Castello v. Central Eureka Mining Co.

Plaintiffs appeal from a judgment denying them relief. They sought by a suit in equity to set aside a forfeiture of their stock in defendant corporation, the stock having been forfeited pursuant to that portion of section 336, Civil Code (now Corp. Code, § 2708) which provides: “If no bidder offer to pay the amount due on the shares, together with the penalty of five per cent thereof, the shares shall be declared forfeited to the corporation in satisfaction of the assessment and penalty thereon.”

The resolution levying the assessment was in the following language:

“Resolved, that an assessment…