Skip to main content

Pennsylvania Statutes Title 39 P.S. Insolvency and Assignments § 100. Discharge of insolvent; forced insolvent

Welcome to FindLaw's Cases & Codes, a free source of state and federal court opinions, state laws, and the United States Code. For more information about the legal concepts addressed by these cases and statutes, visit FindLaw's Learn About the Law.

Nothing in this act shall be taken or understood as discharging an insolvent from liability to such of his creditors as do not choose to exhibit their claims, or who, before the schedule of distribution is made or filed, withdraw their claims; but, with respect to creditors who exhibit their claims before a voluntary assignee, or an auditor appointed in such case, and do not withdraw them as aforesaid, they shall be wholly debarred from maintaining afterwards, by suit, action, execution or otherwise, any claim existing at the time of the assignment, whether due or not, unless he shall aver and prove:

(1). That said action is founded on the actual force, fraud, malice, or deceit of the insolvent; or,

(2). That said action is founded on the embezzlement or malfeasance of the insolvent; or, for libel, slander, malicious prosecution, conspiracy, seduction or criminal conversation; or,

(3). That such action is founded on the purchase by the insolvent of real or personal property, on credit and without security therefor, when he had reasonable cause to believe that he would not be able to pay therefor; or,

(4). That such insolvent has wilfully sworn falsely in any material fact appertaining to the settlement of his estate, or has failed and refused to make all necessary conveyances to enable the assignee to speedily and effectively settle the same; or,

(5). That such insolvent fraudulently secreted, altered, injured, defaced or destroyed any part of his estate; or any books, documents, muniments of title, or writings appertaining thereto, or permitted the same to be done; or has secreted, conveyed or encumbered any part of his property, for the benefit of himself or family; or has collected and retained any of the assets of the assigned estate; or, in contemplation of insolvency, has failed to keep the books of account and papers usually kept by him in his business; or,

(6). That such insolvent has made any promise of future advantage to any creditor, or has knowingly permitted others to do so, to induce any creditor to participate in the settlement of the assigned estate, and has failed to disclose the same to the complaining creditor; or,

(7). That such insolvent, while knowingly insolvent or in contemplation of insolvency, has in any manner preferred or attempted to prefer one creditor to another, or permitted such preference to be obtained by judgment, execution, attachment, sequestration, or otherwise, or,

(8). That such insolvent has knowingly permitted a false or exaggerated claim to be made against said estate; or,

(9). That such insolvent has absented himself or concealed his property, to avoid an execution; or,

(10). That the insolvency arose from losses by gambling, or in the purchase of lottery tickets; or,

(11). That such insolvent has previously been an insolvent, and obtained a release of his debts under the provisions of the insolvent laws.

But the benefits of this section shall not apply in favor of any insolvent who was forced into the hands of a receiver by the action of his creditors.

Cite this article: - Pennsylvania Statutes Title 39 P.S. Insolvency and Assignments § 100. Discharge of insolvent; forced insolvent - last updated January 01, 2022 |

FindLaw Codes may not reflect the most recent version of the law in your jurisdiction. Please verify the status of the code you are researching with the state legislature or via Westlaw before relying on it for your legal needs.

Was this helpful?

Thank you. Your response has been sent.

Copied to clipboard