Page:Black's Law Dictionary (Second Edition).djvu/1119

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or, with a View to their being released or discharged by an ac tilatio, that mode of discharge being nprplitn 19 only to the verbal contract. Brown.

STIPULATION. A material article in an agreement.

In practice. An engagement or undertaking in writing. to do a certain act; as to try a cause at a certain time. 1 Burrill, Pr. 389.

The name “stipulation” ls familiarly given to any agreement made by the attorneys en- gaged on opposite sides of a cause, (especially if in Writing.) regulating any matter inci- dentai to the proceedings or trial, which falls within their jurisdiction. Such, for instance, are agreements to extend the time for pleading, to take depositions, to waive objections, to admit certain facts, to continue the cause. See Lewis v. Orpheus, 15 Feai. Gas. 492.

In admiralty practice. A recognizance of certain persons (called in the old law “flde iussors") in the nature of hail for the appearance of a defendant. 3 Bl. Comm. 108.

S1‘IPIJ'LATOR. In the civil law. The party who asked the question in the contract of stipulation; the other party, or he who answered, being called the "promissor." But. in a more general sense, the term was applied to both the parties. Calvin.

STIRPS. Lat. A root or stock of descent or title. Taking property by right of representation is called "succession per stirpcs." in opposition to taking in one's own right, or as a principal, which is termed “taking per cnpita." See Rotmanskey v. Heiss, 86 M6. 633, 39 At]. 415.

STOCK. In mercantile law. The goods and wares of a merchant or trades- man, kept for sale and trafiic.

In a. larger nurse. The capital of a mer- (‘hunt or other person, including his mer- chandise, money, and credits. or, in other words, the entire property employed in husi- ness.

In corporation law. The capital or pricnipai fund of a corporation or joint-stock company, formed by the contrlhntions of sub- scribers or the sale of shares, and considered as the aggregate of a certain number of shares severally owned by the members or stockholders of the corporation; also the proportional part of the capital which is owned by an individual stockholder; also the incorporenl property which is represented by the holding of a certificate of stock; and in a wider and more remote sense, the right of a shareholder to participate in the general mana::e1nent of the company and to share proportional]: in its net profits or earnings or in the distribution of assets on dissolution. See Thayer v. Wathen, 17 Tax.



Clv. App. 382, 4-4 S. W. 906; Burrall'v. Bnshwick R. 00.. 75 N. Y. 216; State V. Lewis. 118 Wis. 432, 95 N. W. 388; Heller v. National Marine Bank. 89 Md. 602, 43 Ati. 800. 45 L. R. A. 438, 73 Am. St. Rep. 212: Trask v. Maguire. 18 Wall. 402, 21 L. Ed. 938: Harrison v. vines. 46 Tex. 15.

The funded indebtedness of a state or government, also, is often represented by stocks, shares of which are held by its creditors at interest.

In the law of descent. The term is used, metaphorically, to denote the original progenitor of a family, or the ancestor from whom the persons in question are all descended; such descendants being called "hranches."

Classes of corporate stock. Preferred stock is a separate po11;ion or class of the stock of a corporation, which is accorded. hy the charter or by-laws, a preference or priority in respect to dividends. over the remainder of the stock of the corporation, which in that case is called “common" stock. That is, holders of the preferred stock are entitled to receive dividends at a fixed annual rate, out of the net earnings or profits of the corporation. before any distribution of earnings is made to the common stock. If the earnings applicable to the payment of dividends are not more than sntiicient for such fixed annual dividend, they will he entirely absorbed by the preferred stock. If they are more than sutiicient for the purpose. the remainder may he given entirely to the common stock (which is the more usual custom) or such remainder may he distrihuted pro rats to both classes of the stock, in which case the preferred stock is said to “partici- pate" with the common. The fixed dividend on preferred stock may he “cumuiatlve" or "non-cumulative." In the former case, if the stipulated dividend on preferred stock is not earned or paid in any one year, it becomes a charge upon the surplus earnings of the next and succeeding years, and all such accumu- lated and unpaid dividends on the preferred stock must he paid off before the common stock is entitled to receive dividends. In the case of "non cumulat-ii e" preferred stock. its preference for any given year is extin- guished by the failure to corn or pay its divi- dend in that year. If a corporation has no class of preferred stock, all its stock is com- mon stock. The word “common’' in this connection signifies that all the holders of such stock are entitled to an equal pro rat-1 division of profits or net earnings, if anv there he, without any preference or priority among themselves. “Defeu-ed" stock is rare- ly issued by American corporations. though it is not uncommon in England. This kind of stock is distinguished by the fact that the payment of dividends upon it is expressly postponed until some other class of stock has received a dividend, or until some certain

liability or obligation of the corporation is