231 Pa. 129 | Pa. | 1911
Opinion by
For the purpose of determining the principal and underlying question raised by this appeal, the case at bar may be considered a controversy between the holders of bonds secured by a first mortgage on the lines, property and franchises of the traction company, and a manufacturing corporation that sold four generators to the traction company to be installed in its power plant and used to generate electric current. The sale was made under the terms of a contract in writing which the court below held, and the parties concede, constitutes a conditional sale. This view of the transaction is concurred in here. We, therefore, start with the proposition that as between the vendor and vendee the agreement entered into constituted a conditional sale of the property in dispute. If the rights of creditors had not intervened, appellant clearly acted within its legal rights in proceeding to reclaim the four generators under the terms of the contract. It is asserted on one side, and denied on the other, that the rights of creditors had attached in such manner as to
We cannot agree with the contention of counsel for appellant that this is a case between the vendor company on one side and the vendee company on the other. It was the duty of the receivers to intervene for the purpose of protecting the rights of creditors. This doctrine has been recognized and asserted in many of our cases: Cushing v. Perot, 175 Pa. 66; Duplex Printing Press Co. v. Publishing Co., 213 Pa. 207; State Bank of Pittsburg v. Kirk, 216 Pa. 452; People’s Bank v. Stroud, 223 Pa. 33.
As to the intervention of the receivers and the bondnolders, the learned court below acted clearly within its discretionary powers, and in the opinion filed has given convincing reasons for every position taken. The case was considered with very great care by the learned judge who heard it in the court below and his findings of fact and conclusions of law are amply sustained by the evidence and the settled rules of law applicable to such cases. No useful purpose will be served by discussing several other incidental questions raised by this appeal. The opinion of the learned court below properly disposes of all of them.
Assignments of error overruled and judgment affirmed.