Gleason v. Chemical Dye Corp.

The problem is, have taxes or wages priority of payment out of assets in the hands of a receiver of an insolvent corporation?

Section 83 of the Corporation act of 1896 gives wages, earned within two months of the proceedings in insolvency, a first lien upon the assets of insolvent corporations in the hands of a receiver. Section 84 provides that the lien shall be prior to all other liens which can or may be acquired upon the assets (except certain chattel mortgages). The sections are, substantially, re-enactments of the act of 1892. P.L. p. 426. The act of March 26th, 1896 (Comp. Stat. p.…