Cross v. Beguelin

This is a submitted controversy upon an agreed statement of facts. The question submitted for decision is the effect of section 664 of the Penal Law upon the rights of others than those for whose protection it was enacted. More specifically, whether a vendor from whom a corporation has purchased its own corporate stock may enforce the contract as to installments of the purchase price remaining unpaid when there is no corporate surplus, but also when there are no general creditors or unpaid claims except claims for salary of officers and directors who represented the corporation in the making…