U.S. Supreme Court
Hebert v. Crawford, 228 U.S. 204 (1913)
Hebert v. Crawford
Submitted December 9, 1912
Decided April 7, 1913
228 U.S. 204
Whatever may be the legal rights of one claiming legal or equitable title to an asset, the fact that the bankrupt and his trustee had physical possession thereof gives the bankruptcy court control of the res and authority to administer it.
A petition to determine title to property in the possession of the bankrupt and his trustee may, as in this case, operate as an attachment, and thus bring the property into the custody and under the exclusive jurisdiction of the bankruptcy court. chanroblesvirtualawlibrary
A finding in a summary proceeding that the trustee has received physical possession of the property involved is conclusive against him and is not subject to collateral attack by third persons. Noble v. Union River Logging Company, 147 U. S. 173.
While the state court has jurisdiction to determine a between partners whether one is entitled to use the assets of his partnership to satisfy an order made in a summary proceeding in the bankruptcy court, and also whether the receiver received the same, it may not determine title to property in the possession of the trustee or who is entitled to possession thereof.
The facts, which involve the rights of the trustee in bankruptcy and others in a crop of rice grown by the bankrupt and the jurisdiction of the state and federal courts of the controversies arising thereover, are stated in the opinion.