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BY CLEMENT BATES, JCDOE OF THE COMMON PlEAS CoUET, HAMILTON CJonNTY, OhIO; author of "Ohio Digest," "Pleadings, Parties and Forms dndeb THE Code," and "Limited Paetnebship." YOL. I. CHICAGO: T. H. FLOOD AND COMPANY. 1888. t % Entered according to Act of Congress, in the year 1888, by CLEMENT BATES, In the Office of the Librarian of Congress, at Washington. -r , \2t2 STATE JOURNAL PRINTING COMPANY, PBINTEUS and STEHEOTYPEItS, MAUISON, WIS. PREFACE. This book is the outcome of labors undertaken (at first without any idea of publication), and pursued for years in hours which should have been devoted to leisure and rest from practice. Its origin was in a desire to resurrect a quantity of law believed to exist, but not generally accessible, either because inclosed in cases not classified with partnership law, or disguised in the generalities of a harmless looking syllabus or index. To find this, involved examining each volume of reports, one by one, and making abstracts of the points, facts and dicta of every case. This was done for a long time as a pleasant study without definite design of exhausting the subject, but as the collection expanded from hundreds into thousands, and the germinative principles were seen to grow into a vast and intricate forest, the increasing fascinations of the pursuit converted the recreation into a task of great severity; and when the collection of raw material, nearly three times the size of this book, appeared to be too useful a weapon to be confined to the author's miscellaneous practice, the desire to complete, condense and organize it for the general use of the profession followed. Ac- cordingly, no one of the nearly eleven thousand partnership cases in the common law, whether English, Irish or American, includ- ing Canadian and New Bruns^vick, has been consciously overlooked or omitted. The construction of the book (also a long and not yet satisfactory effort) is based on an ideal, explained in the preface to the author's little work on Limited Partnership, placing the more fundamental, constant or ultimate principles in a comparatively prominent type, and offering illustrative, subordinate, qualificative or exceptional matter in a less conspicuous form in proportion to its value. This treatment, differing from codification in explaining principles in- stead of formulating rules, and to be carefully distinguished from the method of several excellent books made in a codified form, partakes of the same impossibility of perfection, and in so far as 723538 iv PREFACE. it tends to keep a high ideal before the reader's eye may expose the author to criticism in proportion as his attempt falls short, as it must, of the mark. It also discloses the vast disproportion which the labor and thoughts of other lawyers in a law book bear to the author s own small original contribution. But its compensations are in the service afforded by the mere attempt as the fore-runner of something better, and in facilitating a more rapid study of the law, a clearer separation or recognition of what is fundamental, and a readier search for applicable authorities iwhich forms so large a part of modern practice, and to give which in larger numbers a condensed rather than elaborate style has been adopted in this book. The careful study of the cases has had the result also of developing a not inconsiderable want of har- mony in our American law, the exhibition of which may assist in converging our jurisprudence into an increasing uniformity. It would be invidious to mention the great writers whose works mark the history of the law of partnership, further than to express a keen appreciation of the great care and fidelity with which the English decisions have been studied by them. The American law, however, not only has several new topics, but in many respects has developed along lines diverging from the English, and, in a few respects, quite opposite; and the chief value, or at least greatest pains taken in this book, has been to emulate their industry in the far vaster, though less orderly, field of our own country. I desire, in closing, to express most grateful acknowledgments to my friend, the learned and accomplished Librarian of the Cincinnati Law Library, Mr. M. W. Myers, for his constant and often much- needed encouragement in this laborious method of working out a legal topic, and to hope that his faith in its usefulness may be partially realized. CLEMENT BATES. ClNOIN']S"ATI, jAiTUARY, 1888. CONTENTS. VOLUME I. PART I. NATUEE AND FORMATION. CHAPTER I. PARTNERS AND PARTNERSHIP DEFINED. Definition, 1. Kinds of Partners and Partner- Is a contract relation, 8. ship. Not created by implication of Active and ostensible, 9. law, 3. Secret or dormant, 10. Defective corporations, 4-7. Nominal, 11. Firm becoming incorporated, 8. Kinds of partnerships, 12. Universal partnerships, 13. Mining partnership, 14. CHAPTER II. TESTS OF A PARTNERSHIP. Inter se and as to third persons, 15. II. Sharing Profits, Nothing Be- Earlier English law, 16. ING Said as to Losses. Intention, 17. With joint capital, 81. Mutual agency a test of intention, 18. Illustrations of true partnerships, 32. Modern law — English, 19. Illustrations of partnership as to Independent contractors dividing third persons, 33. profits of a job, 20. Where one furnishes all the capi- Loan on profits as interest ; annuity tal, 34. creditor, 21. Investments on joint account, 35. Same with large powers of control, Without co-ownership in the. busi- 23- ness, 36. Influence of Cox v. Hickman in Control or power of disposition as a America, 23. test, 37. Proximate tests of intention, 24. Contracts to manufacture in which , „ ^ ^ ^ each is principal, 39. I. Sharing Both Profits AND Loss. ,ht, S^^- • • ., , .„ Where profit is a joint fund, 40. With a common stock, 26. Services in procuring sales, 41. Same ; services, 27. Arrangements to collect a debt, 42. Wlien one contributes whole capi- Profits as compensation for services, tal. 28. 43. Sharing profit and loss, when not a Profits as rent, 45. partnership, 29. Profits as interest on loans, 47. V VOL.L CONTENTS. Part I, Ca V. Executors and trustees as partners, 51. Other representatives, 54, Annuitants, 55. IIL Sharing Profits With Stipu- lation Against Losses, 56. Sharing losses only, 57. IV. Sharing Gross Receipts, 58. Working or letting on shares, 59. brokers, 60. though both furnish ez])enBe8 or outlays, 61. herding, 62. tenants in common dividing re- turns, 63. Joint enterprise not for profit, 64. pooling arrangements, 66. common fund, 67. Cheese factory, 68. Patents, 69. Ship-owners, 70. Joint cargo, 71. CHAPTER III. JOINT STOCK COMPANIES, CLUBS AND GRANGES. Joint stock companies, 72. what constitutes membership, liability, and how enforced, 74. 73. Clubs, 75. Granges and co-operative stores, 76. CHAPTER IV. INCHOATE PARTNERSHIPS. Executory agreement not a partner- Oral conditions, 85. ship, 78. Waiving conditions by launching, intention to form a partnership, 86. 79. payment for future partner- Purchases in contemplation of a ship, 87. partnership, 80. Options to become a partner, 88. What are not in futuro, 81. Promoters of corporations, 89. Conditions precedent, 83. CHAPTER V. BY HOLDING OUT. In general, 90. Plaintiff's knowledge necessary, 91. Holding out to the world is erro- neous, 93. criticism and suggestion, 93. Language amounting to a holding out, 101. In tort, 102. Confers no rights inter se, 103. Strangers, how affected, 104. probable explanation of the Creditors, how affected; reputed cases, 94. ownership, 105. Defendant's knowledge, 95. Individual using a firm name, 106. Acquiescence, 96. Two firms using the same name, 107. Prior unknown acts of holding out. Deceptive similarity of names, lOS. 98. Actions by and against nominal part- What constitutes a holding out, 99. ners, 109. retaining the old name, 100. vi Vol. L CONTENTS. Part I, Ch. VIL CHAPTER VL ILLEGAL PARTNERSHIPS. As to persons, 110. in a public office, 111. As to occupations, 118. bidders on public contracts, 113. nontracts void by law, 114. Illegal ventures of a legal partner- ship. 115. Title to the assets, 116. Presumption against illegality, 117. Judicial accounting of an illegal partnership, 118. L Refused between wrong-doers, 119. part of the business legal and part not, 121. Motives, 122. II. Where the illegality is wholly a thing of the past, 123. III. When not wholly past, 124. Brooks V. Martin, 125. Explanations of Brooks v. Martin, 126. Cases enforcing payment of bal- ances, 127. Cases denying payment, 128. Neglect to register, 129. CHAPTER VII. PERSONS COMPOSING THE FIRM. Persons who may be partners, 130. Aliens, 131. Lunatics, 133. Corporation generally cannot be a partner, 133. may receive capacity, 134. Married Women. In general, 135. Where the husband is not in the firm, 136. Property in such cases, 137. Husband deemed the debtor, when, 138. As a partner of her husband, 139. Effect on property, 140. Wife's claim against husband's firm, 141. Infants. Voidable, not void, 142. Rights and powers iiiter se, 143. Accounting and payment of losses, 144. Ratification, 145. contracts after majority, 146, Creditors' rights in the assets, 147. Actions by and against, 148. Judgiueut a partnership debt, 149. Firm as partner in another firm, 1-50. Dormant Partner. Who is a, 151. the firm name not decisive, 152. Need not abstain from participation, 153. Powers of dormant partner, 154. Property deemed to belong to osten- sible partner, 155. Liability of dormant partner, 156. Rationale of his liability, 157. Delectus Personarum. In general, 158. Cannot make the firm partner in other concerns, 159. Consent in advance, 160. Ratification and acquiescence, 161. Effect inter se of sale of share, 163. Partnerships without delectus per- sonarum, 163. Sub-Partnerships. Sub-partner not a member of princi- pal firm inter se, 165, Nor has he a right to accounting, 167. Nor is he a partner as to creditors, 16S. Rights of sub-partners inter se, 169. Vll Vol. L CONTENTS. Part II, Ch. I. CHAPTER VnL FIRM AS AN ENTITY. Opposing conceptions of a firm, 170. Licenses, 178. Taxation of a firm, 175. Filing of chattel mortgages, 179. Branch business, 177. , CHAPTER IX. SHARES OR INTEREST OF EACH. Nature of, 180. Presumed equality of, 181. Mortgage or sale of a share, 183. Subject to subsequent firm debts, 185. ' and subsequent conveyances, Assignee's rights, 187. Mortgage of share to a partner, 188. Whether sale of shares separately la a sale of the whole, 189. 