For Your Data Pepper V. Litton Representative Brief
March 14, 2016
Edit
Pepper v. Litton representative brief summary
308 U.S. 295 (1939)
CASE FACTS
Respondent was the controlling stockholder of the company. Respondent made an alleged salary claim against the bankruptcy estate. The district courtroom disallowed the claim, as well as the appeals courtroom reversed.
DISCUSSION
CONCLUSION
The courtroom reversed the appeals courtroom judgment as well as affirmed the district court, finding that the appeals courtroom had erred.
Recommended Supplements for Corporations as well as Business Associations Law
308 U.S. 295 (1939)
CASE SYNOPSIS
Petitioner sought review of a conclusion from the USA Court of Appeals for the Fourth Circuit reversing a judgment that allowed a claim inwards bankruptcy presented yesteryear respondent stockholder of the bankrupt company.CASE FACTS
Respondent was the controlling stockholder of the company. Respondent made an alleged salary claim against the bankruptcy estate. The district courtroom disallowed the claim, as well as the appeals courtroom reversed.
DISCUSSION
- Affirming the district court, the courtroom held that the claim should live on disallowed.
- Being a controlling stockholder, respondent's claim was to live on dependent acre to strict scrutiny.
- The courtroom explained that respondent had allowed the salary claims to prevarication dormant for years as well as sought to enforce them solely when his debtor corporation was inwards fiscal difficulty.
- Thus, the courtroom concluded that the district courtroom was right inwards disallowing respondent's planned as well as fraudulent scheme to exclude his creditors.
CONCLUSION
The courtroom reversed the appeals courtroom judgment as well as affirmed the district court, finding that the appeals courtroom had erred.
Recommended Supplements for Corporations as well as Business Associations Law