National Farmers Bank v. Clefton Co.

Appeal from an assessment, made by the district court of Steele county, of 70 per cent upon the capital stock of an insolvent corporation. The articles of incorporation provide that the highest amount of indebtedness to which the corporation majyi at any time be subject shall not exceed the sum of $35,000. The unpaid obligations exceed $100,000. The assessment was levied to collect from the stockholders the full sum of $35,000 and also the further sum of $3,000 to defray the expenses of the receivership.

The question presented is whether the stockholders may he assessed for the full amount of…