Freeman v. Bosworth
Freeman v. Bosworth
Opinion of the Court
delivered, the opinion of the court.
This case is before the court on a motion made by the bondsmen of appellant, seeking to be released from liability on an appeal bond. The substance of the motion is about as follows: “Come the appellant and sureties on the bond of appellant in the above-styled cause, and suggest to the court that appellant has been adjudicated a bankrupt in the district court of the southern district of Mississippi, as shown by the exhibits filed with the motion.” The appellant and sureties, jointly and separately, then move the court to adjudge that the sureties be released from liability on the appeal bond because of the facts above stated.
The taking of the appeal and giving the siopersedeas bond did not, under the case of Grayson v. Harris, 58 South. 775, have the- effect of releasing any previously acquired liens; hut the effect of the appeal was simply to stay proceedings and preserve all previously acquired liens, and hold conditions as they were. But in this case,, if the appeal and supersedeas had been taken immediately after the rendition of the judgment and before it was enrolled, it would have made no difference, because the
Now,- under section 60a of the bankrupt law all liens acquired four months before the filing of the petition remain valid liens under the bankrupt laws, and are not disturbed by any bankruptcy proceedings. It is clearly seen, therefore, that in so far as this judgment is concerned the proceedings in bankruptcy did not affect it in. any way. The status of all parties was fixed long prior to the bankruptcy proceedings, and in a way that left therm unaffected when the petition was filed. In so far as this; judgment is concerned, the liability of the parties is as:-, if there had been no bankruptcy proceedings at all. See-note “f,” Collier on Bankruptcy, p. 784. The bankrupt-law leaves to each state the right to say when a lierr is established by virtue of its law. It is not intended by the bankrupt law to disturb vested rights under liens acquired more than four months before the petition in bankruptcy, and each state determines when a lien exists according to its own laws.
In the case of Goyer Co. v. Jones, 79 Miss. 253, 30 South, 651, it was held that a surety on an appeal-from the judgment of the justice of the peace under section 82, Code 1892, ceased to be liable on same where the principal was discharged in bankruptcy pending the appeal; his liability not being continued by section 16 of the bankrupt act of 1898. But that case has no application here, for the reason that it was not shown that the judgment of the justice of the peace had become a lien-
Under sections 67c and 67f of the bankrupt law all liens obtained in pursuance of any suit or proceeding, at law or in equity, are undisturbed by bankrupt proceedings, if the liens have been acquired more than four months ber fore the filing of the petition. In case this judgment should be affirmed by this court, the judgment of this court speaks, as to previously acquired liens, not from the date of rendition, but from the date of the rendition of the judgment in the trial court. The rights acquired by appellee were acquired nine months before this petition in bankruptcy was filed, and are unaffected by bankruptcy pending this appeal. We have some doubts as to whether or not it was proper to make this motion and raise the question in this way; but, since those in opposition to the motion interposed no objection of this kind, we waive inquiry on this line and determine the motion on its merits.
The motion is denied.
Motion denied.
Reference
- Full Case Name
- Williams & Freeman v. H. T. Bosworth
- Cited By
- 2 cases
- Status
- Published
- Syllabus
- 1. Judgment. Lien. Effect of appeal. Bankruptcy of principal. Judgment: Discharge of surety. Code 1906, sections 818, 819. Under Code of 1906, section 818, so providing, tbe clerk is required within twenty days after the adjournment of each term of court • to enroll all final judgments rendered at that term in the order in which they are entered on the minutes; and in the absence •of proof he is supposed to have done so. Under section 819 so declaring a judgment so enrolled shall be a lien on and bind all the property of the defendant within the county where so enrolled from the rendition thereof, etc. Under these two sections of the Code, whenever a judgment is enrolled it becomes a lien upon and binds all property of the defendant in the county where so enrolled even though an appeal with supersedeas may have been actually taken immediately after the rendition of the judgment and before the enrollment. 2. Appeai Bond. Bankruptcy of principal. Discharge of surety. Under sections 60a, 67c and 67b, of the bankrupt law providing that a judgment lien enrolled more than four months prior to bankruptcy, shall not be disturbed by the bankrupt proceedings; where judgment was recovered and became a lien by enrollment more than four months prior to the bankruptcy of the judgment debtor, a subsequent bankruptcy, pending an appeal from such judgment, will not relieve sureties on the bond given for such appeal, so as to entitle them to discharge therefrom.