New York Court of Appeals

The National Bank of Auburn, Respondent v. Edwin R. Dillingham, Impleaded

December 10, 1895147 N.Y. 603

Summary

The New York Court of Appeals reversed the lower courts, sustaining the demurrer because the plaintiff's action was improper: the statutory liability of trustees is secondary, enforceable only in equity after corporate remedies are exhausted and only in a suit that includes all creditors and the corporation.