Wolcott v. Waldstein
New Jersey Court of Chancery
On bill by a receiver in insolvency to declare corporate stock unpaid and to procure and enforce an assessment for the payment of creditors.
1Opinion of the Court
Leaming, V. C.
1. It is impossible to escape the conclusion that the capital stock of this corporation was originally issued in payment for property purchased at a gross overvaluation.
The nearest approach to a justification of the valuation placed upon the property is to be found in the claim that the circumstances which existed at the time the valuation was determined upon may have justified a reasonable expectation that the cox*poration under proper management would develop an earning capacity proportionate to its capitalization. Euture prospects or prospects of future profits can never be…
2Cited by3 opinions
- John W. Cooney Co. v. Arlington Hotel Co.Court of Chancery of Delaware · 1917
- Jernee v. SimonsonNew Jersey Court of Chancery · 1899
- Bryson v. ConlenNew Jersey Court of Chancery · 1929