Opinion by
Plаintiff obtained an alternative writ of mandamus against the defendant corporation and its officers to show cause why the transfer to plaintiff of six shares of its common stock should not be registered upon its books. A return was filed alleging that Joseph W. *344 Ray, Jr., the registered owner, of the stock' had never delivered or transferred the shares certificate to plaintiff; that plaintiff’s possession of the certificate is fraudulent and without authority, and that the stock was held by Ray in trust for plaintiff, president of the corporation, and Nathan Kaufman, secretary of the corporation, jointly. Kaufmаn intervened as a beneficial owner of the shares. The issues were tried in the court below before a jury and a verdict was directed in favor of defendants. Plaintiff’s motions for a new trial and judgment n. o. v. were refused, judgment was entered on the verdict, and this appeal by plaintiff followed.
At the trial thе! following facts were admitted: The defendant is a domestic corporation engaged in the business of retail merchandising at Uniontown, Payette County. It was formed in 1933 by plaintiff, Kaufman and their attorney Ray. Plaintiff advanced all of the original capital, accepting Kaufman’s note for óne-half thеreof; which has been paid with interest. There are 250 shares of capital stock outstanding. Kaufman owns 22 of these, and his wife, .100. Plaintiff owns 12 shares, and his son, 110. The remaining six shares, which are the subject of this controversy, Were issued to Ray on September 15, 1933, without consideration/to enable him to serve as a director. The certificate was endorsed by him in blank and left in the stockbook, from which it whs detached by. plaintiff.
Ray and Kaufman testified that the six shares are the property of plaintiff and Kaufman jointly; and were issued to Ray, to enable him to act as an arbitrator of any dispute which might arise between them. They asserted that, when the corporation, was formed it was agreéd that plaintiff and Kaufman were each to control a one-half, interest, and that the stock was to be equally divided between them or ■ their' nominees. In corroboration of this, it was shown by defendants that *345 the profits of - thе business had ■ been ■ shared equally, and that each had contributed one-half of the capital.
Bay testified that after endorsing the certificate, he gave the stock book to his stenographer to deliver to Kaufman as secretary of the corporation, to be kept at its offices. The stenographer testified that- she delivered the book to Kaufman. Kaufman, Miss Wiley> the bookkeeper of the corporation, and one Harry Cohen, its “controller”, asserted that the certificate remained in the stock book until 1938, when Cohen discovered that it was missing. Missing also was a letter dictated by Bay and placed with the certificate, stating that he had ho'financial interest in the stock, but held it as trustee for Kaufman and plaintiff, each of whom was entitled to three shares, and that it was to be transferred by him at the direction of the two beneficiaries jointly. The contents of this lеtter were proved by the testimony of Bay, his stenographer, Kaufman, and Cohen, no copies having been found. On one occasion, in 1937 or 1938, Miss Wiley testified, plaintiff’s son obtained possession of the stock book, but she said did not examine it before he received it or upon its return to determine whether the certificate and letter were within it. Bay discláimed any personal interest in the certificate, but stated that he had not delivered it to plaintiff or to anyone representing plaintiff. Cohen stated that in 1939 -he discovered that the stock was in plaintiff’s possession, and that he and Kaufman consulted Bay, who assured them that plaintiff’s possession was unlawful and that no valid transfer to him could have been effected.
Plaintiff’s version of the transaction differed - materially from that advanced by defendants. In rebuttal he testified that it had been originally agreed that he should have the. controlling interеst in the corporation and ownership of-51% of the stock. In this he was uncorroborated except for the testimony of his attorney *346 who ■ stated, .that on: one- occasion, in the presence of Kaufman, plaintiff had said:that he controlled the corporation. He asserted that he volunteered to have Ray take record ownership of six of his shares merely to qualify him. to act as a director, with the understanding that the certificate should be endorsed by Ray in blank and'delivered to plaintiff/ . He denied that Kaufman had any interest in the shares, or that any agreement of trust had been entered into by the parties. The fact that he claimed ownership of 128 shares, more than 51% of the stock, he explained by . stating that Kaufman had agreed to give up one-half share in order to permit Ray to hold six. Plaintiff testified that he received the stock book from Ray on September! 15, 1933,' but thаt he had Miss Wiley put it in the corporation’s vault for safe-keeping, and personally detached the certificate a few weeks later.. His statement that it had: been in his wife’s wall safe from 1933 until it was presented to the corporation for transfer on January 3,1940, was corroborated by the testimоny .of Mrs. Leff, his wife.
. There can be. no doubt, therefore, that a substantial dispute as to plaintiff’s title to the certificate existed, and that the corporate defendant had full knowledge of the. conflicting claims. Under these circumstances, was the court below jüstifiéd in sustaining the direction óf a verdict for; defendants? Plaintiff contends.that he was entitled to judgment as a matter of law, or, in the alternative, that the factual issue of ownership should have been submitted to the jury.
