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Schoenthal v. Irving Trust Co., 287 U.S. 92 (1932)

Schoenthal v. Irving Trust Co.

No. 14

Argued October 18, 1932

Decided November 7, 1932

287 U.S. 92


1. Section 267 of the Judicial Code, providing that "suits in equity shall not be sustained in any court of the United States in any case where a plain, adequate, and complete remedy may be had at law," is declaratory of the rule followed by courts of equity, and should be liberally construed as serving to guard the right of trial by jury preserved by the Seventh Amendment. P. 287 U. S. 94.

2. The question whether a case should be tried at law or in equity depends upon the facts stated in the bill. P. 287 U. S. 95.

Page 287 U. S. 93

3. A suit by a trustee in bankruptcy to recover preferential payment of ascertained and definite amount and in which the complaint aver no facts that call for an accounting or other equitable relief should be tried at law. Id.

4. Defendants who answered a bill putting all its allegations in issue, including the allegation that plaintiff had no adequate remedy at law, and who, after the case was advanced on the equity calendar but before it was reached for trial, made their motion for a transfer under the 22d Equity Rule, held not to have waived their right to such transfer. Pp. 287 U. S. 96-97.

54 F.2d 1079 reversed.

CERTIORARI, 285 U.S. 536, to review the affirmance of a decree in a suit by a trustee in bankruptcy to recover the amount of payments made by a bankrupt which the bill challenged as preferences.

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