Denver Chamber of Commerce & Board of Trade v. Green
Denver Chamber of Commerce & Board of Trade v. Green
Opinion of the Court
delivered the opinion of the court.
The right of the corporation to enforce the payment of
Many others might be cited, but these are sufficiently illustrative of the general proposition. The only matters which the cases discuss are the provisions of the constitution and bylaws of the corporation, and the statutes of the state, to ascertain whether, in either the one or the other, there is a limitation on the right, or whether it was the evident intention of the corporation to restrict itself to the remedy afforded by the sale of the certificate, and the application of the proceeds to the payment of the claim. There is no such limitation in the statutes of this state, nor is there any provision in the articles of incorporation, the by-laws, rules and regulations of this corporation which compel such a construction. The title to the certificate vested in the member, and while the corporation might proceed to expel him and enforce the payment of the unliquidated assessments by the sale of the certificate, yet it was manifestly not within the contemplation of either of the parties that this should be the sole and only-remedy. There is reserved to the member the right to sell and transfer the certificate on the consent of the governing body, and the member’s title to whatever might remain after the sale and the liquidation of the assessments was regarded as his personal property. The same rights were conceded to the estate of the decedent, and all the provisions respecting it rebut any inference that the Chamber of Commerce
The remaining question is almost equally free from difficulty, and we have been referred to no case directly in point which adjudges the membership forfeited by the failure to pay the assessments. In most of the cases cited, the member was insisting upon certain rights which were contested by tbe association. They did not spring from an attempt on the part of the association to enforce the member’s obligation. This, however, makes very little difference in the general rule applied in such cases, or in the principle which underlies them all and must control this decision. The only inquiry is whether, according to the terms of the incorporation, or the language of the rules, by-laws, and regulations' governing it, the inference may be legitimately indulged the parties intended that membership should cease in the event of a failure to pay the levied assessment. As the cases generally put it, the question is, must it necessarily be concluded it was the purpose that the membership should ipsofaoto terminate on such failure? No principle is better settled, or of more universal application, than that all regulations of a quasi penal character which affect a forfeiture must be strictly construed. It is never assumed that the forfeiture will follow unless the result is compelled by the language, evident purport, ánd necessary construction of the terms relied on. No such construction is necessarily derivable from the terms of this agreement. By the by-laws the member was permitted to sell the certificate to a person agreeable to the governing body, and the proceeds would belong to him, sub
Manifestly, Mr. Green had the right to retain his membership, to insist upon his rights as a member, and at any
This discussion disposes of the only propositions needful to be considered for the determination of the issue.' We are cited to many authorities by the defendant in error, which are supposed to throw more or less light on the questions under discussion, but since they concern other matters and other controversies, the rules which they announce cannot be permitted to control our conclusions in respect to this matter.
The conclusion of the district court was right to the extent to which it went, when it entered judgment against Mr. Green for $12.00. The error consisted in a failure to assess the whole sum claimed. The judgment should have been for $42.00 instead of $12.00, and the proper judgment will be entered in this court against Mr. Green for that sum.
The judgment of the district court is therefore affirmed and modified as indicated.
Affirmed.
Case-law data current through December 31, 2025. Source: CourtListener bulk data.