156 N.Y.S. 524 | N.Y. Sup. Ct. | 1914
“Any purchaser, transferee or assignee who shall not conform to the provisions of this section shall upon application of any of the creditors of the seller, transferror or assignor become a receiver and he held accountable to such creditors for all the goods, wares, merchandise and fixtures that have come into his possession by virtue of such sale, transfer or assignment: Provided, however, that any purchaser, transferee or assignee who shall conform to the provisions of this act shall not be held in any way accountable under this section to any creditor of the seller, transferror or assignor or to the seller, transferror or assignor for any of the goods, wages, merchandise or fixtures that have conic into the possession of such purchaser, transferee or assignee by virtue of such sale, transfer or assignment.” Laws lí)14, c. 507.
This statute does not contemplate the appointment of the purchaser as receiver in the ordinary sense. Such an interpretation of the statute would not be natural or reasonable, in view of the fact that the creditor’s application is an act hostile to the title of the purchaser. The clear intention of the statute is to make the purchaser a trustee of the goods purchased, with the obligation to account to the creditors of the seller. Under this statute the creditor must establish his right by an action. He may bring an action in equity in behalf of all creditors who may desire to intervene against the purchaser and seller.
For the reasons mentioned above, this motion must be denied.