BUSINESS TRUSTS-LIMITED LIABILITY OF MEMBERS

Authors

Abstract

The defendant company, established as a business trust, contracted a debt with the plaintiff who had full knowledge of a stipulation in the declaration of trust under which the defendant was organized limiting the liability of its members. He now attempts to hold the members to a personal and unlimited liability. Held, that although the court will not decide as to the legality of this so-called business trust, yet the plaintiff can not hold the defendant members to a liability as individuals since in dealing with the organization he had full knowledge of the intent of the members to limit their liability. Roberts v. Aberdeen-Southern Pines Syndicate (North Carolina 1930) 151 S.E. 865.

Recommended Citation

BUSINESS TRUSTS-LIMITED LIABILITY OF MEMBERS, 29 Mich. L. Rev. 103 (1930).
Available at: https://repository.law.umich.edu/mlr/vol29/iss1/12