What is CREDITORS' BILL OR SUIT? Definition of CREDITORS' BILL OR SUIT in Black's Law Dictionary - Legal dictionary - Glossary of legal terms.
A suit by judgment creditor in equity for purpose of reaching property which cannot be reached by execution at law. B. L. E. Realty Corporation v. Mary Williams Co., 101 Fla. 254, 134 So. 47, 49; Ex parte Roddey, 171 S.C. 489, 172 S.E. 866, 868, 92 A.L.R. 1430; Hamburger Apparel Co. v. Werner, 17 Wash.2d 310, 135 P.2d 311, 315; City of Newark v. Jos. Hollander, Inc., 136 N.J. Eq. 539, 42 A.2d 872, 875. A proceeding to enforce the security of a judgment creditor against the property or interests of his debtor. This action proceeds upon the theory that the judgment is in the nature of a lien, such as may be enforced in equity. Hudson v. Wood, C.C.Ky., 119 F. 775; Fink v. Patterson, C.C.Va., 21 F. 602; W. G. Press & Co. v. Fahy, 313 Ill. 262, 145 N.E, 103, 104; San Bernardino County Say. Bank v. Denman, 186 Cal. 710, 200 P. 606, 609; Harkin v. Brundage, 276 U.S. 36, 48 S.Ct. 268, 72 L.Ed. 457.
Strictly, it is a bill by which a creditor seeks to satisfy his debt out of some equitable estate of the defendant, which is not liable to levy and sale under an execution at law. But there is another sort of a creditors' bill, very nearly allied to the former, by means of which a party seeks to remove a fraudulent conveyance out of the way of his execution. But a naked bill to set aside a fraudulent deed, which seeks no discovery of any property, chose in action, or other thing alleged to belong to the defendant, and which ought to be subjected to the payment of the judgment, is not a creditors' bill. Newman v. Willetts, 52 Ill. 98; Yates v. Council, 137 Miss. 381, 102 So. 176, 177.
A "class action" is one in which one or more members of a numerous class, having a common interest, may sue in behalf of themselves and all other members of the class and such actions are sometimes called "creditors' suits" and "stockholders' suits". Farmers Co-op. Oil Co. v. Socony-Vacuum Oil Co., D.C.Iowa, 43 F.Supp. 735, 737.
In English Practice, a bill in equity, filed by one or more creditors, for an account of the assets of a decedent, and a legal settlement and distribution of his estate among themselves and such other creditors as may come in under the decree.
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