Royer v. Perkins Loan & Trust Co.

Citations

• 101 Kan. 733
• 168 P. 848
• 1917 Kan. LEXIS 187

Syllabus

<p>SYLLABUS BY THE COURT.</p> <p>1. Building and Loan Association — Note and Mortgage of Borrowing Stockholder — Oivnership. A borrowing member of a building and loan association procured through the association a loan secured by mortgage on real estate and an assignment of her shares of stock. The note and mortgage were made payable to an individual, who was at that time secretary of the association, and the shares of stock were assigned to him. Held, there was sufficient evidence in this case to support,a finding that at the time the action was commenced the original payee named in the note and mortgage had no interest therein and that it belonged to an association which had taken over the assets and business of the original association.</p> <p>2. Building and Loan Association — Transfer of Assets — Liability of Absorbing Company to Stockholders of Former Association. Where a building and loan association transfers all its assets to another association, with the approval of the state bank commissioner, the absorbing association or company becomes liable under section 2230 of the General Statutes of 1915 for all obligations to stockholders of the former association existing at the time of such consolidation; and where it notifies the borrowing shareholders of the former company that they may continue to make their payments to it upon their loans and stock, no written acceptance is required on the part of a borrowing shareholder, and the payment to and acceptance by the absorbing company of payments will constitute an acceptance.</p> <p>3. Same — Transfer of Assets — Obligations Assumed by Transferee — Evidence. In this case it is held there was no error in admitting in evidence the written propositions relative to the transfer of the assets of the one company to the other, including the. correspondence accompanying the same and circular letters sent out to the shareholders of the original company.</p> <p>4. Same. Certain language in the circular letters sent out to