The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1878-07-20
THE COURTS.
to Compel an Assignee to
Declare a Dividend.
STATE AND FEDERAL HARMONY.
Dissatisfied Justice Seeks Addi-
tiOnal Evidence.

Ia February, 1878, the arm OF W. A. Ransom Co.
made a general assignment for the benefit Of crsdr
tors, under the State Assignment Law. Walter Will
lam Law was appointed assignee OF the hrin end oil
tho Individual members thereof but he was subsc-
quently removed and John W. Barrow appointed in
his place. Mr. Barrow has realized large sums OF
money from tho OF the late firm, and now mas
on hand about $4,000. upon when dividend Of
twenty-five per cent couc be declared aud paid 10
the creditors Of the arm John h. Reed, on benaf OF
himself aud others similarly situated. presented
petition 70 Judge Larremore. In Court OF Common
Pleas in which he states he Is creditor OF tho trim
of w. A. Ransom and Co. 70 the amount OF SIC, TOO !;
that there are other available assets, amounting to-
the sum OF SYST, 900, aud there are ample funds
In the assignee's bands out Of whicA ava
dend TO the creditors can be paid, and that
by adjudging thc payment Of such dividend
out Of the large amount OF money now on hand and
drawing small ruie Of tnterest material saving aau
advantage may be made 10 tho creditors. The peti-
toner therefore prays thnt The nssisnce may DO de-
creed 70 pay uo 'e urse. Of
trust The assignee makes no defence to Tho appllcs-
ton, but claims the protection Of the Court GU inc
ground that he has been enjO,nsd from making any
disposition oil the funds by the Circuit Court VI the
United States appears tnat IN April lust petition
IN bankruptcy was filed against Ransom 60, ana
they were thereafter adJudgsd bAnkrupts, aud Wiam
A. Hall appointed their assgnee 10 bankruptcy.
subsequently Hall nled u bill equity to SGT aside the
sss,ynmcnt made 10 Barrow and to compel
hun TO pay over tho assets Of The Arm 10
him In the new suit IN the United States Court Hall
was appoin ed receiver the property or thu copar
ners, ANA Barrow and Law weso ordered 10 pay over
The property the recelver and we're also sn-
joined from interfering with or di,posIng OF such
property except ug above stated. Judge Lurremoro.
IN his decision given GU the petition. yesterday,
gays:-.sWhxlevcr may be the dual result VI tho
ton IN the Circuit Court tue injurction ISSUED w II
ust respected and the parties aggrioved left 70
their remedy ny an appeal 10 the supreme Court OF
tho United StutsA Any other ruling upo0 the CUB
iect would he said, invite conflict Of authority be-
tween tho State and federal Courts. The Court OF
Appeals in Haas OBrisn (o6 n Y, COLI, held that
u general assign ment Tor Inc benefit 0f crcdtor3
made by an insolvsnt IN good latin and without
interest, TO defeat, evade or impair tho PROVISIONS
OF tho Bankrupt act not IN violation OF us spirit
and and therefore not void per even though
proceedings IN bankruptcy were taken against the
assignor within months after the making OF Inc
assignment. The opinion IN that case reviews sew
era OF the United Statsy circuit aud district
courts und conclusion thai general AS
sign violates provision Of tho Bankrupt act,
Notwithstanding adverse decisions upon that point D.
the United States district courts" The assignee tho
il dpe says CONCLUSION, snOuld test the question
on appeal The Supreme Court VI the United States
und rolievo himself from the somewhat anomalous
posltol Of obeying the mandate OF one court by NO.
lat,ng That OF another Too present application IL.
therefore. denied, without prejudice to renewal
thereof when the settled by The court OF a4t
resort"