Case ID: misc_2/html/0578-01.html
Source: Caselaw Access Project
Author: {"author": "Bischoff, J.", "license": "Public Domain", "url": "https://static.case.law/"}
Date Created: 2024-08-24T03:29:51.129683

Merritt v. Goodrich.
    Appeal from a judgment of the General Term of the Oity Court of New York, affirming a judgment for plaintiff entered upon a verdict directed by the trial court.
    Action by the assignee of a creditor of the American Loan and Trust Company, to enforce defendant’s liability as a director under a provision of the charter of the company that “ every director shall be personally liable for debts incurred by the corporation during his administration to an amount not exceeding five thousand dollars.”
    
      Marshall P. Stafford, for plaintiff (respondent).
    
      Payson Merrill, for defendant (appellant).
   Bischoff, J.

The questions involved on this appeal do not in any respect differ from those determined by us in State Bank of Book Valley v. Andrews, ante, page 394, the deeision wherein is herewith handed down. In that ease our conclusions were that the defendant’s liability to a creditor of the American Loan and Trust Company, imposed by its charter, for all debts of the corporation incurred while he continued to he a director, is enforceable in an action at law instituted by the creditor without joining other creditors or directors; and that the prior recovery of judgment against the company, and return of execution issued thereunder, were not essential to the maintenance of the action.

The judgment of the General Term of the court below should be affirmed, with costs.

Bookstaver and Pryor, JJ., concur.

Judgment affirmed.