Herald of the times. [volume] (Newport, R.I.) 1830-1846, 1841-09-02
WHOLE No. sos.

any prnrfy or preference whatsoever, ex.
cept only debts due by him 10 persons wi %,
by the laws Of The United States, have
preference, IN consequence Of having paid
moneys as bic sureties, which shall first b,
paid out Of the assets and any person who
shall have performed any labor as an opera
tive in The. service Of any bsukrspt shah bo
entitled to receive the full amount of Tho Wa
ges due 20 him for such labor. not exceeding
twenty-Sve dollars Provided, that such Ia.
tor shall have been performed within six
months next before the bankrnctey of his
employer; and oil creditors whose debts arc
not due aud payable until a future day, all
annniisnts, holders Of botiomry and rcspou.
dentia bonds, holdcrs Of policies Of insurnn.
ces, surenes, eDdorscrs, bail or other persons,
(, having uncertain or contingent demands
against such bankrupt, shall be permitted 4.
come IN and prove such debts or claims under
this act, and shall have n right when their
debts aud claims become absolute, 10 hssu
the same allowed them aud such aBSuitants
aud holders OF debts payable in future may
have the present value thereof aseertaineJ.
under the direction Of such court, and allow.
ed them accordingly, as debts in present.
and 10 creditor or other person, coming ~
and proyIAg his debt or other claim, shal 10
allowed to maintain any suit st law Or i1
equity therefor, bot shall be deemed thereby
to have waived all right of action aud sui,
against such bankrupt, ana oh proceedings
already commenced, and all unsaiis6ed indg>
ments already obtained thereon, shalt be-
deemed To be surrendered thereby; und IN all
cases where there are mutual debts or mutunt
credits between tue parties, the balauce a..ly
shall he dcerncd the troe debt or clam be,
tween them. and the residue shall be- deemed
adj Isted by the set off all such proof Of
debts shull be made before the court decree
ing the bankruptcy, or before some commits.
sioncr appointed by the court for that pur-
pose, but such court shall have full power Ia
set aside aud disallOw any debt, upon proof
that such debt is founded in fraud, impositi0n.
illcgnlity or mistake and corporations Ia
whom any debts are due may make proof
thereu! By their president, cashier, treasurer,
or other officer, who may be speehby ap>
pointed for that purpose and in appointing
commissioners TO receive proof Of debts, and
perform other duties, under the provisions "f
this act, the SAID court shul uppon, such per-
sons as have their residence iu The county il
which the bankrupt lives.
! SIC. g. ind be Il further enacted. That tho
district Court in every district shall have jus
risdictioD in all matters and proceedings ~
bankruptcy arising under this act and any
the subject Of bankruptcy the said fisl.aic>
ton to be exercised summarily, in the nature
OF summary proceedings IN equity; and for
this purpose the said district court, shall DO
decmed always open. and the district Judge
may adjourn any point or aGeslian arlsisg Ia
any case IN bankruptcy into thc CIRCUIT court
for the district In his discretion, 10 he tht 70
heard and determined; and for this pupp,se
the circuit court Of such district shall also bo
decme always open. And the jurisdiction
hereby conferred on the district ooUa shaN
extend TO oil cases and controversies iB bank
ruptcy arising between the bankrupt and any
creditor or creditors who shall claim any debt
or demand under the bankruptcy; to oil cases
and controversies between such creditor or
creditors and the assignee of the ea,a,O,
whether in office or removed; TO all cases
and controversies between such assignee aud
the bankrupt, and TO all acts, matters. and
things to be done under and in virtue OF the
bankruptcy, until the final distribution aud
settlement Of the estute of the bankrupt mud
the close Of the proceeding in bankruptcy
A nd the said courts shall have fIll authority
and jurisdiction TO compel obedience Ia oit
orders and decrees passed by them in bank.
ruptcy, by process Of contempt and othcr
remedial process, to the same extent the clr-
Quit courts may now do in any suit penIing
therein in equity. And u shall be the duty
of the district court ip each district, from tns
To time, TO prescribe suitable rules and regu,
lations and forms of proceedings in all nat-
ters Of bankruptcy; which rules, regulations,
and forms shall be subject to be altered, nd.
ded TO, revised or annulled, by the ciront
court Of the same district, aud other rules,
and regulations, and forms substituted thera-
for; and in all such rules, regulations, and
A. LII l.. - Al.
10 make them as simple and brief as pra,ica-
Bile, to the end to avoid all unnecessary cx.
penscs, aud to facilitate the use thereof Ly tho
public at largo, Aud the said ooar,s shall,
from time to ,imo, prescribe tariff or ia5le
,i fees aud charges, To be taxed by the oitt-
;ers Of the court or other persons Tor services
under this act, or any other on the subject or
bankruptcy; which fees shall be as how as
practicable with reference to the nature and
character Of such services.
SEC. z. .4ad be IL further enacted. That all
petitions by aGy bankrup, ior the heIoit of
h.s act, and all petitions by creditor against
any bankrupt under this act, end all proceed,
ngs in the case to the close thereof, shall b.
had in the district court within and Tor ihe
district IN which the person supposed to be q
bankrupt shall reside, or have his place at
business at the time when such petition II
hlcd, except where Otherwise pTOVlueu Nv
this act And upon every such petition, no
ice thereof shall be published in one or moro
public newspapers printed IN sucil dis,rirt,
10 be designated by such court, al least twenty
lays before tho hearing thereof; aud all per,
IONS interested may appear at the tine s"d
,lace where the hearing is thus to be had,
md show cause, il any they have, why tho
'rayer al the said petitioner should Rci h.
granted; all evidence by witnesses 10 be used
u all hearings befoie such court shall be
Indcr oath, or solemn affirmation, when ,hn
,arty is conscicntionsly scrupulous of taking
IN outh, aud may be oral ar by deposllloih
AIKEN before such court, or before any COM
missioner appointed by such court, or before
my disinicrestcd State Judge oi the State w
which the deposition is taken, and oil proof
,f debts or other claims, by creditors entiled
10 prove the same by this act, shall ho under
oath Of solemn affirmation as aforesaid, before
such court ur commissioner appointed there
BY, or before some dIsintcrestcd State Judge
of the State whcro the creditors live, ~ such
torm rs may be prescribed by the rules aud
regulations bcrclHbeiore authorized 10 ba
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