Wilson, 120831 PAAGO, AGO 34

• Case Date: December 08, 1931
• Court: Pennsylvania

Honorable J. M. Wilson AGO 34 Opinion No. 34 Pennsylvania Attorney General Opinions Opinion of the Attorney General December 8, 1931          Auditor General—Appropriations—Corporations—Merger or Consolidated Corporations—Adrian Hospital Associations—Punxsutawney Hospital Association—Act of April 11, 1931, P. L. 29.          Where two incorporated hospital associations have informally joined their property and activities under the name of one of them, but without actual corporate merger, the resulting institution' is not entitled to receive a state appropriation made to the association whose identity and activities were lost in the transaction.          The Act of April 11, 1931, No. 26, P. L. 29, has no application to corporations which have united in any manner other than by formal merger or consolidation.          Honorable J. M. Wilson,          Deputy Auditor General,          Harrisburg, Pennsylvania.          Sir: You have asked us to advise you whether the Adrian Hospital Association, located at Punxsutawney, is entitled to receive the appropriation made by the Legislature of 1931 to the Punxsutawney Hospital Association. From the correspondence which you have submitted to us we glean the following facts.          The Adrian Hospital Association is a corporation of the first class, chartered February 11, 1889. The Punxsutawney Hospital Association is also a first class corporation and received its charter October 1, 1908. Up until about June 1931, the two institutions were operated separately.          During the spring and summer of 1931 negotiations were carried on between the two institutions looking toward a union or consolidation of the one with the other. The actions of the respective Boards of Trustees were extremely informal, and the records before us disclose no actual agreement of consolidation and no proceedings in Court of Common Pleas to accomplish the desired end.          The only definite action taken seems to have been when the Trustees of the Punxsutawney Hospital, after a meeting of the incorporations, conveyed the real estate of that corporation to Edna Grube Goheen and Olive Jane Grube, who held a mortgage on it. These grantees thereafter entered into an agreement to convey the property to the Adrian Hospital Association upon payment of the purchase price of fifty thousand dollars ($50,000).          The personal property of the Punxsutawney...