Lynchburg Virginian. [volume] (Lynchburg [Va.]) 1829-185?, 1842-02-24
THE BANkRUPT LAW.


snbled, That there be- and hereby established through
out the Cnitcd States uniform system Of bankruptcy As
follows: All persons Whatsoever residing any State.
District, OF Territory of the ned States, owing debts
which shall not have been created IN consequence oi
defacatn rs public officer. or As executor adm'nsira
ltor guardian. trustee while acting any other II
ducary capacity, who shall, 10y petition setting forth 10
tho best OF his know ledge and belief. list of his OF
their creditors their respective places o residence, and
the amount due each. together with accurate nscn
tory OF his their property, rights and credits. oi every
name, kind, and description, and the location and sua
ton OF each and parcel and portion thereof verified
by oath or. if couscenously scrupulous OF taking an
OATH by solemn Affirmation apply to the proper court As
hereinafter mentioned, for the benefit oi this act, and
therein declare themselves 10 bo unable their
debts and engagements, shall be deemed bankrnrts with
IN the puryiew OF this act. and be declared ac
cordlngy by decree of such court. All persons being
merchants, using the trade OF merchandise all retail
OF merchandise. and all bankers. factors. brokers,
derwrters insurers. ing debts To the amonnt
OF not loss than two thousand dollars, shall he liable Ia
become bankrupt within the true intent and meaning OF
tins act, and may, upon the petition o one ar more al
their creditors 10 HON they debts amounting IN the
whole less than five hundred dollars. tho appo
pirate court. be- declared accordingly in the following
cases. 10 wit: whenever such person, being merchant
actually using the trade OF merchandise or being
taller Of merchandise or being banker factor. broker
underwater. or maine insurer, snail depart rln the
State District Territory Of which he nhabltant
with intent To dcraud his creditors, shall conc' nj
himself 10 avoid beng arrested; or shall Willingly of
iraudulcntly procure himself To be arrested OF his goods
and chaels lands or tcncments, 10 he attached. DIS
trained sequcsered. taken IN execution or by other
process make any fraudulent anoe. assignment
sale gift, other transfer of his lands cnemcns goods
or clattels, credits evidences OF debt itotded,
ho,rcrcr That person declared bankrupt at the
instance of creditor may, al his election, ~ PETITION 10
such court within ten days after It's Decree bo entitled To
trial by jury before such court TO ascertain the fact OF
such bankruptcy OF II such person shall reside at great
distance from the place OF holding such court the SAID
Judge in his discretion, direct such trial by jury to
he had IN the county Of such persons residence. IN such
manner and under such directions the said court may
prescribe and give and all such DEGREES passed by such
court, and not examined shall he deemed final and
conclusive as 10 the subject matter thereof.
Sec. . .iud be II ttrl!er enacted, That all future
raymentt securities, conycyances, or transfers OF pro
pery, agreements made vcn by any bankrupt IN
contemplation OF bankruptcy and for the purpose al CIV
ing creditor endUIscr, surety or other person ANY
pref renee p r;ty the general creditors OF such
r,nslu,, and ell other --"ncnts: srcuf"s, confeyan-
ces or transit r. Of property. or agree ns made or CIV
IN ly such bankrupt in conem atIon of bankruptcy, 10
any person persons whatever not beng b,na hdc
creditor purchaser for a valuable considcran without
notice shall be deemed uttcr void, and fraud upon
this act, and the assignee under the bankruptcy se hc
entitled To claim Cor, recover. and receive HE same
part Of the of bankruptcy and the rCF ma
king such unlaw lul preferences and payments 81 al" re
cciyc no discharge under the provisions oi thus act io
ridcd That all dealings and transactions by and Wth
bankrupt bona fe made and entered INTO more than
two months before the petition filed against hn. or ~
him. shall not be- nyaldatcd affected by ihle act TO
ridd That the other party 10 any such dcanpNot trans
actions had no notice Of pricr act Of BANKRUPTCY, cr o
the intention Of the bankrupt To take the benefit g tins
act And in ii shall be made to appear 10 the court
in the Of the proceeding bankruptcy, that Tho
Bankrupt, his application beng voluntary. has, subsr
qucnf, the first day Of January last al any other
tlmc, in contemplation Of the passage Of Ian hrupi law
by assignments otherwise, given or secured any pre-
ference 10 creditor another, he Shall not receive
discharge unless the be asscnted 10 by majority
in interest Of those Of his creditors who have not been 81
preferred: ind proracd also That nlhng in this act
contained shall be construed TO annul. destroy. I'M
pair any lawful rights of married women minors, or
any liens mortgages other securities property.
real personal which may be valid by the laws Of the
States respectively and which arc not inconsistent
with the provisions Of the second and fifth sections Of this
act.
Sec 81 .4nd be II further enacted, That all the pro
pcrty and rights Of property, OF every name and nature
and whether real personal mixed, OF every bankrupt
except hereinafter provided who shall by decree
of the proper be declared to be bankrupt within
this act. shall by operation of law so iscio irpn
the time OF such decree be deemed 10 be Invested ont OF
such bankrupt, without any other act assignment, or o
ther conveyance Whatsoever; and the shall be- vest
ed BY force Of the decree IN such assignee as from
time to time shall be aploincdby the proper court Tor
this purpose, which powered appointment and removal
such exercise al It's discretion, totes quotes
and the assignee SO appointed shall be vested with all
the rights titles powers and auhor,csto sell ,manage
and dispose Of the same and Ia for and defend the
same subject the orders and directions OF such court
fully, to all nens and purposes as II the same were
vested n or might be exercised by such bankruptbcore
or al the time OF his bankruptcy declared az Aforesaid
and all suits in law in equity, then pending IN which
such bankrupt as party. may be prosecuted and de
Tended by such assignee their final conclusion IN the
same way and with the effect, theymght have
hupn Inv hank rupt no