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Seaman Field and others, Plaintiffs in Error v. the United States 182 (1835)

handle is hein.slavery/ussccases0111 and id is 1 raw text is: 182                   SUPREME COURT.
SEAMAN FIELD AND OTHERS, PLAINTIFFS IN ERROR V                THE
UNITED STATES.
Lomsiana. L. E. Brown, a debtor to the United States on bond, became in-
solvent, and under the insolvent laws of Louisiana, made an assignment of
hisproperty for the benefit of his creditors; and syndics were appointed, who
took possession of his estate, real and personal, and sold the same, part for
cash, and part on credit, of one, two and three years. The United States
instituted suits on the bonds against L, E B.,and obtained judgments inthe
district court of the United States for the district of Louisiana. The effects
of the insolvent were administered by the syndics, according to the laws of
Louisiana. The United'States took no part in these proceedings, but a notice
of the debts due by B. to the United States, was given to the syndics before
any distribution was made of any of the proceeds ofthe estate in their hands;
and a suit for the amount of the debts of B. to the United States, under the
law giving a right to priority of payment, was commenced against them be-
fore the tableau of distribution of the first instalment- of the insolvent's
estate, was confirmed by the payish court of New Orleans. The whole
proceeds of the estate exceeded 40,000 dollars; the mortgages were about
27,000 dollars; and when all the notes taken by the syndics were paid,
there would be sufficient to discharge these mortgages, and all the debts due
to the United States; a large amount of the proceeds were not to be re-
ceived until after the judgments were obtained in favour of the United
States; one moiety of the amount of sales being payable after the suit
against the syndics was commenced, and the other after the judgment
against them was rendered.
The court held. that the syndics were not liable to the United States for the
debts due to them, unless funds had actually come into their hands. The
notes for the sales may all be good; yet as one moiety of them was not paid
at the time of the judgment of the United States against them, it does not
judicially appear that, even at that time, they had funds on which the
United States were entitled to judgment. If the remaining moiety of the
notes has since been paid, the United States will then have a legal, claim
thereon for their debts.
The United States were not parties to the proceedings in the parish
court, nor were they bound to appear and become parties therein. The
local laws of the state, could and did not bind them in their rights. They
could not create a priority in favour of other creditors in cases of insol-
vency, which should supersede that of the United States.
As the cause was not tried by a jury, the exception to the admission'of evi-
dence was not properly the subject of a bill of exceptions.
The priority of the United States attached, by the laws of the United States,
in virtue of the assignment and notice to the syndics; and it was the duty
of the syndics to have made known these debts in their tableau of dis-
tribution, as having had priority. The mortgages upon particular estates
sold, must be first paid out of the sales of those estates. But if there be any
deficiency in the proceeds of any particular estate, to pay the' mortgages

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