Security Trust Co. v. Ford

Citations

• 75 Ohio St. (N.S.) 322

Syllabus

<p>West Virginia state constitution — Relating to liability of corporation stockholders — Doing business in Ohio — Stock liable for full ■ par value — In payment of corporation debts — Constitutional law.</p> <p>The section of the constitution of the state of West Virginia, relating to the organization of corporations which provides that the stockholders of all corporations shall be liable for the debts of such corporations to the amount of their stock subscribed, is intended as a security to creditors, and the original subscribers to the stock of a corporation organized under the constitution and laws of that state cannot avoid liability to pay full par value of their stock for the purpose of paying corporate creditors by inserting in the articles of incorporation a provision that the stock shall be sold at fifty cents on the dollar, and when that is paid the stock shall be issued as fully paid and non-assessable.</p>