Vermont watchman and State journal. [volume] (Montpelier, Vt.) 1836-1883, 1842-02-21
THEBANKRUPT ACT.

established throughout the United states UNI
form system bankruptcy follows All persons whatsoevet
residing any STATE District! or Territory Of theuned States
owing debts which shall have been created in consequence
of dceaton as public Officers or as executor admn'Iaor
guardian rusoc while acting in any other hducny cap
knowledge and belief list OF his or their creditors, their
specye places of residence and the amount duo to each To-
and CREDITS of every name, kind, aud descriptions and the Local
on and situation OF o9ch and every parcel anH POTION
a by solemn affirmation apply to S oS md therein de-
clare themselves to be unable to their debts and opgage
ments shall be deemed bankups within the purvew OF us
and may be declared accordingly by decree OF uoh
All persons, being merchants using the trade Of me
chonde ali retailers Of merchandise aud all bankers factors
brokers, underwriters or marine insurer, o"hs 11u ~
amount of less than two thousand dollars shall be liable TO
become banktuls within the true intent ana eSng o. s a
whom they de amounting in the whole to not less than
following cases witt whenever such person, being
chant or actually using the trade of merchandise being re-
writer, insurer shall depart from the State, District,
Territory of which he is an nhabitan with intent deaud
creditors shall himself avoid being arrested
or h Goods md cbae lands or oncments TO be attached
his goods hae and effects, conceal them to prevent their
any fraudulent conveyance, assignment, sale gift
other transfer of his lands tenemen goods chates credits,
evidences of debt Pordd hoerer That person so de-
clacd bankrupt the instance of CREDITOR may his cleo
ton by petition such within ten days after its decree,
Re entitled to trial by jury before such court to- ascertain he
ct of such bankruptcy Or sqch person shah reside at
udg in his discretion may direct such trial by Jury to be had
y the county Of such Persons residence, such aud
and all suoh DEGREES passed by such court and
ined shall be deemed final and conclusive the subject
SIC 2. And be further enacted That all future payments
securities conyeyauce transfers of property agreements
and for the purpose Of giving any CREDITOR endosor sue
Of sex bnk r sn n" poVSoo soees
Gnce or transfers OF property, agreements made or gwen by
whuee being bona de creditor purchaser for
valuable consideration, without notice. shall be deemed utterly
bankruptcy shall be entitled claim sue for focovor and re-
ceve the same as part Of the assets Of the bankruptcy and the
person making such unlawful preferences and payments shall
oeive discharge under the provisions Of this Prouided
That all dealings and transactions by and with any bankrupt
bona de made and entered into more than two months before
the petition filed against him. or BY him. shall not be invsdated
such dealings transactions had notice of prior of bank
ruptcy Of the intention of the bankrupt take the benefit
in the of the proceedings of bankruptcy that the bank
rup big application being voluntary has subsequent the first
day of January last other contemplation
the passage of bankrupt law by assignments otherwise,
shall not receive discharge unless the be
majority in interest of those of his creditors who have been
prered And provided also, That nothing in this act
taned shall be construed to annul Destroy IMPAIR any
lawful rights Of married minors, liens mortga-
Be valid by tho laws of the states respectively and which are
not Inconsistent with the provisions Of the fifth
SEC g. find be further enacted That all the property and
rights Of property of every and nature, and whether real
PERSONAL or mXed oil every bankrupt except hereinafter
yded who shall by decree Of the proper court, be declared
be bankrupt within ia oct shall by operation of law,
aco from the time OF such Decree he deemed to BIO dive
ed out OF such bankrupt without other act assignments
force of the Decree in such assignee from time
shall be appointed by the court for this purpose which
ITS discretion tote quotes and the assignee appointed
shall be vested with all the rights titles powers and author
defend the subject the orders and directions
court as fully to all nents and purposes as if the same were
vested m might exercised BY such bankrupt before or at
the time of his bankruptcy declared aorosad and all
in law equity then pending in which such bankrupt par
ty be prosecuted md defended by such assignee its
final conclusion, in the way, and with effect
they might have been by such bankrupt and no suit commenced
by against assignee shall be abated by his death
val from Office but the be prosecuted defended by
his sueuessor in the same office rOrdd horcrr That there
shall be excepted from the operation Of the provisions of this
section the necessary household kitchen furniture and such
other articles and necessares of such bankrupt the said
sgneo shall designate and set apart having reference in the
rupt but altogether to exceed in vaue
of three hundred dollars nnd ALSO the wearing apparel of
