Brunskill

This appeal grows out of an interpleader action which involves a controversy as to prior right to certain money owing from H. W. Brunskill, doing business as Wilmington Welding and Boiler Works, to Gregory Electric Company, a corporation. The claimants are appellant Stutman, acting as trustee in bankruptcy of Gregory Electric Company, on the one hand, and two attaching creditors (respondents) on the other, viz., (1) Ruth Helena Roget, as executrix of the last will of George Edward Roget, deceased, who during his lifetime did business under the name Harbor Sandblasting Company, and (2) a partnership known as California Ship Service Company, consisting of three persons named Hutchison. California Ship Service Company and Roget are creditors of Gregory Electric Company and they levied garnishments upon the funds owing from Brunskill to Gregory on February 23, 1955, and March 15, 1955, respectively, more than four months before filing of involuntary petition in bankruptcy against Gregory, which filing was made on August 23, 1955, and was followed by adjudication of bankruptcy on September 9, 1955.

The controlling question is whether Brunskill at the times of levy of garnishments owed…