CHAP.
XLIV.
No person to be
entitled to the
benefit of this
act but a citizen,
&c.
Trustee to give
bond, &c.
On executing a
deed, debtor to
be discharged,
&c.
May retain his
apparel.
Trustee may be
directed to sell,
&c.
And may sue.
Debtor may be
examined, &c. |
III. AND BE IT ENACTED, That no person herein
before mentioned shall be entitled to the benefit
of any of the provisions of this act, unless the chancellor shall be
satisfied, by competent testimony,
that he is, and at the time of passing this act was, a citizen of the United
States, and of
this state, or has been actually residing within this state two years,
using the trade of merchandise,
by buying and selling in gross or by retail, and unless, at the time of
presenting his petition as
aforesaid, he shall produce to the chancellor the assent, in writing, of
so many of his creditors as
have due to them the amount of two thirds of the debts due by him at
the time of the passing of
this act; provided, that foreign creditors, not residing in the United
States, and not having agents
or attornies residing therein duly empowered to act in their behalf, and
the executors and administrators
of deceased creditors, shall not be considered within the intent and meaning
of this clause;
and provided also, that the chancellor may, without the assent of the creditors
as aforesaid, from
time to time order to be discharged from custody any of the said petitioners
who may be in actual
confinement in virtue of any process issued, or that may be issued, in
pursuance of any debt at this
time due and owing by him, which discharge is hereby declared to be a release
only of the person of
such debtor, but not of his property, unless the assent in writing of two
thirds in value of the
creditors as aforesaid be obtained.
IV. AND BE IT ENACTED, That before such trustee
proceeds to act, he shall give bond for the
faithful performance of his duty, to such person, in trust for the creditors
of said petitioning
debtor, and in such penalty as the chancellor shall direct, which shall
be recorded in the office of the
register of the court of chancery, and a copy thereof, certified under
the hand of the said register,
shall be good evidence in any court of law or equity of this state; and
if any trustee, appointed by
virtue of this act, shall refuse to act, or neglect to give bond as aforesaid,
in a reasonable
time to be judged of by the chancellor, or be removed by the chancellor
for his misbehaviour, he shall
appoint such other person as he shall think proper in his place, who shall
give bond as aforesaid, and
on giving such bond, (in case the said debtor had conveyed his property
to the former trustee,) he
shall immediately be vested with all the property of every kind, and all
the debts, rights and credits,
of the said debtor, as completely as the former trustee was vested with
the same.
V. AND BE IT ENACTED, That upon the said petitioning
debtor's executing and acknowledging
a deed to the trustee to be appointed as aforesaid, conveying all his property,
real, personal and
mixed, and all debts, rights and claims, agreeably to the oath, or affirmation,
of such debtor as aforesaid,
and on his delivery to the said trustee of all his said property which
he shall have in possession,
and of his books, papers, and evidence of debts of every kind, and the
said trustee's certifying the
same, in writing, to the chancellor, it shall be lawful for the chancellor
to order that the said debtor
shall be discharged from all debts, covenants, contracts, promises and
agreements, due from, or owing
or contracted by, him, before the date of the said deed, and by virtue
of such order the said
debtor shall be discharged as aforesaid; provided, that no person who has
been guilty of a breach of
the laws, and hath been fined, or is liable to be fined, for such breach,
shall be discharged from the
payment of any fine incurred for any breach of the laws of this state;
and provided, that any
property which he shall thereafter acquire by gift, descent, or in his
own right by bequest, devise,
or in any course of distribution, shall be liable to the payment of the
said debt; and provided,
that the discharge of such debtor shall not operate so as to discharge
any other person from any debt.
VI. AND BE IT ENACTED, That the chancellor
may allow such petitioning debtor to retain the
necessary wearing apparel, beds and bedding, of himself and family.
VII. AND BE IT ENACTED, That the chancellor
may direct any trustee to be appointed by virtue
of this act to sell and convey the property conveyed to him by the petitioning
debtor, at such time,
and on such terms and conditions, as he shall think most for the advantage
of the creditors, and the
produce thereof, after satisfying all incumbrances and liens, shall be
divided among the said creditors,
agreeably to the several and respective claims; but no judgment to be entered
after the
passage of this act against any of the said debtors who shall take
advantage of this act, shall
be a lien on his real property, nor shall any process against his real
or personal property have any
effect thereon, except writs of fieri facias actually and bonâ
fide laid before the passing of this act.
VIII. AND BE IT ENACTED, That any trustee may
sue for, in his own name, and recover, any
property or debts assigned to him by any debtor in virtue of this act.
IX. AND BE IT ENACTED, That if any creditor,
on the application of any such debtor to the
chancellor, or within two years thereafter, shall allege, in writing, to
the chancellor, or to the |
