The Hawaiian gazette. [volume] (Honolulu [Oahu, Hawaii]) 1865-1918, 1886-05-25
Surrsme Court OF the Hawaiian Islands
In Probate.
-. = eairr Jrsrlcg 10.

osssies = cRfEF JUSTICE JVpp,
The executors and executrix have pro,
scented their accounts which shows
balance OF cash on hand Of S4.lfS.64. This
was derived from certain insurance poh-
cies on the life OF the decedent, and they
are devised 20 the widow in the will
MeSSrs NJ. ). Grinhaum 4 Co, who arc
the agents and large creditors otthc Hans
Plantation, a controlling interest in which
rs partner the deoeient owned, move
the Court thst this balance be paid over
10 the Receiver OF tho Plantation.
This i resisted by the executors ON the
ground that NJ ) Grinhaum a Go. have
not filed their claims against estate OF de
cedent with the executors within the
statutory period OF siN months and as this
claim is against the plantation, which was
partnership property, this must be ex-
hausted before the creditors can call upon
the individual estate Of the decedent for
payment
Counsel for NJ 5. Griubaum Il Co. con.
tend that the estate Of the deeedent WAS
partly private estate and partly an in
tereSt in the partnership, and the viii in
structs the executors to continue the part
nership business until July, 1887,
On bill in equity 10 wind up the part
nership by surviving partner, Oscar
UnnS, in which proceeding the executors
were parties defendant Receiver wss
was appointed on the Sth August 1885,
before the six months notice of the execu-
tors 10 creditors had expired, and in the
order appointing Receiver, he WAS in
structed 70 marshal the assets of the part
nership and OF the individual property,
and the partnership assets of the decedcnt
were ordered 20 be delivered by the
executors 10 the Receiver. The order
allowed a certain sum 70 be paid monthly
to the widow for her support out Of the
partnership property 1.-THE Plantauon) and
the whole proceeding contemplated a set
Element by the two estates together.
By THE CoUEr I think the proceeding
in equity for the appointment OF the Re
ceiyer gave ample notice to tho executors
OF the existence Of the claims of NJ S
Grinbaum u Co. These are stated in the
viii and admitted by the answer of the,
executors.
The rule used % be that On the death of
4 partner Joint debts We're to be satisfied
out Of the joint estate but il that WAS in
sufficient, then. subject to the claims of
their separate creditors out Of their
separate estates propor6oaally and If
any OF them We're insolyent, then out Of
the remaining estates proportionally.
But says Collyer on Partnership, Sec
$50, ' Ii Is now established beyond con
troyersy that in the consideration of
Courts OF Equity q partnership debt is
several Us we'll as Joint and that upon
the death OF partner, the joint creditor
has a right IN equity to proceed imme
distely against the representative of
4 deceased partner for payment of his
separate estate, without reference to
the question whether the joint estate is
solvent or insolvent, or to the state Of the
accounts amongst the partners"
Story on Partnership Sec, 362 is to the
same effect 1t is now held that in
equity all partnership debts are to be
deemed JOINT and several and conse
guently the JOINT creditors have in all
cases right to proceed at law against the
survivors and an election also 10 proceed
in equity against the estate of the de-
ceased partner whether the survivor he
insolvent or bankrupt or not. The con
sequence Is that the Joint creditors need
not now wait until the partnership affairs
are wound up, and final adjustment
thereof Is made But they may at once
proceed, Is upon a JOINT and several con
tract, in equity, against the estate of the
deceased partner" See. kent's Com. 63.
think the right OF NJ S Grinbaum 4
Co to proceed against the executors for
their debt Is clear But this is not the
proceeding before me which is the mere
settling of the executors accounts
But l think NJ 5, Grinbaum 4 Co. have
right to ask thar the executors be not
discharged and no distribution of the in
dividual assets be made until the Receiver
has wound up the partnership. On the
winding up the Receiver will have to take
an account of what has been advanced to
the widow from the partnership assets.
This may not be for some time vet, and
the fund may not be required
order that the executors account be
approved and that they invest the balance
of money as by their account in some safe
security, to be approved by the Court. to
be subject 10 the further order of the
Court,
5. Is. Dole for Nj 5 Grinbaum 4 Co;
W. f, Allen Receiver pr -; C. Brown for
self and co-executors.
Honolulu, April ~ 1856