Jones, McDowell & Co. v. Ark. Mech. & Agl. Co.
Supreme Court of Arkansas
APPEAL from Pulaski Chancery Court. Hon. J. R. Eakin, Chancellor. “"While the law permits an insolvent debtor to make choice of the persons he will pay, it denies him the right in doing it to contrive that other creditors shall never be paid, or to use the debt of the preferred creditor as a colorable consideration to screen and protect his property from their claims, or to delay,. hinder and embarrass them in the enforcement of their demands.” Bump. Fraud.
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APPEAL from Pulaski Chancery Court. Hon. J. R. Eakin, Chancellor. “"While the law permits an insolvent debtor to make choice of the persons he will pay, it denies him the right in doing it to contrive that other creditors shall never be paid, or to use the debt of the preferred creditor as a colorable consideration to screen and protect his property from their claims, or to delay,. hinder and embarrass them in the enforcement of their demands.” Bump. Fraud. Gonv., 189; Gook v. Gook, 43 Md., 522; Young v. Hermans, 66 N. Y., 374. Any secret trust in favor of the Association or its stockholders…
1DissentHarrison, J.
I am unable to concur in the-opinion in this case.
I think, if there might be a sale of the property, if the-appellants be not paid, as is directed, that the $4,000 paid by-Weeks in the purchase of it at the foreclosure sale, ought, before their claims are satisfied out of the proceeds, to be refunded to the Arkansas State Fair Association. As to so-much thereof as went to satisfy the decree, it seems to me clear beyond question ; and if the appellants had no liens,, as the opinion holds, it is equally so, as to the remainder.
I am, however, of the opinion that they did have liens.. No…
2Cases cited6 opinions
- Thornton v. LaneSupreme Court of Georgia · 1852
- Forbes v. . WallerNew York Court of Appeals · 1862
- Bowen v. ParkhurstIllinois Supreme Court · 1860
- Renaud v. . O'BrienNew York Court of Appeals · 1866
- Sperling v. LevyNew York Court of Common Pleas · 1860
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