186. CHAPTER X. THE FIRM NAME. Rationale of, 191. Name of one as a firm name, 193. Changing or adding another name, 193. Substituting firm for individual names, and viceversa, 194. One firm with several names, 195. Two firms with one name, 196. Form of signing, 197. Illegal names, 198. Power of a Partner in Relation TO THE Name. Cannot bind the firm by wrong name, 199. Individual names instead of firm name, 200. If no name has been adopted, 201. Immaterial deviation from true name, 203. Other name by assent, 203, Particular authority executed in wrong name, 204, Credit to firm under wrong name, 205. Where the partners are plaintiffs, 206. PART 11. CONDUCT OF THE BUSINESS. CHAPTER I. ARTICLES OF PARTNERSHIP, 207. Statute of frauds, 208. Oral evidence, 210. Altered by conduct and construed by practice, 311. Provisions not acted on, 213. unanimous assent necessary, 213. suggested restriction of above principle, 814, Ambiguities construed by firm's practice, 215. Continue in force if firm continues after term, 216. So of a new firm, 317. Clauses which do not continue, 318. Rights of third persons in, 219. Firm name, 220. Time partnership begins, 221. Duration, 233. Business to be stated, 223. Fidelity to the firm; competing; com- pensation, 224. vm Vol. I. CONTENTS. Part II, Ch. III. books and accounts, 225. Capital, 226. Real estate, 227. Division of profits, 228. Meaning of profits, 229. Net profits, 230. Losses, 231. Restrictions on powers, 233. Arbitration clause, 233. power of arbitrators, 234. Allowances for subsistence, 235. Interest, 236. Expenses, 237. Dissolution, 238. Covenant to indemnify outgoing partner, 239. Outgoing partner not to compete, 240. Expulsion of a partner, 241. To be exercised bona fide, 242. Right to return or sell a share, 243. Valuation of share of outgoing part- ner, 244. if last valuation is imperfect, 245. representatives and assignees bound, 246. Specific performance, 247. Good wUl, 248. Continuance after death ; represent- atives; annuitants, 249. Penalty, 250. CHAPTER II. CAPITAL AND PROPERTY. What is capital, 251. Other than money, 253. Contribution should be free of liens and charges, 254. Right to increase it, 255. Is not individual property, 256. Partnership in profits alone, 257. When not, 258. Purchases with profits, 261. Purchase by one may be advances, 262. Incoming partners, 2G3, 264. Acquired with joint funds, 265. Individual property acquired at firm's expense, 266. Claims outside of scope, 267. Claims for damages. 268. Personal benefit, 269. Insurance cases, 270. taking in a partner, 271. retirement of one of several partners, 272. retirement of one of two part- ners, 273. Possession, 274. No crime against possession, 277. Exclusive right of possession, 278. CHAPTER III. REAL ESTATE. In general, 279. When it is part of the joint stock, 280. procured with partnership funds, 281. improvements out of joint funds. 283. — taken for debt, 283. Books show intention, 284. Use of funds not conclusive, 285. Use of property not conclusive, 286. Co-owners going into business, 287. Incoming partners, 288. Pennsylvania rule, 289. Consequences of the conversion, 290. Sales and incumbrances of share, 291. The legal title; conveyances of it, 292. same in case of death, 293. surviving partner aided by equity, 294. Notice to third persons, 295.^ IX Vol. I. CONTENTS. Part II, Ch. VI. Conveyances in a firm name, 296. Surplus is real estate in this country, 297. Out and out conversion into person- alty, 298. Power of individual partners to bind firm, 299. Surviving partner, 300. Statute of frauds, 301. Partnership to trade in lands, 303. CHAPTER IV. DUTY TO OBSERVE GOOD FAITH. In general, 303. in all stages, 304. Buying interests in firm's property, 305. Competing with the firm, 306. Commissions from dealers, 307. Buying out or selling to a copartner, 308. Buying at execution sale, 311. Abandonment or neglect by com- plaining partner, 312. Duty to keep accounts, 313. Access to books, 314. CHAPTER V. IMPLIED POWERS OF EACH. In general, 315. Nature of the business, 316. -: — same as against third persons, 317. Usages of similar firms, 318. Usages of the same firm, 319. Necessity as an element of scope, 320. Incidental bent?fit, 321. Restrictions in ai-ticles, 322. unless known, 3i3. proof of knowledge, 324. Revocation of power by dissent of one, 325. limit on the right to dissent, 326. What are trading partnerships, 327. Same, 328. Non-trading firms, 329. CHAPTER VI. PARTICULAR POWERS BEFORE DISSOLUTION. Accounts, 330. Admissions, 331-332. As Agents of Others, 333. Agents and Employees of the Firm, 334. Arbitration, 336. Assign for Creditors. In general, 338. Ratification, 389. Absence as authorization, 340. Bills and Notes. In trading firms, 341. In non-trading firms, 343. Joint and several, 346. For separate debt, 347. Subsequent misappropriation distin- guished, 348. Signing firm name as security, 349. real transaction considered, 351. Bona fide holder protected, 352. who is a bona fide holder, 353. negligent buyer of paper, 354. broker is not agent of buyer, 355. usury, 356. renewals, 357. Notice from form of paper, 358. Member of several firms, 359. illustrations, 360. Burden of proof; presumed given for firm, 361. shifting of this presumption, 362. Ratification, 363. Vol. L CONTENTS. Part II, Ch. VI. — by habit or usage, 364. — by acknowledgment, 365. — by acting under the unauthor- ized act, 3G6. ■by silence, 367. Prior authority deviated from, 868. declarations, 369. Borrowing Power. In trading firms, 370. Non-trading firm, 371. Form of borrowing, 372. Buying. In trading firms, 373. non-trading firms, 374. delivery to one, 375. varying the contract, 376. Confessions op Judgments. No such power, and why, 377. Assent and ratification, 378. Valid against the partner in fault, 379. Remedy of non-assenting partner, 380. Debts. Power to collect and receipt for debts due to, 381. payments not in money, 383. releases, 383. Debts due from the firm, 384. Release of one partner by creditor, 385. reserving claim against rest, 386. statutes, 387. inter se, 388. Notice to One. Is notice to all, 389. So of knowledge of one, 390. Notice before the partnership is formed, 391. On purchases of property, 393. Defenses to mercantile paper, 393. Knowledge obtained in other capac- ities, 394. As affected by scope of business, 395. As affected by duty and opportunity to communicate, 396. Protesting notes, etc. ; demand on one, 397. notice to one of indorsing firm, 398. • dispensed with, 399. • partner common to two firms. 400. Personal Property. Power to sell, 401, Sales with warranty, 403. Power to sell whole, 403. Power to pledge or mortgage, 406. Execution of chattel mortgage, 407. To alter contracts, 408. To insure or protect property, 409. To pay separate debts with assets, 410. Trading out debts, 411. Appropriation of payments, 412. Sealed Instruments. In general, 413. Release under seal, 415. Parol authority or assent, 416. Assent to conveyance of real estate, 417. Unnecessary seal as surplusage, 418. Single seal for all, 419. Merger, 420. Executing partner bound, 431. Remedy in equity. 423. Rights of surety on the instrument, 423. Ratification and Authority. In general, 424. Creditor partner's authority, 425. Knowledge necessary, 426. Prior acts, 427. Failure to dissent, 428. Acting under unauthorized contract, 429. Practice, 430. XI Vol. I. CONTENTS. Part IT, Ch. X CHAPTER VII. POWERS OF A MAJORITY. As to third persons, 431. In fundamental naatters, 434. Inter se, 432. CHAPTER VIII. CONTRACTS WITH ONE PARTNER, lu general, 436. Firm not liable by getting benefit, Simple contracts other than mercan- 446. tile paper, 437. When firm is trusted and when one Sealed instruments in name of one only, 447. partner, 438. Evidence charging the firm, 448. Negotiable instruments in name of admissions in books and letters, one partner, 439. 449. Liability of firm on original consid- contemporaneous declarations. eration when not bound by paper, 450. 440. The individual partner and his sure Bills on or to account of firm, 441. ties. 451. Renewal of firm debt by individual Note signed by all individually, 452. note, 443. may be shown to be partner- Firm in the name of one partner, ship note, 453. 443. election to treat it as separat« Dormant and undisclosed partner- or joint, 453a. ships, 445. CHAPTER IX. DEGREE OF LIABILITY ON CONTRACTS. Contracts are joint and not joint and In solido, 457. several, 454. Joint stock companies, 458. Inter se, 455. Limited by contract, 459. Contra by statute, 456. Limited partnerships, 460. CHAPTER X. LIABILITY FOR TORTS. In general, 461. Money or Property Wrongfully Negligence of servants, 463. Obtained by One for Benefit Scope of authority, 464. OF FiRM, 478-480. in collecting debts, 465. „ wilful torts and violation of Trust Funds Used for Firm. statutes, 467. Innocent partners not liable, 481. Ratification, 469. Incoming partners, 482. Nominal partner, 470. Participants all liable, 483. Liability is joint and several, 471. Liability is joint and several, 484. Accountability is for profits or in- Frauds and Misrepresentations. terggt 435 Deceit in regard to their own prop- Following the fund, 486. erty, 472. Repayment to the trustee, 437. Other frauds, 473. Misapplications of Money oe Property, 474-477. zii Crimes, 488. Vol. I. CONTENTS. Part II, Ch. XIL CHAPTER XL PAYMENT, NOVATION AND MERGER. Application of Payments. In general, 489. Where firm and one partner are creditors, 490. Where firm and one partner are debtors, 491. Partnership money to be applied to its debts, 493. if creditor has no notice of nat- ure of fund, 494. individual money, 495. If neither party specify appropria- tion, 496. Running account, 497. change in debtor firm, 498. change in creditor firm, 499. accounts not continuous, 500. Novation. In general, 502. Creditor must assent, 503. Consideration, 505. Original debtor still liable, 506. incoming partner not liable for old debts, 507. may adopt old debts, 510. assumption shown by acts; estoppel, 511. entries on books of new firm, 513. examples of agreements inter se, 513. fraud on the incoming partner, 514 note for debt assumed by new firm, 515. assent of creditor, 616. practice, 517. Change without incoming partner, 518. Old firm must be discharged, 531. As against sureties, 523. Note or bill as evidence of novation, 533. Note of one partner before dissolu- tion, 524. Note of ostensible