Pariseault v. R.J.F. Pariseault Sons, Inc.

Full title: RICHARD A. PARISEAULT v. R.J.F. PARISEAULT SONS, INC. et al

Court: Supreme Court of Rhode Island

Date published: May 4, 1979

401 A.2d 431 (R.I. 1979)

401 A.2d 431

Opinion

May 4, 1979.

PRESENT: Bevilacqua, C.J., Joslin, Kelleher, Doris and Weisberger, JJ.

1. CORPORATIONS. Authorizing Coreceivers To Distribute Corporation's Cash. In dispute between two brothers who each owned 50 percent of corporation's stock, interest of litigants would be best served by not authorizing coreceivers to distribute $22,500 of corporation's cash to one brother.

In dispute between two brothers who each owned 50 percent of corporation's stock, the Superior Court, Kent County, McKiernan, J., entered order authorizing coreceivers to distribute $22,500 of corporation's cash to one brother and the other brother appealed and dismissal of the appeal was sought. The Supreme Court held that interest of both litigants would be best served by vacation of order of distribution.

Motion to affirm order of distribution denied, appeal from order sustained, order vacated and case remanded.

Mortimer C. Newton, for plaintiff.

Joseph B. Carty, for defendants.

PER CURIAM.

This is a dispute between two brothers who each owned 50 percent of the defendant corporation's stock. The dispute has caused one brother, Richard, to institute receivership proceedings in the Superior Court. Richard is before us on his appeal from an order of a Superior Court justice authorizing the coreceivers to distribute $22,500 of the corporation's cash to his brother, Raymond. Raymond seeks a dismissal of Richard's appeal under our Rule 16(g). Richard, on the other hand, contends that the trial justice abused his discretion in ordering the distribution because there is nothing in the record to indicate that the trial justice ever considered the effect of the disposition upon the corporate assets.

We have reviewed the record, and it is our belief that the interests of both litigants would best be served by the denial of Raymond's motion and a grant of Richard's appeal.

Accordingly, the motion of Raymond J. F. Pariseault, Jr. to affirm the order of distribution is denied, the appeal of Richard Pariseault is hereby sustained, the order appealed from is vacated, and the case is remanded to the Superior Court for further proceedings.