Wilson Cotton Mills v. Randleman Cotton Mills

A vbky, J.:

It is contended for the plaintiffs that while this Court correctly held that the judgment- could not be vacated unless by “ a direct proceeding to set it aside for fraud ” and that courts of equity must “ refuse aid in cases when their action would be tantamount to appellate jurisdiction ” exercised in the correction of errors of law, it erroneously concluded in violation of that principle that they should not be permitted “ to have a preference over other creditors.”

It is a genera] rule that equity will, in the distribution of a fund amongst creditors, respect “ priorities…