Jones v. Mutual Fidelity Co.

Citations

• 123 F. 506
• 1903 U.S. App. LEXIS 4027

Syllabus

<p>1. Corporations—Insolvency—Appointment of Receiver.</p> <p>The Delaware statute of March 25, 1891 (19 Laws Del. c. 181), authorizing the Chancellor on the application of creditors or stockholders of insolvent corporations to appoint receivers to take charge of the property, business and affairs of such corporations, with power to collect debts, claims and property due and belonging to them, and to administer their affairs, such receivership to be continued so long as the Chancellor shall think necessary, creates a purely equitable right and remedy which, other jurisdictional conditions existing, may be enforced by a bill filed on the equity side of a circuit court of the United States by unsecured creditors who have not reduced their claims to judgment, as well as by stockholders or judgment creditors.</p> <p>2. Courts—Jurisdictional Amount.</p> <p>The jurisdictional amount exists where the assets of an insolvent corporation proceeded against under the statute exceed, exclusive of interest and costs, the sum or value of $2,000, and the claims of the creditors joined in the bill in the aggregate exceed such jurisdictional amount, although no creditor has a claim or claims equal to that amount; and, further, the jurisdictional amount exists where the assets of such corporation exceed, exclusive of interest and costs, the sum or value of $2,000, although the claims of the creditors joined in the bill are not in the aggregate equal to that amount.</p> <p>8. Corporations—Insolvency—Receiver.</p> <p>In the absence of statutory authority, the complainants, as general unsecured creditors at law, who have not reduced their claims to judgment, could not, solely on the ground of insolvency, successfully maintain their bill against the defendant to deprive it of the possession of its assets and secure their administration and distribution.</p> <p>4. Same.</p> <p>The Delaware statute in conferring on the Chancellor authority, solely on the ground of insolvency, to appoint rec