Until the appointment of an assignee, a bankrupt has a right to pursue all proper legal measures for the protection of his interests. Myers v. Callaghan et al., 5 Fed. Rep. 726.

Any agreement signed by a bankrupt after the commencement of proceedings is a nullity so far as the estate is concerned. In re Anderson, 2 Hughes, 378; 1 Fed. Cas. 831.

A bankrupt who has knowledge of the place where his books are deposited, and denies their existence, was held chargeable with a concealment of his books, under section 29 of the Act of 1867. In re Hammond et al., 1 Low. 381; 11 Fed. Cas. 380.

It is improper for a bankrupt to sell any of his property after filing his petition, even to raise money to defray the costs of the proceedings. In re Thompson, 13 N. B. R. 300; 23 Fed. Cas. 1021.

A bankrupt was committed and ordered to be detained until he should pay to the assignee the amount returned on his schedule of assets as "cash on hand." In re Dresser, 3 N. B. R. 557; 7 Fed. Cas. 1069.

Two days before the filing of his petition, the bankrupt had procured certain money from a mortgage. He was ordered to pay it to the assignee, but allowed to retain the amount paid his attorney, and a sum necessary for the temporary support of himself and family as provided by the Act of 1867, but not the expenses of procuring his discharge. In re Thompson, 13 N. B. R. 300; 23 Fed. Cas. 1021.

Judge Blatchford refused to punish for contempt, a bankrupt who had collected money after the filing of the petition, and spent part of it, but who had afterward turned over all his assets to the assignee, holding that while he was guilty of contempt, the estate had lost nothing, because payments made to a bankrupt by debtors after the filing of the petition were invalid against the assignee. In re Hayden, 7 N. B. R. 192; 11 Fed. Cas. 897.

A summary proceeding, and not a separate action, is the proper remedy to compel a bankrupt to deliver property unlawfully withheld by him. In re Thompson, 13 N. B. R. 300; 23 Fed. Cas. 1021.

[See notes to § 70.]

DEATH OR INSANITY.

§ 8. Death or Insanity of Bankrupts.- (a.) The death or insanity of a bankrupt shall not abate the proceedings, but the same shall be conducted and concluded in the same manner, so far as possible, as though he had not died or become insane: Provided, That in case of death the widow and children shall be entitled to all rights of dower and allowance fixed by the laws of the State of the bankrupt's residence.

An assignment of the husband's estate under the national Bankrupt Act and a sale thereof by the assignee in bankruptcy in pursuance of an order of the court does not bar the wife's right of dower. Porter v. Lazear, 109 U. S. 84; In re Angier, 10 Amer. Law Reg. 190; 1 Fed. Cas. 914.

An assignment and sale of the husband's real estate in bankruptcy proceedings did not bar the wife's right of dower in such property. Porter v. Lazear, 109 U. S. 84.

The supreme court of Indiana having decided that a deed to an assignee in bankruptcy is a judicial sale, the court of bankruptcy held that a wife, upon the bankruptcy of her husband, becomes the owner of onethird of his equitable interest in land. Warford v. Noble et al., 2 Fed. Rep. 202.

Under the laws of Indiana, as construed by the courts of that state, a wife's inchoate right of dower becomes absolute upon the sale of her husband's real estate on execution. It was held that an adjudication in bankruptcy had the same effect; and it was further held that this rule does not apply to land in which the husband has only an equitable title, and that there can be no dower in such land. Warford v. Noble et al., 19 Am. Law Reg. 44; 29 Fed. Cas. 227.

The court held that an insane person cannot commit an act of bankruptcy, but that a lunatic may be adjudged a bankrupt for acts previously done against the opposition of his guardian. In re Weitzel, 7 Biss. 289; 29 Fed. Cas. 604.

While an insane person cannot commit an act of bankruptcy, he may be adjudged a bankrupt after he has become a lunatic, for an act committed while sane; but Judge Lowell expressed doubt as to whether a discharge could be given to an insane person. In re Pratt, 2 Low. 96; 19 Fed. Cas. 1248.

