In re Martin's Estate
Supreme Court of Minnesota
Appeal by the National German-American Bank of St. Paul, from an order of the District Court of Otter Tail County, L. L. Baxter J., made August 12, 1893, sustaining the demurrer of the administrators of the estate of George B. Martin, deceased, to its claim against the estate. George B. Martin of Otter Tail County died intestate November 1, 1890, leaving property and estate there.
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Appeal by the National German-American Bank of St. Paul, from an order of the District Court of Otter Tail County, L. L. Baxter J., made August 12, 1893, sustaining the demurrer of the administrators of the estate of George B. Martin, deceased, to its claim against the estate. George B. Martin of Otter Tail County died intestate November 1, 1890, leaving property and estate there. He owned and held at his death one hundred shares of $100 each of the capital stock of the Page Flour Mills, a corporation organized under 1878 G. S. ch. 34, Title 2. Proceedings were taken in the Probate Court of…
1Opinion of the CourtMitchell, J.
The claim presented to the Probate Court for allowance was founded on the liability of the deceased, as a stockholder, for the debts of the corporation, under the constitution of the state, Art. 10, § 3, which provides that “each stockholder in any corporation * * * shall be liable to the amount of the stock held or owned by him.”
Under this provision, all the stockholders are liable to all the creditors. The object is to create a common fund, limited in amount, for the benefit of all creditors. Hence, if one creditor is allowed to proceed alone, he might exhaust the fund, or get more than his…
2Cases cited3 opinions
- Allen v. WalshSupreme Court of Minnesota · 1879
- Merchants' National Bank v. Bailey Manufacturing Co.Supreme Court of Minnesota · 1885
- Nolan v. HazenSupreme Court of Minnesota · 1890
3Cited by10 opinions
- Hantzch v. MassoltSupreme Court of Minnesota · 1895
- Eau Claire National Bank v. BensonWisconsin Supreme Court · 1900
- Baird v. McMillanNorth Dakota Supreme Court · 1925
- In Re Estate of BorlaugSupreme Court of Minnesota · 1937
- State v. EliasSupreme Court of Minnesota · 1939
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