Allen v. Commercial Nat. Bank of Detroit
Court of Appeals for the Sixth Circuit
Appeal from the District Court of the United States for the Eastern District of Michigan. In the matter of the Humphrey Book Case Company, bankrupt. From an order rejecting a claim, the claimant, Charles T. Allen, appeals. The Humphrey Book Case Company was a Michigan corporation, doing business at Detroit. In October, 1906. it desired to increase its capital, and its sole directors. Messrs.
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Appeal from the District Court of the United States for the Eastern District of Michigan. In the matter of the Humphrey Book Case Company, bankrupt. From an order rejecting a claim, the claimant, Charles T. Allen, appeals. The Humphrey Book Case Company was a Michigan corporation, doing business at Detroit. In October, 1906. it desired to increase its capital, and its sole directors. Messrs. Humphrey, Dickinson and Moore, solicited Charles T. Allen, of Battle Creek, to become a stockholder. On October 16th Allen signed a writing, subscribing for 1,000 shares of the common stock at $10 per…
1Opinion of the CourtDenison, Circuit Judge
(after stating the facts as above). If it should be assumed that Allen was right in his substantial position that the paper of November 1st binds the corporation as completely as if it had been executed under the fullest authority from a stockholders’ meeting, and as if it was not affected by any precedent contract (assumptions which we do not make), we are met by a difficulty which we think insuperable. We then find a contract between a Michigan corporation and an investor, by which the latter becomes a stockholder, reserving to himself the right, at his later option, to change himself from…
2Cases cited10 opinions
- Armstrong v. American Exchange Nat. Bank of ChicagoSupreme Court of the United States · 1890
- Young v. Erie Iron Co.Michigan Supreme Court · 1887
- Vent v. Duluth Coffee & Spice Co.Supreme Court of Minnesota · 1896
- Clark v. E. C. Clark Machine Co.Michigan Supreme Court · 1908
- Ophir Consol. Mines Co. v. BryntesonCourt of Appeals for the Seventh Circuit · 1906
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3Cited by7 opinions
- Madsen v. SmithCourt of Appeals for the Seventh Circuit · 1923
- Pasotti v. United States Guardian Corp.Court of Chancery of Delaware · 1931
- Durand v. BrownCourt of Appeals for the Sixth Circuit · 1916
- Norwalk v. MarcusAppellate Division of the Supreme Court of the State of New York · 1932
- In Re American Aluminum Metal Products Co.District Court, S.D. California · 1926
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