556
THE GREEN BAG
ble has fallen, and yet suppose the corpora tion can still be pursued by the creditor? Can the creditor in such case, where there is an unpaid subscription, do indirectly what he cannot do directly, that is, can he, where it is a case of unpaid subscription, get a judgment against the corporation, go into equity to obtain the levy of an assessment, and then ask subrogation to the corpora tion's right against the stockholder? It would seem not. The general rule is that a proceeding to enforce a stockholder's lia bility, being based on a legal instead of an equitable right will be held barred in equity
where the right to enforce it at law is barred,1 and that where a corporation creditor has two or more methods of pursuing the stock holder on his liability and the statute of limitations bars one method, the others are barred.2 This rule is founded upon "that public policy which has lead to the enact ment of statutes of limitation." * 1 Hale v. Coffin (C. C. A.), 120 Fed. 470; Kane v. Bloodgood, 7 Johns Ch. (N. Y.) 90. ' Parmalee v. Price, 105 Ill. App. 271; 208 Ill. 544s 208 Ill. at p. 560.
LINCOLN, NEB., September, 1906.
