SURETIES TO OR FOR FIRMS.

СНАР. 145.

for firms not

change in

15. No promise made to answer for the debt, default, or sureties to or miscarriage of another, made to a firm consisting of two or answerable after more persons, or to a single person trading under the name partnership. of a firm, and no promise to answer for the debt, default, or miscarriage of a firm, consisting of two or more persons, or of a single person trading under the name of a firm, shall be binding on the person making such promise in respect to anything done or omitted to be done after a change has taken place in any one or more of the persons constituting the firm, or in the person trading under the name of a firm, unless the intention of the parties that such promise. shall continue to be binding notwithstanding such change appears either by express stipulation, or by necessary implication from the nature of the firm, or otherwise. R. S., c. 83, s. 46.

CHAPTER 145.

OF ASSIGNMENTS AND PREFERENCES BY

INSOLVENT PERSONS.

SHORT TITLE.

1. This Chapter may be cited as "The Assignments short title.

Act."

INTERPRETATION.

"Insolvent

person."

2. In this Chapter, unless the context otherwise requires: Interpretation. (a) The expression "insolvent person" means any person who is in insolvent circumstances, or is unable to pay his debts in full, or knows himself to be about to become insolvent;

(b) The expression "transfer " includes gift, conveyance, "Transfer.”
assignment, delivery over, or payment of property;

(c) The expression "property" means goods, chattels "Property."
or effects, bills, notes, or securities, shares, dividends,
premiums, or bonus in any bank, company, or cor-
poration, and every other description of property,
real and personal;

(d) The expression "judge" means a judge of the 'Judge."
Supreme Court, or the judge of the County Court for
the county in which an assignment under this Chapter
is registered.

CHAP. 145.

Confessions of

judgment in

CONFESSION OF JUDGMENT, ASSIGNMENT ETC., IN FRAUD OF CREDITORS.

3. If any insolvent person, voluntarily or by collusion fraud of creditors with a creditor or creditors, gives a confession of judgment, cognovit actionem, or warrant of attorney to confess judgment, with intent in giving the same,—

made void.

Preferences made void.

When transfer deemed to give

an unjust preference

"Creditor"

(a) to defeat or delay his creditors wholly or in part; or
(b) thereby to give one or
or more of his creditors a
preference over his other creditors, or over any one or
more of such creditors,

every such confession, cognovit actionem or warrant of
attorney to confess judgment shall be deemed and taken to
be null and void as against the creditors of the person
giving the same, and shall be invalid and ineffectual to
support any judgment or writ of execution. 1898, c. 11, s. 1.
4.-(1.) Every transfer of property made by an insolvent

person,

(a) with intent to defeat, hinder, delay or prejudice his creditors, or any one or more of them; or

(b) to or for a creditor with intent to give such creditor an unjust preference over other creditors of such insolvent person, or over any one or more of such creditors,

shall as against the creditor or creditors, injured, delayed prejudiced or postponed, be utterly void.

(2.) If any such transfer to or for a creditor has the effect of giving such creditor a preference over the other creditors of such insolvent person, or over any one or more of them, such transfer shall,

(a) in and with respect to any action or proceeding which is brought, had or taken to impeach or set aside such transfer within sixty days after the giving of the same; or

(b) if such insolvent person makes an assignment for the benefit of his creditors within sixty days from the giving of such transfer,

be presumed to have been made with intent to give such creditor an unjust preference as aforesaid, and to be an unjust preference, whether such transfer was made voluntarily or under pressure.

(3.) Where the word "creditor" in this section indicates includes surety. the creditor to whom a preference is given over the other creditors of the insolvent person such word shall be deemed to include any surety, and the indorser of any promissory

note or bill of exchange, who would upon payment by him CHAP. 145.
of the debt, promissory note or bill of exchange, in respect
to which such suretyship was entered into or such indorse-
ment given, become a creditor of the person giving the
preference within the meaning of this section. 1898,
c. 11, s. 2.

ASSIGNMENTS FOR GENERAL, BENEFIT OF CREDITORS AND BONA FIDE
TRANSACTIONS PRESERVED.

5.-(1.) Nothing in the next preceding section shall Certain transapply,—

(a) to any assignment made to an official assignee for
the county in which the debtor resides or carries on
business for the purpose of paying ratably and
proportionately, and without preference or priority, all
the creditors of the debtor their just debts; or
(b) to any bona fide sale or payment made in the
ordinary course of trade or calling to innocent pur-
chasers or parties; or

(c) to any payment of money to a creditor; or
(d) to any bona fide gift, conveyance, assignment,
transfer or delivery over of any property which is
made in consideration of any present actual bona fide
payment in money, or by way of security for any
present actual bona fide advance of money, or which
is made in consideration of any present actual bona
fide sale or delivery of property; provided that the
money paid, or the property sold or delivered, bears a
fair and reasonable relative value to the consideration
therefor. 1898, c. 11, s. 3; 1899, c. 53, s. 1.

actions not affected.

to official

6. Every assignment for the general benefit of creditors, Assignment not which is not void under the preceding provisions of this assignee made Chapter, but is not made to the official assignee, shall be void void. as against a subsequent assignment to an official assignee. 1898, c. 11, s. 3 (2); 1899, c. 53, s. 1.

consideration.

