Gehr v. Mont Alto Iron Co.

Citations

• 174 Pa. 430
• 34 A. 638
• 1896 Pa. LEXIS 902

Syllabus

<p>Corporations — Receiver—Distribution of estate.</p> <p>Where a corporation in the hands of a receiver is insolvent without possibility of rehabilitation, and there is nothing to do but to convert its assets and distribute them equitably, the bondholders of the corporation, although their bonds are not due, are entitled to participate with the general creditors in the distribution of the fund raised by the sale of material which the receiver has manufactured from raw product belonging to the corporation, and in the fund raised by the sale of the real estate of the corporation.</p> <p>Corporation — Receiver— Taxes.</p> <p>Where a corporation engaged in the iron business is hopelessly insolvent, and in the hands of a receiver, taxes which have accrued during the time that the receiver was manufacturing raw product into finished material in order to facilitate the sale of the company’s property, should be paid in full.</p>