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177 F. 605

Docket No. 1,568.

Lynch v. Bronson

Connecticut District Court

Decided March 2, 1910.)

Connecticut District Court · decided 1910-03-02

<p>Bankruptcy (§ 203*) — Action by Trustee — Jurisdiction.</p> <p>An action by a trustee in bankruptcy to recover damages from defendants, upon allegations that they conspired with the bankrupt, knowing him to be insolvent, and pursuant to such conspiracy lie purchased goods on credit, which he turned over to defendants for less than their value, is one merely to recover damages for the conspiracy, and not to set aside a fraudulent transfer of property, within Bankr. Act July 1, 1898, c. 541, § 67e, 30 Stat. 564 (U. S. Comp. St. 1901. p. 3449), and is not brought witbin the jurisdiction of the bankruptcy court by section 23b, as amended ' bv Act Feb. 5, 1903, c. 487, § 8, 32 Stat. 798 (IJ. S. Comp. St. Supp. 1909, p. 1312.)</p> <p>Ilfld. Note. — -For other cases, see Bankruptcy, Cent. Dig. § dll; Dec. Dig. Si 293.*</p> <p>Jurisdiction of federal courts in suits relating to bankruptcy, see note to Bailey v. Mosher, 11 C. C. A. 313.1</p>

Cited by 2 later decisions (1 by the Supreme Court) — most recently June 1947

1 district ·

2 counsel of record

Relies on Lynch v. Bronson

Good law ✅— No negative treatment on recordhow we know

Demurrer sustained · Decided 1910-03-02

View the full empirical analysis of this case →

¶1Bankruptcy (§ 203*) — Action by Trustee — Jurisdiction.

¶2An action by a trustee in bankruptcy to recover damages from defendants, upon allegations that they conspired with the bankrupt, knowing him to be insolvent, and pursuant to such conspiracy lie purchased goods on credit, which he turned over to defendants for less than their value, is one merely to recover damages for the conspiracy, and not to set aside a fraudulent transfer of property, within Bankr. Act July 1, 1898, c. 541, § 67e, 30 Stat. 564 (U. S. Comp. St. 1901. p. 3449), and is not brought witbin the jurisdiction of the bankruptcy court by section 23b, as amended ' bv Act Feb. 5, 1903, c. 487, § 8, 32 Stat. 798 (IJ. S. Comp. St. Supp. 1909, p. 1312.)

¶3Ilfld. Note. — -For other cases, see Bankruptcy, Cent. Dig. § dll; Dec. Dig. Si 293.*

¶4Jurisdiction of federal courts in suits relating to bankruptcy, see note to Bailey v. Mosher, 11 C. C. A. 313.1

¶5Action by Edward W. Lynch, trustee, against J. Iiarmar Bronson and others. On demurrer to complaint.

¶6Demurrer sustained.

¶7See, also, 160 Fed. 139.

¶8Hobart L- Hotchkiss, for plaintiff.

¶9Slade, Slade & Slade, for defendants.

¶11PLATT, District Judge.

¶12My decision on a plea to the jurisdiction in this case will be found in 160 Fed. 139.

¶13The plaintiff stood upon his complaint, which is now attacked by demurrer. Jurisdiction was retained because of the expressed will of Congress as found in section (>7e of the bankrupt act (Act July 1, 1898, c. 541, 30 Stat. 564 fU. S. Comp. St. 1901, p. 3449]), as amended (Act Feb. 5, 1903, c. 487, § 16, 33 Stat. 800 [U. S. Comp, St. Supp. 1909, p. 1316]). Under that section it seemed to the court that the plaintiff might by amendment so recast his complaint as to give us concurrent jurisdiction with the state court.

¶14As the matter now stands, however, the complaint appears to state nothing more nor less than a suit by reason of a conspiracy to recover damages. It is, therefore, in no sense within the provisions of section 67e.

¶15The demurrer must be sustained.

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