491.61 - CORPORATE PROPERTY EXHAUSTED. - Iowa Statutes

491.61 CORPORATE PROPERTY EXHAUSTED. Before any stockholder can be charged with the payment of a judgment rendered for a corporate debt, an action shall be brought against the stockholder, in any stage of which the stockholder may point out corporate property subject to levy; and, upon the stockholder's satisfying the court of the existence of such property, by affidavit or otherwise, the cause may be continued, or execution against the stockholder stayed, until the property can be levied upon and sold, and the court may subsequently render judgment for any balance which there may be after disposing of the corporate property; but if a demand of property has been made as contemplated in section 491.59, the costs of said action shall, in any event, be paid by the company or the defendant therein, but the stockholder shall not be permitted to controvert the validity of the judgment rendered against the corporation, unless it was rendered through fraud and collusion.          Section History: Early Form [C51, § 696, 697; R60, § 1173, 1174; C73, § 1083, 1084; C97, § 1632; C24, 27, 31, 35, 39, § 8397; C46, 50, 54, 58, 62, 66, 71, 73, 75, 77, 79, 81, § 491.61]