MOORE v. AMERICAN FINANCE & SECURITIES CO.


73 A.2d 47 (1950)

MOORE v. AMERICAN FINANCE & SECURITIES CO.

Court of Chancery of Delaware, New Castle.

April 26, 1950.


Attorney(s) appearing for the Case

Howard L. Williams, of Hering, Morris, James & Hitchens, Wilmington, for certain certificate holders.

Herbert B. Warburton, Wilmington, receiver, pro se.


SEITZ, Vice-Chancellor.

There is but one issue presented in the receiver's request for instructions, viz., whether the so-called Certificates of Contingent Obligation created a creditor-debtor or stockholder relationship.

The dissolved corporation in about 1917 issued instruments captioned "Certificate of Contingent Obligation". These certificates were given to the bondholders of a prior bankrupt whose assets were purchased and thereafter assigned to the receivership...

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