Schmitt v. Dietterle

Citations

• 70 Pa. Super. 38

Syllabus

<p>Corporations — Suit by receiver — Affidavit of defense — StocTc— Principal and agent — Accord o/nd satisfaction.</p> <p>In an action by the receiver of a corporation to recover moneys alleged to be due to tbe company, an affidavit of defense is sufficient which avers that $500 of the debt was in the form of notes given by defendant for the stock of the company, under an agreement that the company would under certain conditions named, exchange the notes for the stock, that the secretary and treasurer of the company, naming him, its duly authorized agent, made a full and final settlement with defendant in consideration of a check for an amount named and the $500 stock certificate “the same being in full and final settlement of all and every debt, claim and demand,” and that the secretary returned to defendant all of the notes in compliance with the agreement.</p> <p>In such a case as there was nothing to show that the company was insolvent at the time of the settlement, defendant had a right to set up the settlement as a defense. It was good as an accord and satisfaction made before the appointment of the receiver and binding upon him. The fact that part of the consideration for the settlement was stock in the company, does not alter the situation as the sufficiency of the consideration is immaterial.</p>