Riehle v. Margolies, 279 U.S. 218 (1929)

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Riehle v. Margolies

No. 347

Argued March 1, 5, 1929
Decided April 8, 1929
279 U.S. 218

CERTIORARI TO THE CIRCUIT COURT OF APPEALS

FOR THE SECOND CIRCUIT

Syllabus

1. The appointment by a federal court of a receiver on a creditor’s bill gives no right to stay a suit against the debtor then pending in a state court, and a judgment in personam thereafter recovered against the debtor by default in such suit in the state court establishes conclusively the existence and amount of the claim for the purpose of proof in the federal court, and will enable the claimant to participate in the distribution among creditors of the debtor’s property ordered therein. P. 223.

2. The facts that neither the debtor nor the receiver undertook to defend in the state court and that the judgment was entered y default is, in this connection, immaterial. P. 225.

26 F.2d 247 affirmed.

Certiorari, 278 U.S. 591, to review a judgment of the circuit court of appeals which affirmed an order of the district court allowing a claim in a receivership. See also 5 F.2d 1015; 19 id. 766.