St. Paul daily globe., 1889-03-08
CREDITORS CORNERED.
The Minnesota Thresher Company
Victorious in a Celebrated Case.

Ine MlHnoSOGa InfSSner company
Victorious in a Celebrated Case.
The Minnesota Thresher company
may now rest. Judge Mitchell, of the
Supreme court. yesterday, filed decis-
ION in the notorious suit, state of Min
nesota ct rel. Moses E. Clapp, attorney
general, relator. VS.. the Minnesota
ThreSher company, respondent. The
creditors of the defendant company.
through the attorney general, sought to
compel the officers to show on what
authority they acted in the transferrenee
of stock. etc. 1t was claimed that the
officers had exceeded their authority,
and desired to dissolve the corporation
In the end the company wins its case.
Syllabus: -
Proceeding upon information in the
nature OF quo warranto belong to the
class designated remedial cases'3izin
section article e of the constitutionDf
the state, and are not included in the
class denominated leases at law" I'm
section article 2 of the same instru-
ment. in which trial by jury was de-
manded as of right. No corporation can
be organized under general laws 1878.
chapter II general statutes 1878, chap
ter 81, sections 120 to 1431 except foroan'
exclusively manufacturing and mecfian-
ical business. Ii the purpose tor which.
corporation is formed, as stated in it's
articles OF association, is to carry ON a
manufacturing and mechanical busi-
ness, and also some other and distinct
kind of business, not properly incidental.
to or connected with the former, it will
belong to the class of corporations
authorized to>be formed under title ia,
chapter "a general statutes tseotlons8f09
to 119). although the articles reeite that,
it is formed uuder the act of 1875 The
object of proceedings by quo warranto
against a corporation being to protect
the public Interests to warrant for
felture of corporate franchises for mis-
use, the misuse must be such as to work
or threaten substantial public injury.
Acts ultra wires or in excess of pow
ers are not necessarily misuse of fran
chiSeS such as will warrant their for
feiture. TO justify such forfeiture the
ultra wires acts must be so substantial
aid continued as to so derange or des-
troy the business of the corporation
that it no longer fulfils the end for
which it was created. Ultra wires may
be such as to justify interference by the
state by injunction to prevent contin-
uance OF the excess powers, while they
would not be sufficient ground for a
forfeiture of the corporate franchises in
proceedings by quo warranto. If the
unauthorized acts affect merely stock
holders and creditors who have ade-
Quate legal remedy, the state will not.
interfere. Demurrer to the answer
overruled and information dismissed.
George M. Fisk Jr., appellant, VS..
James TOwner, respondent. Judgment
of lower court affirmed. Dickinson, J.
State of Minnesota ex rel, E. E.
Davidson, respondent, VS.. E. S. German,
judge of probate, appellant.
Judge Dickinson holds: The statute
requiring as condition precedent TO
probate proceedings for settlement of
estates the payment to the county treas.
urer of specified sums, arbitrarily pre-
scribed with reference to the value of
the estate in question. Held uncoHsti-
tutional, being contrary to those clauses
requiring equality of taxation, and the
dispensation of justice freely and with
out purchase.
Charles II. Robinson and Sylvester NJ.
Cary, appellants, vs.. The City of ST.
Paul. respondent. Order dismissing APP
peal reversed. Dickinson, J.