Schroeter v. Bartlett Syndicate Building Corp.

Plaintiff as the owner of certain shares of the capital stock of defendant corporation recovered judgment for the amounts paid by him on certain assessments upon this stock. The complaint alleges and the court below found that the corporation had no authority to levy or collect these assessments. The controversy has arisen because of a change in the law conferring upon corporations the right to assess stockholders.

At the time the corporation was organized and also when the plaintiff’s stock was issued, section 331 of the Civil Code permitted the directors of a corporation to levy and collect…