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Full-Text Articles in Law
Fraudulent Conveyances - Contingent Creditors - Bank Stockholders' Double Liability, Charles V. Beck Jr.
Fraudulent Conveyances - Contingent Creditors - Bank Stockholders' Double Liability, Charles V. Beck Jr.
Michigan Law Review
A holder of bank stock conveyed real estate to her daughter in consideration of love and affection, leaving the grantor with no other assets than the bank stock. At the time, the bank stock had a market value of eleven dollars a share, and the bank was advertising for depositors; there was nothing in the record to indicate insolvency. About two years later the bank closed, and the superintendent of banks assessed the stockholders the amount of their statutory double liability. When the transfer was discovered the superintendent brought action to set aside the conveyance as fraudulent to the creditors …
Public Policies Underlying The Law Of Mental Incompetency, Milton D. Green
Public Policies Underlying The Law Of Mental Incompetency, Milton D. Green
Michigan Law Review
Mental incompetency, or legal insanity, has usually been studied in the patchquilt fashion. It appears as a sub-heading of incidental interest in such widely diversified subjects as crimes, contracts, domestic relations, torts and wills. It can, however, be conceived of as a single strand in the seamless web. So viewed, it may appear to wind in and out of the various artificial subdivisions of the law, cutting across each at one particular place or another. And so conceived, it can be studied according to the second and less orthodox method of analysis. Few are the isolated areas in the law …
Taxation - Federal Income Tax - Evasion Through Use Of The Corporate Entity, G. Randall Price
Taxation - Federal Income Tax - Evasion Through Use Of The Corporate Entity, G. Randall Price
Michigan Law Review
The taxpayer purchased A Company stock from X for $100,000 and later sold it for $7,500, deducting the loss in his tax return for that year. Following the discovery of fraud on the part of X he reacquired the stock for $8,000 and then negotiated a settlement with X providing for a resale to X for $100,000. To avoid high taxes on the resulting profit, the taxpayer organized B corporation and purchased all its stock. He then sold to it the A Company stock and all his claims against X in return for its promise to pay back the $100,000 …
Contracts - Third Party Beneficiary - Power Of Promisee To Discharge Promisor - Necessity For Consideration, Roy L. Rogers
Contracts - Third Party Beneficiary - Power Of Promisee To Discharge Promisor - Necessity For Consideration, Roy L. Rogers
Michigan Law Review
Stanfield recovered judgment against W. C. McBride, Inc. for personal injuries suffered in an automobile accident which was occasioned by the negligence of Strunk, employee of the McBride company, who at the time of the accident was driving (with the owner's consent) an automobile owned by the Miller-Morgan Auto Company. The McBride company in turn recovered a judgment against its employee, Strunk, and now as garnishor seeks to reach an insurance policy issued to the Miller-Morgan company which at the time of its issuance contained an omnibus clause insuring all persons driving the insured car with the consent of the …
Evidence - Federal Communications Act - Admissibility Of Evidence Which Became Accessible By Wire-Tapping, Edmond F. Devine
Evidence - Federal Communications Act - Admissibility Of Evidence Which Became Accessible By Wire-Tapping, Edmond F. Devine
Michigan Law Review
Petitioners were convicted under a federal indictment for frauds on the revenue. The United States Supreme Court reversed the conviction on the ground it was obtained by use of evidence secured in violation of section 605 of the Communications Act of 1934 by wire-tapping. A new trial resulted in conviction and eventually the Supreme Court granted a writ of certiorari to consider the question whether evidence indirectly obtained by that wire-tapping could be admitted despite the first holding. Held, such evidence is inadmissible on the basis that to rule otherwise would largely nullify the doctrine previously laid down. Nardone …
Fraud - Negligent Misrepresentation - Liability Without Fault - Contributory Negligence As A Defense, Roy L. Rogers
Fraud - Negligent Misrepresentation - Liability Without Fault - Contributory Negligence As A Defense, Roy L. Rogers
Michigan Law Review
Plaintiff purchased a pearl necklace from the defendant. In a suit for fraud, plaintiff alleged that the defendant had misrepresented the quality of the necklace and his own expert ability. Before purchasing, plaintiff had secured the services of another expert. The trial court found that there was no reliance by the plaintiff on the defendant's misrepresentation and that the plaintiff was guilty of contributory negligence. Held, by the trial court, (1) that lack of reliance barred recovery for fraud; (2) that contributory negligence barred recovery for negligent misrepresentation; and (3) that if New York courts recognize a liability without …
Trusts - Spendthrift Trusts - Beneficial Interest Held Not Attachable To Make Good Liability As Trustee, W. Wallace Kent
Trusts - Spendthrift Trusts - Beneficial Interest Held Not Attachable To Make Good Liability As Trustee, W. Wallace Kent
Michigan Law Review
Janet Jones was an inactive trustee and one of the beneficiaries of a spendthrift trust. Because of lack of good judgment on the part of her co-trustee, and without any moral fault on her part, Janet was charged with liability for a large sum. Her surety, who paid the succeeding trustee, took an assignment of the rights of the trust estate against Janet Jones and demanded that the trustee pay to it all the income, past, present and future, which the trust instrument gave to such beneficiary. The trustee brought this action for instructions. Held, as the trust estate …
Corporations - Receivers - Rights Of Creditors Or Receiver To Raise An Objection To Corporate Action Which Would Be Open To Shareholders, Jerome J. Dick
Corporations - Receivers - Rights Of Creditors Or Receiver To Raise An Objection To Corporate Action Which Would Be Open To Shareholders, Jerome J. Dick
Michigan Law Review
The writer will attempt to show that the courts, in spite of their language of fraud and breach of trust, are not applying the legal rules of fraud and trust relationship in allowing recovery to the creditor. The cases brought by the receiver for the benefit of creditors can be roughly divided into three broad groups: (1) instances where the court speaks of a trust relationship, holding that the corporation has breached the duty of trust to the creditors; (2) situations where the court speaks of some hazy principle of "fraud" on the creditors; (3) cases where the court forgets …