Solomon v. C. M. Schneider & Co.
| Decision Date | 17 November 1898 |
| Citation | 56 Neb. 680,77 N.W. 65 |
| Court | Nebraska Supreme Court |
| Parties | SOLOMON ET AL. v. C. M. SCHNEIDER & CO., ET AL. |
1. Under our statute, corporations for pecuniary profit may sue and be sued, complain and defend, in courts of law and equity; and therefore the statute conferring power upon any person to confess judgment applies to such corporations, when such judgment has been rendered as described in the case at bar.
2. Where a bank, as plaintiff, obtains judgment for the sole purpose of collecting a debt due from one defendant, its right to so proceed is not impaired by the consideration that another defendant, sustaining the relation of surety to the first, will be released by such enforcement by the bank of its right to receive payment.
3. After a plaintiff has fairly collected a debt justly due him from a debtor, it is his right to dispose of the amount so collected in any manner he sees fit, without thereby subjecting himself to liability to other creditors of the same debtor.
Appeal from district court, Douglas county; Ambrose, Judge.
Action by D. Solomon & Co. and others against C. M. Schneider & Co. and others. Judgment for defendants, and plaintiffs appeal. Affirmed.McCabe, McGilton & Rath and R. S. Horton, for appellants.
W. W. Morsman and Montgomery & Hall, for appellees.
This action was brought in the district court of Douglas county by certain judgment creditors of C. M. Schneider & Co., a corporation, and the other defendants, alleged to be in complicity with it in an attempt to defeat and hinder said creditors in the collection of their several judgments. As the action progressed, other parties, having claims of like nature with those of the original plaintiffs, joined as interveners in asking the relief originally prayed. From a judgment adverse to them, the plaintiffs have appealed.
The indebtedness to the several plaintiffs was contracted by C. M. Schneider & Co. previous to the rendition of the judgment in favor of the Commercial National Bank against said C. M. Schneider & Co. by said district court at its May term, 1892. The amount for which this judgment was rendered was $20,050, and this indebtedness had been in existence since June, 1891, and evidenced during its existence by successive renewal notes. It was shown on the trial that, while a portion of the capital stock of the C. M. Schneider & Co. corporation at one time had been owned by other parties, the whole of it at the time of the rendition of the judgment in favor of the bank was owned by C. M. Schneider. This judgment was rendered upon two notes, each of which was for $10,000; and both were signed by said corporation by its president, C. M. Schneider, and by C. M. Schneider individually. There was no evidence of any fraudulent intent on the part of the bank in obtaining the judgment aforesaid, and in levying upon the goods and merchandise of the C. M. Schneider & Co. corporation for the satisfaction of said judgment.
It is, however, insisted by...
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