TITLE XI.- PROCEEDINGS FOR THE VOLUNTARY DISSOLUTION OF A CORPORATION. TITLE XII. PROCEEDINGS SUPPLEMENTARY TO AN EXECUTION AGAINST PROPERTY. TITLE I. Proceedings relating to insolvent debtors and to prisoners. ARTICLE 1. Discharge of an insolvent from his debts. 2. Exemption from arrest, or discharge from imprisonment, of an insolvent debtor. 3. Discharge of an imprisoned judgment debtor from imprison ment. 4. Care of the property of a person confined for crime. ARTICLE FIRST. DISCHARGE OF AN INSOLVENT FROM HIS DEBTS. SEC. 2149. Who may be discharged, 2150. To what court application to be made. 2151. Contents of petition. 2152. Consent of creditors to be annexed. 2153. Consent of executor, administrator, receiver, etc. 2155. Id.; of partnership. 2156. Effect of consent where petitioner is a joint debtor. 2157. Consent of purchaser of debt, etc. 2158. Consenting creditor must relinquish security. 2159. Penalty if creditor swears falsely. 2160. Affidavit of consenting creditor. 2161. When non-resident creditor to annex account, etc. 2163. His affidavit. 2164. Order to show cause. 2165. How order published and served. 2166. Hearing. 2167. Putting cause on calendar. 2168. Opposing creditor to file specifications, and may demand Jury trial. 2169. Id.; to file proofs, if not named in schedule. 2170. Proceedings if jurors do not agree. 2171. When insolvent required to produce his non-resident wife. 2172. Examination of Insolvent. 2173. When insolvent cannot be discharged. 2174. When assignment to be directed. 2175. Assignment; contents, and to whom made. 2176. Id.; trustees, how designated. 2177. Effect of assignment. 2178. When discharge to be granted, 2179, 2180. Proceedings where trustee refuses to give certificate, etc. 2181. Discharge, etc., to be recorded. 2182. Effect of discharge. 2183. Id.; exception as to foreign contracts or creditors. SEC. 2184. Id.; as to debts, etc., to the United States and the State. 2185. Insolvent to be released from imprisonment. 2186. Discharge; when vold. 21-7. Invalidity may be proved on motion to vacate order of arrest, etc. 2149. Who may be discharged. An insolvent debtor, who is a resident of the State at the time of presenting his petition, may be discharged from his debts, as prescribed in this article. 2 R. S. 16, 1 (2 Edm. 17), amended. Zinn r. Ritterman, 2 Abb. Pr. 261; People v. Sutherland, 16 Hun, 192; Matter of Wrigly, 4 Wend. 602; 8 id. 134; Rosevelt r. Kellogg, 20 Johns. 208, 210; Otis . Hitchcock, 6 Wend. 433; Jenks r. Stebbins, 11 Johus. 224; People v. Mut. Ins. Co., People ex rel. r. Machado, 16 Abb. Pr. 461; Morewood r. Hollister, 6 N. Y. 309, 316. 2150. To what court application to be made.Application for such a discharge must be made, by the petition of the insolvent, addressed to the county court of the county in which he resides; or, if he resides in the city of New-York, to the court of common pleas for that city and county. See 3 R. S., 5th ed., 109, 21 and 2 (2 Edm. 35). Matter of Roberts, 70 N. Y. 5. 2151. Contents of petition. The petition must be in writing; it must be signed by the insolvent, and specify his residence; it must set forth, in substance, that he is unable to pay all his debts in full; that he is willing to assign his property for the benefit of all his creditors, and, in all other respects, to comply with the provisions of this article, for the purpose of being discharged from his debts; and it must pray that, upon his so doing, he may be discharged accordingly. It must be verified by the affidavit of the insolvent, annexed thereto, taken on the day of the presentation thereof, to the effect, that the petition is in all respects true, in matter of fact. New. Rockwell v. McGovern, 59 N. Y. 294; see Rockwell v. Brown, 54 id. 210; Russell and Erwin Man fg Co. r. Armstrong, 12 Abb. Pr. 472; 8. c. 10 id. 258; Philips' Case, 43 Barb. 108; s. c., 19 Alb. L. J. 281; Ely . Cook, 28 N. Y. 365; s. c., 9 Abb. 366; Small . Wheaton, 2 id. 175; Morewood r. Hollister, 6 N. Y. 309; Ellsworth r. Caldwell, 48 id. 680, s. c., is Abb. 20; 27 How. 188; Beatty v. Beatty, 2 Johns. Ch. 430. 2152. Consent of creditors to be annexed. — The petitioner must annex to his petition one or more written instruments, executed by one or more of his creditors, residing in the United States, having debts owing to him or them in good faith, then due or thereafter to become due, which amount to not less than two-thirds of all the debts, owing by the petitioner to creditors residing within the United States. Each instrument must be to the effect, that the person or corporation, executing it, consents to the discharge of the petitioner from his debts, upon his complying with the provisions of this article. 2 R. S. 36, 22 (2 Edm. 37). Morrow r. Freeman, 61 N. Y. 515; Frary v. Dakin, 7 Johns. 75; Matter of Bradstreet, 13 id. 385; Emberson's Case, 14 Abb. Pr. 457; Small . Graves, 7 Barb. 576; Ayres v. Scribner, 17 Wend. 407; Rusher v. Sherman, 25 Barb. 416. 2153. Consent of executor, administrator, receiver, etc. An executor or administrator may become a consenting creditor, under the order of the surrogate's court from which his letters issued. A trustee, official assignee, or receiver of the property of a creditor of the petitioner, whether created by operation of law or by the act of parties, may become a consenting creditor, under the order of a justice of the supreme court. A person who becomes a consepting creditor, as prescribed in this section, is chargeable only for the sum which he actually receives, as a dividend of the insolvent's property. Id., 3, and L. 1850, ch. 210, 21 (4 Edm. 482), amended and consolidated. See Matter of Sherryd, 2 Paige, 602. 