The Appeal. [volume] (Saint Paul, Minn. ;) 1889-19??, 1899-04-29

| Issuing
Of any and ali process o. papers in his
own fhn nan name as judge Or special Judge. as
| in force from and after its passage
Approved April 18th, 1899.
CHAPTER 272-H. ID. NO. AT.
AN ACT to provide for the better en-.
| forcement of the liability Of stockhold-
ers of corpora tons.
BE It enacted by the Legislature Of the
State, Of Minnesota
Section L. Whenever any corporation
created or existing by or under the laws
Of the State of Minnesota, whose stock
holders or any Of thein are liable to it OF
! to its creditors, or for the benefit of its
credltors, upon or on Saccount Of any liza
in respect to the stock or shares at any
time held or owned by such stockholders
respectively, whether under or by virtue
OF the constitution and laws of said State
state, or otherwise, has heretofore made
or shall hereafter make an assignment
forth TOR the benefit Of its creditors under. the
ever a receiver for any such corporation
has heretofore beenspr shall hereafter
pe appointed by any district court of this
of the provisions Of chapter seventy-siS
| (76) of the General Statutes of eighteen
hundred and ninety-four Q894) of Min
ne nd ana the acts thereof
| OF this state or underEthe general equity
! powers and practice sof such court; the
district district court appointing such receiver o.
ASSIGNMENT may proceed as in this act
Sec: 2: Upon the petition Of the as
| signee or receiver ofssany such corpora.
| ton, or of any creditor Of such corpora.
| ton who has filed his claim in such as
slgnment or receivership proceedings, the
said district court shall by order appoint
time. for hearing not less. than thirty
(3O) nor more than sixty (6O) days from
the time Of filing said petition. with the
clerk of said court, and shall direct such
the party presenting said petition by
publication or otherwise, as the court in
Its its discretion may deem proper; but if
| than the assignee or receiver of said cor
poration, the court shall direct that notice
OF such hearing be personally served on
such assignee Or receiver. >,-
Sec. 8. At such heafing, the court shall
consider such proofs, {by affidavit or 9TH
erWlse, as may thenkbe offered by the
or officer or stockholder Of said corpora
ton who may appear in person or by
attorney, as to the probable, indebtedness
OF said corporation and the expenses of
said assignment or receivership, and the
probable amount of assets available for
the payment of such indebtedness and
expenses exI and also e, as to what parties
said corporation, and the nature and ex-
tent, of such liability! And if it appear
TO- the satisfaction OF the court that the
such amount as may Sbe realized there
from within q reasonable time, will prob
ably be insufficient to- pay and discharge
and the expenses of such assignment or
recelvership, and that$it is necessary or
R Rf% Of that iat res9rt to such La
shall thereupon by order direct and levy
a ratable assessmentSupon all parties liza
Die as stockholders, or upon or on ac-
count of any stock orsshares Of said cor
poration,s for such amount, proportion or
percentage of the liability upon or on ac-
coune of each share Of said stock as the
court IN ITS discretion may deem proper
ency or; insolvency. of stockholders and
the probable expenses Of collecting the
a asses M at and shah direct the pay
each share of said stock to the assignee
or receiver within such time thereafter
as said court may specify in said order.
Sec. 4. Said order Shall direct the as
signee or receiver to- proceed to collect
the amount SO assessed against each
share Of said stock from the parties la
lze said assignee or receiver, in case of
the failure of any party liable upon or
on account of any share or shares of
said stock to SO pay the amount SO as
sessed against the same within the time
specified in said order, to prosecute ac-
lions against each and every such party
SO failing, to pay the same, wherever
this state 81 elseWhak 49,. s11e ..iet g
Sec. 5. Said order and the assessment
thereby levied shall be conclusive upon
and against all parties liable upon or on
account OF any stock or shares of said
corporation, whether appearing or repre-
scented at said hearing or having notice
ing to the amount Of and the '1 propr rtas
OF and necessity for the said assessment.
This provision shall also apply to any
subsequent su19se assessment levied by said
Sec. 6. It shall be the duty of such
assignee or receiver to-, and he may, i'm
m 1i9d after the expiration Of the
parties liable therefor, institute and
maintain an action or actions against
any and every party liable upon or on
account of any share or shares Of such
stock who has failed to pay the amount
so assessed against the same, for the
Said actions may be maintained against
| each stockholder, severally, in this state
or in any, other state or county where
such $ st oels or any property sub
process in an action against such stock
| holder, may be found. But if said as
signee or receiver shall in good faith
! insolvent, or that the expense Of prose-
| cutting such action against such stock
holder will be so great that it will be Of
terest of creditors to prosecute the same,
said assignee or receiver shall so report
to said court; and shall not be required
unless Specifically directed so to do bY
said court. And in such, case said court
shall not require said receiver to insti-
tute or maintain such action unless said
court shall have reasonable cause to be-
lieve that the result of such action will
be OF advantage to the estate and credit
| ors of said. corporation; except as here
Sec. Z. In any case where the court
shall have levied an assessment against
st9ckholders as in this act porvided, for
amount of the liability upon or on &C
count Of the stock of said corporation,
and 1t shall thereafter be made to ap-
petition or otherwise. and upon hearing
| as hereinbefore provided, that by reason
| OF the insolvency of stockholders, or for
| any other cause, It is necessary or desir-
| able or for the interest of creditors that
another and further assessment upon or
! against said stock be levied; the court
shall by order direct and levy a further
and additional assessment for such
am cunt, proportion or percentage of the
liability upon or on account Of each share
Of said stock, as said court in it's discre-
ton may deem proper; and in the same
| manner may levy further and additional
assessments upon said stockholders, and
against said stock, not exceeding in the
aggregate the maximum amount Of LA
said corporation
Sec. 8. All the provisions of this act
shall apply to any such: assessment lev
led by said count after the first, and to
the; proceedings preliminary to levying
and directing the same, to the same ex-
| tent and with the same force and effect
as to the first assessment so levied under
the provisions of this act.
Sec. 0. Where two ~ or more such
assessments are levied or directed, the
| assignee or receiver may join the causes
o0 1ir1o CT o1,
holder upon any two or more such assess
ments in a single action against such