Burbank v. Bigelow - 92 U.S. 179 (1875)
U.S. Supreme Court
Burbank v. Bigelow, 92 U.S. 179 (1875)
Burbank v. Bigelow
92 U.S. 179
1. A bill in chancery was filed in the Circuit Court of the United States for the District of Louisiana by a citizen of Louisiana, the executrix of a deceased member of a firm, against the surviving partner, a citizen of Wisconsin, for an account as part of the partnership assets of the proceeds of a judgment recovered by the latter in said court, in his individual name, for a debt which she alleged was due the firm. The defendant, prior to the service of process on him, had on his petition been declared a bankrupt by the District Court of the United States for the District of Wisconsin, but, answering to the merits, he denied that the debt was due to the partnership. An amended and supplemental bill was afterwards filed making a defendant the assignee in bankruptcy, who adopted in a separate answer the defense set up by the original defendant. He, in an answer subsequently filed, claimed
that the said district court had exclusive jurisdiction in the cause. During its progress, a receiver was appointed who collected the amount due on the judgment. The circuit court dismissed the cause for want of jurisdiction. Held that notwithstanding the proceedings in bankruptcy, and although the assignee thereunder may have been appointed and the assignment made to him prior to filing said bill, the circuit court, having possession of the subject matter in controversy as well as jurisdiction of the parties, had jurisdiction of the cause, and should have decided it upon its merits.
2. Under sec. 4979 of the Revised Statutes, the circuit court of the United States has, without reference to the citizenship of the parties, jurisdiction of a suit against an assignee in bankruptcy brought by any person claiming an adverse interest touching any property or rights of property transferable to or vested in such assignee.