Opinion ID: 2385250
Heading Depth: 1
Heading Rank: 4

Heading: Other Claimants

Text: The remaining claimants were creditors of William B. Albright. A number of them secured judgments against him in the Court of Common Pleas of Delaware County. Writs of attachment execution were served on decedent as garnishee, but the adjudication of Albright as a bankrupt stayed the attachment execution proceedings. The court below held that there was no individual liability on the part of decedent's estate for the payment of the claims, and the claimants were relegated to the bankruptcy court for satisfaction. An attachment execution works an assignment to the plaintiff of the debt due the defendant from the garnishee. The rights of the attaching creditor are the same as the rights of the defendant in the writ. Trainer Estate, 166 Pa. Superior Ct. 472, 71 A. 2d 833, and cases therein cited; Sniderman et al. v. Nerone et al., 136 Pa. Superior Ct. 381, 7 A. 2d 496. At the time the writs were served, these claimants had a valid claim upon the fund which decedent owed Albright for the completion of the contract. Since all of the attachments were in effect prior to the four month preferential period provided for in the bankruptcy act, and, since their validity is unchallenged, the bankruptcy court lacks jurisdiction to enjoin the attaching creditors. Straton v. New, 283 U.S. 318, 75 L. ed. 1060, 51 S. Ct. 465. [6] We can see no legitimate grounds for subjecting these claimants to the additional delay and expense that would be involved in proceeding through the trustee in bankruptcy when they have a valid enforceable claim against decedent's estate in a court having proper jurisdiction over the funds in question. See McCahan's Estate, 312 Pa. 515, 168 A. 685. Certain other claims, not yet reduced to judgment, were presented on behalf of other sub-contractors to whom Albright was indebted for work performed in connection with the master contract. Since these claims are not predicated upon any personal liability of decedent, the court below properly held that the correct forum for determination of their validity was the bankruptcy court. The settlement by the trustee in bankruptcy for Albright and the executor of decedent's estate of the conflicting claims arising from the master contract between these two parties in the amount of $25,000 is approved. The case is remanded to the Orphans' Court of Delaware County for a determination of the priority and payment of the claims held to be valid. Any sum remaining after payment of these claims is to be awarded to the trustee in bankruptcy. Decree modified and, as modified, affirmed. Costs on appellants in Appeals Nos. 72, 91 and 136 January Term, 1958. Costs on the estate in Appeals Nos. 96, 101, 132, 133.