Section 53: Payment of debts; distribution of surplus
90 words·~1 min read·
/ma/part-i/title-xxii/chapter-155/53·A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
Section 53. The receivers shall pay all debts due from the corporation if the funds in their hands are sufficient therefor; and if they are not, they shall distribute them ratably among the creditors who prove their debts in the manner directed by any decree of the court for that purpose. If there is a balance remaining after the payment of the debts, the receivers shall distribute and pay it to those who are justly entitled thereto as having been stockholders or members of the corporation, or their legal representatives.