Pennsylvania Statutes Title 39 P.S. Insolvency and Assignments § 164. Condition of release constitutes preference

Any condition in assignments of property made by debtors to trustees on account of inability at the time of the assignment to pay their debts, within the meaning of the act, entitled “An act to prevent preferences in assignments,” approved April seventeenth, one thousand eight hundred and forty-three,  1 for the payment of the creditors only, who shall execute a release shall be taken as a preference in favor of such creditors and be void and the assignment be held and construed to enure to the benefit of all creditors in proportion to their respective demands.