Campbell v. McPhee

Citations

• 36 Wash. 593
• 79 P. 206
• 1905 Wash. LEXIS 633

Syllabus

<p>Corporations — Stockholders—Stock Not Fully Paid in— Assessment on Stock — Defense of Bona Fide Purchase. In a proceeding in bankruptcy to assess the stockholders of an insolvent corporation upon stock not fully paid up, a stockholder cannot interpose the defense that he was a bona fide purchaser of stock represented to him as fully paid up, where it appears that, after the original stock was duly subscribed by the promoters, part of it was turned into the treasury as treasury stock to be sold as the needs of the company required, and that defendant purchased part of such treasury stock at one-fourth its par value after fully going into the financial affairs of the corporation, and part of it after becoming a trustee of the corporation, since he is not a bona fide purchaser without notice.</p>