Talcott v. Dudley

Citations

• 5 Scam. 427

Syllabus

<p>Appeal from Dupage.</p> <p>i. Bankruptcy — title of assignee. It is a well settled principle of law, that by a decree of bankruptcy, the assignee succeeds immediately to all the rights and interests of the bankrupt, to just the same extent that the bankrupt himself had them, and subject to and affected by all the equities, liens, and encumbrances existing against them in the hands of the bankrupt. The assignee is not a bona fide purchaser for a valuable consideration, but he rather acquires a title by operation of law; and the title comes into his hands in no more perfect a condition than it left the hands of the bankrupt. Indeed, the assignee maybe considered rather as a volunteer, [*428] than a purchaser, and takes the title divested of no lien or equity previo :sly created, either by operation of law, or the act tf the bankrupt, (a) </p> <p>2. Same — same—possession. But although the assignee succeeds to all the legal title of the bankiupt, still he does not, in all cases, succeed to all his rights of possession, and paiticularly so in case of the bankruptcy of one member of a partnership. By the decree of bankruptcy, the partnership is dissolved, and that which was a joint tenancy between the former membeis of the firm, becomes a tenancy in common between the remaining partner and the assignee; and, unlike the ordinary case of a tenancy in common, where both tenants are entitled to the possession, the remaining partner alone is entitled to the possession, disposition, and control of the partnership effects, and the assignee is only entitled to ati account of the bankrupt’s share of the pannership effects, after the pa>ment of the partnership debts.</p> <p>3. Same — same—partnership assets. By the decree of bankruptcy the bankrupt partner becomes civiliter mortuus. so far as the partnership effects and creditors aie concerned, and the assignee becomes the personal representative of the bankrupt, like an executor or administrator, and, as in case'of the death o