10 A.2d 376 | Pa. | 1939
This is an effort to secure an apportionment of the liquidation proceeds of corporate stock. Appellant is *343 the life beneficiary of a trust created in 1912. The trust held 1,000 shares of American Iron Steel Manufacturing Company stock. In 1917, with the life tenant's consent, this stock was surrendered by the trustee for $58.80 a share. Its intact value at the inception of the trust was about $72. The sale embraced all of the assets of the corporation, including those representing the undistributed surplus or accumulated earnings. Though the record does not disclose the form in which this surplus was retained, and what portion of the assets contributed to the price obtained, or to what extent, appellant, after 22 years, now seeks to secure from the trustee her share, undiminished, of what she terms accumulated earnings on this stock that were never distributed as such by the corporation. This would amount to $14.76 a share, leaving to the remaindermen the balance of the proceeds at $44.04 a share, representing a reduction of approximately $28 from the intact value of the stock, and placing the entire loss upon them.
Where all of the assets of a corporation are sold, it is only if the proceeds exceed the intact value of the stock that apportionment can be made. Although it was said in Daily'sEstate,
As the entire proceeds of the sale in this case wereless than the intact value of the stock was shown to be at the time of the sale, this impairment must be made good, followingDickinson's Estate,
Decree affirmed.