Stendell v. Longshoremen's Protective Union Benev. Ass'n

Citations

• 116 La. 974
• 41 So. 228
• 1906 La. LEXIS 609

Syllabus

<p>1. Beneficial Associations — Appointment of Receives—Gbounds. .</p> <p>The fact that the officers of a branch labor and charitable association, acting in good faith and for the best interest of the association, used for satisfying, in part, the demands of pressing creditors, including the complainant, a per capita tax collected for transmission to the parent association, and the further fact that the officers, without authority, but in good faith and for the benefit of the association, executed a mortgage on the property of the association for raising money wherewith to pay pressing debts, including, in part, that of the complainant, will not justify the appointment of a receiver, under a statute empowering the courts to appoint a receiver when the officers of the corporation are jeopardizing the rights of stockholders or creditors by acts ultra vires or by grossly mismanaging the business of the corporation, or by wasting, misusing, or misapplying its property or funds; it appearing that the appointment of a receiver would do good to no one and might prove disastrous to all.</p> <p>2. SAMe—Suit to Oust Oeeiceks.</p> <p>The expenses of a suit against the officers of a corporation to oust them from office are at the charge of the corporation, and not of the officers.</p> <p>(Syllabus by the Court.)</p>