Herr v. Schwager

The plaintiff as receiver for Schwager & Nettleton, Inc., an insolvent corporation, brought this action to recover from the defendants for the illegal conversion of the assets of the corporation. The cause was tried to the court without a jury and resulted in findings of fact and conclusions of law sustaining the right to recover. Judgment was entered in favor of the plaintiff in the sum of $8,000, from which the defendants appeal.

Schwager & Nettleton, Inc., was engaged in the wholesale lumber business in Seattle. Lewis Schwager and W. B. Nettleton each owned one-half of its stock and they…