The assignee or trustee. He in general gives bonds, has the same power as an owner in disposing of the estate, may be discharged by, the court, has great discretionary power with regard to the settlement of claims, and returns Recount into court, calls meetings of creditors, and makes distribution of money among them. In Alabama and Missouri, the sheriff of the county sells the property. In Arkansas, Connecticut, Delaware, Maryland, North Carolina, South Carolina, and Texas, the assignees are appointed by the court. In California and Rhode Island, a majority in value of the creditors elect not more than three assignees, whose bonds, in California, are determined by the creditors and the court; and fraud in the choice of an as signee may be tried by a jury. In Geor gia, the sheriff of the eounty is the assignee,, except of the choses in action, of which the nominee of the majority of creditors takes possession.
In Massachusetts, Michigan, and New York, a majority in value of the creditors elect the assignees. In Massachusetts, if there are less than five creditors there are not more than two assignees, if there are ten creditors three assignees may be elected, and all elections are subject to the approval of the judge who himself conveys to the as signee. In Massachusetts and Michigan, if there is no election by the majority of the creditors, the court appoints the assignee. In Ohio, the commissioners take the property and have the usual powers. In Pennsyl vania, two-thirds in number and value of the creditors elect the trustees, as they are called. In general, the assignees, or trustees, may examine the insolvent under oath, and may bring actions in their own names for the insolvent property. In South Carolina, the as signees must pay dividends every six months. In Texas, they distribute all moneys in land within one year, excepting five per cent. thereof, and make a full settlement within two years, and only make a partial sale if the assets exceed the debts. In Wisconsin, all contingent interests vesting within three years in the insolvent are taken by the as signees.
14. Fraud or fraudulent preferences of creditors before assignment. These, in general, prevent the insolvent from procuring a, dis charge. So in Arkansas frauds prevent the insolvent from holding office; so a discharge is refused if there has been a preference within three months; so if the debtor has no property, or less than one-third the amount of debts, or has been insolvent within one year, unless two disinterested persons swear that his misfortunes have happened as al leged. In Delaware, Maryland, Michigan, and New York, a jury may be called upon the question of fraud. In Michigan, if the jury disagree the court decides. In Georgia, and in most of the states, fraudulent prefer ences are void as to the assignees, and dis honesty may be punished. In Georgia and Pennsylvania, the debtor's having lost money by gambling prevents his discharge ; in Maryland, having been an applicant for the benefit of the insolvent laws within two years previous (in South Carolina, within three), making a preference within one year of the time of insolvency, or (as also in New York) in contemplation of insolvency. In Ar kansas, the discharge may be rendered void, and the insolvent forever deprived of the bene fits of the act, by a jury finding fraud within two years after the discharge was granted. In Massachusetts, Michigan, Minnesota, North Carolina, New York, Rhode Island, South Carolina, and Wisconsin, frauds render the discharge void ; and fraud includes con cealments, perjuries, and deceits of all kinds. In Missouri, fraud excludes the prisoner for ever from the benefits of the act. In North Carolina the question may be tried by jury. In New York, a preference within two years before insolvency or contemplation thereof. In South Carolina, the fraud must be tried within four years after the discharge. In Rhode Island, the validity of a discharge may be disputed on notice, and the dishonesty must be proved. In Arkansas,- a creditor assisting a fraudulent debtor loses his debt and becomes equally liable with the debtor.
In Maryland, a dishonest creditor forfeits his debt ; in Rhode island, double the amount of his debt. In Massachusetts, a fraudulent grantee will take no title as against the assignees. In Ohio, all transfers of property by the debtor after arrest are void. In South Carolina, mortgagees are deemed fraudu lent unless they account. In most of the states, the assignees of the insolvent may recover from the fraudulent creditor of the insolvent for the benefit of the rest of the creditors.
15. A discharge. This in Arkansas, Cali fornia, Connecticut, Maryland, Massachu setts, Michigan, Minnesota, New York, Rhode Island, Texas, and Wisconsin, exonerates the debtor from arrest and from debts due at the time of the insolvent's discharge or petition. In Arkansas. the debtor who has become entitled to the benefit of the act may be freed from arrest upon a writ of habeas corpus. In California, Connecticut, and Massachu setts, fiduciary debts are not discharged. In Maryland, a judgment for seduction or de famation of an unmarried female is not affected by a discharge. In Michigan, debts accruing previous to A. D. 1838, unless the creditors choose to come in, are not dis charged. In Rhode Island, all contracts are discharged, except the contract of marriage. In Alabama, Delaware, Georgia (16 Ga. 137), Illinois, Missouri, North Carolina, Ohio, and Pennsylvania, a discharge protects the person of the debtor from arrest, but subsequently acquired property is still liable for the debt, unles•paid. In Rhode Island, the goods of the debtor are exempt from attachment. In South Carolina, a discharge exonerates the debtor, except in an action of tort, or against a creditor who did not receive a dividend. Such a creditor is allowed to perpetuate his debt, against w:iich the ebtor is not allowed to plead the statute of limita tions as a bar. Nor is the debtor allowed to serve as a juror for one year after his dis charge. In Maryland, the discharge of the insolvent as surety does not discharge other sureties. In Massachusetts, there is no dis charge unless fifty per cent. of the debt is paid, unless a majority of the creditors Loth in number and value assent thereto. A second discharge of an insolvent must be assented to by three-quarters of the creditors in num ber and value. There can be no thud dis charge unless the previous debts are paid. The debtor receives an allowance of five per cent. of the estate above fifty per cent. of the debts. In Connecticut, the debtor receives twenty-five per cent. of the estate above fifty per cent., not exceeding one thousand dollars. In Michigan, a discharge may be plead upon general issue and notice of such pleading. In general. it is the rule that the debtor may be examined on oath by the creditors or assignees, and may he compelled to answer such questions as are put to him with regard to his property, conveyances. etc. In New York, the wife of the debtor may be sum moned in if she can be found. In Califor nia, a creditor can only object to a dividend within fifteen days after it is declared. Even the homestead is surrendered, and the judge makes an allowance for support. All the debtor's suits are transferred to the county in which he petitions. In Delaware, a •dity charge has no effect upon mortgage or judg ment liens. In Texas, the debtor may plead discharge granted in another state, and will be discharged on producing the certificate. In Iowa, no general assignment in contem plating insolvency shall be good unless for the benefit of all creditors. But if so, the creditors' assent is presumed. 1 Iowa, 460, 582 ; 6 id. 61 ; 8 id. 96 ; 4 G. 287, 443. All property passes to the assignee, who gives private notice to the creditors, and six weeks' notice in the papers. The creditors file their claims in three months. The property is di vided within one year by the assignee, who is subject to the court and renders account. In Delaware, a negro who is unable to pay his debts may be made by decree of the court to serve not more than seven years. In Illinois, an insolvent judge goes before the county commissioner for; the benefit of the act.