Riggin v. Magwire

Supreme Court of the United States
Riggin v. Magwire, 82 U.S. 549 (1873)
21 L. Ed. 232; 15 Wall. 549; 1872 U.S. LEXIS 1283

Riggin v. Magwire

Opinion

Mr. Justice BRADLEY

delivered the opinion of the court.

It is argued that under the right given by the fifth section of the Bankrupt Act of 1841 to prove “ uncertain and contingent demands,” the claim in this case could have been proven under the act. But the better opinion is, that as long as it remained wholly uncertain whether a contract or engagement would ever give rise to an actual duty or liability, and there was no means of removing the uncertainty by calculation, such contract or engagement was not provable under the act of 1841. See 1 Smith’s Leading Cases, notes to Mills v. Auriol, by Hare. In 1843 Martin Thomas was still living, and there was no certainty that his wife would ever sur *552 vive him. It was uncertain whether there would ever be any claim or demand. On what principle, then, could the covenant have been liquidated or reduced to present or probable value ? If an action at law had been brought on the covenant at that time nominal damages at most, if any damages at all, could have been recovered. It did not come within the category of annuities and debts payable in 'future, which are absolute existing claims. If it had como within that category, the value of the wife’s probability of survivorship after the death of her husband might have been calculated on the principles of life annuities. Had a proposition for a compromise of her right been made between her and the owner of the land, such a mode of estimation would have been very proper. But, without authority from the statute, the assignee would not have been justified in receiving such an estimate and making a dividend on it.

It is unnecessary to review the authorities pro and con on the subject. They are quite numerous, and are mostly cited in the note of Mr. Hare, above referred to. The ease is so clear that we have hardly entertained a doubt about it.

Judgment affirmed.

Page 1137, 6th American edition.

Reference

Cited By
34 cases
Status
Published
Syllabus
1. The fifth section of the Bankrupt Act of 1841 enacts that— “ All creditors whose debts are not dae and payable until a future day, all annuitants, holders of bottomry and respondentia bonds, holders of policies of insurance, sureties, indorsers, bail, or other persons having uncertain or contingent demands against such bankrupt, shall be permitted to come in and prove such debts and claims under the act, and shall have a right when those debts or claims become absolute, to have the same allowed them; and such annuitants and holders of debts payable in future may have the present value thereof ascertained under the direction of such court, and allowed them accordingly, as debts in prcssenti.” Under this section, so long as it remains wholly uncertain whether a contract or engagement will ever give rise to an actual duty or liability, and there is no means of removing the uncertainty by calculation, such contract or engagement is not provable under the act. 2. A claim for a breach of covenant that the grantor has an indefeasible estate in fee in land sold — the claim arising from the right of his wife, yet living, to be endowed of the estaté — is of this character during the life of the husband.