Brennan v. National Equitable Investment Co.

Plaintiff purchased stock in defendant corporation under such circumstances as amount, so he alleges, to misrepresentation and fraud. For a short time dividends were disbursed but then their payment was suspended. He rescinded his contract of purchase, tendered return of his stock and brought this action :at law on his rescission to recover the purchase price. After the institution of the action, payment of dividends was temporarily resumed and plaintiff accepted -and retained them. In his reply to the supplemental answer he alleges that such moneys were fraudulently paid out of capital and…