In re Lloyd
In re Lloyd
Opinion of the Court
It is said by Mr. Justice Miller in Railroad Co. v. Soutter, 5 Wall. 662, that “the act of confirming or setting aside a sale made by a commissioner in chancery often involves the exercise of judgment and discretion as delicate as that called for by any function which belongs to the court.” Of the truth of this observation I have had lively experience in dealing with the present case. The evidence impresses me with the good faith of Mr. Brenicka from first to last, and were this a contest simply between him and the assignees personally, I would refuse to interfere with the sale, in view of all the circumstances. But the real parties on the side of the petition are the innocent creditors of the bankrupt.
Notwithstanding the want of precision in the petition, and the confusion which characterizes the testimony taken to support it, one fact is plain, viz.: that the assignees made a lumping sale of 21 acres of
Mr. Brenicka is entitled to the fullest indemnity. He purchased and has acted throughout in the best of faith. He borrowed money to make his hand payment, and without any fault of his own has been involved in the expenses and losses of a vexatious lawsuit. He had a perfect right to resist a resale, and to employ counsel to oppose this application. Duncan v. Dodd, supra. For his indemnification I think he is equitably entitled to receive the sum of $1,000. The assignees once offered him half that amount. The order to set aside the sale will be conditional.
And now, April 22, 1882, upon consideration, the order heretofore made, confirming the sale to Christian Brenicka, is rescinded and said sale set aside, upon condition, however, that out of the funds of the bankrupt’s estate the assignees pay to said Brenicka the sum of $1,000; the costs of this proceeding to be paid out of the estate.
Reference
- Full Case Name
- In re Lloyd, Bankrupt
- Cited By
- 1 case
- Status
- Published