Case Name: PENNSYLVANIA STEEL CO. et al. v. NEW YORK CITY RY. CO. et al.; MORTON TRUST CO. v. METROPOLITAN ST. RY. CO. et al. (two cases); GUARANTY TRUST CO. OF NEW YORK v. SAME
Court: United States Circuit Court for the Southern District of New York
Jurisdiction: United States
Decision Date: 1910-11-03
Citations: 182 F. 958
Docket Number: Nos. 2—9, 2—33, 2—149, 3—37
Parties: PENNSYLVANIA STEEL CO. et al. v. NEW YORK CITY RY. CO. et al. MORTON TRUST CO. v. METROPOLITAN ST. RY. CO. et al. (two cases). GUARANTY TRUST CO. OF NEW YORK v. SAME.
Judges: 
Reporter: Federal Reporter
Volume: 182
Pages: 958–959

Head Matter:
PENNSYLVANIA STEEL CO. et al. v. NEW YORK CITY RY. CO. et al. MORTON TRUST CO. v. METROPOLITAN ST. RY. CO. et al. (two cases). GUARANTY TRUST CO. OF NEW YORK v. SAME.
(Circuit Court, S. D. New York.
November 3, 1910.)
Nos. 2—9, 2—33, 2—149, 3—37.
Street Railroads (§ 58 ) — Insolvency and Receivers — Distribution op Assets.
A petition for the apportionment of a fund, realized by the receivers of an insolvent street railroad company from the compromise of two suits, between the suits, and for the payment of one part thereof to petitioners as receivers for another company, referred to a special master. ■ . \
[Ed. Note. — For other cases, see Street Railroads, Cent. Dig. § 135; Dec. Dig. § 58. ]
In Equity. Suits by the Pennsylvania Steel Company and others against the New York City Railway Company and others, and by the Morton Trust Company and the Guaranty Trust Company of New York against the Metropolitan St. Ry. Co. and others. On application by receivers of the Metropolitan Street Railway Company.
Referred to special master. . '
These are applications in reference to the disposition of the proceeds of the settlement of the two suits, prosecuted by receivers of the New York City Railway Company, which settlement was approved by this court, in memorandum filed July 10, 1910.
See 180 Fed. 514.
Byrne & Cutcheon, for Pennsylvania Steel Co. and others.
James R. Quackenbush, for New York City Ry. Co.
Dexter,' Osborn & Fleming, for receiver of New York City Ry. Co.
Masten .& Nichols, for receivers' of Metropolitan St. Ry. Co.
J. Parker Kirlin, for Metropolitan St. Ry. Co. - •
Davies, Stone & Auerbach, for Guaranty Trust Co.
Bronson Winthrop, for Morton Trust Co.
Turner, Rolston & Horan and Bronson Winthrop, for Farmers’ Roan & Tr.ust Co..
For other cases see same topic & § number in Dec. & Am. Digs. 1907 to date, & Rep’r Indexes

Opinion:
RACOMBE, Circuit Judge.
When application was recently made by contract creditors of the New York City Railway to direct its receiver forthwith to pay their claims out of the' money' received upon said settlement, the court called attention to the circumstance that no apportionment had yet been made of the lump sum paid in settlement of the two actions between said actions, and also stated that it was understood that the Metropolitan Street Railway claimed to be entitled to the whole or some part of the proceeds of the action at law which was settled. The receivers of the Metropolitan have petitioned in substance that the sum paid in settlement be apportioned between the two suits, and that the proceeds of the action at law be paid over to them. The receiver of tíre New York City Railway Company and other parties have filed answers.
This .petition involves questions which may call for the taking of testimony, and may more appropriately be first considered by the special master. An order may be entered sending the petitions and all the answers to him, with instructions to examine and report as to -the following questions:
(1) In what proportion should the net proceeds of the settlement be apportioned between the two actions ?
(2) To what, if any, part of the proceeds of the action at law is the Metropolitan Street Railway Company entitled?
(3) If it be entitled to any part of such proceeds, whether there are any persons, creditors or others, who are entitled to payment of their claims out of said proceeds ?