William Firth Co. v. Millen Cotton Mills

Citations

• 129 F. 141
• 1903 U.S. App. LEXIS 5249

Syllabus

<p>L Corporations — Liens—Sale of Assets — Attorneys for Stockholders— Fees.</p> <p>Suit having been brought to foreclose liens on a new cotton mill, the property of a corporation, petitioners filed a bill on behalf of certain stockholders, alleging that the suit to sell the property was in aid of a collusive combination to deprive such stockholders of their interest, and prayed that the court take charge of the property, and operate the same for the payment of the corporation’s debts. The bill was consolidated with the prior proceedings without objection, and, on petitioners’ initiative, an expert was appointed, who made a valuable report to the court as to the property and the advisability of operating the same, after which a decree of sale was ordered on the combined bill, at which only $50,000 was bid for property worth $160,000. This sale was set aside on petitioners’ objection, and a resale ordered at an upset price of $90,000, for which the property was sold. Held, that petitioners, having rendered valuable services both to the court and to the creditors, were entitled to a fee of $1,500 out of the proceeds of the sale.</p>