Holmes
Holmes v. Schmitt
Opinion
Lead Opinion
Nourse, J.
Plaintiff sued as trustee in bankruptcy of Fox Brothers Sporting Goods Company (a Corporation), to recover $9,000 alleged to have been received by defend ants on behalf of the bankrupt. Plaintiff had judgment for $8,390.85 against both defendants, from which they appeal on a typewritten record.
Two grounds are urged for a reversal of the judgment— that the plaintiff was not authorized by the United States district court to prosecute the action, and that the evidence is insufficient to support the findings and judgment. The defendant Fox was the sole owner and directing head of the corporation, which was engaged in the sporting goods business in Grand Junction, Colorado, on June 4, 1923, when the stock and fixtures of the concern were damaged by fire. Fox obtained from the insurance companies, as compensation for the damages, $4,615, and received, by way of salvage from the damaged goods, $3,775.85. For some time following the fire he conducted a fire sale to dispose of these goods and on December 20, 1923, paid to his mother $3,500 and to his sister $1,200 which, he claimed, had been loaned him for use in the business. On December 24, 1923, he claimed to have received from his…