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and moves with his family into his store, cannot claim the latter as a homestead exemption. (In re Wright, 8 N. B. R. 430; Fed. Cas. 18067.) Nor can a bankrupt claim as exempt a business block owned by him, and in which were two stores, one of which he occupied for business purposes, and into the other of which, shortly before his bankruptcy, he moved his family and resided. (In re Lammer, 14 N. B. R. 460; 7 Biss. 269; 8 Chi. Leg. News, 386; 3 Cent. Law J. 574; Fed. Cas. 8031.) Nor is he entitled to a homestead out of lands mortgaged at the time of pur chase to secure the unpaid purchase-money. (In re Whitehead, 2 N. B. R. 180; 1 Chi. Leg. News, 326; Fed. Cas. 17562.) The cestui que trust under a trust deed to secure present loans and subsequent a lvances will be protected as to such advances against the claims of the borrower, who has declared the land a homestead, and has subsequently obtained such advances, and fraudulently concealed his declaration of homestead. (In re Haake, 7 N. B. R. 61; 2 Sawy. 231; Fed. Cas. 5883.)

Waiver.- Under state law (Virginia), a debtor may by contract bind himself to waive the homestead exemption allowed him by law in favor of a particular debt, and the courts will enforce such waiver. Such waiver does not confer upon his general creditors any special rights, nor operate in his favor, and where the assignee does not claim under the mortgage it is precisely as if bankrupt had never made such waiver, and he is entitled to have his homestead set apart. (In re Poleman, 9 N. B. R. 376; 5 Biss. 526; 19 Int. Rev. Rec. 94; 6 Chi. Leg. News, 181; Fed. Cas. 11247.) A bankrupt mortgaged his exempt property, waiving all homestead and exemption rights and his right to a discharge in bankruptcy; the property was left by the assignee in the debtor's possession temporarily; afterwards the mortgage was foreclosed and the property levied on; the assignee never had actual possession of the property, but it was included in the schedule; the court held the levy to be a contempt, as the waiver could not be enforced until the property was allotted to the bankrupt. (Byrd, Ass., v. Harold et al., 18 N. B. R. 433; 26 Pittsb. Leg. J. 315; Fed. Cas. 2269.)

Personalty. No allowance will be made to a bankrupt, from the general fund, of money in lieu of articles seized and sold under distress for rent which would otherwise have been exempt. (In re Lawson, 2 N. B. R. 19; Fed. Cas. 8149.) An insolvent debtor purchased a wagon, team and harness with wheat for the express purpose of claiming the property as exempt; but the transaction was held to be void and the title to the wheat passed to the assignee. (In re Parker et al., 18 N. B. R. 43; Fed. Cas. 10724.) A bankrupt had an expectant interest in an estate of less than the exemption amount; the court held that he was entitled to hold such interest exempt. (In re Bennett, In re Erben, 2 N. B. R. 66; 8 Amer. Law Reg. (N. S.) 31; 6 Phila. 472; 25 Leg. Int. 316; 1 Chi. Leg. News, 22; Fed. Cas. 1315.) Whether the circumstances of the bankrupt require the setting apart of "necessaries" is a question for the assignee to de

termine, subject to the approval of the court. (In re Hay et al., 7 N. B. R. 344; 2 Lowell, 180; Fed. Cas. 6253.) A plain and not extravagantly costly watch is properly allowable to a commercial man as a necessary article (In re Steele, 19 N. B. R. 41; 8 Cent. Law T. 86; Fed. Cas. 13346); but tools and implements were not allowed a merchant, although he is entitled to a horse under a provision exempting "working animals.” (In re Peabody, 16 N. B. R. 243; 9 Chi. Leg. News, 243; Fed. Cas. 10866; In re Schwartz, 4 N. B. R. 189; Fed. Cas. 12503.) Real estate will not be set apart to cover a deficiency in the value of articles and necessaries. (In re Thornton, 2 N. B. R. 68; 8 Amer. Law Reg. (U. S.) 42; Fed. Cas. 13994) Nor money as an exemption, except when it is the proceeds of articles which ought to be set aside under the head of "other articles and necessaries of the bankrupt." (In re Welch, 5 N. B. R. 348; 5 Ben. 230; Fed. Cas. 17366.) Unless a bankrupt personally follows some trade, occupation or profession which necessitates the ownership of a wagon and team, and earns his living by such trade, etc., he is not entitled to such property as exempt under the law. (In re Parker et al., 18 N. B. R. 43; Fed. Cas. 10724.) A bankrupt who executed a mortgage two days before his adjudication was permitted to retain sufficient for the support of himself and family, not exceeding with his other exemptions the total amount of exemptions allowable. (In re Thompson, 13 N. B. R. 300; 2 N. Y. Weekly Dig. 4; Fed. Cas. 13938.)

