Thomas v. Sugarman - 218 U.S. 129 (1910)
U.S. Supreme Court
Thomas v. Sugarman, 218 U.S. 129 (1910)
Thomas v. Sugarman
Argued April 12, 1910
Decided May 31, 1910
218 U.S. 129
Where the trustee in bankruptcy brings a bill in equity in the Circuit Court to set aside a transfer made by the bankrupt, the appeal is not governed by § 25 of the Bankruptcy Act but by the Court of Appeals Act of March 3, 1891, c. 517, § 6, 26 Stat. 828. Knapp v. Milwaukee Trust Co., 216 U. S. 545.
The rule that an act of election directed toward a third person may operate in rem and establish title as to all concerned does not apply where, as in this case, the title is in the person enforcing the remedies, and there was no element of election.
The fact that a trustee in bankruptcy obtained a money judgment against one to whom the bankrupt transferred certain assets to delay and defraud creditors held in this case not to have amounted to ratification of the bankrupt's act or to an election not to pursue the assets transferred, but the bankrupt was entitled to also maintain a bill in equity to set aside the transfer.
157 F. 669 reversed.
The facts are stated in the opinion.