Opinion
No. 45/748.
11-23-1921
BENNETT v. FREEHOLD MOTOR CO.
John S. Applegate, of Red Bank, for receiver. Samuel C. Cowart, of Freehold, for exceptant.
Suit by Frederick D. Bennett against the Freehold Motor Company. On exceptions to receiver's report. Decree in accordance with opinion.
John S. Applegate, of Red Bank, for receiver.
Samuel C. Cowart, of Freehold, for exceptant.
FOSTER, V. C. I find that the receiver was appointed in this cause on the 15th of November, 1918; that he has collected a total of $22,219.68, and has paid for expenses and disbursements therefrom $6,655.94, leaving a balance in hand for distribution of $15,563.74. The total claims of creditors against the estate which have been allowed by the receiver amount to $31,144.47. The receiver now asks an allowance of $1,500 for himself and $1,000 for his counsel, and Mr. Cowart, representing the estate of Frederick D. Bennett, the complainant in the cause, and which excepted heretofore to the report filed by the receiver, asks for an allowance in connection with such exceptions of a counsel fee of $375, and expenses and disbursements incurred by him in connection with such exceptions, and also for his taxed costs on the exceptions, so far as they were sustained. Mr. Cowart bases his allowance for $375 on at least 15 days' services in court and before the master, and in investigations of the corporation's estate, for which he seeks a per diem allowance of $25, or a total of $375. The receiver's services and those of his counsel extend over a period of three years. The services of counsel also include services rendered by him to Frederick D. Bennett, the complainant in the cause, in the preparation and presentation of the bill and in attending to the proceedings which led up to the appointment of the receiver. The estate seems to have been both an involved and complicated one, and apparently required the outlays made by the receiver for the services of accountants and others, and also justified the employment of counsel to aid the receiver in the cause. I am inclined to think that the allowance asked for by Mr. Cowart for his services of 15 or more days is not unreasonable, and the same will be allowed him, together with the items of disbursements made by him.
Considering the time and labor and responsibility involved, and the amount realized from the assets of the estate, the allowance asked by the receiver seems a reasonable and proper one to be made. The allowance asked by counsel for the receiver should be divided, and an allowance of $200 will be made to him as counsel for complainant, and a further allowance of $800 will be made to him as counsel for the receiver, together with his taxed costs and disbursements incurred in the filing of the bill and in other services in the cause.
A decree may be prepared embodying these allowances and approving the report of the receiver, and directing the distribution of the balance in his hands, after deducting the allowances above made, among the creditors entitled to the same.