91 Kan. 64 | Kan. | 1913
The Burrel Collins Brokerage Company presented a claim of $1489.96 to the assignee of the Garden City Wholesale Grocery and Fruit Company, which was disallowed. An appeal to the district court was taken, and on a trial there the court found that only $101.07 of the claim was a legal charge against the assignee, and an appeal from that judgment was taken by the Burrel Collins Brokerage Company.
Appellant claims that in May, 1910, George W. Chesebro started a grocery and fruit business in the name of the Garden City Fruit Company and purchased several bills of goods from appellant for which payment has not yet been made, and that about July 1, 1910, Chesebro and four others incorporated the Garden City Wholesale Grocery and Fruit Company for the purpose of buying and selling groceries, fruits and vegetables, and that the corporation took over the property of the Garden City Fruit Company and assumed liability on the debts of that company. Appellant therefore claimed to be a creditor of the new corporation, and entitled to have the full amount of its claim allowed. On the part of appellee it is contended that, practically, Burrel Collins himself was the Garden" City Fruit Company, and that the shares of capital stock of the new company were full payment for all the assets and credits turned over to the new company. The testimony tends to support the claim of appellee. Chesebro himself testified that Collins furnished all the money and goods that went into the business of the old company, that Chesebro was managing that business for Collins on a salary, that the incorporation was made at the instance of Collins, and that the corporation was to take over all that the old company had in exchange for the Collins stock in the new company.