Shell Co. of California v. Dunn

GILBERT, Circuit Judge.

The assets of the estate in bankruptcy consisted wholly of the property of the bankrupt, who, as an individual, had been engaged in business. The appellant presented a claim against the estate, based upon the liability of the bankrupt as a stockholder in a certain corporation organized under the laws of the state of California. The claim was disallowed by the referee, on the ground that it was in the nature of a partnership debt of the bankrupt, and controlled by section 5f of the Bankruptcy Act (Comp. St. § 9589), which provides: “The net proceeds of the partnership…