Miller Rubber Co. v. McKennon
Supreme Court of Arkansas
Appeal from Sebastian Chancery Court, Ft. Smith District; J. V. Bourland, Chancellor; An insolvent debtor may prefer one creditor, over another, if the transaction is in good faith and the consideration is not palpably inadequate. 56 Ark. 414; 28 Id. 32; 31 Id. 666; 26 Id. 20; 12 R. C. L., par. 91 and 95. The rule applies to corporations as well as to persons. 59 Ark. 562. The burden is on the protesting creditor to establish fraud. 18 Ark. 123. A pre-existing debt affords a…
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Appeal from Sebastian Chancery Court, Ft. Smith District; J. V. Bourland, Chancellor; An insolvent debtor may prefer one creditor, over another, if the transaction is in good faith and the consideration is not palpably inadequate. 56 Ark. 414; 28 Id. 32; 31 Id. 666; 26 Id. 20; 12 R. C. L., par. 91 and 95. The rule applies to corporations as well as to persons. 59 Ark. 562. The burden is on the protesting creditor to establish fraud. 18 Ark. 123. A pre-existing debt affords a good consideration for a preference by an insolvent debtor. 20 S. W. (Ark.) 807; 63 Ark. 232; 56 Id. 414. A contract…
1Opinion of the CourtHumphreys, J.
This is an appeal from a decree of the Sebastian Chancery Court, Fort Smith District, denying the prayer of an intervention by appellant for automobile tires, or the proceeds thereof, sold to the Fort Smith Tire & Rubber Company, which intervention was filed by appellant in a suit instituted by Charles McKennon against the Port Smith Tire & Rubber Company in said court to conserve its assets for the benefit of its creditors and stockholders and to prevent further dissipation of its assets through the alleged reckless and extravagant management of its affairs by its officers. The suit…
2Cases cited1 opinion
- Sternberg v. City National Bank of Fort SmithSupreme Court of Arkansas · 1921
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