McCormick v. . Pickering

4 N.Y. 276
CourtNew York Court of Appeals
DecidedDecember 5, 1850
StatusPublished
Cited by6 cases

This text of 4 N.Y. 276 (McCormick v. . Pickering) is published on Counsel Stack Legal Research, covering New York Court of Appeals primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
McCormick v. . Pickering, 4 N.Y. 276 (N.Y. 1850).

Opinions

Ruggles, J.

The first objection to the defendant’s plea of his discharge in bankruptcy, is, that it does not state the facts necessary to give jurisdiction to the district court of the United States, for the southern district of blew-York, to grant the discharge.

The first section of the bankrupt act of 1841, enables all persons whatsoever, residing in any state, district, or, territory of the United States, owing debts which shall not have been created in consequence of any defalcation as a public officer, or as executor or administrator, guardian or' trustee, or in any other fiduciary capacity, who shall, by petition, containing certain specified facts and statements, and verified as therein directed, to apply to the proper court for the benefit of that act. And the same section declares that all persons so applying shall be deemed bankrupts within the purview of the act, and may be *279 so declared by a decree of such court. By the 7th section of the act, the petition must be presented and- the proceed- [279] ings had in the district court of the United States within and for the district in which the applicant shall reside or have his place of business, at the time when the petition is filed.

The facts, therefore, to be stated distinctly in the plea, for the purpose of showing the jurisdiction of the district court to grant the discharge, are 1. The residence of the defendant, which must be stated for two purposes, to wit, first, to show that he is within the class of persons entitled to the benefit of the act, and next, to show that his application is made to the proper district or territorial court; 2d. That he owed debts, not created in consequence of a defalcation as a public officer, &c. as above specified in the act; 3d. That he presented his petition to the district court of the district in which the defendant resided or had his place of business, and that his petition contained what the act required it should contain.

These facts are all distinctly and directly stated in the defendant’s plea. They show that the court which granted the discharge, had jurisdiction of the case, and that it was set in motion by the presentation of the petition. Thenceforward the legal presumption is in favor of the regularity of the proceedings. And the plea goes on accordingly to aver, that upon the presentation of the petition to the court, such proceedings were thereupon had, that the defendant was afterwards, on the 4th of March, 1842, duly decreed to be a bankrupt, &e. In this respect, the plea appears to have been drawn according to the principles laid down long ago, in our own courts, and often repeated. (1 John. 91; 7 id. 75 ; 10 id. 161; 1 Cowen, 319 ; 20 John. 288 ; 24 Wend. 364; 1 Denio, 331, 332; 5 Hill, 350; 6 id. 607 ; 1 Comst. 505.)

The first section of the statute requires the bankrupt, in his petition, to declare himself unable to meet his debts and engagements ; and the plea shows that this was done. The plea states also, directly and affirmatively,, that the defendant was a bankrupt within the meaning of the act. It was unnecessary for him to state, in any other language, that he owed debts *280 which he was unable to pay. The statute contains no such [280] definition of a bankrupt. The general averment that such proceedings were thereupon had, showed sufficiently that the court took the petition into consideration, and acted on it.

It was unnecessary to aver that notice was published to the creditors, or that objections were or were not made against the decree made by the court, or that twenty days had elapsed before the decree. Jurisdiction being shown, all the subsequent proceedings are presumed to have been regular.

The plaintiff further objects that the plea does not aver that the second petition (the petition for a discharge after the decree that the defendant was a bankrupt,) was presented to the court, but merely states that it was filed. . The language of the plea in this particular, is the language of the 4th section of the act, and is therefore sufficient. The averment that such proceedings were had on filing the petition that the defendant was discharged by the court, shows that the petition was before the court, and was the ground of its action. A special averment that this debt was included in the schedule, was unnecessary. There is an averment that the petition set forth a list of the bankrupt’s creditors, their respective places of residence, and the amount due to each. This was enough. It must be supposed to include the plaintiff’s demand. Whether it did or not was not a fact on which the jurisdiction of the court depended.

The averment that the debt was provable under the act is also sufficient, although in speaking of the bond the plea does not expressly admit its validity or the existence of the debt. The plea says, if there was any debt it was provable under the act. The defendant was not bound to admit it for the purpose of making the discharge valid. It may have been stated in the lists of his debts as a disputed claim to be contested by his assignee, and it was only necessary for the defendant to show that if it was a valid debt his discharge operated upon it.

Whether under the technical rules of pleading it was necessary to confess it, for the purpose of avoiding it by his discharge, is a different question. The averment is “ that the said supposed writing obligatory, if any such were made, was made be *281 fore the presenting of the petition first above set .forth to be declared a bankrupt,” “ and was provable under the act [281] aforesaid,” &c. Admitting the strict technical rule of pleading to require that the defendant in a plea of avoidance shall give color to the plaintiff by admitting aprima facie cause of action, which but for the matter of avoidance would have entitled him to maintain his suit, we think the technical rule has been sufficiently complied with in other parts of the plea in which the bond is referred to without the objectionable words “ if any such were made.” In the next paragraph but one of the plea, the defendant avers that the discharge previously set forth in the plea, is “ a full and complete discharge of him the said defendant of and from all claim or liability to the plaintiff for or on account of the said supposed bond or writing obligatory in the declaration described and set forth.” This clause in the plea contains a sufficient admission and gives sufficient color to satisfy the technical rule of pleading. One admission in the plea is enough. If the general issue were struck out, no doubt could be entertained that the defendant on the trial would hold the affirmative, and be put to his defence without proof of the bond.

But if on this point the case stood alone on that part of the plea which contains the words “ if any such were made,” I should hesitate in assenting to a reversal of the judgment for such an informality merely. In looking at the issue we find that the defendant’s first plea was non est factum,

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Bluebook (online)
4 N.Y. 276, Counsel Stack Legal Research, https://law.counselstack.com/opinion/mccormick-v-pickering-ny-1850.