Daily Kennebec journal., 1901-10-29
IMPORTANT DECISION FROM LAW co,,Rr
"on' 'hes'dent Stockholders Liable 10 Rec.;v
ers Of a Minnesota Corporation

| " 'i'" ''l' d"ltndlnt is slmmooa.
:" answer 70 th" plaintif. t'l,r.n,.. T..
| '"'""' ~ minneapolis. ''aa receive, r
'"' CORRECTION and enforcement -, -
h'piii'F "i TN" Stockholders of TN, D..
"l New England" q corpor,ti,n ,,,,,''.
ized und'r the laws of the st.,,.. ,f ~,
h"S"th. The action is brought IA ..r,,,."
| 'h' ""hpir Inability of the ,lcr.nd.,n, ~,
WHS q ~ n-resid,n >tockhoId,r Il, ,
| corporation.
| Ia lS"' The bank in question ,,,,
| h"lnt lll"d hy tn" state Of Minn.sn,.'
! "'l' "i us ,ft d!iurS Was adjUdunI insa
y a'' ~ ny "a CYSTIC; court in Mime s1ta. an
| whom AL of the existing assets or IA
| pahk Wer" received and distritmtod ''
IN tnr meantime. it having hccoma .,,.-
pa,'ut mat existing assets were
Suiilcitnt - discharge The cntiln imr.htai
| ness Of the bank. an .t,irr III. Mill.
| - ne court. Upun Ictl.iun or unnth
| t.''ut"r. y hdNr an ~ The lrsidn,. u
"t"ckho!H"fS implrad"d i'll III" origin 4
complaint inrn which thu. ;iditldirrtin,, :
| ms" Ncn'I was made inr thc nu,n,,., !
'nl"rch in"ir statutory liab:liiv tn III
! 'l""l"rS "' IN" bank who might tha, ~
m'';i r,'; 'n'ffN' n". Thcreurcn an ol D..
rSHId"nt Stockholders hrc;,mt r,rii,. :,
mae proceeding. an order was ,nt.,,,,
~ r" cnlrt limi,ln. the i'm. witbi,'
WHICH rltdt"r~ might Intervene ana ,r,.-
~ 'il'lI complaints. IuI an h,, ,t,. /,
naE "i July i>91. final deere, wi, ,.,-
tors. LIS - w
rine plaintiff amy rualiii,d IL r.rr.,....
ana gay" his bond to the cndrt in ~.
sum al hitN th"@S;tnd dollars for ~
idltt1H vi performance Of his duii,.s. an
ON IN" fifteenth day "r AUGUST. Ir.S
IHt,trr order e the cpUrt was M, TO-.
authorizing AND directing him To- i,sfitr.
~ n'S own hHmr ~ receiver al auxiiiai,
actions necessary tn enforce IN. liuhi.,t.
81 h"N-t'Sident Stockholi,rS M. ,,rn.
tHi" assets tad proved sufficient VI iiay
H,tilN ~" preferred claims ~ tn. Stat, III
Minnesota. 50 that Ill fhc Tim, III Il,
'HtrE ct Judgment AGAINST the stnckhul,l.
ti~ ih"I" was Guc to tl.. iutol,,ri..
creditors the sum of r3ll. ana ~ ~,
nm" "t TN commencement of this tci;n,,
thr receiver r. in diSchurg,. cr his ,iut
under the degree. had been .tlI,. tr rnIlo,.,
nu nCr" than X,J.Au
ms defendant was never served wit.
process ana never iu amy manner entered
ms appearance in thc prn,r,.,liur II, ,t,.
district court ~ Mirn, sofa.
Inc tas" comes 70 the law cJGrt wv.
general demurrer iutcrpusrd N, th. ,,..
f"1dant to tn" plaintiffs drclarnti.u
whlvn duly set out the facts uhuy..
stated. Th" presiding judge over.ulr,l
thc demurrer Hhd adiudscd the ,!eclur!-
u"H good. Two questions are thIS Ne
scented To the coart: first. to what .vtcut
II IT all. is this defendant Il non-rrsidci,i
stocHho.dtr. bound by the DEGREES ~ III
iil','S"lH court lh winch the parent sui,
Mn MI !nS'iiulrn e< aNd second, whether TIL"
nI"ihIH m hls rhnatitN ~ receiver frr
'H' 'H' t'euliF~ appointed hN n" MinesctI
S.'t..t- l'i w Pdil",S' ni "hi rclnE the
i'""ht4tN - n" Sl"tkhp!dcrs. IS 'utitl"d
1! MAINTAIN l}IS action IN Il state iuIis-
ui'il"h "th"F tlitn mat III MS appointments.
''t!''I on @i"!huS "i comfy ot othrrW 81.
II 'pHt;tfS IN IN" declaration in the cas-
~ mar that IN" dFcrcrs "i III" court IN
t!lc tnffufdtr uonltic respecting tn
Indebtedness ~ me CoIpnrdti" and The
dHttft'tlh;nrnt> ~ ht mad" ~ regard -
thc St'ckh"!""iS. W"l" such as wee
authorized itnd required hN thr statute
III hlililrH'N'i' ~ - it'"iHihTN t'' hi'lt
ION ~ IN" court thar il was not essential
that n"H-rcsidcnt St"ckhnid"rs who wtrt
not i'm reach 0i the process of the crtir;
and against whom II could not render II
ctS"nal Judgment. >h"uld he made par
ties 90 slCn a suit. and that Tor in,
purpose If a>C.rtaininG the assets aud
liabilities uf III" corporation they were
represented hN tht corporation or hv its
general receiver appointed prior To tlp-
institution M ~" SUIT. ana I~ ~ Si..
tiun though not personals mad" part !.
Snth f"h-r'Tlo'nt SlntNn"t"ri, L, now tr-
n,tjn,,i. ,,,tcstino If njs ,i,IiN.iiii,I ii.,'i
". nor as &" the measure of such liza