ton of the assignee in the matter SHALL exceptions taken be
subject to the fnal decision of said court
SIG d. find be further enacted That bankrupt who
shall bona fde surrender all his property and rights of property
with the exceptions before mentioned for the benefit of his
creditors and shall fully comply with and ebey all the orders and
directions which from time 10 time be pissed by the proper
court and shall otherwise conform to all the other acquisitions
OF this act shall unes majority In number and value of his
creditors, who have proved their debts shall file their written
dissent thereto be entitled to full discharge from all ms debts
be decoed and allowed by the which has declared him
bankrupt and certificate thereof granted to him by such
court accordingly upon his petition hled Tor such purposes
such discharge and certificate not however, to be granted until
after ninety days from the decree of bankruptcy until after
seventy days notice m some public newspaper designated by
such court to all creditors who have proved their debts and
place why such discharge certificate shall
be granted which time and place any such creditors
the bankrupt thereto P,ordsd That in ali cases where the
residence of the creditor KNOWN service him personally
by letter addressed him his known usual place of
drnce, shall be prescribed by the court il their discretion
creditor resides from such court And if any such bankrupt
shall be guilty of fraud wul conceament of his proper
y rights of property shall have preferred of his cred
io contrary to the provisions of this act shall wuly omit
to comply with any orders directions OF such court
or to conform to other requisites OF this act shall in the
proceedings under this admit false fictitious debt agan
mis- estate he shall be entitled any such discharge
tfcae shall any person, being merchant banker factor
bohei underwater, marine nsuer be entitled any sucl
discharge OF eehcae VINO shall become bankrupt and who
% not have kept proper books OF account after the
OF this act nor person who after the passing of this
charge of any bankrupt under this shall release discharge
person who may be liable for the debt partner
bankrupt. And such bankrupt shall at all times be subject
examination, orally upon written interrogatoes in and be
for OATH if conscientiousy scrupuous Of taking oath
ruptcy and his acts and dongs, and his property and rights
property, which in the Judgment of such court
and proper for the purposes of justices and if such
nation he shall wiuly and corruptly answer affirm
falsely he shall be deemed guilty of perjury and shall be pun
shablc therefor in like the crime of perjury
punishable by the laws of the u and such discharge
certificate, when duly granted shall in all of JUSTICE
deemed full and complete discharge Of all debts contracts
other engagements of such bankrupt which pIoveabe
der this act and shall be and may ba pleaded full and
pee bar all suits brought of iudcaure whatcv
and the same shall be conclusive evidence of itself vo
OF such bankrupt unless tho shall be mpesched for
fraud or wilu conceamen by him of his property rights
property aforesaid contrary to the provisions of this
oeamen and if in any of Bankruptcy majority, in mum
Der and value Of the creditors who shall have their debt
charge as herein before pded shall at such hearing file the
written dissent the allowance of discharge and certificate
such bankrupt it, upon such hearing discharge shall
decreed him. the bankrupt may demand trial by jury upon
proper issue to be directed by the such time and place
and such manner the court may order he may appen
from that decision at time within ten days thereafter
court next to be held for the district by simply entering il
ne distinct court with the clerk thereof upon record,
prayer for appeal The appeal shall tried the
Of the circuit after it be TAKEN unless for sucentreaso
continuance be granted and it be heard and determine
by said court summariy or by jury at the option of bank
Iut and the creditors appear and object against deere
of discharge and the allowance of the Certificate hernb
fore provided And IT, upon full hearing of the parties ha
appear the satisfaction of the court the jury shall find thu
the bankrupt has made full disclosure and surrender of oil
estate by this act required and has all things conome
to the directions thereof the court shall make decree Of d
CHARGE and grant certificate, provided in this
sEc. 5. And be further enacted That all creditors comr
10 proving debts under such bankruptcy mann
hereinafter prescribed, the being bona fde debts shall
entitled share in the bankups properly and effects pro
without any priority preference whatsoever, except only
debts due by such bankrupt the United sate and for
debts due by him persons who by the laws of the Unit
Staos have Preference having paid
as his sustos which shall be first paid of the
any who shall have performed any labor opera
ne service of any bankrupt shall be entitled to receive
amount ofthe wages due him for such labor excoed
S25 PrOvded That such labor shall have been performs