PARTNERSHIP; DISSOLUTION; DISTRIBUTION. — A complaint of intervention alleging that the complaint sold certain personal property to a partnership and that he had not received the purchase price, sets up a legal interest in the subject-matter in litigation in proceedings for the winding up of the affairs of the copartnership in proceedings for the winding up of the affairs of the copartnership, the sale of the winding up of the affairs of the copartnership, the sale of the partnership property and the distribution of the proceeds, unless and until it affirmatively appears that such personal property has passed until it affirmatively appears that such personal property has passed beyond the control of the partnership. (Art. 1922 of the Civil Code.)

It appears from the record in this case that on the 29th of October, 1903, Antonio Torres and Simon Schneer entered into articles of copartnership for the purpose of conducting the business known as the New Oriente Hotel; that the new firm became the owner of the furniture in the said hotel and of a lease on the building wherein it was conducted, together with other valuable property; that on the 9th of December, 1903, the copartnership borrowed 20,000 pesos from the International Bank, and executed or undertook to execute a conveyance of certain partnership property to one Jose Robles Lahesa as security for this loan; that on the 25th of August, 1904, one of the partners, Antonio Torres, filed a complaint, making his partner, Simon Schneer, the International Bank, and the said Lahesa parties defendant, praying that the affairs of the partnership be wound up, the partnership property sold, the debts paid, and the proceeds distributed to the international parties, that in the course of proceedings had on this complaint the appellant, Ramon Genato, was permitted to intervene and that he filed his complaint, alleging that the partnership was indebted to him in the sum of 572 pesos, Mexican currency, being the purchase price of certain chairs purchased by the partnership in the month of December, 1903; that on the 22d of August, 1905, without hearing evidence as to the facts set out in the complaint, the court ordered its dismissal on the ground that it failed to set out "an interest in the matter in litigation, or in the success of either party, or an interest against both," as required by section 121 of the Code of Civil Procedure.

We are of the opinion that the trial court erred in holding that the complaint of the appellant did not set out a "legal interest in the matter in litigation" in the proceedings for the winding up of the affairs of the partnership.

The complaint alleges that some time in the month of December, 1903, the intervenor sold a number or chairs to the partnership for the sum of 572 pesos, Mexican currency, and that the purchase price has never been paid. Article 1922 of the Civil Code provides that:jgc:chanrobles.com.ph

"Con relacion a determinados bienes muebles del deudor, gozan de preferencia:jgc:chanrobles.com.ph

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