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34 How. Pr. 183

Winter v. Baker

New York Supreme Court

Decided November 15, 1867

New York Supreme Court · decided 1867-11-15

Action for damages. The complainant alleged that he was the holder and owner for value, of a large amount of bank bills issued by a banking corporation of the state of Georgia; that the defendant was a director in said bank ever since January 1, 1857 •, that prior to January 1, 1861, the bank was solvent and able to pay all its debts; that after July 1, 1861, the bank became, and has ever since been insolvent and unable to pay its debts; that this insolvency was caused by…

Cited by 1 later decisions — most recently June 1882

Good law ✅— No negative treatment on recordhow we know

Decided 1867-11-15

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Clerks, J.

¶1These are actions brought by the several plaintiffs as the holders of the bills of a bank incorporated by the state of Georgia, against the defendant as a director of the corporation.

¶2The reasons which I have mentioned in the preceding cases apply to these with greater force. But more especially applicable to these cases is the rule well established, that a stockholder cannot sue directors for damages, on the ground their stock was made valueless by the misconduct of the defendant. If a stockholder cannot maintain such an action, a creditor certainly cannot do so.

¶3" Judgment on the demurrers, with costs.

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