Rayl v. Salmon River Canal Co.

Appellant, owner of 700 shares of stock and about 400 acres in Respondent Carey Act Corporation project, now functioning as an operative company, sued on behalf of himself and others similarly situated to prohibit the distribution of water under the following rule adopted by the board of directors June 10, 1943, ratified at a stockholders’ meeting January 10, 1944, by 32,649.11 shares of stock voting for and 5,202.10 against:

“RULE 5. — All water in the reservoir will be considered as general storage and allotted according to shares of stock held by individual stockholders; except, however,…