Jacques v. Manchester Coal & Ice Co.
Supreme Court of New Hampshire
Bill in Equity, alleging that the defendant company, being liable to the plaintiff for injuries negligently inflicted upon him, conveyed, all its property to its sole stockholder, the New England Investment Company, in return for the surrender of the certificates of stock, while his suit was pending; that the Investment Company sold the property, and its agent, the defendant Loveren, now holds $50,000 of the proceeds of such sale; and that the plaintiff, having recovered…
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Bill in Equity, alleging that the defendant company, being liable to the plaintiff for injuries negligently inflicted upon him, conveyed, all its property to its sole stockholder, the New England Investment Company, in return for the surrender of the certificates of stock, while his suit was pending; that the Investment Company sold the property, and its agent, the defendant Loveren, now holds $50,000 of the proceeds of such sale; and that the plaintiff, having recovered judgment for about $4,000, is unable to find any property from which to satisfy the execution. The prayer is that the…
1Opinion of the CourtPeaslee, J.
Upon the finding that the transfer of the property of the Coal Company to its sole stockholder, the Investment Company, was a distribution of the capital stock of the former, the plaintiff in this proceeding was entitled to relief. “Equity regards the property of a corporation as held in trust for the payment of the debts of the corporation, and recognizes the right of creditors to-pursue it into whomsoever’s possession it may be transferred,, unless it has passed into the hands of a bona fide purchaser.” Railroad Co. v. Howard, 7 Wall. 409.
“It is well settled both on principle and precedent…
2Cases cited5 opinions
- Railroad Co. v. HowardSupreme Court of the United States · 1869
- Grenell v. Detroit Gas Co.Michigan Supreme Court · 1897
- Crandall v. LincolnSupreme Court of Connecticut · 1884
- Hurd v. New York & Commercial Steam Laundry Co.New York Court of Appeals · 1901
- Farnsworth v. RobbinsSupreme Court of Minnesota · 1887
3Cited by1 opinion
- LeBlanc v. BerubeSupreme Court of New Hampshire · 1997