2154. Id.; of corporation, etc.. - Where a corporation or joint-stock association becomes a consenting creditor, its consent must be executed under its common seal, and may be attested by any director or other officer thereof, duly authorized for that purpose; who may make any affidavit, required of a creditor in the proceedings. 2 R. S. 36, 27 (2 Edm. 37), amended. 2155. Id.; of partnership. Where a partnership becomes a consenting creditor, the consent may be executed in its behalf, and any affidavit, required of a creditor in the proceedings, may be made, by either of the partners. Id., 28, amended. 2156. Effect of consent where petitioner is a joint debtor.-A creditor's consent does not affect his remedy against any person or person indebted jointly with the petitioner; and the petitioner's discharge has the effect, as between the creditor and the other joint debtors, of a composition between the petitioner and the creditor, made as prescribed in article third of title fifth of chapter fifteenth of this act. L. 1849, ch. 176 (4 Edm. 451), amended; } 1942 and 1944, ante; also, L. 1838, ch. 257, 3. § 2157. Consent of purchaser of debt, etc. -- Where a consenting creditor is the purchaser or assignee of a debt against the petitioner, or the executor, administra tor, trustee, or receiver of such a purchaser or assignee, he is deemed, for all the purposes of this article, except as to the declaration and receipt of dividends, a creditor only to the amount, actually and in good faith paid for the debt, by him, or by the decedent or other person; from whom he derives title, and remaining uncollected, This section is not affected by the recovery of a judg ment for the debt, after the purchase or assignment; but in that case, the consenting creditor may include the uncollected costs, as if they were part of the sum paid for the debt. Section 10, R. S., amended. Emberson's Case, 16 Abb. Pr. 457; see Small v. Graves, 7 Barb. 576; Beatty v. Beatty, 2 Johns. Ch. 430; Slidell v. McCrea, 1 Wend. 156. 2158. Consenting creditor must relinquish security. A creditor who has, in his own name, or in trust for him, a mortgage, judgment, or other security, for the payment of a sum of money, which is a lien upon, or otherwise affects, real or personal property belonging to the petitioner, or transferred by him since the lien was created, cannot become a consenting creditor, with respect to the debt so secured, unless he adds to or includes in his consent, a written declaration, under his hand, to the effect, that he relinquishes the mortgage, judgment, or other security, so far as it affects that property, to the trustee to be appointed pursuant to the petition, for the benefit of all the creditors. Such a declaration operates, to that extent, as an assignment to the trustee, of the mortgage, judgment, or other security; and vests in him accordingly all the right and interest of the consenting creditor therein. Id., 11, amended. Philips' Case, 43 Barb. 108; s. c.. 19 Abb. 281; Manufacturing Co. v. Armstrong, 12 Abb. Pr. 472; Morewood r. Hollister, 6 N. Y. 309; Elsworth v. Caldwell, 48 id. 680; s. c., 18 Abb. 20; 27 How. 188; Augsbury v. Crossman, 10 Hun, 389, 396; see opinion of James, J., in Hale v. Sweet, 40 N. Y. 97, 102; see, also, Matter of Philips, 43 Barb. 108: S. c., 19 Abb. 281; Soule v. Chase, 39 N. Y. 342, 345; s. c., 1 Abb. Pr. N. S. 48. § 2159. Penalty if creditor swears falsely.— If a creditor knowingly swears, in any proceedings authorized by this article, that the petitioner is, or will become, indebted to him, in a sum of money, which is not really due, or thereafter to become due; or in more than the true amount; or that more was paid for a debt, which was purchased or assigned, than the sum, actually and in good faith paid therefor; he forfeits to the trustee, to be recovered in an action, twice the sum, so falsely sworn to. Id., 12, amended. § 2160. Affidavit of consenting creditor. The consent of a creditor must be accompanied with his affidavit, stating as follows: 1. That the petitioner is justly indebted to him, or will become indebted to him, at a future day specified therein, in a sum therein specified; and, if he, or the person from whom he derives title, is or was the pur chaser or assignee of the debt, he must also specify the sum, actually and in good faith paid for the debt, as prescribed in section 2157 of this act. 2. The nature of the demand, and whether it arose upon written security, or otherwise, with the general ground or consideration of the indebtedness. 3. That neither he, nor any person to his use, has received from the petitioner, or from any other person, payment of a demand, or any part thereof, in money or in any other way, or any gift or reward of any kind, upon an express or implied trust, confidence, or understanding, that he should consent to the discharge of the petitioner. Where a consenting creditor is an executor, administrator, trustee, receiver, or assignee, he may state the necessary facts, in his affidavit, upon information and belief, setting forth therein the grounds of his belief; but in that case, the consent must also be accompanied with the affidavit of the insolvent, to the effect, that all the matters of fact stated in the affidavit of the consenting creditor are true. 2 R. S. 16, 4 (2 Edm. 17), as modified by L. 1850, ch. 210, 2 (2 Edm. 482), amended; see 2157, ante. Rusher e. Sherman, 28 Barb. 416; Gillles v. Crawford, 2 Hilton, 338; Matter of Cook, 15 Johns. 182; Merry v. |