Finkel v. Famous Lunch Room Co.

Upon the appointment of a receiver in insolvency for the defendant company its goods and chattels were sold free and clear of a chattel mortgage made by the company to William H. Zois to secure $9,956, upon which there was due $7,602.26. The sale was by consent of the mortgagee, and the property was struck off to him for an amount equal to his debt, and he has agreed to pay the receiver the purchase price if his mortgage shall be declared invalid, and has given a bond as security. By agreement between the parties the matter was submitted to the receiver to pass upon the legality of the…