Case ID: f2d_200/html/0199-01.html
Source: Caselaw Access Project
Author: {"author": "PER CURIAM.", "license": "Public Domain", "url": "https://static.case.law/"}
Date Created: 2024-08-24T03:29:51.129683

Charles WELCH, Plaintiff-Appellant, v. ATLANTIC GULF & WEST INDIES STEAMSHIP LINES, Defendant-Appellee.
    No. 82, Docket 22473.
    United States Court of Appeals Second Circuit
    Argued Dec. 1, 1952.
    Decided Dec. 19, 1952.
    M. Mac Schwebel, New York Ciiy (Harry Silver, New York City, on the brief), for appellant.
    Greenman, Shea, Sandomire & Zimet, New York City (Frederick F. Greenman, Daniel M. Sandomire and Robert H. Haines, New York City, of counsel), for appellee.
    Before SWAN, Chief Judge, and CHASE and CLARK, Circuit Judges.
   PER CURIAM.

Judgment is affirmed on the opinion below, D.C., 101 F.Supp. 257. The appellant’s effort to distinguish Guttmann v. Illinois Central R. Co., 2 Cir., 189 F.2d 927, cer-tiorari denied 342 U.S. 867, 72 S.Ct. 107 cannot prevail. The sentence upon which counsel relies for the attempted distinction is a restriction upon the payment of dividends on the common stock; it docs not impose an obligation to pay passed dividends on the non-cumulative preferred. That this is the correct interpretation is confirmed by the provision giving the corporation the option to purchase preferred stock at par, as well as by the provision governing liquida!ion and dissolution of the corporation.