Document: 344 U.S. 293 73 S.Ct. 299 97 L.Ed. 333 CITY OF NEW YORKv.NEW YORK, N.H. & H.R. CO. No. 203. Argued Dec. 19, 1952. Decided Jan. 12, 1953. Motion to Modify Judgment Denied March 9, See 345 901, 639. Messrs. Meyer Scheps and Seymour B. Quel, New York City, for petitioner. Mr. Edward R. Brumley, respondent. Justice BLACK delivered the opinion of Court. 1 The question presented is whether under circumstances this case reorganization respondent railroad § 77 Bankruptcy Act1 destroyed barred enforcement liens which City had imposed on specific parcels railroad's real estate street, sewer other improvements. improvements were made all laid prior 1931. Reorganization was begun in District Court 1935. Subsequently, acting pursuant subdivision (c)(7) court issued an order directing 'creditors' file their claims by a prescribed date, after unfiled would be denied participation except 'cause shown.' required mail copies mortgage trustees or counsel creditors who already appeared court. Other depend notice two once-a-week publications five daily newspapers, one Wall Street Journal.2 thus received no copy bar order. Its lien never filed. 2 court's final decree provided transfer old properties newly organized company free from city's liens.3 Jurisdiction reserved consider act future applications instructions concerning disputes over interpretation execution decree. Pursuant reservation brought present action alleging that city failing forfeited its claims; prayed declaration forever barred, void unenforcible, property discharged released therefrom. agreed with enjoined liens. 105 F.Supp. 413. Appeals affirmed, Judge Frank dissenting. 197 F.2d 428. In both courts several arguments only we need here: (1) Since collectible out specified estate, not 'creditor' consequently bankruptcy court; (2) absence actual service city, without power forfeit because failure appear as claimant. To these questions granted certiorari. 809, 37. 3 We reject contention it creditor within meaning Act. Section 77(b) defines '* * holders whatever character against debtor *' specifically 'liens' 'claims.'4 reason comment recently broad coverage section Gardner v. State Jersey, 329 565, 67 467, 91 504, where held state tax states purposes 77. True, state's there general charges assets while here are not. can look each parcel laid. But reasons our holding equally applicable here. statutory sense unless freed duty lack adequate notice. 4 77(c)(8) Act 'The judge shall cause reasonable period may filed, publication otherwise.' 11 U.S.C. 205(c)(8), U.S.C.A. 205(c)(8). hold newspapers cannot considered 'reasonable notice' case. 5 Notice poor sometimes hopeless substitute justification difficult at best. Mullane Central Hanover Bank Trust Co., 339 306, 70 652, 94 865. when names, interests addresses persons unknown, plain necessity resort publication. See, e.g., Standard Oil Co. 341 428, 71 822, 95 1078. different. No such excuse existed justify subjecting York's hazard forfeiture arising 'constructive newspaper. first place (c)(4) designed enable serve personal notices creditors. It provides require proper list known creditors, amount last postoffice addresses. This done Had complied statute's mandate, likely have been mailed City. Moreover, knew about asserted And least much representatives mortgagees. Their subordinate York's. There even more non-appearing than actually filed appearances claimants. 6 Nor sustained knowledge taking argument puts inquire themselves possible orders limiting time filing claims. right assume will given them before barred. When ordered appearing acted reasonably waiting receive same treatment. 7 command embodies basic principle justice—that opportunity heard must precede judicial denial party's claimed rights. has accorded kind 8 Reversed. 9 FRANKFURTER JACKSON doubt whose claim rem standing participate 77(b). creditor, they agree support destroying 47 Stat. 1474, amended, 49 911, 205, 205. located Connecticut, Massachusetts Rhode Island. contended strongly should so construed, but find unnecessary discuss question. term include, property, otherwise constitute provable title, including holder contract executory whole part unexpired lease. 'claims' includes debts, liquidated unliquidated, securities (other stock option warrants subscribe stock), liens, character.' 205(b), 205(b).

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