Source: http://supreme.nolo.com/us/254/73/case.html
Timestamp: 2019-12-13 05:15:12
Document Index: 225927524

Matched Legal Cases: ['§ 3468', '§ 3466', '§ 3466', '§ 65', '§ 127', '§ 2350']

UNITED STATES V. NATIONAL SURETY CO., 254 U. S. 73 - Volume 254 - 1920 - Full Text - US Supreme Court Center - USSC Cases - Nolo
US Supreme Court Center > Volume 254 > UNITED STATES V. NATIONAL SURETY CO., 254 U. S. 73 (1920) > Full Text
Revised Statute, § 3468, which gives a surety who pays to the United states the amount due on a bond of an insolvent debtor the priority enjoyed by the United States over other creditors under Rev.Stats. § 3466 does not entitle the surety to share equally with the United States when the estate is insufficient to satisfy the claim of the
The National Surety Company executed as surety two bonds given to secure contracts entered into with the United States. The contractor defaulted, and was later adjudicated a bankrupt. The loss to the government was about $13,000. The Surety Company paid to it on account of this loss $3,150, the full amount of the liability on the bonds. Thereupon the government proved its claim in bankruptcy for the balance, claiming, under Revised Statutes § 3466, [Footnote 1] priority therefore over all other
Section 3468, applying an established rule of the law of subrogation, Lidderdale v. Robinson, 12 Wheat. 594, 25 U. S. 596, declares that when
Section 3466, embodying the common law rule by which the sovereign has priority over other creditors of an insolvent, United States v. State Bank of North Carolina, 6 Pet. 29, 31 U. S. 35, declares that "the debts due to the United States shall be first satisfied." There is no conflict between the two sections, which are substantially a reenactment and extension of the provisions of § 65 of the Act of March 2,
Sheldon on Subrogation (2d ed.) § 127; Pomeroy, Equity Jurisdiction (4th ed.) § 2350; 25 R.C.L. 1318; Peoples v. Peoples Bros., 254 F. 489, 491-492; United States Fidelity & Guaranty Co. v. Union Bank & Trust Co., 228 F. 448, 455; National Bank of Commerce v. Rockefeller, 174 F. 22, 28.
Powered by Justia US Supreme Court Center: UNITED STATES V. NATIONAL SURETY CO., 254 U. S. 73 (1920)