Thomas v. Fletcher

Citations

• 153 F. 226
• 1907 U.S. Dist. LEXIS 276

Syllabus

<p>.1. Bankruptcy — Fraudulent Transfers.</p> <p>A transfer of a merebant’s stock and all bis attachable property to bis wife for a nominal consideration for tbe purpose of preventing tbe levy of attachments, more than four months prior to the filing of a bankruptcy petition against him was fraudulent, and subject to be set aside at the instance of the trustee.</p> <p>2. Fraudulent Conveyances — Transfer to Wife — Consideration.</p> <p>A bankrupt and S. acquired the right to remove the timber from certain land, each paying $500, which they obtained from a bank on their joint and several unsecured note. The last renewal note signed by the bankrupt matured October 1, 1905, a month after he transferred his interest in such timber to his wife, while insolvent. She testified that the bankrupt .was desirous of surrendering to S. all right in the timber, but that she objected, and that the consideration for such transfer was her agreement to substitute her name on the note to the bank, instead of that of the bankrupt, which was subsequently done. Held, that the consideration for such transfer was insufficient to support it, but that the same was fraudulent as against the bankrupt’s creditors.</p>