Williams v. Neville

Citations

• 98 Miss. 268
• 53 So. 594

Syllabus

<p>Cokpoeatioüsts. Insolvency. Stockholders. Actions. Director’s liability. Ii'raud. Ultra vires acts. Pleading.</p> <p>The assets of an insolvent corporation are appropriable preferentially to the payment of its debts, other than its obligations to its stockholders as such; wherefore, a bill in equity by the stockholders of a corporation, adjudged to be insolvent and a bankrupt, against its directors to recover for ultra vires and fraudulent acts, is demurrable if it fail to show that the company’s, assets, including the liability sought to be enforced, are more than sufficient to pay all of its other creditors.</p>