D. L. Newborg & Son v. Sproat
D. L. Newborg & Son v. Sproat
Opinion of the Court
The opinion of the court was delivered by
The plaintiffs in error began this action in the district court against the defendant in error to recover $1450, which amount was secured by a chattel mortgage, said mortgage being by its terms subject to prior mortgages in favor of W. H. Davis, the Bank of Topeka, John R. Mulvane, P. V. Sproat, W. R. Hazen, and Ed. Sproat, who, together with Swofford Brothers Dry-goods Company, George R. Sproat, Symms Grocer Company, C. D. Scott, Rice, Stix & Co., and Frank P. Mac Lennan, were made defendants therein. At the same time an application was made for the appointment of a receiver, and a receiver was soon thereafter appointed. Summons was served upon the defendants. Afterward said mortgagees and various others made a motion to vacate the order appointing a receiver, and also a motion to stay
Afterward, upon the order of the court, the property in the hands of the receiver was returned to W. H. Davis for the benefit of the parties, upon the giving of a bond by P. V. Sproat, J. R. Mulvane, Bank of Topeka, and W. R. Hazen, conditioned βto pay any final judgment that may be rendered in said case against said S. Sproat and in favor of said plaintiff and all costs that said plaintiff shall recover in said case against said S. Sproat or either or all of said defendants W. H. Davis, the Bank of Topeka, J. R. Mulvane, P. Y. Sproat, W. R. Hazen, Ed. Sproat, and George R. Sproat, or that shall finally be adjudged a legal charge against said stock of goods superior to the mortgage claims of said parties, provided the proceeds from the sale of said mortgaged property shall be insufficient to pay said claim and costs, or provided said claim, judgment and cost be pot fully paid and satisfied out of the proceeds of said mortgaged property.β Said order and return were made by the consent and agreement of all parties
There were no parties to the suit at the time of trial but the plaintiffs in error and the defendant in error, and the court had authority to adjudicate their rights alone ; the other defendants in the case, upon their own application or acquiescence, being out of it. By stipulation, the situation of the parties as to liability for the costs of the receiver was left the same as it would have been had the order taking the property from the receiver and placing it in the hands of the other mortgagees never been made. Had said order never been
The judgment of the district court will be reversed, and said court is directed to render a judgment for plaintiffs in error against defendant in error for the sum of $400, with interest.
Case-law data current through December 31, 2025. Source: CourtListener bulk data.