partner, 525. Note in firm name after dissolution, 526. Of continuing partner who assumed debts, 528. Note of surviving partner, 529. Creditor and debtor becoming part- ners, 530. Payment by one extinguishes the debt, 531. Ektirinq Partner as Surety. Inter se, 533. As to creditors ; English cases, 533. American cases, 534. • Merger. Judgment against one partner, 535. Where partners are jointly and sev- erally liable, 537-539. CHAPTER XII. CONVERSION OF JOINT INTO SEPARATE PROPERTY. In general, 540. Inchoate transfers inter se, 541. Choses in action, 543. Taking funds without consent of all, 544. Following the funds, 545. implied assent, 546. Delivery or change of possession, 547. sale by one partner to a third person, 548. xm Vol. II. CONTENTS. Part III, Ch. IL Retirino Partner's Equitable Lien. Retiring partner has no lien, 550. Continuing partner assuming debts, 551. Retention of lien by the contract, 552. Remedies in such cases, 554. Successive Firms. In general, 555. Retirement of old without new part- ners, 556. New partner and retirement of old, 557. New partner, no old one retiring, 658. Fraudulent Conveyances. Sale between partners, 559. authorities holding it valid, 560. Dividing up the assets, 561. Authorities restricting the right to sell, 503. Examples, 563. Withdrawing funds if a gift is fraudulent, 564. Paying a debt of one partner, 565. Same, when a fraud on creditors, 566. Assumption of debt on moral con- sideration, 567. Important cases which rest on no principle whatever, 568. Conveyances of separate property, 569. YOLUME II. PART III. DISSOLUTION. CHAPTER I. CAUSES OF DISSOLUTION. Any change of membership, 570. Partnership at will, 571. Partnership for indefinite term, 572. Notice to dissolve, 574. Evidence of dissolution, 575. change of name, 576. Right to dissolve for a term, 577. Damages for premature dissolution, 578. Dissolution for cause, 579, Death, 580. Insanity, 581. War, 582. Bankruptcy or insolvency, 583. Execution, 584. Alienation of interest of one, 585. Sale of part of interest, 586. Sale of the entire effects, 587. Marriage, 588. Abandonment, 589, 590. Misconduct, 591. Hopelessness of success, 593. Dissensions, 594. Deception, 595. Completion of enterprise, 596. Date of dissolution, 697. CHAPTER IL CONTINUANCE AFTER DEATH. By will or contract, 598. Agreement must be express, 599. To what extent the estate is bound, 600. xiv Powers of executor, 604. Subsequent accretions, 605. Vol. II. CONTENTS. Part III, Ch. VI. CHAPTER III. NOTICE OF DISSOLUTION. Necessity of, 606. Dormant partner, 608. Dissolution by operation of law, 610. Notice necessary in all other cases, 611. Actual notice to former dealer, 613. who is a former dealer, 613. Mailing is not actual notice, 616. Subscriber of paper, 617. Notice to non-dealers, 618. Substance of the publication, 619. by whom, 620. Knowledge equivalent to notice, 631. Notoriety as a substitute for notice, 633. Notice by change of name, 633. Long interval of time or space, 634 To whom to give notice, 635. On what contracts, 636. Pleading and evidence, 627. Holding out after, 628. CHAPTER IV. CONTRACTS OF DISSOLUTION. Debts due by or from retiring part- ner extinguished, 629. Sale to third persons. 631. Debts not on the books, 632. What passes by a sale of a share, 633. Assumption of Debts by Continu- iNa Partnebs. By implication, 634. By contract or bond, 635, Covenant to pay, 636. danger of obligee's misappro- priating recovery, 637. Covenant to release or be solely responsible, 638. Covenant to indemnify or hold harmless, 639. Covenant to assume, 640. Covenant to api^ly assets, 641. Examples of constructions of cove- nants, 643. What debts are included, 643. Liabilities concealed by retiring part- ner, 644. Incoming partners, 645. Existing claims on the property, 646. Statute of frauds, 647. CHAPTER V. EFFECT ON SURETIES, 648. Sureties to a firm, 649. when a partner is added, 650. Sureties for a firm, 653. Loss of a member, 653, addition of a partner, 654. Application of payments, 656. CHAPTER VL GOOD WILL, 657. Does not survive, 658. Seller's solicitation of old customers, Incident to locality oftener than to 666. stock, 659. limitation of this doctrine, 667. Court will protect it to effect sale, Professional partnerships, 668. 660. Valuation of good will, 661, in case of misappropriation, 668. Sale of good will, 663. Seller can resume business, 664. So can surviving partner, 665. B Eight to Firm Name after Disso- lution, 669. Buyer's right to the old name, 670. Retiring partner's name not to be used, 671. XV Vol, II. CONTENTS. Part III, Ch. VIII. Continuing partner's right to old name, 673. Surviving partner's right to use name, 673. Trade name, 674. Trade mark, 675. Agreements Not to Compete. Reasonableness of, 676. Breaches, 677. Injunction, 678.' CHAPTER VII. BIPLIED POWERS AFTER DISSOLUTION. Implied Po'wers after Dissolu- tion. In general, 679. Power to pay debts, 680. Power to collect and receipt for debts, 681. Power not revocable by copartners, 683. where one partner becomes owner, 683. Nature of title not changed, 685. Power to dispose of property, 686. to assign for creditors or confess judgment, 688. Power to assign negotiable paper, 690. Paper made before and issued after dissolution, 691. Expenses and contracts in winding up, 693. Cannot borrow even to pay debts, 693. Nor sign negotiable paper, 694. Liquidating partner, 695. Power to waive demand, 696. demand on one, 697. Ratification or authority, 698. Admissions after dissolution, 699. Statute of limitations, 703. revive an extinct debt, 703. to prolong time, 704. Contra, 705. Unfulfilled contracts, 707. Distinctions, 703. time contracts, 709. Surviving partners, 711. CHAPTER VIIL SURVIVING PARTNERS In general, 713. Who is a; dissolution before death, 713. Death of both; administrator of last survivor, 714. Survivor alone entitled to wind up, 715. interference by the administra- tor, 716. waiver of the right to wind up, 717. Title of surviving partner, 718. execution against deceased, 780. pardon of survivor, 731. cannot join administrator as co- plaintiff, 733. Set-off of individual debts, 723. Practice, 734. death of a partner pen derafe lite, 725. General powers, 726. no power to contract, 737. expenses of winding up, 738, continuing contracts, 739. Power of disposition in winding up, 731. Power to assign for benefit of cred- itors, 733. Statutory administrator of a partner- ship, 733. Surviving partner's rights against administrator, 735. judgment as evidence, 737. Administrator's rights and duties as to survivor, 738. XVI Vol. II. CONTENTS. Part III, Ch. IX. Duty of administrator, 740. in case of misconduct of sur- vivor, 741. Survivor appointed executor, 743. Purchase by survivor from executor, 743. same where survivor is execu- tor, 744. ratification of same, 745. Creditors' Remedy. Against surviving partner, 746. Estate of decedent liable, 747. Englisli law, 748. American law, 749. Private creditors of decedent's estate, 751. Solvent Partner, 752-755. Remaining partner after sale of share, 756. CHAPTER IX. WINDING UP INTER SE, 757. Period covered by, 758. Is a debt of the firm and not of the Losses in general, 759. copartner, 779. When some are unable to contribute, Damages for breach of contract or 760. duty, 780. Losses Caused by One Partner. Through culpability, 761. as to amount, 763. Mistakes of judgment, 763. Diligence, 764. Must account for assets he has re- ceived, 765. Expenses and Outlays, 766. Useless expenditures, 767. Permanent improvements, 768. After dissolution, 769. Extra Compensation. No right to, 770. compensation for winding up, 771. so of surviving partner winding up, 773. services in excess of mere wind- ing up, 773. Express agreements for, 775. services in other capacity than as partner, 776. Implied agreements for, 777. Amount of, 778. Interest Charges or Allowances. On capital, 781. Special agreement for interest, 782. ends at dissolution, 783. Usury laws, 784. On advances or loans, 785. On general accounting, 786. On balance struck, 787. Misconduct, 788. Compound, 789. Clandestine Profits. Before dissolution, 790. Implied duty not to compete, 793. Dealings not in competition with firm, 793. After dissolution, 794. On unfinished contracts, 795. Wrongful dissolutions, 796. What amount to be accounted for, 797. Survivor's occupation of property, 798. Purchase of share at a valuation, 799. Interest in lieu of profits, 801. xvu Same when one furnishes all capital, 815. Vol. 11. CONTENTS. Part IV, Ch. I. Return of PREMnni. Capital to be repaid before dividing In general, 802. ' P^o^ts, 813. Partnerships at will. 803. ^°^^^^ ^^^° ^^P'^^^ '' impaired, 813 Options to dissolve on notice, 804. Misconduct, 805. Voluntary dissolutions, 806. Death and bankruptcy, 807. Contrary case, 816 . ^. . onn Examples of calculatmg, 817. Apportionment, 809, ^ , , , , r,.o Rule altered by agreement, 818. Order of Distribution Between Partnership in profits without title Partners. in the property, 819. Statement of the account, 810. Order of distribution, 811. CHAPTER X. DISTRIBUTION AS TO THIRD PERSONS. Partner's lien and its consequences, what is " no living solvent part- 830. ner," 834. The lien is not for separate debts, 821. No interest to the separate creditors. Reaches real estate and property in 835. name of one partner, 833. Separate estate cannot prove against but not debtor's individual prop- joint estate, 836. erty, 823. Exceptions, 837. Creditors have no lien, 834. Joint estate cannot prove against Joint creditors prior in joint prop- separate estate, 838. erty and separate in separate, 835. fraud, 839. Contrary cases, 826. dormant partnerships, 840. Kentucky rule, 837. Double proof, 841. So in case of deceased partner, 828. separate security, 843. .Joint debts which are not partner- One partner cannot compete with ship debts, 839. joint creditors against separate es- Petitioning creditor, 830. tate, 843. Exception in favor of government, fraud, 844. 