Court Opinion

ID: 9693967
Source: CourtListenerOpinion
Date Created: 2023-08-25 17:13:39.357798+00
Date Added: 2024-06-11T12:06:20.766366
License: Public Domain

*294On Rehearing.
The appellees earnestly urge that the corporation cannot now say the preferred stock is void. Although appellees claim the “stock was fraudulently issued to them,” they insist that the corporation must live up to the promise on the face of the stock certificate.
Their pleadings did not cover an action for deceit. Since they have sued for a breach of a covenant, they have waived the tort in this proceeding.
We hold the stock certificates are not the sole memoranda of the agreement between the parties — certainly not under the facts here.
We ignored Randle v. Walker, 17 Ala.App. 211, 84 So. 551, because of the non-concurrence of a majority of the court in what was said of § 3479 of the 1907 Code, and because the quotation from 4 Thompson on Corporations does not fit the facts here.
Application overruled.