Maxwell v. Davis Trust Co.

Robihsout, Judge:

'Plaintiff is a trustee in bankruptcy. Defendants are creditors to whom the bankrupt paid debts in cash' within four months prior to the filing of the petition in bankruptcy, and at a time when defendants knew the bankrupt to be insolvent. By this equity suit in the state court, plaintiff seeks to- recover from defendants the sums so paid, for the benefit of the bankrupt estate. It is alleged that the payments constitute illegal and voidable preferences, recoverable by the trustee, under the national bankruptcy act. On demurrer, the circuit court dismissed the bill. Was that…