French v. Harding

Citations

• 46 Pa. Super. 363
• 1911 Pa. Super. LEXIS 279

Syllabus

<p>Corporations — Stock—Full paid stock — Rights of a bona fide purchaser.</p> <p>1. A bona fide purchaser for value and without notice, of the stock issued by a corporation as paid up, cannot be held liable on such stock in any way either to the corporation, corporate creditors or other persons even though the stock was not actually paid up as represented.</p> <p>2. Where a person, in open market, in good faith and without notice, purchases certificates, such stock is to be deemed “paid up” in his hands, and he is protected as a bona fide purchaser, even though there is nothing on the face of the certificates stating that they are paid up.</p> <p>Corporations — Stockholders—Assessments—Defenses—Foreign corporations — Conflict of laws.</p> <p>3. In an action by a receiver of a foreign corporation against a stockholder, a resident of Pennsylvania, to recover an assessment authorized by a decree of a court having jurisdiction of the affairs of the corporation, the defendant cannot question the findings of insolvency, and the foundations of the assessments, but he can set up any defense which is personal to himself in which are involved his rights as a bona fide holder of the stock.</p>