Roscower v. Bizzell

• Decision Date: 05 November 1930
• Docket Number: No. 107.,107.
• Court: North Carolina Supreme Court
• Parties: ROSCOWER. v. BIZZELL et al.

155 S.E. 558
(199 N.C. 656)

ROSCOWER.
v.
BIZZELL et al.

No. 107.

Supreme Court of North Carolina.

Nov. 5, 1930.

Appeal from Superior Court, Wayne County; Midyette, Judge.

Action by A. Roscower against George D. Bizzell and others. From a judgment in favor of defendants, plaintiff appeals.

Affirmed.

See, also, 155 S. E. 560.

This is an action to recover of the defendants, officers and directors of the People's Bank & Trust Company, a corporation organized under the laws of this state, the sum of $2,000 damages sustained by plaintiff, a stockholder of said corporation, in the loss of his stock, and resulting from the insolvency of the People's Bank & Trust Company. In

[155 S.E. 559]

his complaint, plaintiff alleges that said insolvency was caused by the negligence and wrongful acts of defendants, as specifically alleged therein, in the performance of their official duties.

The action was heard on defendants' demurrer ore tenus to the complaint, for that the facts stated therein are not sufficient to constitute a cause of action, on which plaintiff is entitled to recover of the defendants.

The essential facts alleged in the complaint are as follows:

Prior to January 13, 1927, the People's Bank & Trust Company, a corporation organized under the laws of this state, was engaged in the banking business at Goldsboro, N. C. On or about said day, the said corporation closed its doors and ceased to do business. Thereafter, and prior to April 30, 1927, it was ascertained that the said People's Bank & Trust Company was insolvent.

On April 30, 1927, the People's Bank & Trust Company sold and transferred all its assets to the Wayne National Bank, of Goldsboro, N. C, for the purpose of its liquidation. It is now wholly insolvent, and its capital stock utterly worthless. By reason thereof, the plaintiff, as the owner of twenty shares of said capital stock, of the par value of $2,-000, has sustained a loss in the sum of $2,000.

Defendants are now, and for some time prior to the date of its insolvency were, officers and directors of said People's Bank & Trust Company, and as such had entire control and management of its affairs. The insolvency of said People's Bank & Trust Company was caused by the negligence and wrongful acts of the defendants, as specifically alleged in the complaint, in the performance of their official duties.

The court was of opinion that the facts stated in the complaint are not sufficient to constitute a cause of action on which plaintiff is entitled to...