P. B. Yates Machine Co. v. Lakin

Citations

• 113 Wash. 45
• 192 P. 982
• 12 A.L.R. 243
• 1920 Wash. LEXIS 782

Syllabus

<p>Corporations (207) - Insolvency- — Preferences to Creditors — Trust Fund Doctrine. One of the creditors of an insolvent corporation cannot maintain an action against another creditor to whom the assets had been transferred in payment of his claim, where it would result in plaintiff’s securing and retaining a priority over other creditors, since .the assets were a trust fund for all the creditors.</p> <p>Same (212) — Insolvency—Remedies of Creditors — Liability of Directors — Statutes. The Idaho statute providing that, in case of the forfeiture of the charter of a corporation, the directors or managers as trustees may be sued upon claims against the corporation and its property levied upon and sold to satisfy the claim, does not authorize a creditor to bring an action against the directors individually for wrongfully transferring the assets to a creditor whose claim was thereby preferred.</p>