West, Oliver & Co. v. Snodgrass

Citations

• 17 Ala. 549

Syllabus

<p>1. A sale of goods by an insolvent debtor on a credit, with a reservation to the vendee of the right to rescind the contract on a specified day, is inconsistent with a fair, honest and absolute disposition of his property, and is Bubject tobe defeated by the levy of an attachment on the goods, at the instance of a creditor of the vendor, at any time before the purchase money is paid, and the vendee has elected whether he will rescind or affirm the contract.</p> <p>2. Whether the contract would be held valid, if no levy should be made on the goods, until the time arrived, at which the election was to be made, and the vendee should then determine to affirm the contract— Queue ?</p> <p>3. A deed of assignment by an insolvent debtor, whieh provides that the prefered creditors are not to enjoy its benefits, unless they accept of its provisions in full satisfaction of their debts, and that if any of them refuse to accept, they shall be excluded, and the pro rata share, to which they would have been entitled, had they accepted, shall be paid to another specified creditor, and which makes no provision as to the disposition of any surplus that may remain, in the event all the prefered creditors should refuse to accept, after paying the debt of the residuary creditor, is fraudulent and void on its face.</p>