Page:Federal Reporter, 1st Series, Volume 3.djvu/459

 e$3 ^EDEBAL., BEFOBTEB. �, On the contrary, I think, under the welî-setHed rule, tîiîa oonrt, by virtue of this suit, obtained a preference of jurisdi,o. tion. �The motion is dismissed. ���Xk THE Matteb OTf. HoLLisTBE, Bankrupt.* {District Court, D. Kentwky. July 20, 1880.) �1. BANKKtnpTCT-i-IboHT op Pabtnbrship Cbeditor to PAbticipatb iir �Individuai. Assbts.— a partnership creditor cannot participate in the distribution of individual assets until individual debts are paid in f ull. �2. Baîikkuptct — Rev. Bt. J 5070, — Bobbty. — Section 5070, U. B. �Rev. St., settles the question that the payment of a part of a debt by a surety doe» not entitle him to prove the same as a debt against the principal until the creditor Is paid in f ull. 8. CoNTRACT— Composition — Consteuction. — Where a composition pro- position contained a provision that upon any claims which the bank- rupt should pay thereunder, upon which he was merely surety, he wa« •' to bave the right to collectand receive, towards helping me [him] to comply with ihe [composition] proposition, from my [his] principal or his estate, for remuneration therefor, or a proper pro rata there- from, for what may be paid " under such composition, and such prop- osition was accepted by a creditor for whom the banlcrupt was surety, and the principal was in bankruptcy at the same time, held, that the composition agreement gave the surety a contract right tp prove the payment thereunder as a debt against the principal's estate, upon wbich he will receive a pro rata dividend ; and that the creditor must credit her debt with such payment and prove only for the balance. �In Bankruptcy. Hearing upon exceptions to register's report. �Hollister, the bankrupt, was a member of the firm of Hol- lister, Jones & Go. This arm did business in Cincinnati, and •when Hollister went into bankruptcy it took the benefit of the Ohio insolvent law. It was indebted to the Northern Bank of Kentucky upon a claim upon which William H. Leathera ■was surety, Mrs. Bettie Fisher was the holder of a note made by Hollister as principal, and Leathers as surety, for �*Keported by Messrs. Florien Glauque and J. C. Harper, of the Cincitt- nati, O., Bar. ����