Villere v. New Orleans Pure Milk Co.

Citations

• 122 La. 717
• 48 So. 162
• 1908 La. LEXIS 510

Syllabus

<p>1. Receivers (§ 105*) — Continuing Business Without Authority — Liability oe Receiver.</p> <p>When a receiver continues temporarily, without the court’s order and authority, the operations of a company placed in its charge, as a going concern, and thereby sustains a loss of $704, that loss cannot be made to be borne by the mass of creditors. It must be borne by the receiver, and the amount of the same deducted from the commission otherwise falling to him.</p> <p>(Ed. Note. — Por other cases, see Receivers, Dec. Dig. § 105.*]</p> <p>2. Receivers (§ 96*) — Employment op an Attorney.</p> <p>It is not the practice in Louisiana for a receiver to apply for authority to employ an attorney, or for the receiver to consult the court as to what attorney he should employ. The fact that a particular attorney may have individual interests involved in the matters embraced in the receivership does not, ipso facto, cut him off from being employed as the attorney to conduct the receivership proceedings. That fact, however, affects the fee which he will be entitled to receive for his services.</p> <p>[Ed. Note. — Por other cases, see Receivers, Cent. Dig. § 180; Dec. Dig. § 96.*]</p> <p>3. Receivers (§ 92*) — Continuing Business —Order.</p> <p>An order of court appointing a receiver to a corporation, “with power to administer its affairs for the best interest of all parties,” does not confer upon the receiver the authority and power to continue the operations of the company and incur liabilities as a going concern. Authority for such purpose must be given in express and precise language.</p> <p>[Ed. Note. — For other cases, see Receivers, Cent. Dig. § 169; Dec. Dig. § 92.*]</p> <p>4. Corporations (§ 186*) — Stockholders — Dealings with Corporation.</p> <p>A stockholder of a corporation may advance money to it, may become its creditor, may take from it a mortgage or other security, or may indorse same like any other creditor, but always subject to severe scrutiny under the obligatio