United States Supreme Court Cases & Opinions

U.S. Supreme Court

Sampsell v. Imperial Paper & Color Corp., 313 U.S. 215 (1941)

Sampsell v. Imperial Paper & Color Corp.

No. 601

Argued March 31, 1941

Decided April 28, 1941

313 U.S. 215

Syllabus

1. A court of bankruptcy has jurisdiction, by summary proceeding, to cover, into the estate of the bankrupt, property of a corporation the only stockholders and officers of which were the bankrupt, his wife, and son, and to which the bankrupt had made a transfer, not in good faith, of his property, and an order to that effect, entered after notice to the corporation and its stockholders, is binding on the corporation, and may not be collaterally attacked in proceedings wherein a creditor of the corporation sought priority against its assets. P. 313 U. S. 218.

2. In such case, an unsecured creditor of the corporation, who had some knowledge of the fraudulent character of the transfer by the bankrupt to the corporation, held entitled only to par pasu participation with individual creditors of the bankrupt. P. 313 U. S. 219.

114 F.2d 49 reversed.

Certiorari, 312 U.S. 669, to review a judgment reversing an order denying priority to a claim in bankruptcy.