Meridian Light & Railway Co. v. Catar

Citations

• 103 Miss. 616
• 60 So. 657

Syllabus

<p>1. Corporations. Reincorporation. Liability for claims on old company.</p> <p>Neither law nor equity will permit one corporation to take all the property of another, deprive it of the means of paying ' its debts, enable- it to dissolve its corporate existence, and place itself practically beyond the reach of creditors, without assuming its liabilities.</p> <p>2. Same.</p> <p>Persons who acquire the property of the old corporations other than at a foreclosure sale are not purchasers for value without notice.</p> <p>3. Same.</p> <p>Under the facts as stated in the opinion in this case the court held that the new corporation was merely a reincarnation of the old company, clothed with its powers and franchises, the only ■ change in identity being in the name; and that the new company was liable for the obligations of the old company, including a claim for damages, accruing against the old company during its existence.</p>