The Vermont Statutes Online

Title 9: Commerce and Trade

Chapter 053: Assignment for Benefit of Creditors

• § 2151. Nature and form of assignment

  An assignment of property, including choses in action, by a debtor for the benefit of creditors shall be in writing and signed by the debtor. If real estate is assigned, it shall be by deed, executed and recorded in the same manner as a conveyance of real estate. Such assignment shall be for the benefit of all the creditors of the assignor in proportion to their respective claims. An assignment shall not be valid against a creditor of the assignor if the assignee is a creditor or interested in the provisions of the assignment.

• § 2152. Schedule; list of creditors

  Assignments shall be specific and accompanied by a full inventory or schedule of the property assigned, including choses in action, and with a list of the creditors to be benefited by the assignment and the sums due each one as near as may be.

• § 2153. Copy of assignment to be filed

  The assignor and assignee shall file in the clerk’s office in the county where the assignor resides, and also where the property assigned is situated at the time of making such assignment, a copy of the assignment and inventory, including choses in action, and of the list of creditors to be benefited by the assignment, to remain on file for the use and inspection of persons interested.

• § 2154. Assignee’s bond

  The assignee shall execute to the Superior Court for the unit in which the assignor resides a bond with sureties to the satisfaction of such court and conditioned for the faithful performance of such trust. The assignee shall execute such bond at the time of making such assignment, and the same may be prosecuted by parties aggrieved as provided in 14 V.S.A. chapter 101, relative to bonds governed by that chapter. (Amended 1973, No. 193 (Adj. Sess.), § 3, eff. April 9, 1974; 2009, No. 154 (Adj. Sess.), § 60.)

• § 2155. Failure to file copy of assignment or to execute bond

  Unless such copies are filed as directed in section 2153 of this title and such bond is executed as directed in section 2154 of this title, the property so assigned shall be liable to trustee process and to attachment and execution at the suit of the creditors of the assignor, as if an assignment had not been made.

• § 2156. Assignee’s duties

  The assignee shall proceed with reasonable dispatch in the discharge of his or her trust to the completion of the same. When completed, he or she shall file with the clerk of such Superior Court a copy of the settlement of his or her trust account showing in detail how he or she has administered the trust, which account shall be verified by the oath of the assignee as a true and just account, and the same shall remain on file in such office for the inspection of the creditors of the assignor. (Amended 1973, No. 193 (Adj. Sess.), § 3, eff. April 9, 1974.)

• § 2157. Application to Superior judge for settlement of account by assignee

  If, in the opinion of a creditor of the assignor named in the assignment, the assignee neglects to settle his or her trust and file a copy of his or her account with the county clerk for an unreasonable length of time, such creditor may apply to a Superior judge for an order upon the assignee to settle the same and file with the clerk of such court a copy of his or her trust account verified by oath within such time as the Superior judge deems proper.

• § 2158. Powers of Superior judge

  The Superior judge may hear such application upon notice being given to the assignee, make necessary orders in the premises, and allow or refuse costs upon such application and hearing as he or she thinks equitable. He or she shall enforce the orders made by him or her according to the usages of a Superior Court and proceed against the assignee for a disobedience to the order of the Superior judge as for a contempt.