831. but can compete with separate No joint estate and no living solvent creditors, 845. partner, 833. Legal liens on separate estate, 847. what is " no joint estate," 833. Marshaling, 848. PAET ly. EEMEDIES. CHAPTER I. ACTIONS AT LAW BETWEEN PARTNERS. In general, 849. Labor and services, 854. Set-off, 850. Rent, 855. Advances or loans, 851. Share of collections, 856. Debts paid by one partner, 853. For final balance, 857. Goods sold, 853. Express promise, 858. xviii Vol. IL . CONTENTS. Part IV, Cn. III. Must be in full settlement, 859. Note by one partner to another, 880. What is an agreed final balance, 8G0. Note by firm to a partner, 882. Partial balauce, 861. Note by partner to firm, 883. Pleading, 862, indorsee can sue, 884. Liability for ascertained balance is promise of compensation, 885. several, 863, Contract to make settlement, 886. Exceptions ; Massachusetts, 864. Promises as to omitted items, 887. in single transactions, 865, Erroneous carrying out of adjust- single unadjusted item, 866. ment, 888. Violation of rights and duties, 867. Violation of the articles, 889. On contracts independent of the busi- Examples of independent stipula- ness, 868. tions in articles, 890. Refusal to form the partnership, 870- Transactions taken out of partner- 872. ship, 891. For wrongful dissolution, 873. Separating ownership of debts, 893. Contracts in order to launch the Attachment, 894. partnership, 874. Loss caused by one partner's wrong, Reimbursement of excess of con- 895. tribution, 875-877. Deceit in formation of firm, 897. Express promise by one partner to Torts against copartner, 898. another, 878. Paying deed on promise to repay. Action of Account at Common 879. Law, 899. CHAPTER II. CLAIMS BETWEEN FIRMS WITH COMMON MEMBER. Cannot sue at law, 900-903. Can sue in equity, 905. assignment of the claim, 904. And prove in bankruptcy, 906. CHAPTER III. SUIT FOR ACCOUNTING. Equity jurisdiction. 907. Sometimes considered, 919. Probate and admiralty jurisdiction, set off against balance, 920. ^ ■ , . „ u ^ 4. -f Who Can Enforce an AccouNTiNa Refused if unnecessary, but not if merely difficult, 909. Partners, 921. Employee on share of profits, 922. Partial Accounting. Representatives, 923. Must seek dissolution and winding Widow and heirs generally cannot, up, 910. 924-926. When granted, 911-915. Assignee, etc., of share, 927. Settlements periodically or of dis- Sale of share on execution, 928. tinct transactions, 916. Creditor at large, 929. Individual Matters. Defendants. Not included in an accounting, 917. All partners are actors and neces- illustrations, 918. sary, 930. xix Vol, IL CONTENTS. Paet IV, Ch. IV. Successors in interest, 931-933, Multifariousness, 934. Creditors' rights, 935. Pleadinq. In general, 936-938. Prayer, 939. Answer, 941. Defenses — Statute op Limita- tions. In general, 942. Merchants' accounts, 943. Contrary cases, 944. When the statute begins to run, 945. special circumstances, 946. fraud, 947. doctrine tliat time runs only from last item, 949. adverse possession, 950. demand, 951. laches, 952. Account Stated, 953. What is a stated account, 954-956. Partial settlements, 957. No disability to bargain with each other, 958. Mistakes, 959. Error of judgment or of law, 960. Fraud, 961. Burden of proof, 963. Laches, 963. Whether corrected or wholly opened, 964. Practice. Pendency of another suit, 965. Decree, 966. Master's report, 968. Issue out of chancery, 969. Keview, 970. Personal judgment for balances, 971-973. Sale. In general, 974. Specific division, 976. Manner of sale, 977. Evidence in Accountino. Books, 978. After dissolution, 980. As proof or disproof of partnership, 981. Books as evidence, 983. Presumptions in odium spoliatoris, 983. Other evidence, 985. Costs, 986, 987. CHAPTER IV. INJUNCTION AND RECEIVER. Injunction without dissolution, 988. Against surviving or liquidating Pending action for account, 989. After dissolution, 990. Exclusion of a partner, 991. Mutuality, 993. Receiver, 993. Before dissolution, 994. After dissolution, 995. Exclusion of a partner, 996. Same in winding up, 997. Disagreement on winding up, 998. partner, 999. injunction against partner, 1000, and receiver, 1001. Partnership in doubt, 1003. Partner as receiver, 1003. Notice necessary, 1004. Of all property, 1005. Creditors' rights, 1006. Receiver continuing business, 100" Miscellaneous, 1008. Vol. n. CONTENTS. Pakt IV, Ch. VIL CHAPTER V. SPECIFIC PERFORMANCE. Generally refused, and why, 1009. Older leading cases, 1010. Partnerships at will, 1011. for a term, 1013. Partial performance, compelled when, 1013. In winding up, 1015. CHAPTER VI. ACTIONS WITH THIRD PERSONS. Parties Plaintiff. On sealed contracts, 1016. On mercantile paper, 1017. On other simple contracts, 1018. On contract with one partner, 1019- 1021. . Dormant partners as co-plaintiffs, 1033. Nominal partners as co-plaintiffs, 1033. Assignments between partners, 1024. Substitution of creditors; new firm suing on contract of old, 1035. After bankruptcy of one partner, 1026. Non-consenting partner made de- fendant. 1037. Too numerous parties, 1028. Amendments, 1029. Torts against Partners. In general, 1030. Joint action for libel on the fii*m, 1031. Separate action for libel on the firm, 1032. Joint action for libel on one, 1033. Other torts, 1034. Disqualification of Plaintiff. In general, 1035. Authorities sustaining the disqualifi- cation, 1037. Authorities refusing to apply the doctrine, 1038. Defrauded partner cannot sue alone, 1039. Disqualification as to others than de- fendant, 1040. Transaction treated as a sale, 1043. Doctrine not applicable to counter- claims, 1043. Action sustained when guilty part- ner not party, 1044. Creditor not disqualified, 1045. Creditor's innocence, 1046. Bank paying individual note with firm's money, 1047. Payment in money different from assets, 1048. Defendants. All must be joined, 1049. Non-joinder, how objected to, 1050. Statute making joint and several, 1051. Dormant partners, 1052. judgment against ostensible alone, 1053. Nominal partner, 1054. Death pendente lite, 1055. Amendments, 1056. Appeal and error, 1057. Removal to United States court, 1058. CHAPTER VII. ACTIONS IN THE FIRM NAME. In general, 1059. Practice, 1061. Individual using a firm name, 1060. Summons, 1063. xxi Vol. II. CONTENTS. Part IV, Ch. li. Judgment, 1063. Execution, 1064. Cured by amendment or by judg- ment and verdict, 1065. Action on the judgment, 1066. CHAPTER VIII. PLEADING. Averment of plaintiff's partnership, 1087. Plaintiff's averment of defendant's partnership, 1068. Averment of title through a partner- ship, 1070. Defense of one inuring to all, 1071. Denials of plaintiff's partnership, 1072. Denials of execution of instrument, 10:3. Denials of defendant's partnership, 1074. Amendments, 1075. Set-off. Between the firm and its debtor or creditor, 1076. By or against surviving partner, 1077. Between third persons and the part- ners, 1078. I. Where the partnership is creditor and one partner is debtor, 1079. assent of copartners, 1080. II. Where the partnership is debtor and one partner is creditor, 1081. Actual and not ostensible rights re- garded, 1082. Dormant partners, 1083. Insolvency or non-residence, 1084. Summons on Part. In general, 1085. In many jurisdictions now by stat- ute, 1086. Entry of appearance for the firm, 1088. Extra-territorial validity of judg- ment, 1089. Appearance before dissolution to bind copartner personally, 1090. Service upon one after dissolution, 1091. Power to enter appearance after dis- solution, 1092. Judgment against Part. In genei'al, 1093. Where some are not liable, 1094. If all liable, 1095. CHAPTER IX. EXECUTION AGAINST ONE. In general, 1097. What is the interest to be taken, 1098. This chapter applies to firm creditor pursuing single partner, 1099. How to reach the interest; earlier legal theory, 1100. Levy on specific chattels less than whole, 1101. Title not affected, 1102. Garnishment of debtors of firm, 1103. Surviving partner, 1104. Levy by taking exclusive possession, 1105. Levy by a constructive seizure only, in some states, 1106. Sale of more than debtor's interest a trespass, 1108. Relief by injunction until account- ing had, 1109. Purchaser's rights, 1111. Consequence of above doctrine, 1112. Garnishing the other partner, 1113. Priorities between the levy and iMer levies for firm debts, 1114. Dormant partnership, 1116. xxu Vol. II. CONTENTS. Part IV, Ch. XI. CHAPTER X. ATTACHMENT AGAINST THE FIRM. Grounds, 1117. Partners as Garnishees. On property of one for firm debt, Service upon part only, 1127. 1118. Act of oue partner as a ground, 1120. Execution of Judgment against Bond, 1121. ^"'^• Miscellaneous, 1122. Property of each liable to execution, Affidavit, 1123. ' ^^^^• Misnomer, 1124. Exemption and Homestead Claims, 1131-1134. CHAPTER XI. EVIDENCE OF PARTNERSHIP. Whether a question of law or fact. Reputation, 1155. 1135. notoriety as evidence of notice, Inter se, 1136. 1157. By Plaintiffs or Defendants, of ^P^'^^^f ' , .', Themselves. ^'"^^ *^ ^^'"^^ P'^^^^ "^^^ '^^^^*^' 1159. By admission of opposite party, 1142. p^.j^j. judgment as evidence, 1160. In disproof of alleged partnership, 1^^^' Witnesses. By Plaintiffs or Defendants, of Except where statutes have removed THE Opposite Party. disqualification for interest, 1162. Admission, 1146. Matters outside the firm, 1164. Using a firm name, 1147. Removal of interest, 1165. Vagueness of circumstantial evi- As a witness for the opposite party, dence, 1149. 1168. Res gestce, ll5i. After death of a partner, 1170. Admission good against himself. Between partners, 1171. 1154. APPENDIX. Forms of clauses in articles, page Release and assignment from retir- 1149. ing to continuing partner, page Agreement to continue or renew 1164. partnership, page 1163. INDEX, page 1167. xxiii TABLE OF CASES. A. ADat V. Penny, 19 La. Ann. 289, .... 174, 570 Abbot V. Johnson, 33 N. H. 9, - - - 213, 434, 435, 533, 574, 591 V. Smith, 2 W. Bl. 947, - 457, 1130 Abbott V. Dexter, 6 Cash. 108, 336 V. Jackson, 43 Ark. 212, - 136 V. Omaha Smelting Co. 4 Neb. 416, - ... 5 V. Pearson, 130 Mass. 191, 981, 1147 Abel V. Love, 17 Cal. 233, - 59 V. Sutton, 3 Esp. 108, 606, 685, 690, 691, 695 A bell. Ex parte, 4 Ves. 837, - 830 Abernathy v. Latimore, 19 Oh. 286, 1065 V. Moses, 73 Ala. 381, - 293 Abpt V. Miller, 5 Jones (N. Ca.), L. 32, - - - - 510, 512 Abraham v. Hall, 59 Ala. 386, 467 Abrahams v. Myers, 40 Md. 499, .... 572, 597 Ackerman v. King, 29 Tex. 291, 643 Ackley v. Staehlin, 56 Mo. 558, 1038, 1042, 1046 V. Winkelmeyer, 56 Mo. 563, .... 557, 607 Acree v. Commonwealth, 13 Bush, 353, .... 488 Adam v. Townend, 14 Q. B. D. 103, 1088 Adams, Re, 29 Fed. Rep. 843, 453a Adams, Ex parte, 3 Mont. & Ayr. 157, - - - . 842 , Ex parte, 1 Rose, 305, 830, 843 V. Adams, 7 Abb. New Cas. 292, - - 670, 671, 672 V. Bingley, 1 M. & W. 193, 679 V. Brown, 16 Oh. St. 75, 108 V. Brownson, 1 Tyler (Vt.), 452, 331 V. Carter, 53 Ga. 160, - 61 V. Curtis, 4 Lansing, 164, 141 V. Funk, 53 111. 