Quick v. Lemon

Citations

• 105 Ill. 578
• 1883 Ill. LEXIS 124

Syllabus

<p>1. Gross-bill—of the right to file a cross-bill. Where a defendant in a suit in chancery has equities arising out of the subject matter of the original bill which entitle him to affirmative relief, he may, as matter of right, present such equities by way of cross-bill, and it will be error to refuse to permit the cross-bill to be filed.</p> <p>2. Subscription to stock—promise to subscribe, and refusal—right of action. Where a person enters into a valid contract with a corporation, by which he agrees to subscribe for a certain number of shares of stock in the company, upon his failure and refusal to comply with that contract, without fault on the part of the corporation, the latter will have a right of action to recover such damages for the breach of the contract as it may have sustained.</p> <p>3. Action—gross-demands—of a cross-demand as an independent cause of action. Although a defendant in a suit at law may have a counterclaim which he could properly plead as a set-off in the action, he is not bound to do so, but may bring his separate action for the recovery of his demand.</p> <p>4. Set-off—in equity— cross legal demands—non-residence as a ground of equity jurisdiction. A creditor of a corporation recovered a judgment at law against the corporation, upon which an execution was issued, and returned nulla bona. Thereupon the judgment creditor exhibited a creditor’s bill against several persons as stockholders in the corporation, for the purpose of recovering their unpaid subscriptions in satisfaction of his debt. The corporation was also made a party. At the time of the bringing of the suit in which the judgment was rendered, the corporation held a claim for damages against the plaintiff in that action, growing out of the same transaction as that involved in the suit at law, and of such character that it could have been interposed as a set-off in that suit,—but that was not done. The corporation, however, asked leave to file a cross-bill in the suit in chancer