Hodgson v. Baldwin

Citations

• 65 Ill. 532

Syllabus

<p>1. Chancery jurisdiction—bill by members of a rolunttwy association to settle its affairs and compel others to contribute their sha/re of its liabilities. Where a voluntary association had been formed for buying and selling goods, and it had been determined to close the business, and its assets had all been disposed of, leaving considerable outstanding liabilities, and there was no means of discharging the same except by contributions of its several solvent members, and a part of these refused to pay their just share to enable the directory to wind up its affairs, a portion of the members filed their bill in chancery, making all the solvent members parties, seeking to have an account taken of the liabilities, and each solvent member compelled to pay his just share of the same. It was objected that a court of chancery had no power to decree the relief sought, because the complainants had not paid any debts, and hence they were not entitled to call upon the other members for contribution: Meld, that the bill was not for contribution, but to settle a partnership difficulty, which the majority were desirous of settling, and which a minority were resisting; that the insolvency of the association as an organized body, was ample to confer jurisdiction on the court when considered with reference to the peculiar character of the association; that the court on such bill was fully authorized to ascertain the amount of the indebtedness, and require each solvent member to pay his pro rata share thereof; and that the defendants had no right to require that the complainants should first pay the debts and take their risk of making the defendants contribute.</p> <p>2. Parties in chancery. Where a bill in chancery was filed by certain members of an unincorporated association after it had ceased business, and applied all its assets, and there was nothing left for the payment of a large indebtedness, to ascertain such indebtedness, and require the several members to pay their just a