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FLIP MORTG. CORP. v. McELHONE

Nos. 87-1529, 87-1543.

841 F.2d 531 (1988)

FLIP MORTGAGE CORPORATION, Plaintiff-Appellee, v. Donald H. McELHONE; C. Warren Crandall, Defendants-Appellants and Josephine McElhone; Ruth W. Crandall; James Schaffer, Defendants. FLIP MORTGAGE CORPORATION, Plaintiff-Appellant, v. Donald H. McELHONE; Josephine McElhone; C. Warren Crandall; Ruth W. Crandall; James Schaffer, Defendants-Appellees.

United States Court of Appeals, Fourth Circuit.

Decided March 4, 1988.

Rehearing Denied April 14, 1988.

Attorney(s) appearing for the Case

Thomas J. Curcio, Robert Dunn (James M. DeSimone, Cohen, Dunn & Sinclair, Alexandria, Va., on brief), for defendants-appellants.

Craig Smith (Smith & McMaster, P.C., Newtown, Pa., on brief), for plaintiff-appellee.

Before WINTER, Chief Judge, MURNAGHAN, Circuit Judge, and BUTZNER, Senior Circuit Judge.

BUTZNER, Senior Circuit Judge:

Donald B. McElhone and C. Warren Crandall, directors and officers of Shamrock Computer Services, Inc. (SCS), appeal a summary judgment entered in favor of Flip Mortgage Corporation (FMC). The principal issue raised by the appeal is whether directors of a dissolved corporation who continue to operate the corporate business in violation of Virginia law are personally liable for debts incurred...

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