LA VOY SUPPLY COMPANY v. Young

McQUADE, Justice.

The principal issue in this case is raised l>y a factual determination of the1 solvency of a corporation in relation to establishing a director as a secured creditor taking precedence over general creditors.

Defendant A. Stanley Young.will be referred to herein as appellant, the defendant Dale G. Haile, sheriff of Canyon County, being a nominal party only.

Newell E. LaVoy in 1954 transferred personal property having an estimated value of $23,500 for stock in the newly-formed LaVoy Supply Company, a corporation. The incorporators were Newell E. LaVoy; his wife, Gwyneth B. LaVoy,…