Cross v. Johnson

Citations

• 20 Wash. 124
• 54 P. 1000
• 1898 Wash. LEXIS 480

Syllabus

<p>ACTIONS BETWEEN STOCKHOLDERS — PLEADING—DEFAULT JUDGMENT — EVIDENCE.</p> <p>In an action by one stockholder of a corporation against another, the complaint is good against demurrer, when it alleges that the corporation was indebted to plaintiff and others in amounts aggregating $763.77; that the defendant was treasurer of the corporation, and had, in collusion with its other officers, sued the corporation and obtained judgment by default; that an execution had been issued and the real estate of the corporation was about to be sold thereunder; that the defendant, as treasurer, had $500 in money belonging to the company and was also indebted on his stock subscription in the sum of $762.25; that he had refused to render any account to the stockholders, as treasurer, of the moneys alleged to be in his hands; and that, if allowed to proceed with the sale, the corporation would be rendered insolvent and the plaintiff’s debt would be lost, as well as his interest in the corporate property sacrificed.</p> <p>Where judgment is given against defendant for failure to answer, after the overruling of his demurrer to the complaint, the court is authorized, under Code Proc., § 412 (Bal. Code, § 5090), in proceeding to take evidence upon the allegations of the complaint.</p>