Alexander v. Maryland Trust Co.

Citations

• 66 A. 836
• 106 Md. 170
• 1907 Md. LEXIS 76

Syllabus

<p>Compromise of Claims — Consideration—Right of Receiver to Make Compromise — Intervening in Equity Suit After Adjudication</p> <p>If a claim for a sum of money alleged to be due by a third persbn is assigned to one who believes it to be valid, and the assignee agrees with . debtor to give up his right to demand certain property upon the faith of the debtor’s promise to pay such claim, then the question whether the money claim was originally valid or not is immaterial, and the surrender by the assignee of his right to the property is a consideration for the promise to pay the claim.</p> <p>A receiver has the right, with the sanction of the Court, to make contracts for the compromise of claims and suits relating to the property there being administered.</p> <p>In such case it is not necessary that previous notice be given to the company whose affairs were in the hands of the receiver and which assented to the sale of its property.</p> <p>A party who knows that the question of the ownership of property, to which he has a claim as assignee, is being litigated, but who does not appear until after the question has been decided against him, is not entitled as of right to intervene then and take testimony, but the matter is within the discretien of the trial Court.</p> <p>If a party to an equity cause, where a fund is to be distributed, is made to believe by 'the conduct of other parties that no objection will be made to his claim, and for that reason, fails to produce certain testimony, the Court should see that he is not thereby prejudiced.</p> <p>M., the holder of a concession for building a railroad in Mexico, agreed that A., who aided him in promoting the affair, should be entitled to a certain share of whatever profits might be realized. The concession and the rights of M. were assigned to a trust company, which agreed to protect A.’s right. The trust company executed an agreement by which one-fourth of the common stock of the railroad company was allotted to M. as