Payne v. Matthews
New York Court of Chancery
This case came before the court upon an application to dissolve an injunction. The bill was filed by S. Payne, a surviving copartner of Samuel Payne & Co. against the personal representatives of J. Bissel, junior, a deceased partner, to settle the partnership concerns and to restrain the. defendants in the meantime from distributing the proceeds of the separate property of the decedent among his separate creditors, to the exclusion of the balance claimed to be due to the…
Read the full summary
This case came before the court upon an application to dissolve an injunction. The bill was filed by S. Payne, a surviving copartner of Samuel Payne & Co. against the personal representatives of J. Bissel, junior, a deceased partner, to settle the partnership concerns and to restrain the. defendants in the meantime from distributing the proceeds of the separate property of the decedent among his separate creditors, to the exclusion of the balance claimed to be due to the complainant on account of the partnership transactions, and for debts of the firm which he had been compelled to pay since…
1Opinion of the Court
The Chancellor.
The rule appears to be well settled that in a case of insolvency, the joint creditors of a copartnership are entitled to payment out of the property and effects of the firm, in preference to the separate creditors of the individual copartners ; and that such separate creditors have a corresponding right to a priority in payment out of the individual estate of the copartners, in case of the death or bankruptcy of the latter so that such estate cannot be reached by the partnership creditors by an execution at law. (Wilder v. Keeler, 3 Paige’s Rep. 167. M’Cullock v. Dashiell, 1…
2Cited by9 opinions
- Francisco v. FitchNew York Supreme Court · 1857
- Martine's EstateNew York Surrogate's Court · 1882
- Gillaspy v. PeckSupreme Court of Iowa · 1877
- Greene v. DayNew York Surrogate's Court · 1882
- Harris v. PeabodySupreme Judicial Court of Maine · 1881
4 more not listed; retrieve them via the Exa API.