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46 Barb. 61

Latimer v. Eddy

New York Supreme Court

Decided June 18, 1864

New York Supreme Court · decided 1864-06-18

THIS was an action brought by the plaintiff, as trustee, against his co-trustees, to compel them to account for and pay to the company its money, which he alleges they had lost and wasted and converted to their own use, in pursuance of a combination among themselves and with others to defraud the company of all its income.

Cited by 3 later decisions — most recently September 1895

3 state decisions

Relies on Galwey v. United States Steam Sugar Refining Co.

Good law ✅— No negative treatment on recordhow we know

Decided 1864-06-18

View the full empirical analysis of this case →

Geo. G. Barnard, J.

¶1(dissenting.) The complaint in this case is filed, among other things, to obtain the removal of the trustees of the Nevada Water Company, other than the plaintiff, on the ground that they are all concerned in diverting the profits and income of the company from the company, in pursuance of a combination, to their own individual benefit. An injunction and a receiver are prayed for.

¶2After a careful investigation of the appeal papers, I am of opinion that the charge of diversion is made out. The whole property of the company is under the control of the trustees who are thus diverting its income from its legitimate chan*68nel. This brings the case within the exception contained in Galwey v. U. S. Steam Sugar Refining Company, (36 Barb. 256.)

[New York General Term,June 18, 1864.

¶3It is a proper case, within the numerous authorities cited by the appellant, for the granting an injunction and appointing a receiver.

¶4The trustees and officers of the company must convey all the property of the company to the receiver, under the direction of a referee to be appointed by the court.

¶5I think the order appealed from should be reversed.

¶6Order affirmed.

¶7Sutherland, Leonard and Geo. G. Barnard, Justices.)

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