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The Annotated Code of the Public General Laws of Maryland, 1924
Volume 375, Page 2727   View pdf image (33K)
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SALES AND NOTICES. 2727

(2) A thing is done " in good faith " within the meaning of this sub-
title when it is in fact done honestly, whether it be done negligently or not.

(3) A person is insolvent within the meaning of this sub-title who
either has ceased to pay his debts in the ordinary course of business or
can not pay his debts as they become due, whether he has committed an
act of bankruptcy or not, and whether he is insolvent within the meaning
of the federal bankruptcy law or not.

(4) Goods are in a " deliverable state " within the meaning of this sub-
title when they are in such a state that the buyer would, under the con-
tract, be bound to take delivery of them.

The term " goods " includes " industrial growing crops"—see notes to sec. 25.
Wenger v. Grummel, 136 Md. 81.

The portion of this section defining " goods" referred to in construing sec. 25;
see notes thereto. Stem v. Crawford, 133 Md. 582.

Under this section growing crops are chattels. Willard v. Higdon, 123 Md. 451.

See notes to secs. 22 and 39.

An. Code, sec. 98. 1910, ch. 346, sec. 95 (p. 296).

98. None of the provisions of this sub-title shall apply to any sale, or
to any contract to sell, made prior to June 1, 1910.

An. Code, sec. 99. 1910, ch. 346, sec. 97 (p. 296).

99. The above sections 22 to 98, inclusive, may be cited as the " Uni-
form Sales Act."

Sales in Bulk.

An. Code, sec. 100. 1912, ch. 451, sec. 98.

100. It shall be the duty of every person who shall bargain for or pur-
chase any stock of goods, wares or merchandise in bulk for cash or credit
within this State to demand and receive from the vendor thereof, and if
the vendor be a corporation, then from a managing officer or agent thereof,
at least five days before the consummation of such bargain or purchase,
and at least five days before paying or delivering to the vendor any part
of the purchase price or consideration thereof, or any promissory note or
other evidence of indebtedness therefor, a written statement under oath,
containing the names and addresses of all the creditors of said vendor,
together with the amount of indebtedness due or owing by said vendor to
each of such creditors, and if there be no such creditors, a written state-
ment under oath to that effect, and it shall be the duty of such vendor to
furnish such statement at least five days before any sale or transfer by
him of any stock of goods, wares or merchandise, in bulk.

The transfer of partnership assets to a corporation formed by its members held
invalid as to creditors because made in disregard of this and following sections.
Where assets and stock which are so transferred in bulk includes " goods, wares and
merchandise" within purview of this section, it is immaterial whether certain
articles bought from attacking creditor were within that description. Equitable
remedy and decree upheld. Sakelos v. Hutchinson Bros., 129 Md. 304.

The sales in bulk act, as amended, is found in secs. 100-103. This act does not
limit rights of creditors to those having merchandise account, but it does not apply
to a fee for legal services, which was not a subsisting debt when sale took place.

 

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The Annotated Code of the Public General Laws of Maryland, 1924
Volume 375, Page 2727   View pdf image (33K)
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