Sale – Insolvency – Arrestinq Creditors.- A party absconded from Glasgow, came to London, purchased cotton from merchants there, to whom he was a stranger, representing himself as a merchant in Glasgow in good credit, and giving references to certain parties in London, who, by previous arrangement with the buyer, spoke favourably of his credit, and induced the seller to give the cottons. Held, on proof of his insolvency, that the sale was void, and the seller entitled to reclaim his goods while in medio, and to be preferred to the creditors of the buyer arresting.
[1776] UKHL 2 – Paton – 399, (1776) 2 Paton 399
Bailii
Scotland
Insolvency
Updated: 13 January 2022; Ref: scu.561843
