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Tift (P) was injured while operating a farm tractor equipped with a chopper box manufactured by Woodrow Wiberg under the name of Forage King Industries. The firm operated as a partnership when a Vernon Nedland joined it in 1968. It eventually became a corporation. Wiberg eventually became the sole shareholder. Seven months before the accident, Wiberg sold all his stock to Tester Corporation. P sued the Forage King (D) claiming that the box was defective and caused the accident. P also sued Wiberg and Nedland. A dispute erupted over whether Tester had succeeded to the liabilities of D. The trial court ruled that the box had been built by a sole proprietorship and the present corporation could not be the successor corporation because there was no successor corporation. The Court of Appeals affirmed reasoning that Wiberg was the sole proprietor and had remained available for suit.

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Legal analysis from Dean's Law Dictionary will be displayed here.