Catlettsburg & Buchannan Telephone Co. v. Bond

Opinion op the Court by

Stanley, Commissioner—

Affirming.

The appellant, a domestic corporation, owns and operates a rural telephone line. At the time involved, it had no board of directors. Its subscribers are its stockholders, of which the appellee, Dr. Charles F. Bond, is one. On September 8, 1925, he loaned $1,000 of the company’s money secured by a second mortgage on real estate. At that time the security was ample, but when the first mortgagee foreclosed in 1928, the property yielded but an inconsequential .sum over its debt and the court costs. Thereupon this suit was brought by the…