1. Courts <§=>497 — Conflicting Jurisdiction — Property in Custody of the-Law.

In a suit in personam in a federal court, where plaintiff attached land as an auxiliary remedy only to provide security for the payment of the judgment, by posting and filing notices as provided by state statute, without taking actual possession, the attachment did not bring the land into-the custody of the law, so- as to prevent an actual seizure of the land by the state courts.

2. Corporations <§=>559(2) — Appointment of Receiver — Collateral Attack.

Rev. Codes Mont. § 6698, authorizes the appointment of a receiver in an action to foreclose a mortgage under certain circumstances, in cases when a corporation has been dissolved, or is insolvent, or in imminent danger of insolvency, or has forfeited its corporate rights, or in other eases under the usages of courts of equity. A bill of complaint against a water company set up a small mechanic’s lien on the property, and alleged that the company was charged with the duty of supplying water to a town and its inhabitants; that its property was subject to a trust deed, and it was otherwise indebted in a sum exceeding its assets; that it was insolvent, and conceded its inability to operate its water system, and was without money to continue such operation; that it was essential to the well-being of the town and its inhabitants that the system be operated; that to shut down the plant would seriously injure it, and impair plaintiff’s security and the value of Hie assets applicable to the payment of creditors generally, and subject the company to numerous suits; that the immediate expenditure of money was imperative; and that the company was without credit, and its affairs in a chaotic condition. Held, that the court had jurisdiction to appoint a receiver, and its appointment of a receiver was not open to collateral attack, though plaintiff's lien was trivial, or even fictitious, and though the other conditions exhibited by the bill were fanciful or grossly exaggerated.