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U.S. Supreme Court

Union Joint Stock Bank of Detroit v. Byerly, 310 U.S. 1 (1940)

Union Joint Stock Bank of Detroit v. Byerly

No. 579

Argued March 6, 1940

Decided April 22, 1940

310 U.S. 1


l. Under § 75 of the Bankruptcy Act, prior to the amendment of August 28, 1935, an order of the bankruptcy court, made in a proceeding for composition and extension, and permitting a sheriff's sale to be made, subject to confirmation, under a decree of foreclosure previously entered in a state court, was erroneous if not granted on petition and after hearing and report by the conciliation commissioner, but was not void, and could not be attacked collaterally in a state court. P. 310 U. S. 7.

2. Jurisdiction of a state court in foreclosure, suspended by the institution of a proceeding under § 75 of the Bankruptcy Act, again attached upon dismissal of the bankruptcy case and empowered the state court to confirm a foreclosure sale previously made and to order a sheriff's deed. P. 310 U. S. 8.

3. Reinstatement under the Act of 1935, supra, of a proceeding under 75(s) previously dismissed, did not invalidate a sheriff's sale and deed which were confirmed and authorized by a state court acting within its jurisdiction during the interval between the dismissal of the bankruptcy case and the motion to reinstate it. P. 310 U. S. 8.

4. There is no occasion to refer a cause under § 75 of the Bankruptcy Act to a conciliation commissioner for the administration of property which, by reason of foreclosure proceedings already consummated in a state court, no longer belongs to the debtor. P. 310 U. S. 10.

106 F.2d 576 reversed.

Page 310 U. S. 2

Certiorari, 309 U.S. 643, to review a judgment reversing the district court in bankruptcy which, in a proceeding under § 75(s), denied rehearing of an order of disclaimer and refused to refer the cause to a conciliation commissioner.

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