Evening journal. [volume] (Wilmington, Del.) 1888-1932, 1916-07-26
Continued From First Page

jeopardy OF falhng INTO untrlendiy
hands in case anything should harper
that would impair the business of the
company. Again he asked how much
it was that the compliments contend
can be bought without depicting tho
treasury of the company.
Mir. Button argued that many courts
and statutes have prohibited corpora
tions from purchasing its own. stock
1T is prohibited in England and many
State in this country. but not IN New
Jersey" stated Mr.. Button.
Counsel produced pamphlet which
he referred TO as the historic volume
which Mr.. Laficy carried to the board
Of directors room and read from the
section that Mr. Lailey based his opin-
ion on. Mr. Button said counsel on the
other side stock the hurdle OF this
statute at running high jump
"What is the constitution among
friendsg" asked Mr.. Button.
Reads From Decisions.
AT this point Mr.. Button read from
numerous decisions that upheld his
contention that nothing beyond the
n
In the purchase of its own stock. In
this connection he quoted from an opln-
ION Of Judge Bradford, in the Taylor
Rice Company case, and from Chancellor
Curtis. in the case Of the international
Radiator Company. He said tho Ian
pliaoe IN these cases as we'll As others
that he quoted was in accordance with
the opinion given by Mr. Laffey TO the
board Of directors Mr.. Button said
there was nothing between the New
Jersey law and the charter that is not
consistent.
Mr.. Button said when the stock was
incurred from T. Coleman dupont the
aurplus OF the corporation was but
S5. 300 900, and as that stock was sold
for $4,000. 600, II II had been pur-
chased by the company It would have
been necessary TO take about $1,000
600 out OF the other assets OF the cor
poration. He denied that there
was any working capital, as Mr.. John
son had Interpreted.
Mr. Button went over the figures
quoted BY Mr.. Johnson In HIS argu-
ment 10 show that the corporation had
suhicient on hand 10 pay for the stock
out OF surplus.
After analysing these figures. Mr..
Button, Rt the time the stock was
bought the corporation could not have
purchased It without going into a
fund that represented the paid-in
stocksof the company.
Mr. Button said II the title OF p s.
dupont to this stock was complete on
March s, 1915, nothing occurred al
the directors meetings OF March s or
10. 1915. that could divest Of II
whether OF not the directors voted ac-
cording to their convictions. He had
complete title to that stock and had q
right 10 keep t. sell Il or not 10 sell
II. Just as he saw ft. Continuing. MIR
Button said said nothing could have
occurred at the directors meetingi
on March 6 or 10 which would hav,
diverted his title. He eontended i
was necessary 10 60 further bacl
than February 2S. when he came int
possession OF the stock. 10 find an.
flaw ia the title OF p. S. dupont Z,
the stock.
The speaker argued that the cru
cial question in the entire case Il
Whist is the scope OF an agency. does
the SCOPE OF that agency come down
TO the directors?
Mr., Button quoted many decisions
relative 10 the scope OF the agency Of
director. He contended that this
stock purchased was never owned by
tho company and was not essential
to the corporation.
In conclusion Mr. Button said he
would leave the case with the court
In full confidence that Justice would
be done He talked for three hours
starting at $50 o'clock and conciud-
Ing at $50 o'clock.
Mr.. Glasgow Closes.
Although II was the, winding M
OF the greatest case in many respects
ever tried in a Delaware court. th'
crowd present this morning whel
William A. Glasgow, Jr, of counse
for the complainants opened his clos
ing argument for the complalnaits
was the smallest OF any session sine
the case was started. There wer
many vacant seats In the room whe
Mr.. Glasgow started his argument
The room filled up as Mr.. Glasgo'
continued. Two familiar figures weT
absent from counsels tables thi
morning William S. Hiiles. Of cour
sci for the defendants. was not pres
ent for the first time since the tri'
was started and John G. Johnson wa
also absent again.
This was the sixteenth day OF tn
suit which started I'm June. There he
been taken more than 1000 pages
testimony and argument before toda'
Mr.. Glasgow. In his opening 70
marks TO the court strongly resente
some Of the closing remarks Of Wi
liam H. Button, Jr.. OF New York. {
counsel for the defendants. made yes
terday afternoon. which he termed 2
an attack on a name that had bee
honOred in Delaware and the Unite
States for more than 100 years
In opening Mr.. Glasgow. like hi
friend Mr. Graham. said he keenl
felt his responsibility in this cast
My responsibility he said. rs nc
only to my clients TO whom I wi
give the best that is in me. but ais
owe responsibility to the defendant
In this case owing, to the seriou
charges that have been made"
Mr.. Glasgow. in dramatic name
said the learned counsel for III
other side have undertaken TO d
nounce certain defendants"
He then spoke OF some OF the clio
ing remarks OF Mr. Button and sa
the gentleman coming from his env
onments in Wall street could not u
derstand how Alfred I. dupont cou
have anything In his heart b
money In was al this point that \