Olcott v. Headrick - 141 U.S. 543 (1891)
U.S. Supreme Court
Olcott v. Headrick, 141 U.S. 543 (1891)
Olcott v. Headrick
Argued and submitted November 5, 1891
Decided November 16, 1891
141 U.S. 543
A decree of foreclosure and sale made circuit court on a railroad mortgage provided that the purchaser should pay off all claims incurred by the receiver, and that all such claims should be barred unless presented within six months after the confirmation of the sale. On the sale, the property was bought by the appellants. The decree confirming the sale provided that a deed should be given, and the purchasers should take the property, and the deed should recite that they took it, subject to all claims incurred by the receiver. After the six months had expired, the appellee filed a petition to recover damages for an injury sustained by him, as a passenger on the road, through the negligence of the employees of the receiver. The expiration of the six months was set up as a bar to the claim. It did not appear that the purchasers objected to the terms of the decree of confirmation or appealed to this Court from that decree. Held that the circuit court had discretion to abrogate the six months limitation and to decree that the purchasers should pay the claim, as the receiver had been discharged.
In equity. The case is stated in the opinion.