219, 47, 879, 887, 893, 979 V. Gaubert, 69 111. 585, - 908 V. Gordon, 98 111. 598, - 818 V. Hackett, 7 Cal. 157, - 935 V. Hackett, 27 N. H. 289 (59 Am. Dec. 376), - 719, 723 V. Kable, 6 B. Mon. 384 (44 Am. Dec. 772), 795, 917, 931 V. May, 27 Fed. Rep, 907, 1019, 1058 V. Pugh, 7 Cal. 150, - 88 V. Ruggles, 17 Kan. 237, 360. 361 V. Sturges, 55 III. 468, 477, 848 V. Ward. 26 Ark. 135, 718, 737 V. Wood, 9 Cal. 31, - 1006 V. Woods, 8 Cal. 152, - 935 Adams Bank v, Jones, 16 Pick. 574, - . - - 347, 368 V. Rice, 2 Allen, 480, 56, 81 Adansonia Co., Re, L. R. 9 Ch. App. 635, - ... 440 Addams v. Tutton, 39 Pa. St. 447, 873 Addison v. Burkmyer, 4Sandf. Cli. 498, .... 453 XXV Ade.] TABLE OF CASES. [All. Adee v. Cornell, 93 N. Y. 573 (aff. 25 Hun, 78), - - - 339 V. Demorest, 54 Barb. 433, 372 Adickes v. Lovviy, 15 S. Ca. 128, 825 Adkins v. Arthur, 33 Tex. 431, 507, 1063 ^tna Ins. Co. v. Peck, 28 Vt. 93, 505 V. Wires, 28 Vt. 93, - - 533 Agace, Ex parte, 2 Cox, 312, 333, 1151 Agawam Bank v. Morris, 4 Cush. 99, - - - 453, 453a Ah Lep V. Gong Choy, 13 Ore- gon, 205, - 328, 443, 446, 1094 Aicardi v. Strang, 38 Ala. 326, 1167 Aiken v. Ogilvie, 12 La. Ann. 353, ... - 764,976 V. Thompson, 43 Iowa, 506, 534 Airey v. Borhani, 29 Beav. 620, 769, 773, 780, 796, 797, 809 Ajacio V. Forbes, 14 Moo. P. C. 160, 1021 Akliurst V. Jackson, 1 Swanst. 85, 807 Alabama Coal Mines Co. v. Brainard, 35 Ala. 476, 194, 401 Alabama Fertilizer Co. v. Rey- nolds & Lee, 79 Ala. 497, - 214, 257, 319, 322, 323, 373, 459 Albee v. Fairbanks, 10 Vt. 314, 59 V. Wachter, 74 111. 173, 978 Albers v. Wilkinson, 6 Gill & J. 358, - - - . 414, 1167 Albion L. Ass. Soc, Re, 16 Ch. D. 83, 181 Albretcht v. Sussmann, 2 Ves. &B. 323, .... 110 Albright v. Voorhies, 36 Hun, 437, .... 639,633 Alcott V. Strong, 9 Cush. 323, 497, 1151 Alder v. Fouracre, 3 Swanst. 489, .... 305, 990 Alderson v. Clay, 1 Stark. 405, 1140 Alderson v. Pope, 1 Camp. 404, 91, 323 Aid rich v. Lewis, 60 Miss. 229, .... 854,890 V. Wallace, 8 Dana (Ky. ), 287 (33 Am. Dec. 495), - Alexander v. Alexander, 12 La. Ann. 588, ... V. Barker, 2 Cr. & J. 133; 1101 885 1020 2 Tyrw. 140, - — V. Coulter, 2 S. & R. 494, 716 — V. Crosthwaite, 44 111. 1167 476 359, V. Georgia, 56 Ga. 478, - V. Gorman (R. I.), 7 Atl. 832 Rep. 243, V. Jacoby, 23 Oh. St. 358, 1034 V. Kimbro, 49 Miss. 529, 287, 301 V. Lewis, 47 Tex. 481, - 580, 598, 599, 601, 603, 610 V. Lewis, 51 Tex. 578, - 598 V. McGinn, 3 Watts, 220, 445, 1052 V. Morgan, 31 Oh. St. 546, 138 V. Stern, 41 Tex. 193, - 1086, 1091 Alexandria, Mayor of, v. Pat- ten, 4 Cranch, 317, - - 489 Alfele V. Wright, 17 Oh. St. 238, 277 Algen V. Boston & Maine R. R. 132 Mass. 423 (6 Am. & Eug. R. R. Cas. 562), - 57, 66 Allan V. Garven, 4 Up. Can. Q. B. 242, 861 Allen V. Anderson, 13 111. App. 451, 855 V. Atchison, 26 Tex. 616, 510, 646 v. Blanchard, 9 Cow. 631, 728, 1166 V. Brown, 39 Iowa, 330, 155 V. Center Valley Co. 21 Conn. 130 (54 Am. Dec. 333), 560, 564. 824 V. Cheever, 61 N. H. 32, - 415 XXVI All.] TABLE OF CASES. [And. Allen V. Coit, 6 Hill, 318, - 439, 440, 441, 978 V. Davis, 13 Ark. 28, - 61 V. Duun, 15 Me. 292 (33 Am. Dec. 614), - - 91, 104 V. Erie City Bank, 57 Pa. St. 129, - - - - 903 V. Farrington, 2 Sneed, 526, 381 V. Frunet Min. & Smelt. Co. 73 Mo. 688, - - - 498 V. Grissom, 90 N. Ca. 90, 551, 557, 824 V. Hawley, 6 Fla, 142 (63 Am. Dec. 198), - 70, 660, 974, 820, 1007 V. Hill, 16 Cal. 113, - 715, 726, 731 V. Kilbre, 4 Madd. 464, - 754 V. Maddox, 40 Iowa, 124, 1081 V. Nat'l Bank, 6 Lea, 558, 731, 739 V. Owens, 2 Spears (S. Ca.), 170, - - 331, 447, 457, 524 V. Eostain, 11 S. & R. 362, 1155 V. Russell (Louisville Ch. Ct. 1863), 3 Am. Law Reg. N. S. 361, - - - - 582 V. St. Louis Bank, 120 U. S. 20, - - - 1041, 1043 V. State, 34 Tex. 330, - 488 V. Taylor, 39 L. J. Ch. 627 ; 22 L. T. 651 ; 18 W. R. 888 (afld. on appeal, 19 W. R. 35), V. Taylor, 24 L. T. 249; 19 677 677 W. R. 556, - V. Wells, 23 Pick. 450 (33 Am. Dec. 757), - - 747, 847 V. White, Minor (Ala.), 365, 1023 V. Withrow, 110 U. S. 119, 285 V. Woousocket Co. 11 R. I. 288, - 134, 583, 657, 943, 945 AUfrey v. Allfrey, 1 Mac. & G. 87, 964 , xxvii Allison V. Davidson, 1 Dev. & Bat. Eq. 46, - - - - 716 V. Davidson, 3 Dev. Eq. 79, 455, 541, 760, 761, 822, 930, 971 Alsop V. Mather, 8 Conn. 584 (21 Am. Dec. 703), - 53, 750 Alspaugh V. Mathews, 4 Sneed, 216, 261 Alston V. Rowles, 13 Fla. 117, - Ihd V. Sims, 24 L. J. Ch, 553 ; 1 Jur. N. S. 458, - - - 269 Alvord V. Smith, 5 Pick. 233, 72, 74 Ambler v. Bolton, L. R. 14 Eq. 427, ... - 269, 974 V. Bradley, 6 Vt. 119, - 43, 61 V. Whipple, 20 Wall. 546, 589, 591, 592, 910 Ambs V. Caspari, 13 Mo. App. 586, ... - 722, 724 American Bank v. Doolittle, 14 Pick. 123, ... - 385 American Bank Note Co. v. Edson, 56 Barb. 84 ; 1 Lans. 388, 305 American Iron Mountain Co. V. Evans, 27 Mo. 552, - 700, 701 American Linen Thread Co. v. Wortendyke, 24 N. Y. 550, - 623 Amidown v. Osgood, 24 Vt. 278 (58 Am. Dec. 171), - 613, 628 Amsinck v. Bean, 23 AVall. 395, 311, 583, 753, 754, 836, 838, 843, 845 Anderson v. Ackerman, 88 Ind. 481, - - - 715, 739 V. Anderson, 25 Beav. 190, 591 V. Beebe, 22 Kan. 768, 739, 908 V. Chenney, 51 Ga. 372 - 1113 V. Henshaw, 2 Day, 272, - 524 V. Holmes, 14 S. Ca. 162, - 1025 V. Howard, 49 Ga. 313, - 646 V. Lemon, 8 N. Y. 236 (re- versing 4 Sandf. 552), - - 305 v. Levan, 1 Watts & S. 334, 420, 535 V. Maltby, 2 Ves. Jr. 244, 562, 566 V. Martindale, 1 East, 497, I0l6 And.] TABLE OF CASES. [Arm. Anderson v. Norton, 15 Lea (Tenn.), 14, 195, 565, 698, 726, 732, 1152 V. Pollard, 62 Ga. 46, 747, 750 V. Powell, 44 Iowa, 20, - 121 V. Robertson, 32 Miss. 241, 880 V. Snow, 9 Ala. 247, - 1158 V. Tarpley, 6 Sm. & Mar. 507. .... 543, 1072 V. Taylor, 2 Ired. Eq. (N. Ca.)420, - - 770,771,775 V. Tompkins, 1 Btock. 456, - - 340, 403, 418, 583 V. Wanzer, 5 How. (Miss.) 587 (37 Am. Dec. 170), - 331, 1127 V. White, 39 Mich. 130, - 1094 V, Whitlock, 2 Bush, 398, 114, 123, 790 Andrcss v. Miller, 15 Pa. St. 316, Andrew, Succession of, 16 La. Ann. 197, ... - Andrews, Ex parte, 25 Ch. D. 505, V, Alexander, L. R. 8 Eq. 569 978 836 75 176, — V. Allen, 9 Serg. & R. 241, - - - 735, 858, 860 — V. Brown, 21 Ala. 437 (50 Am. Dec. 252), - 288, 290, 293, 294, 719 — V. Congar (S. C. U. S. 1881), 20 Am. Law Reg. (N. S.)328; Law. Coop. Bk. 26, p. 90, - - 321, 322, 350, 370 — V. Ennis, 16 Tex., 45, - 1085 — V. Garstin, 10 C. B. (N. S.) 444, 595 — V. Keith, 34 Ala. 722, - 1105, 1111 — V. Mann, 31 Miss. 322, - 551 — V. Planters' Bank, 7 Sm. & Mar. (Miss.) 192 (45 Am. Dec. 300), - - 349, 426, 427 — V. Wall, 3 How. 568, - 908 Angier v. Webster, 14 Allen, 211, 678 xxviu Anglesea Colliery Co., Re, L. R. 2 Eq. 371 ; 1 Ch. App. 555, - 813 Anonymous, Z, v. X. 2 Kay & J. 441, - - - . 581, 991 , 12 Mod. 446, ... 381 , 2 Ves. Sr. 629, - 870, 1010 , 1 Bank. Reg. 187, - - 1131 , 2 Hayw. (N. Ca.) 99, - 414 :; , Tayl. (N. Ca.) 113, - - 414 V. Layfield, Holt, 434, - 384 V. Layfield, 1 Salk, 292, - 325, 431, 437 An sly n v. Frank, 11 Mo. App. 598, 1159 Anthony v. Butler, 13 Pet. 423, - - - 299, 416, 417 V. Wheatons, 7 R. I. 490, 323, 424 Apperly v. Page, 1 Phil. 779, - 914 Appleby v. Brown, 24 N. Y. 143, 899 Appleton V. Smith, 24 Wis. 331, 33 Apsey, Ex parte, 3 Bro. C. C. 2G5, 481 Arbuckle v. Taylor, 3 Dowl. 160, .... 466, 467 Archer v. Walker, 38 Ind. 472, 759 Arden v. Tucker, 4 B. & Aid. 817, 1019 Ardley v. Russell, 1 Browne (Pa. Com. PI. 1810), 145, - 1072 Arguimbo v. Hillier, 17 Jones & Sp. 253, .... 26 Arick, Succession of, 22 La. Ann. 501, - - - - 365 Armand v. Burrum, 69 Ga. 758, 1113 Armistead v. Butler, 1 Hen. (Va.) 176, - - - - 410 Armitage v. Winterbottom, 1 M. & G. 130, - - - - 409 Armsby v. Farnam, 16 Pick. 318, .... 981, 1025 Armstrong v. Crocker, 10 Gray, 269, .... gee v. Fahnestock, 19 Md. 58, 541, 548, 551, 560, 585 Arm.] TABLE OF CASES. [Atw. Armstrong v. Hiissey, 12 S. & R. 315, COS V. Kleinhaus, 82 Ky. 303, 674 V. Robinson, 5 Gill & J. 412, 191, 336, 431, 1016, 1018, 1049, 1072 Arnett v. Finney, 41 N. J. Eq. 147, .... 942, 952 Arnold v. Angell, 62 N. Y. 508, 47 V. Arnold, 90 N. Y. 580, 859, 930 V. Brown, 24 Pick. 89 (35 Am. Dec. 296), 320, 341, 403, 405, 411, 583, 584, 587, 589 V, Camp, 12 Johns. 409, 527 V. Hamer, 1 Freem. (Miss.) Ch. 509, - - 825, 832 V. Kreutzer, 67 Iowa, 214, 676 V. Morris, 7 Daly, 498, 403, 406, 1052 V. Nichols, 64 N. Y. 117, 504, 510, 514 V. Stevenson, 2 Nev. 234, 299 V. Wainwright, 6 Minn. 358, - - 281, 290, 291, 822 Arthur v. Weston, 22 Mo. 378, 296 Arton V. Booth, 4 Moo. 192, 383, 684 Arundell v. Bell, 52 L. J. Ch. 537; 49 L. T. 345; 31 W. R. 477, 668 Asbury v. Flesher, 11 Mo. 610, 446, 448, 610 V. Mcintosh, 20 Mo. 278, 734 Ash V. Guie, 97 Pa, St. 493 (39 Am. Rep. 818; 10 Am. Law Rec. 278; 12 Reporter, 281), 75, 1066 Ashby V. Porter, 26 Gratt. 455, 825, 828, 841 V. Shaw, 82 Mo. 76, 29, 37, 62 Ashhurst v. Mason, L. R. 20 Eq. 225, - - - 119, 761 Askew V. Odenheimer, Bald. C. C. 380, - - . - 983 V. Poyas, 2 Desaus. 145, 966 V. Springer, 111 111. 662, 770, 775, 779, 945, 949, 976 Aspinall v. London & N. W. R'y Co. 11 Hare, 325, - - 584 Aspinwall v. Williams, 1 Oh. 84, 201 Astle V. Wright, 23 Beav. 77, 805, 800, 809 Astley V. Weldon, 2 B. & P. 346, 250 Atchison Sav. Bank v. Tem- plar, 26 Fed. Rep. 580, - - 1092 Atchison, Topeka & Santa Fe R. R. V. Roach, 35 Kan. 740, 66 Atherton v. Tilton, 44 N. H. 451, 36, 43 Atkins V. Hunt, 14 N. H. 205, 72, 76, 81, 87 V. Prescott, 10 N. H. 120, - - - 1103, 1127, 1128 V. Saxton, 77 N. Y. 195, 561, 1108 V. Tredgold, 2 B. & C. 25, 704, 746 Atkinson v. Cash, 79 111. 53, - 938 Atlanta v. Dooby, 74 Ga. 702, 725, 1029 Atlantic State Bank v. Savery, 82 N. Y. 291 (affg. 18 Hun, 36), - - - 347, 349, 352, 394 Attaway v. Third Nat'l Bank, 15 Mo. App. 577, - - - 127 Attorney-General v. Burges, Bunb. 223, - - - 468, 471 V. Hubbuck, 10 Q. B. D. 473; 13 id. 275, - - - 297 V. State Bank, 1 Dev. & Bat. Eq. 545, - - - - 916 V. Strangforth, Bunb. 97, 468 V. Weekes, Bunb. 223, - 468 Attwood V. Rattenbury, 6 J. B. Moore, 579, - - - - 1067 Atwater v. Fowler, 1 Edw. Ch. 417, - - - - 952, 963 Atwood V. Impson, 20 N. J. Eq. 150, - - - - - 1109 V. Lockhart, 4 McLean, 350, .... 446, 507 XXIX Atw.] TABLE OF CASES. [Bai. Atwood V. Maude, L. R. 3 Ch. App. 369, - 594, 805, 806, 809 V. Meredith, 37 Miss. 635, 136, 1101, 1105, 1113, 115^, 1157, 1158 Aubrey v. Frieze, 59 Ala, 587, 61 Auburn Exchange Bank v. Fitch, 48 Barb. 344, - - 569 Augsbury v. Flower, 68 N. Y. 619, 963 Augusta Wine Co. v. Weip- pert, 14 Mo. App. 483, - 317, 437, 447 Auld V. Butcher, 2 Kan. 135, 956, 966 Aultman v. Fuller, 53 Iowa, 60, 26 Aultman & Taylor Mfg. Co. v. Webber, 4 111. App. 437, 395, 1073 Austen v. Boys, 24 Beav. 598 (affd. in S. C. 3 DeG. & J. 62C), 216 661, 668 Austin V. Bostwick, 9 Conn. 496 (25 Am. Dec. 43), - - 701 V. Cummings, 10 Vt. 26, 641 V. Holland, 69 N. Y. 571 (25 Am. Rep. 246), - 614, 616 ' V. Jackson, 11 Ch. D. 943, 987 V. Seligmau, 31 Blatchf. 