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Harris v. First National Bank of Mt. Pleasant, 216 U.S. 382 (1910)

Harris v. First National Bank of Mt. Pleasant

No. 98

Argued January 21, 1910

Decided February 21, 1910

216 U.S. 382


Quaere, and not decided, whether, under § 70e of the Bankruptcy Act, the suits therein referred to can be brought in the bankruptcy court without the consent of the defendant. See contrary views expressed in Hull v. Burr, 153 F. 945; Hurley v. Devlin, 149 F. 268.

Section 70e of the Bankruptcy Act provides for avoiding transfer of the bankrupt's property which his creditors might have avoided, and for recovery of such property or its value from persons not bona fide holders for value. It does not, either with or without consent of defendant, give the bankruptcy court jurisdiction of a suit to recover property held by defendant but which, if the allegations of the complaint are true, belonged to the bankrupt and passed to the trustee.

The bankruptcy court has not jurisdiction of a suit against a bank to recover securities held by it for indebtedness of the bankrupt on the ground that the debt had been paid.

The facts are stated in the opinion.

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