Continental Trust Co. v. W. R. Bonsal & Co.

PARKER, Circuit Judge.

This is an appeal by the trustees of the three general mortgages of the Seaboard Air Line Railway Company from an order according priority under the “six months” rule to certain supply claims filed with the railway receivers. No question is raised as to the sufficiency of the net operating income to pay these and other claims filed, without resort to the corpus of the property, and there is no effort to have the claims declared a charge on the corpus. The trustees contend that the claims do not represent operating expenses but are for supplies furnished for…