Liens.-The allotment of an exemption by an assignee in bankruptcy does not impair the lien of a judgment (Haworth v. Travis et al., 13 N. B. R. 145); and the assignee is not obliged to designate articles on which are no liens. (In re Preston, 6 N. B. R. 545; Fed. Cas. 11394.) A creditor whose lien overrides the exemption of the state law may enforce such lien without asserting his rights in a bankruptcy court. (Bush v. Lester et al., 15 N. B. R. 36.) When land has been set apart by the assignee as exempt, against which there is a vendor's lien, said land may be sold for the satisfaction of said lien. (In re Perdue, 2 N. B. R. 67; 2 West. Jur. 279; Fed. Cas. 10975.) A judgment will not be entered satisfied of record, upon the production of a discharge, unless the judgment is one which a discharge will release; an attachment upon exempt property is not dissolved, but may be enforced after bankruptcy. (Robinson et al. v. Wilson, 14 N. B. R. 565.) A mortgage creditor who does not prove his debt may enforce his mortgage in a state court, although the property be duly set apart as exempt. (Cumming v. Clegg, 14 N. B. R. 49.) The cestui que trust, under a trust deed to secure present loans and subsequent advances, will be protected against the claims of the borrower, who has declared the land a homestead, and has subsequently obtained such advances and fraudulently concealed his declaration of homestead. (In re Haake, 7 N. B. R. 61; 2 Sawy. 231; Fed. Cas. 5883.) A creditor, who is secured by a deed of trust on debtor's homestead, proved his claim in bankruptcy and asked for sale of the property; the property

was sold; purchaser petitioned for rule to show cause why he should not deliver possession; the court held that it had jurisdiction to compel the bankrupt to deliver possession. (In re Betts, 15 N. B. R. 536; 4 Dill. 93; 4 Cent. Law J. 558; Fed. Cas. 1371.) In granting an exemption the order must recite that it is to be without prejudice to a wife's right to alimony, decreed by a state court prior to bankruptcy. (In re Garrett, 11 N. B. R. 493; 2 Hughes, 235; Fed. Cas. 5252.) A bankrupt is entitled to hold as exempt his household furniture and other necessary articles, even though they are taken under an execution prior in time to the beginning of bankruptcy proceedings (In re Martin, 13 N. B. R. 397; 2 Hughes, 418; Fed. Cas. 9152; In re Owens, 12 N. B. R. 518; 6 Biss. 432; 7 Chi. Leg. News, 371; 1 N. Y. Wkly. Dig. 175; Fed. Cas. 10632; In re Ellis, 1 N. B. R. 154; Fed. Cas. 4400); nor can they be sold after he has filed petition in bankruptcy to satisfy a prior levy thereon. (In re Griffin, 2 N. B. R. 85; 2 Amer. Law T. Rep. Bankr. 23; 1 Chi. Leg. News, 103; Fed. Cas. 5813.)

Partnership. The adjudication of bankruptcy of a partnership dissolves the firm, and, as there is then no firm in existence to receive exemptions, none can be set apart to the bankrupts as a firm. (In re Blodgett & Sanford, 10 N. B. R. 145; Fed. Cas. 1555.) Where there is no fraudulent intention, partners may dissolve the partnership or sever their interest in the property, or one partner sell his interest to the other, and the continuing partner may have his exemption the same as if no partnership had existed. (In re Bjornstad, 18 N. B. R. 282.) On the eve of bankruptcy a firm sold firm property and divided the proceeds; one member bought with his share property which was exempt under the state law; the firm tried to compromise; such property was held not to be exempt. (In re Melvin et al., 17 N. B. R. 543; Fed. Cas. 9406.)

Individual exemptions out of partnership assets.- Under the act of 1867, the practice upon this point was far from uniform. Some decisions were to the effect that, where the individual assets were not sufficient to furnish the exemption allowed under the law, or where there were no such individual assets, the partners were each entitled to the legal exemption out of the partnership assets. (In re Young, 3 N. B. R. 111; Fed. Cas. 18148; In re Rupp, 4 N. B. R. 25; Fed. Cas. 12141; In re McKercher et al., 8 N. B. R. 409; In re Richardson & Co., 11 N. B. R. 114; 7 Chi. Leg. News, 62; Fed. Cas. 11776.) One case decided that only the surplus, after paying all the partnership debts and the expenses, was subject to individual exemption (In re Price, 6 N. B. R. 400; 1 Md. Law Rec. 236; Fed. Cas. 11110), and another that individual members of a firm could have no separate exemption out of undivided partnership property. (In re Blodgett et al., 10 N. B. R. 145; Fed. Cas. 1555.) But a large majority of the cases, and among them many of the later cases, have decided that the individual member is not entitled to any exemp tion out of partnership property. (In re Hafer et al., 1 N. B. R. 147; 25

