Matter of Miglietta (2660 Broadway Corp.)

May a share owner in a salvage corporation demand appraisal of and payment for his stock when the salvage corporation sells the property acquired at the foreclosure sale and takes back a purchase-money mortgage?

Prior to 1937 the United States Trust Company was mortgagee of a $560,000 mortgage on premises 2660-2668 Broadway, New York city, in which 56 shares at $10,000 each had been sold to various interests. ' Upon foreclosure of the mortgage the United States Trust Company bid in the property and, with the consent of all 56 share owners, formed the defendant salvage corporation. Each of the…