Welch v. Atlantic Gulf & West Indies Steamship Lines

Second Circuit

Welch v. Atlantic Gulf & West Indies Steamship Lines

200 F.2d 199

Court of Appeals for the Second Circuit·Decided December 19, 1952·No. No. 82, Docket 22473·Published

Opinion

PER CURIAM.

Judgment is affirmed on the opinion below, D.C., 101 F.Supp. 257. The appellant’s effort to distinguish Guttmann v. Illinois Central R. Co., 2 Cir., 189 F.2d 927, cer-tiorari denied 342 U.S. 867, 72 S.Ct. 107 cannot prevail. The sentence upon which counsel relies for the attempted distinction is a restriction upon the payment of dividends on the common stock; it docs not impose an obligation to pay passed dividends on the non-cumulative preferred. That this is the correct interpretation is confirmed by the provision giving the corporation the option to purchase preferred stock at par, as well as by the provision governing liquida!ion and dissolution of the corporation.

Free access — add to your briefcase to read the full text and ask questions with AI

PER CURIAM.

Judgment is affirmed on the opinion below, D.C., 101 F.Supp. 257. The appellant’s effort to distinguish Guttmann v. Illinois Central R. Co., 2 Cir., 189 F.2d 927, cer-tiorari denied 342 U.S. 867, 72 S.Ct. 107 cannot prevail. The sentence upon which counsel relies for the attempted distinction is a restriction upon the payment of dividends on the common stock; it docs not impose an obligation to pay passed dividends on the non-cumulative preferred. That this is the correct interpretation is confirmed by the provision giving the corporation the option to purchase preferred stock at par, as well as by the provision governing liquida!ion and dissolution of the corporation.

Welch v. Atlantic Gulf & West Indies Steamship Lines, 200 F.2d 199 (2d Cir. 1952).

Pincite

200 F.2d 199 (Welch v. Atlantic Gulf & West Indies Steamship Lines) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.

Opinion

Related