In Robert Hudgins, John L. Hudgins, Elliott W. Hudgins and Rebecca P. Hudgins v Wyndham Kemp, the Supreme Court was asked to decide whether a bankruptcy court had jurisdiction over an individual who had not been declared bankrupt but whose estate was in debt to another party who had been declared bankrupt. The appellants argued that the bankruptcy court did not have jurisdiction because their debtor (John L.) was never himself declared bankrupt; however, the respondent argued that since his assignee (Kemp) held all of John's assets as security for debts owed by him at the time of his death then those assets should be subject to distribution under bankruptcy proceedings regardless of whether or not he himself ever filed for bankruptcy protection. Ultimately, the Supreme Court sided with Kemp and ruled that even though John L.'s estate could not be directly subjected to a formal declaration of insolvency due to his death prior thereto it could still be subject to equitable distribution through its assignee in accordance with existing laws governing such matters.

In the dissenting opinion of this case, Justice Grier argued that the court should not have reversed a judgment in favor of Robert Hudgins and his siblings. He believed that there was sufficient evidence to support their claim against Wyndham Kemp, who had been assigned as John L. Hudgins' assignee in bankruptcy. The lower court found that John L. Hudgins had fraudulently conveyed property to Kemp for less than its value with intent to defraud creditors; however, the Supreme Court overturned this decision on appeal due to lack of proof regarding fraudulent intent by John L. Hudgins when he made the conveyance at issue in question here. Justice Grier disagreed with this ruling and felt it was wrongfully decided because there were facts presented which showed clear evidence of fraudulent intent on behalf of John L., including his insolvency at time of transfer and other suspicious circumstances surrounding it such as an unusually low sale price for valuable land being transferred from one family member (John) to another (Kemp).