Conner v. Long

104 U.S. 228, 26 L. Ed. 723, 1881 U.S. LEXIS 1995
CourtSupreme Court of the United States
DecidedDecember 18, 1881
Docket76
StatusPublished
Cited by40 cases

This text of 104 U.S. 228 (Conner v. Long) is published on Counsel Stack Legal Research, covering Supreme Court of the United States primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Conner v. Long, 104 U.S. 228, 26 L. Ed. 723, 1881 U.S. LEXIS 1995 (1881).

Opinion

Mr.' Justice Matthews

delivered the opinion of the court.

The facts out of which this c.ase has grown are undisputed. They are as follows: —

On July 20, 1875, a warrant of attachment was duly issued in an .action commenced on that day in the Supreme Court of the State; of New-York, by Dickerson against Spaulding, a nonresident. William C. Conner, sheriff of the city and county of New.York, to whom the warrant was .directed, levied it, the (same day,, on tl\^f. straw _goods in controversy in this action which were at the time ythe' property -of Spaulding. On the ground that they were perishable,- an order rvas on the 27th *229 of that month made in the cause, directing the sheriff to sell them. Pursuant to that order, they were sold. August 1 for the sum of $1,156.50. Judgment was entered in the action September 15, in-favor of the plaintiff, for $2,175.85. Ah execution issued thereon was received by the sheriff1 on that.day. He returned it five days thereafter,'showing that thé amount made, being the proceeds of the sale less expenses, had been paid by him to the attorney of the plaintiff.

Spaulding was a resident of Massachusetts. On July 23; 1875, a petition in bankruptcy was filed against -him by-creditors in the District Court of the United States for the District of Massachusetts-, and -he was adjudged a bankrupt on the fourth day of' the following September. The déed óf assignriient was executed"by' the ' register in bankruptcy to William H. Long, the appointed- assignee, on the 21st of- that month.

On Jan. 21, 1876,' Long,-as assignee, commenced in the Superior Court of the city of New York the present -action, against Conner, the sheriff, to recover the' valúe of-the goods, on the ground that the sale so made was á wrongful conversion of property, the title .to and right of possession in:which had'at the time,'by the operation of'the-Bankrupt Act, become vested in him as assignee of Spaulding. '

This action was removed by the'plaintiff therein to thé Cir-, cuit Court of the United States'. ' The answer of Conner denied “ that he knew or in any way'had any notice or intimation of said alleged proceedings- in bankruptcy until subsequently to such sale, and until after--the- payment over by this defendant of the money so received by him upon such salé, ás hereinafter set forth.” ' Upon the trial-the judge instructed' thé jury that upon these ádmitted facts the sheriff was'guilty of a conversion of the property in question Aug. 1, 1875,'in selling it under the order of the Supreme Court óf New York; that he'was consequently 'liable to pay to the plaintiff the market value thereof • oh that date, with interest; and that the only question submitted for their determination was the amount of damages. -

The trial resulted in a judgment for $1,186.43 in favor of the plaintiff, to reverse which this writ of error is prosecuted.

*230 , The form of the charge assumed the truth of the foregoing allegation in the defendant's answer,' as to his want' of actual notice of the proceedings in bankruptcy.

The question now to be considered, and determinéd is, whether there is error in this charge.

The solution óf this question depends upon the force to be given to the fourteenth section of the act of March 2, 1867, c. 176, now sect. 504-1 of the Revised Statutes, which reads as follows: — '

“As'soon as an assignee is appointed and qualified, the judge, or when there is no opposing interest, the register shall, by an instrument under his hand, assign and convey to the assignee all the' estate, real and personal, of the bankrupt, with all his deeds, books, and papers;relating thereto, and such assignment shall relate back to the ■commencement of the proceedings in bankruptcy, and by operation of law shall vest the title, to all such property and estate, both reál and personal, in the assignee, although the same is then attached on mesne process as the property of the debtor, and shall dissolve any such attachment made within four months next preceding the' commencement of the bankruptcy proceedings.”

In Hampton v. Rouse (22 Wall. 263, 275), it was declared by Mr. .Justice Clifford, delivering the opinion of the court, that thq plain meaning of this. section was, that, “ until an assignee- is appointed and qualified, and the conveyance or assignment is made fcb him, the title to the property, whatever it may be, remains in’the bankrupt.” It is equally plain that,^ when the assignment is' made, it operates retrospectively.. The title of the bankrupt in the interval is defeasible, and,. when the assignment is made, is divested as of the date when the petition was' filed. All titles derived under or through him, originating subsequently to that date, are, by force of law and without regard to the • knowledge or the motives of the claimant, overreached and defeated. Bank v. Sherman, 101 U. S. 403. The statute declares that the title of the assignee shall thus vest by relation to the commencement of the proceedings in bankruptcy, although the property is then attached on mesne process as the property of the debtor.

It is urged in argument on behalf of the plaintiff in error *231 that the act divests the title of property held by virtue of an attachment only when it is so held at the date of the execution and delivery of the assignment, and not at the time of. filing the petition in bankruptcy; and that, consequently, when, as in the present case, the attachment proceedings had resulted in a disposition of the goods, prior to the actual conyeyance to the assignee,, the title to them would not pass to him. To hold otherwise,.it is said, would, in opposition to the plain provisions"' of the law, defeat the legitimate operation of an attachment, which had ..been commenced more than four, months prior .to tlie inception "of the bankruptcy proceedings; for it might well be that under such a writ property might be held undisposed of at the daté of filing the- petition in bankruptcy. But it .is equally true that property so held might remain subject to the attachment at the date of the conveyance to thé assignee, and the supposed difficulty is not removed "by the suggested construction of the act. It js removed, however, by considering the whole section, from which it appears that it is the title to property, subject to an attachment, only when levied within four months next preceding the commencement of the bankruptcy proceedings, which becomes vested in the assignee by relation, the same ttaehment being thereby' dissolved as of that date.

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Bluebook (online)
104 U.S. 228, 26 L. Ed. 723, 1881 U.S. LEXIS 1995, Counsel Stack Legal Research, https://law.counselstack.com/opinion/conner-v-long-scotus-1881.