assets of his debtor, nor can he assail a conveyance of the debtor’s property fraudulently made.</p> <p>2. Chancery — lien—advances by merchant. — The advance by a cotton factor or commission merchant of money and supplies to a planter to facilitate the production of a cotton crop, upon an express parol agreement that the cotton grown shall be shipped to the morchant to discharge the debt thus created, does not create a lien upon the cotton in favor of the merchant.</p> <p>3. Chancery — attachment.—The only conditions upon which an attachment in chancery may be sued out are, the absence of the debtor from the state, or his absconding and the presence here of effects belonging to, or a debt due, him, or that he owns lands and tenements here.</p> <p>4. Bankruptcy — property fraudulently conveyed. — Property conveyed by a bankrupt in fraud of his creditors, becomes vested by operation of law in his assignee for the benefit of his creditors, and he alone has the right to reach and subject it to the payment of debts.</p> <p>5. Same — fraudulent conveyances. — The fraudulent conveyances referred to in the 14th section of the bankrupt act are such as are fraudulent at the common law, or such as arc so denounced by state statutes, as distinguished from those in fraud of the act itself.</p> <p>6. Same — jurisdiction—state courts. — Creditors cannot, in a state court, pending the administration of an insolvent’s estate in a bankrupt court, appropriate property •fraudulently conveyed by the bankrupt, exclusively to their debts.</p> <p>7. Same — effect oh fending suits ih state courts. — The effect of bankruptcy on suits pending in the state courts is to stay or suspend them. The plaintiffs in such suits may, with the leave of the bankrupt court, prosecute them to judgment, but with the single purpose of determining the amount due.</p> <p>8. Same — seizur