7. In case of a valid sale of goods, securities or property, Transfer of and payment or transfer of the consideration or part thereof, by the purchaser to a creditor of the vendor under circumstances which would render void such a payment or transfer, by the debtor personally and directly, the payment or transfer even though valid as respects the purchaser, shall be void as respects the creditor to whom the same is made. 1898, c. 11, s. 3 (1.)

up on void pay

8. If a payment has been made which is void under Security given this Chapter, and any valuable security was given up in ment restored. consideration of such payment, the creditor shall be entitled

CHAP. 145. to have such security restored, or its value made good to him. before, or as a condition of, the return of the payment. 1898, c. 11, s. 3 (3.)

Payment where

Mistake &c., not to vitiate.

Notice of assignment.

9. Nothing in the preceding provisions shall affect,-
(a) any payment of money to a creditor, where such
creditor, by reason or on account of such payment,
has lost or been deprived of, or has in good faith
given up, any valid security which he held
for the payment of the debt so paid, unless
the value of the security is restored to the creditor; or
(b) any substitution in good faith of one security
for another for the same debt as far as the debtor's
estate is not thereby lessened in value to the other
creditors. 1898, c. 11, s. 3 (4.)

WHAT SHALL CONSTITUTE SUFFICIENT ASSIGNMENT.

10. Every assignment made under this chapter for the general benefit of creditors shall be valid and sufficient if it is made to an official assignee and is in the words following, that is to say-all my personal property which may be seized and sold under execution, and al! my real property, credits and effects, or if it is in words to like effect; and an assignment so expressed shall vest in the assignee all the real and personal property, rights, credits and effects, whether vested or contingent, belonging at the time of the assignment to the assignor, except such as are by law exempt from seizure or sale under execution; subject, however, as regards land to the provisions of The Registry Act. 1898, c. 11, s. 4.

11. No advantage shall be taken or gained by any creditor of any mistake, defect or imperfection in any assignment under this Chapter for the general benefit of creditors if the same can be amended or corrected, and if there is any mistake, defect or imperfection therein, the same shall be amended by a judge on any application of the assignee, or of any creditor of the assignor, on such notice being given to other parties concerned as the judge thinks reasonable, and the amendment, when made, shall have relation back to the date of such assignment. 1898, c. 11, s. 11.

PUBLICATION AND REGISTRATION OF ASSIGNMENT.

12. A notice of any assignment made for the general benefit of creditors under this Chapter shall, as soon as conveniently may be after the execution thereof, be published at least twice in the Royal Gazette, and not less than twice in one newspaper at least having a general circulation in the

county in which the property assigned is situated. 1898, CHAP. 145. c. 11, s. 13 part.

assignment.

13. (1.) A counterpart or copy of every assignment Registration of made under this Chapter, together with an affidavit of a witness thereto of the due execution of the assignment of which the copy filed purports to be a copy, shall within five days from the execution thereof be filed,-

(a) if the assignor at the time of the execution of such
assignment is a resident of Nova Scotia, in the
registry of deeds for the registration district in which.
he resides; or

(b) if the assignor is not such a resident, in the registry
of deeds for the registration district in which the
personal property assigned is situated, or if such
property is in more than one such district then in the
registry of deeds for the district in which the principal
part of such property is situated.

(2.) The registrar of deeds shall file all such assignments presented to him for that purpose, and shall number and enter the same in a book to be kept for that purpose, and shall indorse upon each assignment the time the same was received by him, and such assignments shall be kept in such registry for the inspection of ali persons interested therein.

(3.) The registrar shall be entitled to receive a fee of fifty cents for filing such assignment and affidavit and for making all proper indorsements in connection there with. c. 11, s. 13 (2).

1898,

notice and

14. (1.) If the said notice of the assignment is not pub- Penalties for lished in the regular number of the Royal Gazette, and of such failure to publish newspaper as is by this Chapter directed, which are respec- register. tively issued first after five days from the execution of the assignment by the assignor, or if the assignment is not registered as directed within five days from the execution thereof, the assignor shall be liable to a penalty of twentyfive dollars for every day which passes after the issue of the number of the newspaper in which the notice should have appeared until the same has been published; and a like penalty for every day which passes after the expiration of five days from the execution of the assignment by the assignor, until the same has been registered.

(2.) The official assignee shall be subject to a like penalty for failure to publish notice of and to register any assignment for every day which passes after the expiration of five days from the delivery of the assignment to him, or of five days