TWENTY-SEVENTH CONGRESS. Sess.I. Ch.9. 1841.
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paid moneys as his sureties, which shall be first paid out of the assets;and any person who shall have performed any labor as an operative inthe service of any bankrupt shall be entitled to receive the full amountof the wages due to him for such labor, not exceeding twenty-five dol-lars; Provided, That such labor shall have been performed within sixmonths next before the bankruptcy of his employer; and all creditorswhose debts are not due and payable until a future day, all annuitants,holders of bottomry and respondentia bonds, holders of policies of in-surances, sureties, endorsers, bail, or other persons, having uncertainor contingent demands against such bankrupt, shall be permitted tocome in and prove such debts or claims under this act, and shall have aright, when their debts and claims become absolute, to have the sameallowed them; and such annuitants and holders of debts payable infuture may have the present value thereof ascertained, under the direc-tion of such court, and allowed them accordingly, as debts in presenti;and no creditor or other person, coming in and proving his debt or otherclaim, shall be allowed to maintain any suit at law or in equity therefor,but shall be deemed thereby to have waived all right of action and suitagainst such bankrupt; and all proceedings already commenced, andall unsatisfied judgments already obtained thereon, shall be deemed tobe surrendered thereby; and in all cases where there are mutual debtsor mutual credits between the parties, the balance only shall be deemedthe true debt or claim between them, and the residue shall be deemedadjusted by the set-off; all such proof of debts shall be made before thecourt decreeing the bankruptcy, or before some commissioner appointedby the court for that purpose; but such court shall have full power toset aside and disallow any debt, upon proof that such debt is founded infraud, imposition, illegality, or mistake; and corporations to whom anydebts are due, may make proof thereof by their president, cashier, trea-surer, or other officer, who may be specially appointed for that purpose;and in appointing commissioners to receive proof of debts, and performother duties, under the provisions of this act, the said court shall ap-point such persons as have their residence in the county in which thebankrupt lives.
Sec. 6. And be it further enacted, That the district court in everydistrict shall have jurisdiction in all matters and proceedings in bank-ruptcy arising under this act, and any other act which may hereafter bepassed on the subject of bankruptcy ; the said jurisdiction to be exer-cised summarily, in the nature of summary proceedings in equity; andfor this purpose the said district court shall be deemed always open.And the district judge may adjourn any point or question arising in anycase in bankruptcy into the circuit court for the district, in his discre-tion, to be there heard and determined; and for this purpose the circuitcourt of such district shall also be deemed always open. And the juris-diction hereby conferred on the district court shall extend to all casesand controversies in bankruptcy arising between the bankrupt and anycreditor or creditors who shall claim any debt or demand under thebankruptcy; to all cases and controversies between such creditor orcreditors and the assignee of the estate, whether in office or removed;to all cases and controversies between such assignee and the bankrupt,and to all acts, matters, and things to be done under and in virtue ofthe bankruptcy, until the final distribution and settlement of the estateof the bankrupt, and the close of the proceedings in bankruptcy. Andthe said courts shall have full authority and jurisdiction to compel obe-dience to all orders and decrees passed by them in bankruptcy, by pro-cess of contempt and other remedial process, to the same extent thecircuit courts may now do in any suit pending therein in equity. Andit shall be the duty of the district court in each district, from time totime, to prescribe suitable rules and regulations, and forms of proceed-
Operatives en-tiiled to fullamount of wa-ges for labour,not exceeding$ 25 ,
Proviso.
Value of debtspayable in fu-ture may be as-certained andallowed.
Suits not main-tainable ondebts or claimsproved underthis act.
In mutualdebts or credits,the balance tobe the true debt.
Proof of debts.
Corporationsmay prove debtsby an officerthereof.
Commission-ers to be resi-dents of thecounty wherethe bankruptlives.
District courtsto have jurisdic-tion in all mat-ters of bank-ruptcy.
Judge may ad-journ any pointto the circuitcourt.
Cases to whichthe jurisdictionof the districtcourts shall ex-tend.
Courts maycompel obedi-ence to their or-ders and de-crees.
District courtsto prescriberules, &.c.