Date of Decision: 31 Jul 1776
Abstract: William Alexander and Sons agreed to enter a co-partnership with George and Cuthbert Gordon for the production of cudbear (dye). The Alexanders made advances to the Gordons over a number of years. Due to mismanagement and disagreement among the partners, the cudbear company was unsuccessful, leading William Alexander and Sons to dissolve the company and seek payment on its advances. Cuthbert Gordon, defender, now owns the cudbear company. Imprisoned for a debt owed to a third party, Gordon seeks to sequester his assets. At issue in this case is who should serve as trustee for the creditors. Pursuer John Walker, as trustee for William Alexander and Sons, argues that Ellies Martin, a merchant in Leith, is the proper trustee. At a meeting of the creditors, Ellies Martin was elected trustee by the majority in value of the creditors present at the meeting. Walker also finds it improper for Gordon to supervise his own affairs, since Gordon's mismanagement led to the company's demise. Cuthbert Gordon, however, maintains that he is the proper trustee, because certain creditors at the creditors' meeting selected him as trustee.
Subjects: Bankruptcy, Trusteeship

Published Report

Not Reported

Litigants

Pursuer:
John Walker, Trustee for William Alexander and Sons
Defender:
Cuthbert Gordon

People or Organizations Associated with Case

Advocate for Pursuer:
William Craig
Lord Ordinary:
Lord Gardenstone
Named in case documents:
George Gordon, Partner in cudbear company, now deceased
James Gordon, Partner in cudbear company
William Gordon, Partner in cudbear company
William Alexander and Sons, Creditor of the Gordon cudbear company

Organizations