Enet v. His Creditors
Enet v. His Creditors
Opinion of the Court
delivered the opinion of court. By a decree of this court, of the 7th of May last, ante 307, this case was sent back to the court of the fourth district, with instructions to the judge to cause another meeting of the creditors of Joseph Enet, to be held for the purpose of proceeding to the nomination of another syndic or syndics, the first appointment having appeared to this court to be illegal. The meeting place took
The question then, whether privileged and hypothecary creditors are or not to participate in the election of syndics, is the principal, if not the only, subject of investigation here.
The parish judge, acting as a notary on the occasion, thought that creditors of that description are excluded from voting by the 20th article of the 17th chapter of the ordinance of Bilbao, which says that, in case there should arise any difficulty in the settlement of accounts and other incidents or acts, until the close of the proceedings, the minority shall abide by the will of the majority : but that creditors, having privileges by deed or otherwise above the simple creditors shall not be admitted to vote. This article, however, does not seem to embrace the election of the persons, who are to be entrusted with the management of the bankrupt’s estate, and with the settlement of his affairs: provision being made for their nomination, in the 12th and 13th articles of the same chapter. Administrators of the estate, under the name of
Febrero, in the article quoted, when this cause first came before us, says that all the creditors or a majority of them in amount, not in number, are to make choice of the person to whom the adminisration of the estate is to be entrusted. The article of our code, quoted on the same occasion, gives to the creditors the right of naming syndics to have the management of the estate surrendered. The exclusion of the privileged creditors from a participation in that choice, is not so much as hinted at.
Another allegation of the appellants is, that one of the mortgage creditors, who complains that their votes were refused, did not tender his, until after all the votes had been taken : but there is no evidence that the election was then closed. Besides, it appears that the determination of the notary, not to admit the votes of the hypothecary creditors had been made known, and that would be sufficient to excuse the creditor, even if he had admitted altogether the useless ceremony of tendering his vote.
The appellants have also made an attempt to
It is ordered, adjudged and decreed, that the judgment of the district court be affirmed with costs.
Reference
- Full Case Name
- ENET v. HIS CREDITORS
- Status
- Published