Scottish Court of Session Decisions

Subject_1 BANKRUPT.
Subject_2 DIVISION IV.

Disposition by a Bankrupt in favour of his whole Creditors.

Mr James Cheyne
v.
The Trustees of Merchieston's Creditors

1729. January.
Case No. No 240.

The Lords refused to stop an adjudication, pursued by a creditor chusing to take separate measures, in opposition to a disposition omnium bonorum, to trustees for the whole creditors.

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A Bankrupt having granted a disposition omnium bonorum to his creditors, for their security and payment, one of them not satisfied with the common sate, insisted in an adjudication against the bankrupt; which was strenuously opposed by the others, foreseeing this adjudication would be used as a foundation for pushing on a sale of the debtor's estate, which would heap a multitude of expences upon them, and tend, in general, to render of no effect, the method that has been of late fallen upon of granting dispositions omnium bonorum: They pleaded, that this was an invidious diligence, and, in all events, their disposition must be preferable; whereby it will be impossible for him to make more by the adjudication than he has already by his right in the disposition; and, therefore, there was the same reason for stopping this diligence, that there is for stopping arrestments and inhibitions, which is done every day upon equitable considerations.——The Lords refused to stop the adjudication.

Fol. Dic v. 1. p. 85. Session Papers in Advocate's Library.