Ryan v. Hays

Citations

• 62 Tex. 42
• 1884 Tex. LEXIS 186

Syllabus

<p>1. Railway company—Liability of receiver—Damages.—A receiver was appointed in April, 1878, by a court of competent jurisdiction, on the application of bond-holding creditors of a railway company, and was invested with exclusive authority to manage and carry on the business of the road, as a common carrier, subject to the supervision of the court, and for that purpose he was invested by its order with all the rights and franchises of the corporation. The property was afterwards sold, October 13, 1879, and purchased by the bondholders, for whose benefit the receiver had been appointed, and the sale had been ordered. The sale being approved by the court, a deed was executed to the purchasers. The purchasers thereupon conveyed the property to the original railway company for a less sum than the amount bid by them, taking a mortgage to secure payment. After the reconveyance to the original company, its board of directors passed a resolution accepting from the receiver the property and all money in his hands, and assuming all debts and liabilities against him as receiver, and providing for executing to him an indemnifying bond. The receiver was finally discharged from his trust in December, 1879. On the 15th of October, 1879, suit was brought against the receiver, and against the railway company, to recover damages for injuries inflicted on plaintiff through the negligence of its servants, at a time when the road was under the exclusive management and control of the receiver, but it was not claimed that he was responsible otherwise than officially, as receiver. Held:</p> <p>(1) The receiver was not liable to plaintiff after all the property, once in his control as receiver, had been turned over to the purchasers, and after he had received his discharge from the court.</p> <p>(2) With the discharge of such receiver from his trust, and the surrender of all property in his hands as receiver, his liability, being an official one, ceased, except in cases where he was person