As we have frequently held, a writ of mandamus can be- invoked to compel the performance of ministerial acts; by public and сorporate officers only where the relator has a elearj legal right to the performance of such acts and the defendant has a corresponding duty to perform. .Where doubt as to the relator’s right or the' defendant’s duty exists, the remedy is neither appropriate nor avаilable:
Homan v. Mackey,
295 Pa.
*347
82, 86;
Barber v. Wm. H. Horstman Co.,
The duty of a corporation to make formal transfers of stock upon its books at the request óf a transferee entitled to the shares is well-settled. But it is equally well established that the corporation owes a duty to its stockholders of recоrd to protect them as well as it may from unauthorized and fraudulent 'transfers. “There is no doubt that a corporation is'a trustee of its stockholders, and is bound to proper vigilance and care that they may not be injured by .unauthorized transfers of their
stock": Pennsylvania Railroad Co’s. App.,
In the present case, therеfore, the corporation was justified in refusing'to transfer the stótík to plaintiff’s name on its books until the manifest doubts eonceining his right to the transfer'had been resolved. It could *348 not deliberately ignore the conflicting claims, nor’could it be compelled to assume the risk of their solution.
In support of his motiоn for judgment n. o. v. plaintiff conteüds that his ¡bare possession of the certificate, with the genuine endorsement, in blank of the registered owner, is sufficient under the Uniform Stock Transfer Act of May 5, 1911, P: L. 126 (15 PS Sec: 301 et seq.), to establish his legal title' to the shares, and- that the corporation is'bound to recognize him as thеir owner until his title-is avoided in another proceeding by the parties in-interest. It is true that under section 21 of ■ the Act, the person to whom a. stock certificate is specially endorsed is “the person appearing by the certificate to be the owner thereof”, but in this instance the certifiсate , was hot specially'endorsed to-plaintiff. Nor is plaintiff aided by section 1, which provides-that title to a certificate and the shares which it represents can be transferred only by delivery of the certificate endorsed in blank or specially by the person appearing to bе the owner, for here there was nO delivery to plaintiff by Ray¡ Sections 5 and 6, rendering “effectual” -unauthorized deliveries by one having no right of possession or authority from the owner, and transfers procured by fraud, both refer specifically to the. exceptions set forth in section 7, which provides, that the owner may reclaim the certificate under such circumstances, enjoin its further transfer, or have it impounded, unless-it “has been transferred to a purchaser for value, in good faith, without notice of any facts making the transfer wrongful”,'or unless the injured party has waived his rights or been ¡guilty of laches. ;
: The Act does not purport to make bare possession of the certificate, endorsed in blank, legal ownership for all purposes. It does not require, the corporation to recognize such possessor as. owner regardless of its knowledge of existing equities or claims against his title; While.it is true, as we stated in
Mills v. Jacobs,
.Plaintiff contends, however, that the issue of. title could and should have been submitted to the .jury in this proceeding, and . that its verdict would have (provided *350 ample protection to the defendants against adversary claims. The issue of title to the stock was not involved in this action. The only question involved was whether plaintiff had a clear, legal right to the transfer of the certificate, and whether the corporate officers had breached' a clear, legal duty. Sufficient evidence was presented to show that a substantial and material; dispute existed as to the right of transfer^ and, consequently, that the corporation could not be compelled, by a writ of mandamus, to close its eyes to this dispute and register the stock in plaintiff’s name. The trial judge was therefore: justified in directing a verdict in defendants’ favor.
As the court below pointed out, ño judgment could have been entered in these proceedings which would have concluded the rights of Eay and the intervening defendant, Kaufman, individually, to the certificate or the shares represented. Under sectiоn 9, of the Act of June 8, 1893, P. L. 345 (12 PS sec. 1916), judgment in mandamus proceedings may be entered only for or against the relator and the defendants against whom the writ was issued, although costs and damages • may be assessed ¿gainst an intervenor. Interveñtion and inter-pleader are not to be so confused: Tonkonogy v. Levin, 106 Pa; Superior Ct. 448. Although Eay disclaimed any personal or pecuniary interest in the -certificate, he would be a necessary : party to any proceeding to try title to the stock in his capacity as' registered owner thereof, and trustee for one or both of the parties claiming beneficial, оwnership.
Plaintiff misconstrues the effect of our decision in Soltz v. Exhibitors' Service Co., supra, as holding that the issue of title to the stock there in dispute could be decided on mandamus'proceedings. That case was before us on an appeal from the action by the court below in sustaining plaintiffs demurrer to the return. We held that the ■ return,'- setting forth circumstances of notice-to the corporation that the holder of the cer *351 tificate had doubtful title, was sufficient to constitute a defense to the action if proved, and that the writ shoüld not issue “until the court was satisfied that the corporation was assured of adequate protection against loss.” (р. 215.)
There is no merit to plaintiff’s contention that the court below was bound to enter judgment in his favor because of laches on the part of Kaufman and Kay in asserting their rights to the certificate. Although he testified that the certificate had been in his possession from 1933 to date, Ray, Kaufman and Cohеn asserted that their first knowledge of its absence from the stock book was acquired in 1938, that they believed this would have no effect upon the rights of Ray and Kaufman, and that the certificate was first known to be in plaintiff’s possession in 1939. When it is considered that plaintiff made no effort to have the corporation transfer the stock to his name until 1940, it is evident that the court below could not have declared defendants guilty, of laches as a. matter of law. Their right to reclaim the certificate must be Established in another , action.
The judgment of the court below is affirmed, appellant to pay the costs of this appeal.