506 ; 18 Fed. Rep. 519, - - 559 V. Thompson, 45 N. H. 113, - - - - - - 64, 75 V. Vandermark, 4 Hill, 359, 353 V. Vaughan, 14 La. Ann. 43, 849, 850 V. Walsh, 3 Mass. 401, - 1034 V. Williams, 3 Oh. 61, 200, 201, 453, 1153 Autenreith v. Hessenbauer, 43 Cal. 356, .... 754 Autrey v. Frieze, 59 Ala. 587, 26, 38 Aver ill v. Loucks, 6 Barb. 19, 282, 291, 535 V. Loucks, 6 Barb. 470, - 282, 291, 569, 842, 848 V. Lyman, 18 Pick. 346, 384, 518 Avery v. Lauve, 1 La. Ann. 457, 88 Aveiy V. Myers, 60 Miss. 367, 53 V. Rowell, 59 Wis. 82, - 349 Ayer v. Ayer, 41 Vt. 346, 326, 335, 585, 589 Ayrault v. Chamberlin, 26 Barb. 83, - - - - 507 Ayres v. Chicago, Rock Isl. & Pac. R. R. 53 Iowa, 478, 711, 730 V. Gallup, 44 Mich. 13, - 503 Azelv. Betz, 3 E. D. Smith, 188, 374 B. Babb V. Reed, 5 Rawle, 151 (28 Am. Dec. 650), - - 75 Babcock v. Hermance, 48 N. Y. 683, 967 V. Stewart, 58 Pa. St. 179, 507 V. Stone, 3 McLean, 172, - 359 Bach V. State Ins. Co. 64 Iowa, 595, .... 686, 687 Bachia v. Ritchie, 51 N. Y. 677, 597 Backhouse v. Charlton, 8 Ch.D, 414, 726 V. Hall, 6 Best & Sm. 507 (6 N. R. Q. B. 98), - - 653 Backus V. Coyne, 35 Mich, 5, - 336 V. Fobes, 20 N. Y. 204, 505, 523 V. Taylor, 84 Ind. 504, - 618 Bacon v. Cannon, 2 Houst. 47, 70 V. Hutchings, 5 Bush, 595, 205, 1167 Badeley v. Consolidated Bank, 34 Ch. D. 536, ... 50 Badger v. Daenieke, 56 Wis. 678, - - 437, 490, 1019 Baer V. Leppert, 12 Hun, 516, 399 Bagaley, The Wm. 5 Wall. 377, ... 70, 401, 582 Bagley v. Smith, 10 N. Y, 489 (61 Am, Dec. 756; s. C. 19 How. Pr. 1), - - - 578, 873 Bagot T, Easton, 9 Ch. D, 1, 595 Bagwell v, Bagwell, 72 Ga. 92, 828 Bailey v. Bancker, 3 Hill, 188, 883 V. Clark, 6 Pick. 373, 47, 56, 57, 333, 565 XXX Bai.] TABLE OF CASES. [Ban. Bailey v. Ford. 13 Sim. 495, 593, 977 V. Kennedy, 2 Del. Cli. 12, 825 V. Macaulay, 19 L. J. Q. B. 73, 89 V. Moore, 25 111. 347. - 904 V. Starke, 6 Ark. 191, - 874 Baird's Case, L. R. 5 Ch. App. 725, - . - 73, 187, 602 Baird v, Baird, 1 Dev. & Bat. (N. Ca.) Eq. 524, 285, 910, 948, 976 V. Cochran, 4 S. & R. 397, 347 V. Planque, 1 F. & F. 344, 91 Baker's Appeal. 21 Fa. St. 76 551, (59 Am. Dec. 752), 551, 556 Baker v. Casey, 19 Grant's Ch. (Up. Can.) 537, - - - 70 V. Charlton, Feake, 80, 107, 196 V. Dawbarn, 19 Grant's Ch. (Up. Can.) 113, 825, 828, 839, 845 V. Finney, 2 Pears. (Pa.) 177, 847 V. Jewell, 6 Mass. 460, - 1024 V. Mayo, 129 Mass. 517, 785, 788 V. Nachtrieb, 19 How. 126, 13 V. Napier, 19 Ga. 520, - 447 V. Sheehan, 29 Minn. 235, 1131 V. Stackpoole, 9 Cow. 420 ; Lockvv. Rev. Cas. 389 (18 Am. Dec. 508), - 495, 497, 700 V. Wimpee, 19 Ga. 87, - 847 Baldwin v. Bald, 48 N. Y. 673, 629, 682 V. Burrows, 47 N. Y. 199, 65, 79 V. Johnson, 1 N. J. Eq. 441, - - 295, 301, 680, 689 V. Leonard, 39 Vt. 260, - 396 V. Richardson, 33 Tex. 16, 296, 299, 416, 417 V. Tynes, 19 Abb. Pr. 33, 339 Ball V. Britton, 58 Tex. 57, - 873 V. Duusterville, 4 T. R. 313, .... 416, 418 V. Farley (Ala.), 1 South. Rep, 253, - - - 251, 645 V. Strohecker, 2 Spears (S. Ca. 1844), 364, - - - 1029 Ball V. Watertown F. Ins. Co. 44 Mich. 137, - - - 655 Ballantine v. Frelinghuysen, 38 N. J. Eq. 266, 282, 598, 601, 603 Ballard v. Callison, 4 W. Va. 326, - 577, 5S5, 756, 999, 1001 Ballin v. Ferst, 55 Ga. 546, - 195 Ballou V. Spencer, 4 Cow. 163, 64 Baltimore F. Ins. Co. v. McGowan, 16 Md. 45, - - 272 Banchor v. Cilley, 38 Me. 553, 1136 Banco de Portugal v. Waddell, 11 Ch. D. 317, - - - 841 Bankv.Galliott, 1 McMull. 209- (36 Am. Dec. 256). - - 631, 694 V. Gray, 13 Lea (Tenn.), 459, - - - - 446, 507, 928 V. Green, 40 Oh. St. 431, 523, 527, 529, 694, 698 V. Hall, 35 Oh. St. 158, 4, 6, 7 V. Harvey, 12 Mo. App. 588, 1046 V. Railroad Co. 11 Wall. 624, 158, 183, 184, 577, 585, 927, 930. 931 V. Sawyer, 38 Oh. St. 339, 184. 185, 186, 281, 291, 295, 446, 1055 V. Smith, 26 W. Va. 541, 8, 563, 910, 1147 V. St. Jos. Lead Co. 12 Mo. App. 587, - - - 348 Bank of Alexandria v. Mande- ville, 1 Cranch, C. C. 575, - 157 Bank of British N. Am. v. Cuvillier, 14 Moo. P. C. 187, 655 Bank of Chenango v. Osgood, 4 Wend. 607. - - 385, 386 Bank of Commerce v. Selden, 3 Minn. 155, - - - 347, 358 Bank of Commonwealth v. Mudgett, 44 N. Y. 514 (affg. 45 Barb. 663), 351, 360, 398, 448. 613 Bank of England, 2 Glyn & J. 363, 382 Bank of Kentucky v. Brook- ing, 3 Litt. 41, - - 323, 364 ZXXl Ban.] TABLE OF CASES. [Bar, Bank of Louisville v. Hall, 8 Bush, 673, - - 291, 297, 298 Bank of Mobile v. Andrews, 3 Sneed(Tenn.), 5J5, - 570,697 V. Dunn, 67 Ala. S81, - 569 Bank of JMontreal v. Page, 98 111. 109, - 424, 575, 609, 683, 695 Bank of N. Ca. v. Fowle, 4 Jones, Eq. 8, - 184, 185, 586 Bank of New Orleans v. Mat- thews, 49 N. Y. 12, - - 582 Bank of N. Y. v. Vanderhorst, 32 N. Y. 553, - - 691, 726 Bank of N. A. v. Embury, 21 How. Pr. 14, - - - 334 V. McCall, 3 Binn. 338 ; 4 id. 371, 373, - - - - 720 Bank of Port Gibson v. Baugh, 9 Sui. & Mar. 290, 689, 693, 727, 731 Bank of Rochester v. Bowen, 7 Wend. 158, - - - 364 V. Moiiteath, 1 Den. 403 (43 Am. Dec. 681), 56, 195, 322, 441, 443 Bank of St. Albans v. Gilli- land, 23 Wend. 311 (35 Am. Dec. 566), - - - 348, 362 Bank of St. Marys v. St. John, 25 Ala. 566, - - 152, 153, 1023 Bank of Scotland v. Christie, 8 CI. & Fin. 214, - - 653, 656 Bank of S. Ca. v. Humphreys, 1 McCord. L. 888, - 617, 694, 698 Bank of Tennessee v. Saflfar- rans, 3 Humph. 597 349, 363, 364 Bank of Toronto v. Nixon, 4 Ont. App. 346, - - - 170 Bank of U. S. v. Broad foot, 4 McCord, 30, - - - - 1086 Bank of Vergennes v. Cam- eron, 7 Barb. 143, - - - 700 Bank of Wilmington v. Al- mond, 1 Whart. 169, - - 519 Bankhead v. Alio way, 6 Cold. 56, - - - 317, 373, 438, 960 Banks v. Allen, 26 Ga. 5G8, - 1048 Banks v. Bosler, 4 Bibb, 573, - 1018 V. Gibson, 34 Beav. 566, - 669, 671, 673 V. Mitchell, 8 Yerg. Ill, - 900 Banner Tobacco Co. v. Jeni- sou, 48 Mich. 459, 283, 317, 334, 429 Barber, Ex parte, L. R. 5 Ch. App. 687, - - - 215, 954 V. Barber, 18 Ves. 2S6, - 943 V. Barnes, 53 Cal. 650, 584, 589 V. Cazalis, 30 Cal. 93, - 59 V. Gillson, 18 Nev. 89, - 534 V. Hartford B'k, 9 Conn. 407, - - - 719, 1103, 1104 Barclay's Appeal (Pa.), 8 Atl. Rep. 169, - - - - 795 Barclay v. Lucas, 3 Doug. 331 ; 1 T. R. 291n, - - - 651 — r- V. Phelps, 4 Met. 397, - 835 Barcroft v. Ha worth, 39 Iowa, 463, 101, 201, 205, 1151, 1154 V. Snodgrass, 1 Cold. 430, 338, 403, 448, 726, 732, 740 Bardwell v. Perry, 19 Vt. 293 (47 Am. Dec. 687). 824, 836, 828, 832, 847, 848, 929 Barfield v. Loughborough, L. R. 8 Ch. App. 1, - - - 783 Barfoot v. Goodall, 3 Camp. 147, 633 Barger v. Collins, 7 Har. & J. 213. 958 Barhydt v. Perry, 57 Iowa, 416, 569 Baring's Case. See Devayues V. Noble. Baring v. Crafts, 9 Met. 380, 168, 191, 201, 449, 525, 1154 V. Dix, 1 Cox, 313, - - 593 V. Lyman, 1 Story, C. C. 396, - - - 543, 883, 884 Barker v. Allan, 5 H. & N. 61, 879 V. Ayers, 5 Md. 202, - 1167 V. Blake, 11 Mass. 16, 518, 1081 V. Goodair, 11 Ves. 78, - 754 V, Mann, 5 Bush, 673, 315, 323 V. Parker, 1 T. R. 287, - 51 XXXll Bar.] TABLE OF CASES. [Bat. Barker v. Ricliardson, 1 Younge &J. 363, .... 383 V. Watertown, 137 Mass. 237, 177 Barkley v. Tapp, 87 Ind. 25, - 544, 550, 585 Barklie v. Scott, 1 Huds. & Br. 83, 54 Barlow v. Coggan, 1 Wash. T'y, 257, .... 750 V. Reno, 1 Blackf. 253, - 377 V. Wain Wright, 23 Vt. 88 (52 Am. Dec. 79), - - 506, 508 Barnard, Re, 33 Ch. D. 447, - 453a, 441 V. Lapeer, 6 Mich. 274, 331, 428 Barnes v. Elinbinger, 1 Wis. 56, V. Jones, 91 Ind. 161, Barnett v. Smith, 17 Hi. 565. - V. Watson, 1 Wash. (Va.) 372, V. Juday, 38 Ind. 86, V. Smith, 17 111. 565, 1067 996 650 1093 535 650 Barney v. Currier, 1 D. Chip. 315 (6 Am. Dec. 739), - - 392 V. Earle, 20 Ala. 405, - 1168 V. Smith, 4 Har. & J, 485 (7 Am. Dec. 679), 719, 733 Barns v. Barrow, 61 N. Y. 39, 650, 1019 Barrett, Re, 2 Hughes, 444, 381, 382 V. I. & St. lI R. R. 9 Mo. App. 226, - - - - 67 V. McKenzie, 24 Minn, 20, 928, 1103, 1105, 1111 V. Russell, 45 Vt. 43, 323, 401 V. Smith, 17 111. 565, - 104 V. Swann, 17 Me. 180 (22 Am. Dec. 233), - - 32, 361 Barron v. MuUin, 21 Minn. 377, 1008 Barrow, Ex parte, 2 Rose, 253, 164, 167 Barry v. Barry, 3 Cranch, C. C. 120, 985 V. Briggs, 22 Mich. 201, - 715, 719, 726, 731, 999 Barry v. Crowley, 4 Gill, 194, 397 V. Fisher, 8 Abb. Pr. (N. S.) 369; 39 How. Pr. 521. - 1103 V. Foyles, 1 Pet. 311, 454, 1068 V. Nesham, 3 C. B. 641, - 16 Barstow v. Gray, 3 Me. 409, - 1023 Bartlett v. Jones, 2 Strob. L. 471 (49 Am. Dec. 606), 43, 257, 258, 260, 1110 V. Parks, 1 Cush. 83, 931, 932 V. Waring, 4 Ala. 688, - 531 Bartley v, Williams, 66 Pa. St. 329, 278 Barton v. Hanson, 2 Taunt. 49, 257, 446 Bascom v. Young, 7 Mo. 1, 348, 370 Basdell v. Souther, 6 Gray, 149, 216 Bass, Ex parte, 36 L. J. Bkcy. 39, - 844 Bass V. Emery, 74 Me. 338, - 734 V. Estill, 50 Miss. 300, - 848 V. Taylor, 34 Miss. 343, 680, 933 Bassett v. Miller, 39 Mich. 133, .... 719, 723 V. Shepardson, 52 Mich. 3, 588 Bast's Appeal, 70 Pa. St. 301, 306, 307, 793 Batavia Bank v. Tarbox, 38 Hun, 57, .... 655 Batchelor v. Whitaker, 88 N. Ca. 350, 305 Bate, Ex parte, 3 Deac. 358, - 843 V. McDowell, 17 Jones & Sp. 106, .... 510. 518 Bates V. Halliday, 3 Ind. 159, - 1080 Bateson v. Gosling, L. R. 4 C. P. 9, 386 Battaille v. Battaille, 6 La. Ann. 682, - - - - 873 Battle V. Street (Tenn.), 3 S. W. Rep. 384, - - - 317 Battley v. Lewis, 1 M. & G. 155, 221 Batty V. Adams County, 16 Neb. 44, - - - - 296, 299 V. McCundie, 3 C. & P. 203, 459 XXXUl Bat.] TABLE OF CASES. [Bec. Batzer v. Batzer, 28 N. J. Eq. 13G, 181 Bauerman, Ex parte, 3 Dea. 476, 834 Baugher v. Duphorn, 9 Gill, 314, 390 Baum V. Fryrear, 85 Mo. 151, 510, 516, 519 Bawden v. Howell, 3 Man. & G. G38, 1017 Baxter, Re, 18 Bankr. Reg. 62, 841 V. Bell, 19 Hun, 367 (re- versed in 86 N. Y. 195), - 420 V. Bell, 86 N. Y. 195, 420, 524, 848 V. Buchanan, 3 Brewst. (Pa.) 435, .... 1002 V. Clark, 4 Ired. (N. Ca.) L. 127, .... 323, 445 V. Connoly, 1 Jac. & W. 576, 657 V. Plunkett, 4 Houst. 450, 80, 509 V. Rodman, 3 Pick, 435, 43, 59 V. West, 1 Drew. & Sm. 173, .... 209, 594 Bayley v. Schofield, 1 M. & S. 338, 238 Bays V. Conner, 105 Ind. 415, 329, 343, 371, 532, 534 Beacannon v. Liebe, 11 Oregon, 443 (19 Reporter, 183), - 900, 904 Beach v. Hay ward, 10 Oh. 455, . 154, 715. 