[The law in cases of death, under the Act of 1867, is stated in the following cases:]

Proceedings in bankruptcy will be abated upon the death of the debtor between the service of the rule to show cause and the adjudication. Frazier et al. v. McDonald, 8 N. B. R. 237; 9 Fed. Cas. 737.

The bankrupt died after adjudication, but before taking the oath required by section 29 of the Act of 1867. The court held that a discharge could not be granted. In re Quinike, 2 Biss. 354; 20 Fed. Cas. 142.

The bankrupt died a few months after filing his petition. Held, that he could not be discharged, as he had not taken the oath required by section 29 of the Act of 1867. In re Gimke, 4 N. B. R. 92; 11 Fed. Cas. 115. A discharge in bankruptcy cannot be adjudged when the bankrupt dies before making application for discharge as prescribed in section 29 of the Act of 1867. In re O'Farrell, 2 N. B. R. 484; 18 Fed. Cas. 601 (1869).

[See notes to §§ 3 and 4.]

ARREST.

§ 9. Protection and Detention of Bankrupts.- (a.) A bankrupt shall be exempt from arrest upon civil process except in the following

cases:

(1.) When issued from a court of bankruptcy for contempt or disobedience of its lawful orders;

(2.) When issued from a State court having jurisdiction, and served within such State, upon a debt or claim from which his discharge in bankruptcy would not be a release, and in such case he shall be exempt from such arrest when in attendance upon a court of bankruptcy or engaged in the performance of a duty imposed by this Act.

(b.) The judge may, at any time after the filing of a petition by or against a person, and before the expiration of one month after the qualification of the trustee, upon satisfactory proof by the affidavits of at least two persons that such bankrupt is about to leave the district in which he resides or has his principal place of business to avoid examination, and that his departure will defeat the proceedings in bankruptcy, issue a warrant to the marshal, directing him to bring such bankrupt forthwith before the court for examination. If upon hearing the evidence of the parties it shall appear to the court or a judge thereof that the allegations are true and that it is necessary, he shall order such marshal to keep such bankrupt in custody not exceeding ten days, but not imprison him, until he shall be examined and released or give bail conditioned for his appearance for examination, from time to time, not exceeding in all ten days, as required by the court, and for his obedience to all lawful orders made in reference thereto.

Under the Act of 1841, a petitioner in bankruptcy was privileged from arrest on civil process during the proceedings. U. S. v. Dobbins, 25 Fed. Cas. 876 (1842).

A writ of habeas corpus was denied to a bankrupt who was under arrest on an execution issued on a judgment for tort. In re Whitehouse, 1 Low. 429; 29 Fed. Cas. 1032.

Judge Lowell held that section 26 of the Act of 1867 did not release the bankrupt from custody when he was already in arrest at the time his petition was filed. In re Walker, 1 Low. 222; 29 Fed. Cas. 1.

The bankrupt having been imprisoned by proceedings under the law of a state to discover assets was released on habeas corpus by a United States court. Ex parte Taylor, 1 Hughes, 617; 23 Fed. Cas. 727.

When a cause of action for a tort has been reduced to judgment, it is covered by a discharge in bankruptcy, and a bankrupt arrested upon such a judgment will be released by the court of bankruptcy, notwithstanding the state court had refused to do so. In re Wiggins, 2 Biss. 71; 29 Fed. Cas. 1156.

A court of bankruptcy may order the release of a bankrupt held in custody by proceedings of arrest and bail under the state laws, and stay proceedings until the question of discharge is passed upon, and at the same time make a reference to determine whether the debts for which he

was arrested are such that they would be discharged by proceedings in bankruptcy. In re Jacoby, 1 N. B. R. 118; 13 Fed. Cas. 279.

A bankrupt had given a bond for his appearance from time to time, but failed to appear and furnish schedules in obedience to an order of the court, and left the jurisdiction with assets exceeding the penalty of the bond. It was held that the obligee could recover in an action of debt, and that, under the circumstances, the judgment should be for the whole amount of the bond and interest. Marble v. Fulton et al., 1 Hask. 462; 16 Fed. Cas. 695.

