State National Bank v. Union National Bank
Illinois Supreme Court
Appeal from the Appellate Court for the First District;'—heard in that court on appeal from the Circuit Court of Cook county; the Hon. O. H. Horton, Judge, presiding. This was a bill to foreclose a mortgage, brought by the State National Bank of St. Joseph, Mo., on real estate in Chicago owned by the John Moran Packing Company, mortgagor, a corporation organized under the laws of this State and doing business át St. Joseph, Mo.
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Appeal from the Appellate Court for the First District;'—heard in that court on appeal from the Circuit Court of Cook county; the Hon. O. H. Horton, Judge, presiding. This was a bill to foreclose a mortgage, brought by the State National Bank of St. Joseph, Mo., on real estate in Chicago owned by the John Moran Packing Company, mortgagor, a corporation organized under the laws of this State and doing business át St. Joseph, Mo. The Union National Bank of Chicago and the Atlas National Bank of Chicago, attaching creditors, were joined as defendants to the bill. The Union National Bank and the…
1Opinion of the CourtJustice Craig
It is true that the John Moran Packing Company, when the mortgage was executed to complainant, was largely indebted and may have been insolvent; but complainant was a dona fide creditor, and it had the right to obtain security, and the corporation had the undoubted right to secure one creditor in preference to another, if it saw proper to do so. In this State the law is well settled that mere insolvency of a corporation does not deprive it of the power to dispose of corporate property in good faith, by way of paying or securing corporate indebtedness, although the result may be to give one…
2Cases cited12 opinions
- National State Bank v. Vigo County National BankIndiana Supreme Court · 1895
- Hoyt v. . ThompsonNew York Court of Appeals · 1851
- Warren v. First National Bank of ColumbusIllinois Supreme Court · 1893
- Chicago, Burlington & Quincy Railroad v. ColemanIllinois Supreme Court · 1857
- Holland v. DrakeOhio Supreme Court · 1876
7 more not listed; retrieve them via the Exa API.
3Cited by6 opinions
- Friedman v. LesherIllinois Supreme Court · 1902
- Maple Tree Investments, Inc. v. PortMissouri Court of Appeals · 1991
- Chick v. FullerCourt of Appeals for the Seventh Circuit · 1902
- First National Bank v. GordonAppellate Court of Illinois · 1936
- Lesher v. FriedmanAppellate Court of Illinois · 1901
1 more not listed; retrieve them via the Exa API.