722, 723, 1083 V. Hotchkiss, 2 Conn. 425 ; id. 697, .... 849,860 V. State Bank, 2 Ind. 488, 349, 352, 1441 V. Ollendorf, 1 Hilt. 41, - 415 Beacham v. Eckford, 2 Sandf. Ch. 116, - . 215. 786, 787, 788 Beal V. Snedicor, 8 Porter (Ala.), 5-33, - - - 1091, 1092 Beale v. Caddick, 2 H. & N. 328, . - . 881, 498, 499 V. Mouls, 10 Q. B. 976, 508, 51 1 Beall V. Lowndes, 4 S. Ca. 258, 107, 108 Beall V. Poole, 27 Md. 645, 85, 507, 510, 511, 517, 1147 Beals V. Sheldon, 4 Up. Can. Q. B. (old ser.) L;02, - - - 347 Beam v. Baruum, 21 Conn. 200, 885, 386, 887 V. Macomber, 38 Mich. 127, 304 Beaman v. Whitney, 20 Me. 413, 76, 296 Bean v. Gregg, 7 Colorado, 493, 858, 862 Bearce v. Washburn, 43 Me. 564, 35 Beardsley v. Hall, 36 Conn. 270 (4 Am. Rep. 74), - . 705 V. Tappan, 1 Blatchf. C. C. 588, 1031 Beatson v. Harris, 60 N. H. 83, 383 Beatty v, Wray, 19 Pa. St. 516, 772 Beaumont v. Boulther, 5 Ves. 485; 7 id. 599, - - .964 V. Meredith, 3 Ves. & B. 180, 75 Beauregard v. Case, 91 U. S. 134, .... 81, 1081 Beaver v. Lewis, 14 Ark. 138, 589 Beck V. Kantorowicz, 3 K. & J. 230, 912 V. Martin, 2 McMuU. (S. Ca.)260, ... - 883 Becker v. Boon, 61 N. Y. 317, 336 Becket v. Sterrett, 4 Blackf. 499, 277 Beckford v. Hill, 124 Mass. 588, ... - 5':5, 1150 Beckham v. Drake, 9 M. & W. 79, 334, 1023 V. Peay, 1 Bailey, 121, - 701 V. Peay, 2 Bailey, L. 133, 383, 1079 Beckley v. Munson, 22 Conn. 299, . . i - . 629 Beckwith v. Manton, 12 R. L 442, .... 542, 1014 V. Talbot, 95 U. S. 289; s. c. 2 Colo. 639, - - 45, 62 XXXIV Bed.] TABLE OF CASES. [Ben. Bedford v. Brutton, 1 Bing. N. C. 399, - - - - 878 V. Deakia, 2 B. & Aid. 210; 2 Stark. 178, - - 528, 533 Beebe v. Rogers, 3 G. Greene (Iowa), 319, - ... 440 Beecher v. Busl), 45 Mich. 188 (40 Am. Rep. 4Go), 17, 23, 30, 45, 59, 61 V. Stevens, 43 Conn. 587, 184, 185, 557 Beesley v. Lawrence, 11 Paige, 581, 842 Beevan v. Lewis, 1 Sm. 376, - 1109 Beitman v. McKenzie, 11 Ohio Weekly Law Bulletin, 272, - 560 Belcher v. Conner, 1 S. Ca. 88, 2, 127 V. Vundusen, 37 111. 281, - 278 V. Whittemore, 134 Mass. 330, - - . . 2G6, 300 Belknap v. Cram, 11 Oh. 411, 543, 560 V. Wendell, 1 Foster (21 N. H.), 175, .... 27 Bellv. Barker, 16 Gray, 62, - 5l9 V. Ellis, 33 Cal. 620, - 661 V. Faber, 1 Grant's Cas. (Pa.) 31, ... 347, 349 V. Hall, 5 N. J. Eq. 477, - 534 V. Hare, 12 Heisk. 615, - 43 V. Locke, 3 Paige, 75, - 674 V. Morrison, 1 Pet. 351, - 7o3 V. Newman, 5 Serg. & R. 78, 827, 828 V. Norwood, 7 La. 95, - 655 V. Thompson, 34 111. 529, 1165 Bellairs v. Ebsworth, 3 Camp. 53, 655 Bellerville Sav. Bk. v. Wins- low, 30 Fed. Rep. 488, - - 456 Belote V. Wayne, 7 Yerg. (Tenn.)534, - - - - 703 Belton V. Fisher, 44 111. 32, 722, 724 Bemis v. Boston, 14 Allen, 366, 177 V. Hoseley, 16 Gray, 63, Benchley v. Chapin, 10 Cash. 173, 457 Benedict v. Davis, 2 McLean, 347, 91, 94 V. Thompson, 33 La, Ann. 196, .... 329, 345 Benjamin v. Covert, 47 Wis. 375, 95, 97, 150, 608, 009, 1155, 1156 V. Covert, 55 Wis. 157, - 1155, 1156 Benners v. Harrison, 19 Barb. 53, - - - - - 150 Bennet v. Marshall, 2 Miles (Pa.), 436, - - - 380, 688 Bennett's Est. 13 Phila. 331, - 336 Bennett v. Buchan, 61 N. Y. 222 (modifies s. c. 53 Barb, 578; 5 Abb. Pr, N, S, 412); S, C, 76 N. Y. 386, - 686, 687 V. Cad well, 70 Pa. St. 253, 420, 537, 640 V. Dean, 35 Mich, 306, - 1138 District Twp. of Colfax, 53 Iowa, 689, - - - 383 V. Frary, 55 Tex. 145, . 1170 V, Holmes, 32 Ind. 108, - 1159 V. Russell, 34 Mo. 524, - 770, 771, 777 V, Scott, 1 Cranch, C, C. 389, 1019 V, Stickney, 17 Vt. 531, 1088 V. W^in field, 4 Heisk, (Tenn.) 440, .... 141 V, Woolfolk, 15 Ga, 213, - 115, 121, 9(J7, 939 Benninger v. Gall, 1 C. S. C. R. 331, 1028 V. Hess, 41 Oh. St. 64, - 322, 328, 341, 342, 370, 448, 450, 451 Benson v. Ela, 35 N. H. 402, - 558, 719, 824, 828 - — V. Hadfield, 4 Hare, 32, 523 V, Ketcham, 14 Md, 331, 43 V. Morgan, 50 Mich. 78, - 141 V. Tilton, 54 N. H, 174, - 875 XXXV Ben.] TABLE OF CASES. [Bm. Bentley v. Bates, 4 Younge & C. Ex. 182, 163, 184, 186, 586, 927 V. Craven, 18 Beav. 75, - 303 V. Harris, 10 R. I. 434 (14 Am. Rep. 095), - - 43, 922 V. White, 3 B. Mon. 263 (38 Am. Dec. 18oj, 329, 374, 700 Benton v. Chamberlain, 23 Vt. 711, - - - 152, 608, 609 - — V. Roberts, 4 La. Aijn. 216, .... 301, 343 Bentzen v. Zierlein, 4 Mo. 417, 416, 421 Beresford v. Browning, L. R. 20 Eq. 564 (affd. 1 Ch. D. 30), 239, 454 V. Browning, 1 Ch. D. 30, 455, 642 Bergeron v. Richardott, 55 Wis. 129, 281, 284, 288, 291, 295, 545, 790 Berkey v. Judd, 22 Minn. 287, 933, 961 Berks v. French, 21 Kan. 238, 611 Berkshire Woolen Co. v. Jiiil- lard, 75 N. Y. 535 (31 Am. Rep. 488; aff. 13 Hun, 506), - 452, 453 V. Juillard, 13 Hun, 506, - 841 Bernard v. Torrance, 5 Gill & J. (Md.) 383, - 153, 156, 529, 607, 608, 609, 1157 ■ V. Wilcox, 2 Johns. Cas, 874, .... 719, 723 Bernie v. Vandever, 16 Ark. 616, - - - 794, 801, 968 Berolzheiraer v. Strauss, 51 N. Y. Superior Ct. 96, 716, 724, 735 Berrian, Re, 6 Ben. 297 (aflfg. 44 How. Pr. 216), - - 825, 835 Berry v. Folkes, 60 Miss. 576, 51, 298, 320, 571, 573, 577, 597, 599, 603, 767, 770, 774, 785, 801 V. Gillis, 17 N. H. 9 (43 Am. Dec. 584), - - - 385 -^v. Harris, 22 Md. 30, 719, 723, 723, 1104 Berry v. Jones, 11 Heisk. 206, 770, 771, 772, 1003 V. Kelly, 4 Robt. (N. Y.) 106, 1108 V. McLean, 11 Md. 92, 532, 636 V. Masters, 18 111. 98, - 920 Berryhill v. McKee, 1 Humph. 31, - - - - 349, 365, 761 Berthold v. Goldsmith, 24 How. 536, - - 23, 43, 70, 257 Besch V. Frolich, 1 Phil. 172; 7 Jur. 73, - - - 581, 597 Beste V. His Creditors, 15 La. Ann. 55, .... 335 Bethel v. Franklin, 57 Mo. 466, 887 89f Betts V. June, 51 N. Y. 274, - 304 305, 719, 72'r Beudel v. Hettrick, 45 How. Pr. 198 ; 3 Jones & Sp. 405, 43, 56- 383, 102" Beulali Park Estate, Re, L. R. 15 Eq. 43, - - - - 78"^ Bevan v. Lewis, 1 Sim. 376, - 439 Bevans v, Sullivan, 4 Gill (Md.), 383, 770, 909, 983, 1151, 1159 Beveridge v. Hewitt, 8 111. App. 467, .... 1151 Biddlecombe v. Bond, 4 Ad. & E. 332, - - - - 238 Biddulph, Ex parte, 8 DeG. & Sm. 587, - - - 474, 842 Bidwell V. Madison, 10 Minn. 18, 88 Biernan v. Braches, 14 Mo. 24, 864, 868 Bigelow, In re, 1 Bankr. Reg. 667, 457 , In re, 2 Bankr. Reg. [121] 371; 3 Ben. 146, - - - 841 V. Eliot, 1 Cliff. 28, 35, 445, G08 V. Gregory, 73 111. 197, - 5 V. Lehr, 4 Watts, 378, - 538 V. Henuiger, 33 Kan. 362, 3'.;0 Biggs V. Hubert, 14 S. Ca. 620, 426 Bignold, Ex parte, 2 Mont. & A. 633, 383 xxxvi Bio.] TABLE OF CASES. [Bla. Bignold V. Waterhouse, 1 M. & S. 255, .... 895 Bill V. Barker. 16 Gray, 63, - 653 V. Porter, 9 Conn. 23, 434, 1151, 11.54, 1162, 1168 Billings V. Meigs, 53 Barb. 272, 1038. 1047 Billingsley v. Dawson, 27 Iowa, 210, - - - 193, 576 Bilton V. Blakely, 6 Grant's Cb, (Up. Can.) 575, 685, 6S9. 715. 731, 997 Binpham v. Shaw, 16 Grant's Ch. 373, .... 987 Bininger v. Clark, 60 Barb. 113; 10 Abb. Pr. (N. S.) 264, 660, 669 Biuuey v. Le Gals, 19 Barb. 592; 1 Abb. Pr. 283, - - 880 Binns v. Waddill, 32 Gratt. 588, .... 1038, 1046 Birchett v. Boiling, 5 Munf. (Va.)442, .... 1014 Bird V. Austin, 8 Jones & Sp. 109, 709 V. Bird, 77 Me. 499; 1 Atl. Rep. 455, .... 736 V. Caritat, 3 Johns. 342, - 1026 V. Fake, I Pin. (Wis.) 290, 435, 544, 1022 V. Lake, 1 H. & N. 338, - 677 V. Lanius, 7 Ind. 615, - 446 V. Morrison, 12 Wis. 158 [138], .... 281, 801 V. Plerpoint, 1 Johns. 118, 1026 Birdsall v. Bemiss, 2 La. Ann. 449, 455 V. Colie, 10 N. J. Eq. 63, 995 Birdsoug v. McLaren, 8 Ga. 521, 1121 Birkett v. Hird, 55 Wis. 650, - 902 V. McGuire, 31 Up. Can. Com. PI. 430, - - - 497, 534 Bnks V. French, 21 Kan. 238, 105, 547 Birley v. Kennedy, 6 New Rep. 395, 972 Birtwhistle v. Woodward, 17 Mo. App. 277, - - 1103, 1113 Bisbee v. Taft, 11 R. L 307, 61, 257, 259 Bischoff V. Blease, 20 S. Ca. 4ii0, 1067 B.schoiTsheim v. Baltzer, 20 Fed. Rep. 890, - - - 722 Bisel V. Hobbs, 6 Blackf. 479, 156, 199, 445, 1143 Bishop V. Brecles, Hoflfu). (N. Y.) Cli. 534, - - - 517, 594 V. Countess of Jersey, 3 Drew. 143, - - - - 475 V. Georgeson, 60 111. 484, 95, 1151 V. Hall, 9 Gray, 430, - - 1023 V. Hubbard, 23 Cal. 514, 560, 566, 1131, 1133 Bispham v. Patterson, 2 Mc- Lean, 87, - - - - 700 V. Price, 15 How. 162, - 960 Bissell V. Adams, 35 Conn. 299, .... 703, 705 V. Araes, 17 Conn. 121, - 933 V. Foss, 114 U. S. 253 (afFg. s. c. as First Nat'l B'k V. Foss, 4 Fed. Rep. 694, and 2 McCrary, 73), - V. Harrington, 18 Hun, 81, V. M. S. & N. I. R. R. Cos. 310 303 133 23 N. Y. 258, Bitter v. Rath man, 61 N. Y. 513, .... 136, 137 Bitzer v. Shunk, 1 Watts & S. 340 (37 Am. Dec. 469), - 377, 379 Bivingsville Cotton Manuf. Co. V. Bobo, 11 Rich. (S. Ca.) L. 386, 378 Bjornstad, Re, 18 Bankr. Reg. 383, .... 560, 1131 Black's Appeal, 89 Pa. St. 201, 289 , 44 Pa. St. 503, 825, 827 Black V. Bird, 1 Hayw. (N. Ca.) 273, .... 281, 381 V. Bush, 7 B. Mon. 210, 717 XXXVll Bla.] TABLE OF CASES. [Blo. Black V. Campbell, 6 W. Va. 51, 41G, 1165 V. Merrill, 65 Cal. 90, - 964 V. Struchers, 11 Iowa, 459, 737, 746 Blackett v. Weir, 5 B. & C. 385, 1169 Blackiston's Appeal, 813^ Pa. St. 389, 268 Black well v. Clay well, 75 N. Ca. 213, - - - - 583, 943 V. Rankin, 7 N. J. Eq. 152, 566, 567, llO'J V. Reid, 41 Miss. 102, Blain, Ex parte, 12 Ch. D. 522, Blair v, Bromley, 2 Ph. 354; 5 Hare, 542, - - - - — V. Johnston, 1 Head, 13, - T. Snover, 10 N. J. L. 153, V. Wood, 108 Pa. St. 278, Blaisdell v. Pray, 68 Me. 269, 1049 1059 474 763 1024 749 900, 902 Blake v. Buchanan, 22 Vt. 548, 1166 V. Dorgan, 1 G. Greene (Iowa), 537, - - 577, 578, 594 V. Langdon, 19 Vt. 4S5 (47 Am. Dec. 701), - - - 1082 V. Nutter, 19 Me, 16, 186, 291 V. Smiley, 84 Ind, 212, - 825 V. Ward, 137 Mass. 94, - 90S V. Wheaton, 2 Hay w. (N. Ca.) 109;TayI. 70, - - 882,884 Blakeley v. Le Due, 22 Minn. 476, 268 Biakely v. Bennecke, 59 Mo. 193, 75 Blakeney v. Dufaur, 15 Beav. 40, 996 Blaker v. Sands, 29 Kan. 551, 276, 404, 585, 587, 733 Blakly v. Graham, 111 Mass. 8, 861 Blanchard v. Coolidge, 23 Pick. 151, 43. 257, 260, 1107, 1110 V. Kaull, 44 Cal. 440, - 4, 7 V. Paschal, 08 Ga. 32 (45 Am. Rep. 474), - - - 1131 V. Pasteur, 2 Hayw. 393, 420, 422 BlasdeU v. Souther, 6 Gray, 149, Blatcliley v^ Coles, 6 Colorado, 349, Blaylock's Appeal, 73 Pa. St. 146, .... 310, 311 Blew V. Wyatt, 5 C. & P. 897, Bliffinsv. Wilson, 113 Mass. 248, Blight V. Ewing, 1 Pittsb. 275, V. Tobin, 7 Monroe, 612 (18 Am. Dec. 219), Blin V. Pierce, 20 Vt. 25, Blinu V. Evans, 24 111. 317, - Biiss V. Swartz, 7 Lans. 187; 64 Barb. 215, Blisset V. Daniel, 10 Hare, 493; 1 Eq. 484, 241, 242, 432. 