Spratlin v. Colson Bros.
Spratlin v. Colson Bros.
Opinion of the Court
delivered the opinion of the court.
W. A. Spratlin, trustee -of the -estate of Waller & Harris, bankrupts, sued Oolson Bros, in the chancery court of Tunica county for the- value of a stock of goods, wares, and merchandise sold to them by Harris, one of said firm of bankrupts, within a month of the adjudication of them as bankrupts. Harris, upon selling'the stock of goods to Oolson Bros., left the state, whereupon Waller filed his petition to have said firm adjudicated and declared bankrupts, which adjudication, in due course of law, was made. Hpon said adjudication Spratlin was appointed trustee of the estate of said- bankrupts, and duly qualified as such by giving the bond required by the referee in- bankruptcy. Debts to an amount greater than $Y00 were proven against said estate, whereupon Spratlin filed his petition in the chancery court of Tunica county alleging the adjudication of said Waller & Harris as bankrupts, his appointment and qualification as trustee, and the existence of said
1. Upon what ground the court suppressed the .deposition of John A. Davis, the referee in bankruptcy, we do not understand. The matters in the bankruptcy proceeding certified by him were essential to show a right of action in Spratlin, unless the .certification was rendered unnecessary by ยง 1797, code 1892. That proceedings in bankruptcy may be certified by the referee only is provided for by sec. 21d of the United States bankrupt act of July 1, 1898.
2. The sale by Harris singly of the stock of goods in solido of Waller & Harris, being without any suspicious circumstances, as the intention of the firm to sell out the business was well known in the community, was valid. Stegall v. Coney, 49 Miss., 761, 768.
3. If, however, the action of the court be predicated upon the ground that Colson Bros, are purchasers for value of said stock of goods without notice of any fraud upon the part of Harris, the case should have been dismissed; and upon this point the finding of the chancellor is supported by the evidence, or, at least, it cannot be said to be manifestly wrong. Bankr. Act, sec. 67e; Coll. Bankr. (3d ed.), 369.
Affirmed.
Case-law data current through December 31, 2025. Source: CourtListener bulk data.