Stearns & Foster Company v. Pacific Bowling & Billiard Co.

391 F.2d 750 STEARNS & FOSTER COMPANY, a corporation, R. S. Owens & Company, a corporation, and Clarke Floor Machine, Div. of Studebaker Industries, a corporation, Appellants, v. PACIFIC BOWLING & BILLIARD CO., a Washington corporation, Appellee. No. 21421. United States Court of Appeals Ninth Circuit. March 25, 1968. 1 Leon Uziel (argued), of Uziel & Faltys, Malcolm L. Edwards, Seattle, Wash., for appellant. 2 Jerome Shulkin (argued), Seattle, Wash., for appellee. 3 Before MERRILL and BROWNING, Circuit Judges, and JAMESON, District Judge. JAMESON, District Judge: 4 On June 22, 1965, appellants filed a creditor's petition seeking to have appellee adjudicated a bankrupt and alleging as acts of bankruptcy (1) preference, (2) fraudulent transfer, and (3) appointment of a receiver or trustee. On November 30, 1965, an order was entered by the Referee in Bankruptcy adjudicating appellee a bankrupt on the basis of Section 3a(5) of the Bankruptcy Act, 11 U.S.C. § 21a(5), which provides in pertinent part that it is an act of bankruptcy if a debtor "while insolvent or unable to pay his debts as they mature, procured, permitted, or suffered voluntarily or involuntarily…