To: Spider Valdez who wrote (10404 ) 11/2/1998 6:08:00 PM From: Janice Shell Read Replies (1) | Respond to
Very high-minded of you, Spidey, especially for someone who only days ago offered specious legal opinions at will. would appreciate an explanation. Not gonna get one here, evidently. Guess I'll have to get in touch with my lawyer friends......except that the defendants J.B. OXFORD and CANACCORD CAPITAL CORPORATION, or either of them, are at liberty to deposit certificates representing such shares or any of them with any court of competent jurisdiction by way of interpleader or similar proceedings. The business re: depositing the shares with the court is what's generally known as interpleader. Interpleader is a "device" which allows a third party, such as a bank acting as an escrow agent or, as in this case, a brokerage company holding shares in street name for an account holder, to "deposit" the assets with the court to let the court sort out what's going on and decide what to do with the shares or the money. The usual situation is when an escrow agent is holding funds that both sides are claiming belong to them and, rather than try to figure out who's right by itself, the escrow agent throws up its hands, interpleads the money with the court and asks the judge to figure it out.
