Quaker City Apartment House Co. v. Matthews

Citations

• 21 Pa. Super. 519
• 1902 Pa. Super. LEXIS 400

Syllabus

<p>Corporations — Stock subscription — False statement in prospectus.</p> <p>In an action by a foreign corporation to recover on a stock subscription, where it appears that appended to the stock subscription was a prospectus which set forth that the company had purchased a property particularly designated, as a site for an apartment house, and that such a building was being erected thereon, an affidavit of defense is sufficient which avers that the plaintiff had never purchased the property designated, and, on account of its being a foreign corporation, could not purchase it, that the building was being erected by another corporation, and that defendant was induced to sign the stock subscription on the strength of such representations.</p>