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IN RE PLAZA MUSIC CO.

No. 58097.

10 F.Supp. 310 (1934)

In re PLAZA MUSIC CO., Inc.

District Court, S. D. New York.

December 12, 1934.

Attorney(s) appearing for the Case

Hahn, Abeson & Golin, of New York City (J. Jacob Hahn, of New York City, of counsel), for trustee.

Frank & Frank, of New York City, for claimant.

PATTERSON, District Judge.

The question is whether, on nonpayment of notes given under a common-law composition and on subsequent bankruptcy of the debtor, a creditor may prove claim for the unpaid balance of his original claim or only for the unpaid balance due under the composition.

In the summer of 1932 Plaza Music Co., Inc., was in financial difficulties. It made an offer of composition to creditors. The offer recited the debtor's hope of continuing in...

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