KRAMER
v.
COHN
AI-generated. These summaries, headnotes, and key points are machine-generated and may contain errors or omissions. Always verify against the full opinion text below. Not legal advice.
The assignee in bankruptcy of Isaac Cohn brought an equity suit claiming that Cohn had fraudulently concealed assets before bankruptcy and subsequently invested the proceeds in a business operated under another person's name. The Supreme Court affirmed dismissal of the bill, holding that because the plaintiff failed to prove the other defendant's involvement in the fraud and had only a claim for monetary damages against Cohn personally, the matter was cognizable at law rather than in equity, and therefore the court of equity lacked jurisdiction.
© FLexlaw, Inc. — AI-generated enrichments are proprietary. All rights reserved.
Mr. Justice Gray delivered the opinion of the court.
This bill in equity was filed by the assignee in bankruptcy of Isaac Cohn, against him and Mark S. Cohn, álleging that Isaac Cohn, before the adjudication of bankruptcy, and with intent to defraud his creditors, concealed his property and sold it for a large sum of money, and,' after obtaining his discharge in bankruptcy, invested that money in a stock of goods, with which he had since carried on business in the name of the Other defendant; that this stock in fact consisted of the prap- . erty 'so kept back from his creditors, with the increase thereof, and that the other defendant had little, if any, interest therein; and praying for an - answer, an injunction, a receiver, an account, and, upon failure to answer and account, for. a decree vesting in the plaintiff the title in the stock, and for further relief:
The defendants answered separately upon oath, denying these allegations, and alleging that the business was carried on by Isaac Cohn as clerk of the other -defendant, and was wholly owned by the latter. At the hearing upon pleadings and proofs, the court was of opinion that the plaintiff was entitled to recover against Isaac Cohn, for money and assets fraudulently withheld by him from his assignee in bankruptcy, the sum of $6500, but that the plaintiff had failed to connect the other defendant with the fraudulent withholding of assets; and therefore entered a decree against Isaac Cohn for that sum and costs, bur as Jo the other defendant dismissed the bill with costs.
The plaintiff and Isaac Cohn each filed a petition for a rehearing. The plaintiff’s petition ivas denied. But upon the petition of Isaac Cohn it was ordered that as to him, “ it appearing to the court that it is without jurisdiction in this case,” the former decree be set aside and the bill be dismissed with costs and without prejudice. The plaintiff appealed to this court. No reason, is shown for sustaining the appeal. So far as the plaintiff’s claim was against Isaac .Cohn personally, an ao-' tion at law to recover the value of the property fraudulently concealed and sold by him would afford a full, adequate and complete remedy: The only pretence for -resorting to equity was the allegation that the proceeds of that property had been invested in the stock in goods of a business carried on by him in the name of the other defendant, whereby it was sought to affect the latter and the goods with a trust in favor of the. creditors, of Isaac, and of the plaintiff as representing them. But the proof wholly failed to support that allegation, and-showed that the plaintiff had no right of action, except to recover pecuniary damages against Isaac alone. It thus appeared that the plaintiff never had any claim within t.he cognizance of a court of equity; and the bill was rightly dismissed generally as to the second defendant; and without prejudice to an action at law against the first defendant. Dowell v. Mitchell, 105 U. S. 430; Buzard v. Houston, ante, 347, just decided.
Decree affirmed.
Cases With Similar Vibessemantic neighbors from the corpus
Citator
Cited By
-
Tyler v. Savage, 143 U.S. 79 (U.S. 1892)…ead, to the cases of Russell v. Clark's Executors, 7 Cranch, 69, 89; Thompson v. Railroad Companies, 6 Wall. 137; Insurance Co. v. Bailey, 13 Wall. 616; Parkersburg v. Brown, 106 U. S. 487, 500; Buzard v. Houston, 119 U. S. 347, 352; Kramer v. Cohn, 119 U. S. 355, 357; and § 723 Rev. Stat. IT. S. The bill set out a case of fraud practised upon the plaintiff by Tyler, in that, in order to induce her to purchase the $10,000. of stock, he, as president of the company, sent to her the letter of April 10, 1884,…1 / 2
-
Clairmont v. United States, 225 U.S. 551 (U.S. 1912)
-
Conn. Fire Ins. Co. v. McNEIL, 35 F.2d 675 (6th Cir. 1929)…urisdiction of a court of equity to grant relief purely legal in its nature after denial of all equitable remedy. Doubtless the court might have dismissed the bill in its entirety and have remitted the plaintiff to his remedy at law (Kramer v. Cohn, 119 U. S. 355, 7 S. Ct. 277, 30 L. Ed. 439); or, having decided that an equitable action would not lie, but that the plaintiff could recover at law, the suit might have been transferred to the law side of the court under Equity Rule 22 (28 USCA § 723), and the le…
Previewing 3 of 5 citing cases — full citator treatment, depth of discussion, and citing context are member features.
Join FLexlaw to unlock all legal intelligenceAuthorities Cited
- Dowell v. Mitchell, 105 U.S. 430 (U.S. 1881)