City Item Co-operative Printing Co. v. Phoenix Furniture Concern, Ltd.

Citations

• 108 La. 258

Syllabus

<p>Syllabus.</p> <p>1. Ordinarily, the only excuse for the existence of a receivership is that the property of the insolvent estate might be conserved and applied to the claims of creditors, and the expenses and charges of administration should be in proportion to the interests involved and the results achieved, always remembering that the property administered is the common pledge of the creditors, and that to realize the payment of their claims, as far as possible, in the order in which the statutes provide, is the first and paramount object of the law. It is this result that is to be aimed at, and' this court will sternly enforce it in every case coming before it.</p> <p>2. Unpaid subscriptions to the capital stock of a limited corporation are assets which the receiver must collect and apply to payment of debts, and his gestión is not complete until this is done, or a satisfactory showing made that it cannot be done.</p> <p>3. When it appears on the face of the record that assets of the estate are not accounted for in what is presented as a final account, the case will be remanded, and this, too, notwithstanding failure to specially mention and complain of, in the opposition filed, this omission of assets.</p> <p>4. And this Court will not undertake the task of delving into voluminous books and other records brought up in the original by consent of counsel, to eke out the showing or want of showing made in this respect by the final account.</p> <p>5. A former receiver, who in suit to destitute him, resigns, must settle with his successor for his gestión of the estate, and his bond should not have been permitted to be cancelled until such settlement is had.</p> <p>6. The necessity for provoking an account by a creditor who demands payment is not to be superseded by a mere application to be paid entered upon the receiver’s order book. Nor are creditors precluded in the matter of contesting claims set up against an estate except in the way the law provides, to-wit: