Copp v. Van Vleck

The Montclair Club, a New Jersey corporation, borrowed from the late Joseph Van Vleck $18,000 for which promissory notes in the amount of $1,000 each were issued. They provide as follows:

"If and when the preferred stock of the said corporation shall in whole or in part be redeemed or paid off by the corporation, all notes of this series shall be entitled to payment and shall be paid up to the par value thereof, pro rata, therewith, and upon dissolution of the corporation and distribution of its assets, all notes of this series shall be entitled to payment and shall be paid up to the par value…