Poston v. Hull

Citations

• 75 Ohio St. (N.S.) 502

Syllabus

<p>Stockholder having sold stock — Before corporation became insolvent — Not liable for corporation debts — Until stock liability of existing holders is exhausted — Corporation law.</p> <p>One who has been a holder of the stock of an insolvent corporation but has disposed of his stock in good faith prior to such insolvency and prior to the commencement of an action to enforce the statutory liability, cannot be held liable for a debt of the corporation before the full one hundred per cent, liability of the existing solvent stockholders within the jurisdiction has been exhausted, although the debt of the creditor against the corporation was incurred before the assignment and the assignee of the stock is insolvent.</p>