Grand Rapids Trust Co. v. Nichols
Michigan Supreme Court
Appeal from Kent; McDonald, J. Bill by the Grand Rapids Trust Company, trustee in bankruptcy of the Grand Rapids Motor Truck Company, against Fred I. Nichols and others for a discovery and an accounting. From an order denying motions to dismiss, defendants appeal. In March, 1912, the Grand Rapids Motor Truck Company was organized under the laws of this State with $350,000 common stock and $250,000 preferred.
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Appeal from Kent; McDonald, J. Bill by the Grand Rapids Trust Company, trustee in bankruptcy of the Grand Rapids Motor Truck Company, against Fred I. Nichols and others for a discovery and an accounting. From an order denying motions to dismiss, defendants appeal. In March, 1912, the Grand Rapids Motor Truck Company was organized under the laws of this State with $350,000 common stock and $250,000 preferred. It took over the assets of the Decatur Motor Truck Company, an Indiana concern. Its articles of association enumerated, as required by the statute, property paid in and its value. Among…
1Opinion of the CourtFellows, J.
(after stating the facts). By this motion to dismiss these defendants assail the right of the trustee under the bankruptcy law to maintain this suit. It is insisted that the bankrupt corporation could not maintain a suit against these defendants on the facts alleged, that the trustee has no greater right than the bankrupt had, and that, all creditors not being affected alike, the trustee may not institute suit for the benefit of a part of them.
We may lay aside that line of authorities which holds that the trustee in right of the bankrupt may not, proceed against stockholders of corporations…
2Cases cited6 opinions
- York Manufacturing Co. v. CassellSupreme Court of the United States · 1906
- Turnbull v. Prentiss Lumber Co.Michigan Supreme Court · 1884
- Grenell v. FerryMichigan Supreme Court · 1896
- Osborn v. City of Ann ArborMichigan Supreme Court · 1915
- Comstock v. DeaneMichigan Supreme Court · 1917
1 more not listed; retrieve them via the Exa API.
3Cited by12 opinions
- Courtney v. YoungsMichigan Supreme Court · 1918
- Burningham v. BurkeUtah Supreme Court · 1926
- Jaffe v. AckermanMichigan Supreme Court · 1937
- Allen v. HillmanMichigan Supreme Court · 1921
- Ver Wys v. Vander MeyMichigan Supreme Court · 1919
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