The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1868-05-29
uA,1tp STATES DISTRICT couar-M BANKRUPTCY.
Important Question as to the Discharge by
Assignees of Liens on Real Estate.
Peforp Judpc Rlatchford.

Important Question as to the Discharge by
Assignees Of Liens Real Estate.
Before Judge Blatchford
In ne Matter OF John p. Smith ana James
Sith-Decision yesterday rendered In this case,
he facts in connection Herewith being as foows:-
On the 18th Of October 1867 John F. Barley and Jacob
rurner recovered judgment in the Supreme Court
If New York against the bankrupt for 1894. A tram
script of said judgment was filed and docketed in
The Office OF the Clerk of the County Of Rockand,
where the debtors resided and where real estate
owned by them was situated on the 29th of october,
1867 by the fling and docketing Of such transcript
the Judgment according to the law Of New York,
became a specified lien on such real estate. On
October 30 an execution issued on the judgment to the
sheriff Of Rockland county was received by
him. Under that execution he, on the LIST Noyem
Der. 1897. made levy on certain personal property
of the bankrupts On the I'd OF November, 1867,
John w. Magyar and William ii. Magyar recovered q
Judgment in the Supreme Court OF New York against
the bankrupts for $213 o. transcript OF said u dg
ment was tiled and docketcd in the office of the
Clerk OF The County OF Rockland on the attn OF No
yember 1861 on the 9Th OF November at ten O'Clock
A. NJ, an execution, issued on The judgment to the
sheriff OF Rockand county, was received by him.
Nothing was done by the sheriff under that execu-
tion. except TO hold It. On the 9th OF. November,
1867 at three O'Clock p. NJ the petition in this mat
ter. II being a Of involuntary bankruptcy. was
filed. The assignee in bankruptcy does not contest
the validity Of either Of the judgments, impeach
the bona fdes OF the executions, or OF the liens,
whatever they were. acquired by the recovery oil
the judgments and the issuing OF the executions
and the levy: nor does he object to the application
20 the In their order OF the proceeds OF the
personal property actually levied on by the Sherln
under the first execution. The receipt OF the second
execution, after the levy under the first one and
while such levy remained IN force, operated
constructive levy under the second, and an
actual levy under IL was unnecessary. The judg-
ments became. both of them, liens on the real
estate OF the bankrupts as against the assignee
ia bankruptcy such liens having been perfected be-
fore the commencement of the proceedings in bank
Tupcy, the liens the real estate by the docketng
Of the judgments in Roekland county and the levy
under the frst execution, II operating also as levy
for the second execution, no such liens as are
within the second clauses OF sections fourteen
order viii, therefore be made that the Sheriff
be at liberty to SELL the personal property on
which he levied. or so much thereof as may
be necessary 10 satisfy the two executions, and
apply the proceeds thereto in the order OF the receipt
or the executions by him. II there shall be any
deficiency to satisfy either execution ~ WI, continue
the court to determine on the Application OF the
assignee or the creditor notice, whether the lien
shall be discharged by the assignee under General
Order No IL or whether some other OF the courses
provided for by sections Ia and 20 snail be adopted
The assignee objects to pay the deficiency out OF me
objection is assigned. Under section Ia the
assignee is authorized, under the direction
OF Ihe court and General o to dscSe no, a
lien on real estate and to settle real estate SUBJECT 10
the lien
Petitions Filed Yesterday.
IN view Of the termination OF the Bankruptcy law
on the Isl Of June rush Of business has commenced
in the Bankruptcy Court. No less than thirty petit
tons from the following persons were fled ycster-
day:-George F. Hill Herman Rosenneld James
Dreyfuss, Frederick Sherman ct al, Albert W. Rey-
nods Simon stenreich John Pierson, Alexander
Levy. John p. Meyer, Frederick w. Persch, Alexan-
der W. smith, William Bodenhamer Charles w.
SsroD, Charles W, Laurence Albert Bristol, Henry p,