The Pacific commercial advertiser. [volume] (Honolulu, Hawaiian Islands) 1885-1921, 1901-06-28
DEGREES
SUSTAINED
Three Decisions of
the Supreme
Court.
INTERESTING
POINT OF LAW
lnsoIvent Winter Estate Denied
Collateral Security On Note
as Assets.

The unanimous opinion of the Supreme
COURT filed yesterday decides the appeal
ID case of Manoel Comes VS.. jose Cor
leiro in favor OF the defendant, confirm
ng the decree of the Circuit Court IN
sustaining defendants demurrer to plain
tif's CON plant The syllabus of the
opinion is as follows: "A leasct certain
land to r. The latter sub let a portion.
of the Land To =. 1t WAS understood and
agreed tetween and c that if b should
later Obtain from \ a renewal o. the
original lease, he, B, would extend the
sub-letting of land to on terms similar
or proportionate to those received from
A. Subsequently c, without the knowl-
edge of B, obtained from A lease OF
the same land demised in and oy the |
lease first mentioned for a term OF years |
TO commence at the expiration of BIS
term. on a bill brought by B, praying
that c be decreed to transfer by proper
instrument in writing the portion Of said
propertv TO which plaintiff, the petition
er herein, is of right entitled Held that
B is not entitled to relief" In this sEi-
labus a represents the Kapiolani Estate
3 the plaintiff, and c the defendant.
The opinion concludes: In our opln-
ion unon the facts stated in the bill, the
complainant is not entitled TO any rellet
in a court of equity. The demurrer was
correctly sustained. The decree appeal
ed from is affirmed.
B. L. MARX vs.. PHOEBE A. PARME-
LEE AND B. L. MARX vs..
BISHOP & co.
In these two cases the opinion is by
/ Justice Galbraith Chief Justice Frear
concurring therein and Justice Perry dis
senting. The facts in the two~cases be-
! ing similar and the question involved be-
ing the same, both were decided at
once. The syllabus reads:
| "A endorsed certificate Of stock IN a
corpora ton and delivered 10 B as
pledge to secure the payment OF note ana
I Interest," also gave to pledge po"ei
/ authorizing the sale of stOfk II defauil
! was made in payment of debt at ma
| turi1v No new certificate was demanded
or issued nor was the transaction re-
corded in the stock book of the corpora
tion. a died intestate and insolvent ms
administrator claims the right 10 the
possession of the stock from the pledsee
without paying the ueot 'iie SUN
pledged TO secure.
.eTIeId that by the endorsement and de
livery of the certificates OF stock WITT
the mower of sale the legal title 70 the
stock passed to the Pledge and that tn
nledgee has the right to sell the stocf
and apply the proceeds to the paymerl
of the Sebts, interests and costs, account
ing to the administrator for the excess
if any.
Laws. 1897 relating to the transfer o
stock in corporations and prescribing a
prerequisites to valid transfer o
STOCK. except as between the partie:
that either the certificate be surrendere
and new one issued TO the transfere'
or that the transaction be recorded
the stock books of the corporation, wa
enacted particularly for the oeneht
corporations and corporation creditor
and does not prevent stockholder fro
selling or pledgng his stock or passlI
title thereto without complaining with Il
terms of said statute; at least. again
the pledger's administrator
4 Justice Galbraith sums up the case
3 substance as follows: I'm the first cas-
4 Nsrx the plaintiff. was the adnlinistr
tor of ]. w. Winter, deceased; IN
Winter, during his lifetime execut
Z and delivered TO Hollister Co 7
g collateral security thereon certihcate \
q a for thirty shares of the capital sto
of HOLSTER Drug Co, Ltd; that So
81 stock was owned by Winter, the cert
n cate being in his name and endorsed
q blank before delivery TO the pledge; u
II a power or agreement accompanied
81 note: that this writing, after reciu
"a that said certificate of stock was n
a nv the pledge for security, PROVIDED
q if said note and interest We're not
"A AT maturity Hollister & Co. were the
s3 nv authorized and empowered to sell
e dispose of said property at public or
III .-ata sale with or without previous
. tice from the proceeds thereof the pl
cinaI interest. charges and costs OF
to be paid, the balance to be relur
to Winter 1t also provided that II
principal and interest should be palo
certificate should be returned 70 " IN
;. that HOLSTER & Co. assigned the not'
H. defendant Parmelee, together
:. tbe power said Parmelee being now
owner and holder Of the note thas
. new certificate was issued nor any
4r1, or record of the pledge OF the s
made in the stock book Of the Holll
Drug Co that the note has not
naid and that there is now due the
81 400: that Parmelee's claim LOT
amount has been presented TO the
ministrator OF the estate VI saw
Ter the same being allowed; that th'
.E.-s tate of said Winter is insofveht'
that the administrator now claims
nossession of said certificate OF
and the right TO sell the same TOT
haneft of all the creditors OF salo
tste The following questions of Law
propounded: 81. -
IL u In whom does the legal title to
shares of stock stand?
. Is the plaintiff. as such adn
traitor, entitled TO the possession OF OF
shares of stock, and has he the rig
sell the same for the equal oene
all creditors? -.
3. Is the defendant TO be regard
secured creditor. with the rls ~
sell said collateral security Tor tiie