Burgess v. Simpson Grocery Co.
Supreme Court of Georgia
Petition for injunction and receiver. Before Judge Wright. Eloyd-superior court. October 27, 1906. The Simpson Grocery Company and others filed an equitable petition, alleging, that J. M. Burgess and R. J. Burgess, doing business under the firm name of Burgess & Brother, carried on a mercantile business; that J. M. Burgess represented to plaintiifs and other creditors that the firm was unable to pay its debts in full, stating that they were indebted in various amounts,…
Read the full summary
Petition for injunction and receiver. Before Judge Wright. Eloyd-superior court. October 27, 1906. The Simpson Grocery Company and others filed an equitable petition, alleging, that J. M. Burgess and R. J. Burgess, doing business under the firm name of Burgess & Brother, carried on a mercantile business; that J. M. Burgess represented to plaintiifs and other creditors that the firm was unable to pay its debts in full, stating that they were indebted in various amounts, aggregating about $3,300, and, at the time, executed an agreement which purported to convey to their creditors all of the…
1Opinion of the CourtCobb, P. J.
(After stating the facts.)
1. Adjustments of controversies between parties are favored by the law, and' compromises, when founded upon a sufficient consideration, will generally be upheld. A debtor, however, must deal in the utmost good faith with his creditors; and while a composition with creditors is not only allowed but favored, if the debtor misrepresents or suppresses any material fact in the statement of his affairs, either as to the amount of his property, or of his indebtedness, the composition is void. Civil Code, §2692; Saul v. Buck, 72 Ga. 254; 8 Cyc. 463; 6 Amer. & Eng. Enc. of…
2Cases cited5 opinions
- Hefter v. CahnIllinois Supreme Court · 1874
- Cobb v. FoggMassachusetts Supreme Judicial Court · 1896
- Cobb v. TirrellMassachusetts Supreme Judicial Court · 1884
- Saul v. Buck, Hefflebower & NeerSupreme Court of Georgia · 1884
- Lewin & Co. v. Thurber & Co.Supreme Court of Georgia · 1878
3Cited by4 opinions
- Mendenhall v. StovallSupreme Court of Georgia · 1940
- A.A.A. Parking, Inc. v. BiggerCourt of Appeals of Georgia · 1966
- Dicks v. AndrewsSupreme Court of Georgia · 1909
- Daniel v. ChastaineSupreme Court of Georgia · 1933