In the Matter of Leo Jones, Bankrupt. Leo Jones and Annie Ruth Jones v. Bank of Lincolnwood

HASTINGS, Chief Judge.

Petitioners, Leo Jones and Annie Ruth Jones, his wife, appeal from an order of the district court affirming an order of the referee in bankruptcy dismissing their petition against respondent Bank of Lincolnwood.

The district court modified the referee’s order to provide that such dismissal be without prejudice to petitioners’ right to make their claims and seek relief in the state courts.

Petitioners filed the petition, during bankruptcy proceedings against Leo Jones, seeking an order declaring a trust deed to be invalid. The trust deed was given to secure a loan by…