Prindiville v. Johnson & Higgins

Backes, V. C.

This is a stockholders) bill, alleging two causes of action; to compel the defendant corporation to declare and pay dividends, and to restrain the directors from paying themselves excessive salaries.

Johnson & Higgins was incorporated in 1899, under “An act concerning corporations” (Rev. 1896), with an authorized capital stock of $500,000—half preferred and half common. The preferred stock is eight per cent., non-cumulative, dividend bearing, with priority over the common,, in dividends, and in the capital upon dissolution. The authorized capital stock has been increased to…