John O. England v. Morgan J. Doyle

Several months before a judgment creditor filed an involuntary petition in bankruptcy against her, Mrs. Irene Mansfeldt appointed as her agent the appellee, Morgan J. Doyle, a practicing attorney, and delivered to him cash and bonds valued at upwards of $74,000. Mrs. Mansfeldt was ultimately adjudged a bankrupt, but between the filing of the petition and eventual bankruptcy adjudication she had demanded and received from her agent the return of her property. Appellee had acceded to her demands only after first procuring an order from the District Court, through an ex parte application, which authorized and approved the termination of the agency. Shortly afterwards the order of adjudication of bankruptcy was entered by the referee, but the trustee was not appointed until more than a year later. In the meantime, Mrs. Mansfeldt departed from the United States with her property; upon her return, she admitted to having less than $2,000, which was far from sufficient to satisfy the petitioning creditors claim of $36,566.17.