Vermont phÅ“nix. [volume] (Brattleboro, Vt.) 1834-1955, 1878-09-06
The varIou. state Insolvency Laws.

1t will! be of interest to recall at this time
the principal features of the laws of the vaIi
| GUS States and Territories. In the first place
Alabama, Colorado, Mississippi, Montana
Nevada, New Mexico, Oregon. Texas, Utah
Wyoming, and Waship 9fIt ASSIGNMENT ; or se,
Element of the estates of debtors, whether in.
solvent or otherwise. In Delaware the Dis.
| trict of Columbia, and North and South Caro-
lima, the law applies only where the debtor
has been arrested after execution against his
property is unsatisfed, and is intended only
to get him out of jail on a surrender of his
| property. The following States have only AS
| signment laws, which allow IA debtor if he
sees mt, to surrender his property to be dis
| tr1buted among his creditors in satisfaction of
their claims, most of them permitting prefer
ences, but leaving any property that may be
subsequently acquired liable for debts remain
ing unpaid Arkansas, Florida. Georgia. Ida
no, Iowa, Kansas, Kentucky. Minnesota. Ma
| ryland Missouri, New Hampshire, Tennessee,
| Nirginia, and West Virginia None of these
have insolvency laws, properly so called. In
Missouri there may be final discharge after
assignment by unanimous consent of the cred
itors, and in Maryland any of the creditors
may sign a release. and the debtor will be free
| from their claims but liable for all others. In
| New Hampshire those accepting dividends
from the estate are debarred from further re-
coyery.
Maine has an insolvency law. passed at the
last session of the legislature. which provides
not only for voluntary but for compulsory as
slgnments. The assignee is chosen by the
creditors, and discharge may be granted if
there has been no fraud pncticed, and on
agreement of a majority Of the creditors rep
resenting three-fourths of the aggregate
claims, TO accept certain percentage, dis
charge follows as n matter Of course. Massa-
chuSetts and Vermont also provide for both
voluntary and compulsory assignments in in
solyency eases, and distribution of the as
sets to meet all proved claims So far as such
claims are concerned, there is a final dis
charge of the debtor. The law in Rhode Is
land, passed last spring, is similar. In Con-
nectcut trustee may be appointed on peti-
ton of creditor after an attachment has
been issued and no property found. final
discharge Is granted only III case 20 per cent
of all claims is paid The law in this State
provides for voluntary assignments only.
makes very Inadequate provision against pref
ercnces, and works no final discharge. The
case is similar in New jersey and Pennsylva
mia. In Ohio, Indiana, Illinois. Michigan.
Wisconsin, and Nebraska there are insolyen-
cy laws, but they provide for voluntary pro-
ceedings only. The assignee is selected by
the insoiveut debtor or the court, and must
give bonds Schedules of assets and liabili-
ties are filed, and creditors are notified and
allowed to prove then Claims In Michigan
and Wisconsin there is a final discharge. so
far rs the claims are concerned, of those cred
ltors who take part in the proceedings, but
not AS to others In the other States named
there is discharge only so far as the claims
are satisfied. the creditors still having redress
against any property that the debtor may
subsequently acquire In Louisiana a debtor
may surrender his property and obtain dis
charge as to creditors who prove their claims
and share in the dividends California pro-
vides for voluntary assignments, and bars all
claims not presented.
The details as to proceedings differ widely
in different States, but the general aim where
there are insolvency laws is to secure an ap-
plicaton of all the debtors property equita
bly, for the liquidation of claims proved against
the estate within certain allotted time. All
others are left to be collected or to be lost, as
the case may be, under the operation of the
general laws for collecting debts In no case
has the adjudication any effect beyond the
limits of the State in which it takes place. All
remedies that can be enforced elsewhere
against person or property remain unaffected.
Hence no discharge can be regarded as abso-
lutte and no settlement final until the utter
most farthing is paid.-N. y Times