Cors & Wegener v. Ballard Iron Works

Citations

• 41 Wash. 390
• 83 P. 900
• 1906 Wash. LEXIS 973

Syllabus

<p>Receivers — Claims for Labor — Allowance—Corporations—Employment of Stockholders — Meetings—Resolutions—Effect. Upon the receivership of an insolvent corporation, a general creditor cannot defeat the allowance of preferred claims for labor, performed by various stockholders in the capacity of employees within six months from the appointment of the receiver, by an objection to the validity of a stockholder’s resolution fixing certain compensation for such stockholders, where there was sufficient evidence to sustain the finding that the resolution was never acted upon by the corporation, and was waived by the stockholders, and that they were regularly credited with the reasonable value of the services rendered by them; and the conclusion of law that they were entitled to preferred claims was proper.</p>