Southern Ry. Co. v. Chapman Jack Co.

Citations

• 117 F. 424
• 54 C.C.A. 598
• 1902 U.S. App. LEXIS 4450

Syllabus

<p>1. Railroads—Receivership—Preferential Debts.</p> <p>• Jackserews purchased by a railroad company for use on Its road, within six months prior to the appointment of receivers in a foreclosure suit, are within the terms of the decree making the appointment, requiring the receiver to pay supply accounts incurred in the operation of the road within six months; but the same articles, purchased nearly a year prior to the receivership, for use on a leased road not included in the mortgage, and which did not pass into the hands of the receiver's, are not supplies necessary in operating the mortgaged road, and the seller is not entitled to preference in payment over the mortgage debt.</p>