Warren v. Palmer
310 U.S. 132 (1940)

Annotate this Case

U.S. Supreme Court

Warren v. Palmer, 310 U.S. 132 (1940)

Warren v. Palmer

No. 643

Argued March 29, April 1, 1940

Decided April 29, 1940

310 U.S. 132

Syllabus

Where a railroad system, in a reorganization proceeding under § 77 of the Bankruptcy Act, includes a leased line, operated at a loss and which cannot be operated by its owner, and where, by order of the court, the trustees have rejected the lease but have continued to operate the leased road for the account of the lessor,

Page 310 U. S. 133

the amount of the deficit chargeable to the lessor and to impose a first lien on the leased property to secure it, and to do this after proceedings for reorganization of the lessor company under § 77 have been instituted in another district where the leased line is situate. P. 310 U. S. 140.

108 F.2d 164 affirmed.

Certiorari, 309 U.S. 645, to review the affirmance of an order of the District Court in a railroad reorganization proceeding under § 77 of the Bankruptcy Act. The order fixed the amount of a deficit arising from the operation of a leased line and declared it a first lien on the leased property. Only the question of the bankruptcy court's jurisdiction to do this was brought here.

Page 310 U. S. 135

Official Supreme Court case law is only found in the print version of the United States Reports. Justia case law is provided for general informational purposes only, and may not reflect current legal developments, verdicts or settlements. We make no warranties or guarantees about the accuracy, completeness, or adequacy of the information contained on this site or information linked to from this site. Please check official sources.