P. A. Ahl & Bro.'s Assigned Estate

Citations

• 169 Pa. 609
• 32 A. 621
• 1895 Pa. LEXIS 1137

Syllabus

<p>Equity — Accounts—Bes adjudicator.</p> <p>The property of a railroad company was transferred by the owners to a trustee under an agreement that he was to sell the property and out of the proceeds to pay certain indebtedness of the company and then account for the balance. The trustee sold the property of the company and agreed with tlie purchasers to pay all claims against it except those secured by its bonds. P. A. Ahl, who had owned the bonds and a majority of the stock of the railroad company whose property had been so transferred, was a member of the firm of P. A. Ahl & Bro., and this firm made an assignment for the benefit of creditors. The assignees subsequently filed a bill against the trustee for an accounting, and a decree was entered against him for the balance in his hands, which he paid. A claim for land damages which had been in existence for several years prior to the filing of the bill, had been known by all parties, and was ripe for adjustment at the time the account was stated by the master but was not included there in, was subsequently paid by the purchasers of the railroad property who recovered the amount from the trustee under his agreement. Held, that the trustee could not recover from the assigned estate the claim which he had been compelled to pay, as it was a part of the subject-matter of the accounting, and the decree in the equity proceeding was conclusive.</p>