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MARGOLIS v. NAZARETH FAIR GROUNDS & FARMERS MKT.

No. 24, Docket 24564.

249 F.2d 221 (1957)

Benjamin MARGOLIS and William McK. Shongut, Claimants-Appellants, v. NAZARETH FAIR GROUNDS & FARMERS MARKET, Inc., Debtor-Appellee.

United States Court of Appeals Second Circuit.

Decided November 8, 1957.

Attorney(s) appearing for the Case

Benjamin Margolis, New Rochelle, N. Y., per se.

Armende Lesser, New York City, for claimant-appellant William McK. Shongut.

Alex L. Rosen, New York City, for debtor-appellee.

Before CLARK, Chief Judge, and LUMBARD and MOORE, Circuit Judges.

LUMBARD, Circuit Judge.

The question for decision is whether the equitable powers of a bankruptcy court may be exercised so as to inquire into the validity of claims which have been previously reduced to judgment. The appeals are from a decision and order of the United States District Court for the Southern District of New York, Sugarman, J., which confirmed an order of the referee in bankruptcy disallowing the claims of appellants Margolis and Shongut and directing...

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