An assignment for the benefit of his creditors made by a debtor voluntarily ; as distinguished from a compulsory assignment which takes place by operation of law in proceedings in. bankruptcy or insolvency . Presumably it means an assignment of a debtor’s property in trust to pay his debts generally, in distinction from a transfer of property to a particular creditor in payment of his demand, or to a conveyance by way of collateral security or mortgage. Dias v. Bouchaud, 10 Paige. (N. Y.) 445.
Black’s Law Online Dictionary