Leg. Int. 148; 15 Pittsb. Leg. J. 389; Fed. Cas. 5896; In re Handlin et al, 12 N. B. R. 49; 3 Dill. 290; 2 Cent. Law J. 264; Fed. Cas. 6018; In re Tonne, 13 N. B. R. 170; 1 N. Y. Wkly. Dig. 170; Fed. Cas. 14095; In re Boothroyd et al., 14 N. B. R. 223; Fed. Cas. 1652; In re Hughes et al., 16 N. B. R. 464; 8 Biss. 107; Fed. Cas. 6842; In re Croft Brothers, 17 N. B. R. 324; 6 N. Y. Wkly. Dig. 218; 8 Biss. 188; 10 Chi. Leg. News, 204; 6 Amer. Law Rep. 597; Fed. Cas. 3404.) The last case cited seems to strike the key-note of these decisions when it says that partnership assets are a trust fund for the payment of the creditors of the firm, and therefore no exemption will be allowed until all the partnership debts are paid. Following are two special cases: Where partners purchase lots, taking title in the firm name, with an understanding that each should own in severalty the lot on which he builds, the interest of each is sufficient to entitle him to a homestead exemption. (Bartholomew, Ass., v. West et al., 8 N. B. R. 12; 7 West. Jur. 441; Fed. Cas. 1071.) A firm and one member thereof individually were adjudged bankrupts; the individual member claimed exemption out of partnership assets; the claim was not allowed. (In re Stewart & Newton, 13 N. B. R. 295; 2 N. Y. Wkly. Dig. 3; Fed. Cas. 13420.)

Sec. 7. Duties of bankrupts.-a. The bankrupt shall (1)1 attend the first meeting of his creditors, if directed by the court or a judge thereof to do so, and the hearing upon his application for a discharge, if filed; (2)2 comply with all lawful orders of the court; (3)3 examine the correctness of all proofs of claims filed against his estate; (4) execute and deliver such papers as shall be ordered by the court; (5) execute to his trustee transfers of all his property in foreign countries; (6) immediately inform his trustee of any attempt,

1 At the first meeting of the creditors, the judge or referee shall preside and may publicly examine the bankrupt or cause him to be examined at the instance of any creditor, but the place of such meeting should be one most convenient for parties in interest. The first meeting must be held not less than ten nor more than thirty days after the adjudication. (Sec. 55, a.)

2 In case of contempt committed before a referee, he certifies the facts to the judge, and after a hearing the latter is authorized to impose punishment. (Sec. 41.) Courts of bankruptcy may enforce obedience by bankrupts and other persons to all lawful orders by fine or imprisonment, or both. (Sec. 2—13.)

Should the bankrupt, while such, or after his discharge, conceal from the trustee any of the property belonging to his estate in bankruptcy, he is liable to imprisonment. (Sec. 29, b.)

by his creditors or other persons, to evade the provisions of this Act, coming to his knowledge; (7)1 in case of any person having to his knowledge proved a false claim against his estate, disclose that fact immediately to his trustee; (8)2 prepare, make oath to, and file in court within ten days, unless further time is granted, after the adjudication, if an involuntary bankrupt, and with the petition if a voluntary bankrupt, a schedule of his property, showing the amount and kind of property, the location thereof, its money value in detail, and a list of his creditors, showing their residences, if known, if unknown, that fact to be stated, the amount due each of them, the consideration thereof, the security held by them, if any, and a claim for such exemptions as he may be entitled to, all in triplicate, one copy of each for the clerk, one for the referee, and one for the trustee; and (9)3 when present at the first meeting of his creditors, and at such other times as the court shall order, submit to an examination concerning the conducting of his business, the cause of his bankruptcy, his dealings with his creditors and other persons, the amount, kind, and whereabouts of his property, and, in addition, all matters which may affect the administration and settlement of his estate; but no testimony

1 Any person presenting, under oath, a false claim for proof against the estate of a bankrupt, or using any such claim in composition personally or by agent, is liable to imprisonment. (Sec. 29, b.)

In the event the bankrupt fails to file the schedule of property and list of creditors required, the referee must do so (sec. 39—6); but if the debtor is notified to furnish the schedule and fails, the creditor may apply for an attachment against him. (Orders IX.) And any debt which was not duly scheduled in time for proof and allowance, with the name of the creditor if known to the bankrupt, unless such creditor had actual notice or knowledge of the proceedings, will not be affected by a discharge. (Sec. 17, a.) In case the schedule and list are defective, it is the duty of the referee to see that they are amended. (Sec. 39–2.)

3 At the first meeting of the creditors, the bankrupt may be publicly examined at the instance of any of the creditors (sec. 55, b), but at least ten days' notice by mail must be given to creditors of all examinations. (Sec. 58, a.) A refusal to answer questions propounded is a contempt, and accordingly punishable. (Sec. 41.)

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