A petition was filed in the court of bankruptcy for a writ of habeas corpus for the release of the bankrupt from arrest under the order of a state court. Judge Blatchford said: "I can only examine the affidavit of a plaintiff on which the order of arrest was made. I have done so, and am satisfied that the state court must, on that affidavit, have believed that the debt in question was created by the fraud of the bankrupt, or by their defalcation while acting in a fiduciary character, and must on that account have ordered the arrest. The writ must be discharged, and the prisoners be remanded to the custody of the sheriff." In re Valk, 3 Ben. 431; 28 Fed. Cas. 873.

The exemption of the bankrupt from arrest on civil process applies whether he is arrested before or after the commencement of proceedings in bankruptcy. In re Seymour, 1 N. B. R. 29; 1 Ben. 348 (1867).

The object of a creditor in imprisoning a debtor on execution is to secure secret funds with which the debt may be paid. The Bankrupt Act divests the bankrupt debtor of all his property for the benefit of all creditors. A creditor may, therefore, be enjoined from enforcing his judgment by imprisonment. In re Winthrop, 5 Law Rep. 24; 30 Fed. Cas. 375 (1842).

Under the Act of 1867 the court refused to discharge the bankrupt from arrest on the ground that the debt was created by fraud, for the reason that a discharge in bankruptcy would not affect such an indebtedness. In re Pettis, 2 N. B. R. 44; 19 Fed. Cas. 395.

After adjudication, the bankrupt was arrested in a civil suit in a state court upon an affidavit stating that the suit was for a debt created by his defalcation while acting in a fiduciary capacity. In fact, and as appeared in the complaint, the suit was for the proceeds of goods consigned to him to sell on commission, which he had sold, but the proceeds of which he had not remitted. On an application to the court of bankruptcy to discharge him from arrest, the court held that it could only look at the affidavit on which the order of arrest was granted in the state court. In re Kimball, 2 Ben. 554; 14 Fed. Cas. 476.

Certain creditors of the bankrupt caused his arrest by an order from a state court on the ground that the debt had been fraudulently contracted. Thereafter they proved their claim in bankruptcy. The bankrupt applied to the court to have the arrest vacated and further proceedings enjoined. The court held that as the debt was one that would not be discharged in bankruptcy, the order of arrest issued by the state court

could not be vacated; but as the debt was provable in bankruptcy, the proceedings of the creditor in the state court would be stayed pending the determination of the question of discharge. In re Migel, 2 N. B. R. 481; 17 Fed. Cas. 279.

[See notes to §§ 2 and 11.]

EXTRADITION.

§ 10. Extradition of Bankrupts.-— (a.) Whenever a warrant for the apprehension of a bankrupt shall have been issued, and he shall have been found within the jurisdiction of a court other than the one issuing the warrant, he may be extradited in the same manner in which persons under indictment are now extradited from one district within which a district court has jurisdiction to another.

The practice of the state in which the arrest is made must be observed in the preliminary examination of an alleged offender under the Bankrupt Act who is arrested in another district for extradition. U. S. v. Brawner, 7 Fed. Rep. 86.

SUITS BY AND AGAINST BANKRUPTS.

§ 11. Suits By and Against Bankrupts.- (a.) A suit which is founded upon a claim from which a discharge would be a release, and which is pending against a person at the time of the filing of a petition against him, shall be stayed until after an adjudication or the dismissal of the petition; if such person is adjudged a bankrupt, such action may be further stayed until twelve months after the date of such adjudication, or, if within that time such person applies for a discharge, then until the question of such discharge is determined.

(b.) The court may order the trustee to enter his appearance and defend any pending suit against the bankrupt.

(c.) A trustee may, with the approval of the court, be permitted to prosecute as trustee any suit commenced by the bankrupt prior to the adjudication, with like force and effect as though it had been commenced by him.

(d.) Suits shall not be brought by or against a trustee of a bankrupt estate subsequent to two years after the estate has been closed.

Stay of Proceedings, etc.

An action on a debt which is provable, whether it could be covered by a discharge or not, will be stayed by the commencement of proceedings in bankruptcy, provided final judgment has not been entered. In re Van Buren, 19 N. B. R. 149; 28 Fed. Cas. 953.