Southport telegraph. [volume] (Southport, W.T. [i.e. Kenosha, Wis.]) 1840-1850, 1841-08-17
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~ -'' Ptt'" -,"tIFcS, having passed Inc &c
nate, IS Of SO much Importance, that an alb
stract Of its provisions as it passed that
body, will 10 doubt be acceptable to our
readers.
THE first section establishes uniform
system Of Bankruptcy throughout the l..
States, and provides thotaIl persons owing
debts, who shall BY petition, setting forth
list Of their creditors, the amount due
each, with an inventory Of their property
Of any kind, verified by OATH apply to the
proper court, shall be deemed Bankrupt
All persons being merchants, or retailers,
all bankers, factors, brokers, Underwriters
or marine insurers; owing not less than
$1,000, shall be liablcto become bankrupls,
and may, by petition Of one or more o!
their creditors, to whom they owe not less
than $500, be SO declared in the following
cases, TO wit: in case of departure from
the State, with intent to dcfraud, having
procured himself to be arrested, or his
goods taken on execution, having removed
goods for concealment, or having traudu-
lently assigned. Any such person, how
ever, may have trial by jury TO asccr-
tain the facts.
Tbc second scctj0n declares all future
payment, made in contemplation Of bunk
ruptcy, or to prefer any creditor, fraudu-
lent and void, and the person making them
shall receive no discharge. So in case Of
voluntary bankrupt If he secures any
preference to one creditor over another, IN
contemplation Of the passage Of this law,
he shall not receive discharge, unless the
majority Of the creditors assent to it.
By section third, all property Of every
description, Of every person declared Il
bankrupt, cXccp! as is hereinafter pro-
vided, shall be pse facto Invested out
Of the bankrupt, and the same shall b.
vested in such assignee as shall DO APP
pointed by the court-exccpt such neccs-
sary household and kitchen furniture OF
the bankrupt, as ASST gnce shall designate,
having reference in the amount to the IA
miIy and condition Of tho bankrupt, but in
no case to exceed in value $500, and also
the necessary wearing apparel on exccp-
ton being taken to the determination OF
he assignee, the matter TO be decided by
the court. Suits pending by the bankrupt
shall be continued by the assignee, and no
suit by or against an assignee shall abate
by death Of assignee.
The fourth section provides that every
bankrupt, who faithfully complies with the
provisions Of the act, shall be entitled TO a
full discharge from all his debts, and Ger
titicatc to that effect granted him; not how
ever, within 70 days Of the decree being
granted, nor till 70 days notice shall have
been given to all the creditors TO appear
and show cause why the certificate should
not be granted. Such bankrupt shall at all
times be subjected to examination orally,
or upon written heterogeneous, before
such court, on oath i'll all matters relating
to such bankruptcy, which are necessary
for the purpose o! justice. II in any case
Of bankruptcy, majority, in number and
value, Of the creditors who shall have
proved their debts shall at the time Of hca-
ring of the petition for a discharge file
their written dissent to the allowance Of a
discharge and certificate to such bankrupt
or it, upon such hearing, a discharge shall
not be decreed to him, he may demand a
trial by jury, upon proper issue 10 be dl
rectGd by the court, or he may appeal from
that decision To the Circuit Court. And ii
upon full hearing, il shall be found by the
court or Jury, that the bankrupt has, in all
things, complied with the acquisitions OF
this act, the court snail decree his dis
charge.
Section fGh, provides that creditors CO.
ming in and proving their claims, shall be
paid pro ratd, and no preference shall be
given except for debts due the | nited States
and laborcrs in the service Of the bank
rupt, when those of the latter shall not ex.
81 nof ftItt Il
shall have their value asccrtained and al
lowed.
The sixth section, gives the Distric
Court jurisdiction in all matters arising
from this act. The Court to regulate the
forms of proceedings and tho fees
The Scrcnh section provides thoto pro-
cecdIngs shall take place in the dstrc
where tho bankrupt resides.
BY section cighth, the Circuit Court has
concurrent jurisdiction with the District
Courts of suits brought by the assignee
against persons claiming an adverse int.
rest, or by such persons against the
assignee, touching any property or rights
of property Of the bankrupt transferable to,
or invested in, the assignee, all such suits
barred after two years from date of the
bankruptcy.
Section ninth provides that all sales by
the assignee, shall be made rs ordered BY
tho Court, and all assets paid into Cour
within sixty days Of the time of their re.
ceipt, and the assignee shall give bond,
for the faithful discharge Of his duties.
Section tenth requires the collection OF
assets, to be made speedily as the Interests
of the creditors will allow, and distribu-
ZION of them TO be made every six months,
and ali proceedings shall be closed, proc-
ticable in two years.
Section cleremh gives the assignee
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