Taylor v. Philadelphia & Reading R.
United States Circuit Court
Petition by the receivers of the Philadelphia & Reading Railroad Company, setting forth that the rolling stock which passed into their possession at the time of their appointment was not sufficient to transact the increased business of tlie road, and that they had caused to be constructed, in the shops of the company and at the shops of other parties, a number of cars and locomotives, and had given orders for the construction of an additional number, and that they would…
Read the full summary
Petition by the receivers of the Philadelphia & Reading Railroad Company, setting forth that the rolling stock which passed into their possession at the time of their appointment was not sufficient to transact the increased business of tlie road, and that they had caused to be constructed, in the shops of the company and at the shops of other parties, a number of cars and locomotives, and had given orders for the construction of an additional number, and that they would probably find it necessary to' order the construction of a still further number; that, in their judgment, it was not fair or…
1Opinion of the Court
Butler, D. J.,
(orally.) This is in effect an application on the part of the receivers to borrow money upon rolling stock (cars and engines) manufactured at the company’s shops and elsewhere, and in process of manufacture, for the receivers. In terms, it is for the creation of a car trust, but in effect, it is for authority to make a loan, as stated.
Two questions arise in considering the application: First, is the matter contemplated within the scope of the court’s duty and authority, as custodian of the road and other property of the company? Second, if it is, would it be wise to grant the…
2Cited by2 opinions
- Phillip J. Singer v. Kenneth RealiCourt of Appeals for the Fourth Circuit · 2018
- First Federal Trust Co. v. First Nat. BankCourt of Appeals for the Ninth Circuit · 1924