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I. INTRODUCTION ....................................................................... 769
II. INSOLVENCY LAWS PRIOR T? 1938 ........................................ 771
IV. THE 1938 CHANDLER ACT ...................................................... 776
IV. BANKRUPTCY LEGISLATION AFTER 1938 ............................... 781
V. THE LEGACY OF THE HONORABLE WALTER CHANDLER IN WEST TENNESSEE TODAY .................................................. 782
I. INTRODUCTION
Although this Article broadly traces and briefly discusses both the historical development of insolvency laws and America's bankruptcy laws, its special focus is on the Bankruptcy Amendatory Act of 1938, commonly referred to as the "Chandler Act," and the legacy of its legislative sponsor, the Honorable Walter Chandler, former United States Congressman from West Tennessee and Mayor of Memphis. Congressman Chandler was born in Memphis on October 5, 1887.1 He earned his law degree at the University of Tennessee in 1909.2 During his illustrious career, Congressman Chandler taught school, reported for the Knoxville Sentinel, wrote, and practiced law.3 He was a military officer in World War I and later served as a United States Congressman from the Ninth Tennessee District from January 3, 1935, until he resigned on January 2, 1940.4 He was elected mayor of Memphis twice, first in 1940 and again in 1955.5
Besides having his name attributed to the 1938 Chandler Bankruptcy Act, Congressman Chandler also filed the original suit in the landmark voting case of Baker v. Carr,6 the "one man, one vote" Supreme Court case that argued against Tennessee's status quo of seldom changing the boundaries of congressional districts despite the fact that population growth in urban areas was exponentially larger than population increases in their rural counterparts.7 Ultimately, the Supreme Court ruled in favor of Baker, viewing the case not as one of legislative jurisdiction, but instead as one of ensuring each individual's right to equal representation.8 Congressman Chandler died in 1967 the same year his son, future mayor of Memphis, the Honorable Wyeth Chandler, was elected to the first Memphis City Council.9
Congressman Chandler's 1938 Bankruptcy Amendatory Act substantially revised most provisions of the existing, liquidation only, 1898 Bankruptcy Act. In the Chandler Act, "[f]he substantive law and procedural workings of liquidation cases were thoroughly updated . . . [and] [a] serious attempt was made to improve bankruptcy administration."10 The Act shaped the reorganization provisions into a form that substantially prevails today. Perhaps most significantly,...