433, 913 Block V. Fitchburg R, R, 139 Mass. 308, - - Blodget V. Conkliu, 9 How. Pr. 442, , - - . . V. Muskegon (Mich. 1886), 217 305 521 967 43 480 1052 447 101 66 380 176 1131 27 N. W. Rep. 686, Blodgett, Re, 10 Bankr. Reg. 145, V. Amer. Nat'l Bk. 49 Conn. 9, - - - 598, 602 V. Jackson, 40 N. H. 21, - 191 V. Sleeper, 67 Me. 499, - 1037 V. Weed, 119 Mass. 215, 215, 352, 356 Bloodgood V. Bruen, 8 N. Y. 362 ... 703, 706, 750 Bloom V. Helm, 53 Miss. 21, - 322, 342, 349, 352, 358 Bloomfield v. Buchanan, 13 Oregon, 108, .... 17 V. Buchanan, 14 Oregon, 181, .... 455, 973 Bloomley v. Grinton, 9 Up. Can. Q. B. 455, - - 416, 418 Bloss V. Chittenden, 2 Thomp. &G. 11, Blount V. Williams, 28 Ark. 374, Bloxham v. Pell, cited in 2 W. Bl. 999, - - - 16, 47, 55 860 869 XXXVUl Blu.J TABLE OF CASES. [Boo. Bluck V. Capstick, 12 Ch. D. 863, .... 805, 806 Blue V. Leathers, 15 111. 31, - 59, 61 Blum V. Thomas. 60 Tex. 153 (10 Reporter, 732), - - 1058 Blumenthal, Re, 18 Bankr. Reg. 555. - . - - 43 Blumer, Re, 13 Fed. Rep. 489, 825, 833, 833 , In re, 13 Fed. Rep. 633, 453a, 841 Blunt V. Williams, 28 Ark. 374. 874 Blythe, Ex parte, 16 Ch. D. 630, 836 Boardman, Ex parte, 1 Cox, 275, 835 V. Adams. 5 Iowa, 234, 317, 319 V. Close, 44 Iowa, 438, - 316, 217, 770, 775 V. Gore, 15 Mass. 331, 333, 353 V. Keeler, 3 Vt. 65, 43, 1033. 1053 Boast V. Firth, L. R. 4 C. P. 1, 334, 770, 780 Boatmen's Sav. Inst. v. Mead, 53 Mo. 543, - - - 528, 529 Boddam v. Ryley, 1 Bro. C. C. 239 ; 2 id. 2 ; 4 Bro. P. C. 561, 788 Bodenham v. Purchas, 2 B. & Aid. 39, 499 Bodwell V. Eastman, 106 Mass. 525, - - - - 72, 73, 74 Bofenschen, Succession of, 29 La. Ann. 711, - - - 198 Bogerau v. Gueriuger, 14 La. Ann. 478, .... 690 Bogart V. Brown, 5 Pick. 18, 334. 1145 Boggess V. Lilly, 18 Tex. 200, 113. 137 Boggs V. Johnson, 26 W. Va. 821, ... - 949, 950 Bogue's Appeal, 83 Pa. St. 101, 1114 Bohler v. Tappan, 1 Fed. Rep. 469; 1 McCrary, 134, 715, 719, 731 Bohm V. Dunphy, 1 Montana, 333, 722 Bohrer v. Drake, S3 Minn. 408, 26, 590, 761 Boire v, McGinn, £ Oregon, 466, - - - 978, 979, 935 Boisgerard v. Wall, 1 Sm. & Mar. Ch. 404, - 72, 211, 914 Bolckow V. Foster, 24 Grant's Ch. (Up. Can.) 333; affd. 25 id. 476, overruling 9 id. 9, - 191, 723, 724 V. Foster, 25 Gj-ant's Ch. (Up. Can.) 470, - - - 191 Bolitho, Ex parte. Buck. 100, 439, 443 BoUand, Ex parte, Mont. & Mac. 315; 1 Mont. & A. 570, 474 Boiling V. Anderson, 4 Baxt. 550, 395 Bolton V. Dickens, 4 Lea, 569, 944, 953 Bonbonus, Ex parte, 8 Ves. 540, - - - 341, 370, 406 Bond V. Aitkin, 6 Watts & S. 165 (40 Am. Dec. 550). 416, 430 V. Bemis, 55 Mo. 534, - 853 V. Gibson, 1 Camp. 185, - 348, 373 V. Hays, 18 Mass. 34, 864,888 V. Milbourn, 30 W. R. 197, 664, 804 V. Nave, 63 Ind. 505, - 835, 1138, 1151 V. Pittard, 3 M. & W. 357, 55, 56 Bonfield v. Smith, 13 M. & W. 405, 106 Bonis V. Louvrier, 8 La. Ann. 4, 761, 780 Bonnaffe v. Fenner, 6 Sm. & Mar. 212 (45 Am. Dec. 278), 880, 1136 Bonney v. Stoughton, 18 III. App. 563, - - - - 942 Bonsall v. Conily, 44 Pa. St. 413, 1131 Booe v. Caldwell. 13 Ind. 13, 94, 437 Booker v. Kirkpatrick, 26 Gratt. 145, - - - - 582 xxxix Boo.] TABLE OF CASES. [Bow. Boor V. Lowrey, 103 Ind. 4G8, 331, 333 Boorum v. Ray, 73 Ind. 151, - 454, 1049, 1117, 1119 Booth V. Briscoe, 2 Q. B. D. 496, 1033 V. Clark, 17 How. 333, - 1005 V. Curtis, 17 W. R. 393; 30 L. T. N. S. 153, - - 659 V. Farmers' & Mech. B'k, 74. N. Y. 228 (aflF. 11 Hun, 258), - 453, 453a, 531, 853, 881 '■ V. Jarrett, 53 How. Pr. 169, 674 V. Parks, 1 Moll. (Irish), 465; Beatty, 444, - - 216, 801 V. Quin, 7 Price, 193, - 607 V. Ridley, 8 Up. Can. C. P. 464, 524 V. Todd, 8 Tex. 137, - 908 Boothroyd, Re, 14 Bankr. Reg. 223, 1131 Bopp V. Fox, 63 111. 540, - 180, 283, 290 Borden v. Cuyler, 10 Cush. 476, 841 Boro V. Harris, 13 Lea(Tenn.), 36, ... 155, nil, 1112 Bosanquet v. Wray, 6 Taunt. 597, - - - 900, 902, 905 Bostick V. Brittaiii, 25 Ark. 483, 278 Bostwick V. Isbell, 41 Conn. 305, 1004 Boston & Albany R. R. v. Pearson, 128 Mass. 445, 73, 73, 74 Boston, etc. Smelting Co. v. Smith, 13 R. I. 27 (43 Am. Rep. 3), - - - 23, 47, 1135 Boswell V. Dunning, 5 Har. (Del.) 231, .... 1067 V. Green, 25 N. J. L. 390, 406 Bosworth V. West, 68 Ga. 825, 1095 Bothara v. Keefer, 2 Out. App. 595, 32 Botifeur v. Wyman, 1 McCord, Ch. IGl, .... 964 Botsford V. Kleinhaus, 29 Mich. 333, - 501, 510, 518, 519 Bottomley v. Nuttall, 5 C. B. (N. S.) 123, .... 439 Boughner v. Black, 83 Ky. 531, 805, 880, 898 Bouldin v. Page, 24 Mo. 594, 398 Boulton V. First Natl. Bk. 46 Iowa, 273, - - - - 1138 Bourne v. Freeth, 9 B, & C. 632, 79, 99 V. Woold ridge, 10 B. Mon. 492, .... 1079, 1083 Boutelle v. Smith, 116 Mass. Ill, *.-.-- 677 Bouton V. Bouton, 43 How. Pr. 11, - - - - 971, 973 Bovill V. Hammond, 6 B. & C. 149, ... - 856, 865 V. Wood, 2 M. & S. 25, - 746 Bowas V. Pioneer Tow Liue, 3 Sawy. 31, - - - 67, 463 Bowden, Ex parte, 1 Deac. & Ch. 135, - ... 843 ■ V. Schatzell, Bail. (S. Ca.) Eq. 360 (33 Am. Dec. 170), - 1114 Bowen v. Billings, 13 Neb. 439, 1103 V. Clark, 1 Biss. 138, 325, 338, 403 y. Crow, 16 Neb. 556, - 454 V. Richardson, 133 Mass. 293, - - - - 111, 120 V. Rutherford, 60 111. 41 (14 Am. Rep. 25), - - 94, 1155 V. Troy Portable Mill Co. 31 Iowa, 460, - - - 1055 Bower v. Douglass, 25 Ga. 714, 694, 698 Bowers v. Whittle, 63 N. H. 147 (56 Am. Rep. 499), - - 677 Bowie V. Maddox, 29 Ga. 285, 91,97 Bovvin V. Sutherlin, 44 Ala. 278, 1083 Bowker v. Bradford, 140 Mass. 531, 139 V. Gleason (N. J.), 7 Atl. Rep. 885, - - - 257, 259 xl Bow.] TABLE OF CASES. [Bra. Bowkerv. Smith, 48 N. H. Ill (3 Am. Rep. 189), - - - 847 Bowler v. Huston, 30 Gratt. 2G6 (33 Am. Rep. 673), 1089, 1093 Bowling V. Dobyns, 5 Dana, 434, ... - 786, 788 Bowman v. Bailey, 20 S. Ca. 550, .... 281, 297 V, Bailey, 10 Vt. 170, - 43, 59 V. Blodgett, 2 Met. 308, - 693 V. Cecil Bank, 3 Grant's Cas. (Pa.) 33, - 349, 353, 362 V. O'Reilly, 31 Miss. 261, 180 V. Spalding, 2 S. W. Rep. (Ky.)911, .... 553 Bowne v. Thompson, 1 N. J. L. 2, - - - - 448, 451, 1081 Bowsher v. Watkins, 1 Russ. & M. 277, 926 Bowyer v. Anderson, 2 Leigh (Va.), 550, - - - - 45, 46 V. Kuapp, 15 W. Va. 277, 537 Boyce v. Coster, 4 Strob. (S. Ca.) Eq. 25, - - - 184, 295 V. Watson, 3 J. J. Mar. 498, 331 Boyd V. Brown, 2 La. Ann. 218, 868 V. Foot, 5 Bosw. 110, 765, 766, 938, 980 V. McCann, 10 Md. 118, - 100, 353, 353, 575, 637 V. Myuatt, 4 Ala. 79, 86, 213, 780, 876 V. Plumb, 7 Wend. 309, - 349, 363 V. Ricketts, 60 Miss. 63, - 150, 608, 1147, 1151, 1157 .Boyer v. Knapp, 15 W. Va. 277, .'---- 523 Boyers v. Elliott, 7 Humph. 204, - - - 290, 291, 822 Boyle's Estate, Tucker (N. Y.), 4, 139, 140 Boyle V. Boyle, 4 B. Mon. 570, 740, 935 V. Skinner, 19 Mo. 83, - 443 Boynton v. Boynton, 10 Vt. 107, .... 237, 739 V. Page, 13 Wend. 425, - 277, 547 Bozon V. Farlow, 1 Mei\ 459, 008 Bracken v. Ellsworth, 64 Ga. 243, - - 173, 507, 510, 511 V. Kennedy, 4 111. 558, - 851, 889, 899, 931, 936 V, March, 4 Mo. 74, - 446, 449 Braches v. Anderson, 14 Mo. 441, 449 Brackett v. Sears, 15 Mich. 214, .... 1079, 1080 Bradbury, Ex parte, 4 Deac. 203, 503 Bradbury v. Barnes, 19 Cal. 120, .... 308, 311 V. Dickens, 37 Beav. 53, - 660, 664, 990 V. Smith, 21 Me. 117, 256, 258, 1105 Bradford v. Johnson, 44 Tex. 381, 138 V. Kimberly, 3 Johns. Ch. 431, .... 770. 777 V. Peckhara, 9 R. I. 250, - 677 V. Spyker, 32 Ala. 134, - 943 V. Taylor, 61 Tex. 508, - 1074 Bradley, Re, 2 Biss. 515, - 453a, 841 V. Brigham, 137 Mass. 545, - - - 782, 783, 788 V. Camp, 1 Kirby (Conn. ), 77 (1 Am. Dec. 13), 323, 618, 681, 693 V. Chamberlin, 16 Vt. 613, 216, 771 V. Harkness, 26 Cal. 69, - 59 V. Linn, 19 111. App. 323, 329, 343 V. Richardson, 23 Vt. 720, 499 V. White, 10 Met. 303 (43 Am. Dec. 435), ... 43 Bradner v. Strang, 89 N. Y. 299 (affd. in S. v. B. 114 U. S. 555), 472 xli Bra.] TABLE OF CASES. [Bel Bradshavv v. Appersou, 3G Tex. 133, .... 43, 150 Bradstreet v. Baer, 41 Md. 19, 136, 137 Brady v. Brady, 8 Allen, 101, - 1170 V. Colhoun, 1 Pa, (Penrose & Watts) 140, - - 58, 64 V. Hill, 1 Mo. 315 (13 Am. Dec. 503), .... 700 V. Reed, 87 Pa. St. Ill, - 1170 Brainerd v. Bertram, 5 Abb. N. Cas. 103, - - - - 1028 Braitbwaite v. Skotield, 9 B. & C. 401, 75 Braley v. Goddard, 49 Me. 115, 37 Brampton v. Beddoes, 13 C. B. N. S. 538, ... - 677 Branch v. Adam, 51 Ga. 113, 1103, 1113 V. V/iseman, 51 Ind. 1, 1101, 1105 Brand v. Buulcott, 2 B. & P. 2-.i5, 1021 Brande v. Bond, 63 Wis. 140, 1106 Brandon v. Nesbitt, 6 T. R. 23, 110 Brannon v, Hursell, 112 Mass. 63, 1153 Brasfield v. French, 59 Miss. 632, - - 52, 136, 600, 601, G03 Brasier v. Hudson, 9 Sim. 1, 381, 681, 726 Brassfipld v. Brown, 4 Rich. (S. Ca.) ^. 293, - - - 873 Braun's Appeal, 105 Pa. St. 414, 229 Braxton v. State, 25 Ind. 82, 749 Bray v. Grain, 59 Tex. 649, - 489 V. Froraont, 6 Madd. 5, 158, 164, 167 V. Morse, 41 Wis. 343, - 384 V. Seligman, 75 Mo. 31, - 1130 Brayley v. Goff, 40 Iowa, 76, 383 V. Hedges, 52 Iowa, 623, 344, 3G8 Brazee v. Woods, 35 Tex. 302, 634, 640, 647 Bread v. Lynn, 126 Mass. 367, 268 Brealsford v. Meade, 1 Yeates, 483, 1125 Brecher v. Fox, 1 Fed. Rep. 273, 566 Breckinridge v. Shrleve, 4 Dana (Ky.), 375, - 329. 334, 371 Bredow v. Mut. Sav. Inst. 28 Mo. 181, - 690, 718, 731, 733 Breed v. Judd, 1 Gray, 455, - 144 Breen v. Richardson, 6 Colo- rado, 60.~, . . - 300, 731 Breuchley, Ex parte, 2 GI. & J. 127, 906 Brent v. Davis, 9 Md. 217, 322, 323 Breslin v. Brown, 24 Oh. St. 565, 2, 112 Bret V. Beckwith, 3 Jur. N. S. 31, 27 Brettel v. Williams, 4 Exch. 623, 321, 349 Brewer v. Browne, 68 Ala. 210, 181, 285, 295, 297, 942, 948, 949 V. Norcross, 17 N. J. Eq. 219, 934 V. Worthington, 10 Allen, 329, 636 V. Yorke, 46 L. T. N. S. 289, .... 805, S09 Brewing v. Berryman, 15 New Brunswick, 515, - 462, 468, 471 Brewster v. Hammet, 4 Conn. 540, .... 1109, 1110 V. Hardeman, Dudley (Ga.), 138, - - - 700, 705 V. Mott, 5 111. 378, 427, 629, 632 1037, 1038, 1044, 1046 V. Sterrett, 32 Pa. St. 115, 1169 Brice's Case. See Devaynes v. Noble. Brickhouse v. Hunter, 4 Hen. & M. (Va.) 363, - - 978, 982 Bridenbecker v. Mason, 16 How. Pr. 203, - - - 377 Bridge v. Gray, 14 Pick. 55 (25 Am. Dec. 35S). - - - 701 V. McCuUough, 27 Ala, 661, .... 825, 828 xlii Bui.] TABLE OF CASES. [Bro. Bridge v. Swain, 3 Redf. (N. Y.)4S7, ... - 714, 7;-)0 Bridges v. Sprague, 57 Me. 543, 45, 59 Brien v. Harriman, 1 Tenn. Ch. 407, 593 Brierlv v. Cripps, 7 C. & P. 709, .... 858, 861 Briggs V. Bower, 5 Up. Can. Q. B, (Old. Ser.) 673, - - 1022 V. Briggs, 15 N. Y. 471 (aff. s. c. 20 Barb. 477), - 707 V, Daugherty, 48 lud. 247, 849 V. Hubert, 14 S. Ca. 620, 817, 373, 429, 430 V. Leitelt, 41 Mich. 79, - 179 V. Vauderbilt, 19 Barb. 222, . - - . 66, 134 Brigliam v. Clark, 100 Mass. 430, .... 33, 1144 V. Dana, 29 Vt. 1, - 49, 309, 766, 792 V. Smith, 3 E. & A. (Up. Can.) 46, .... 122 Bright V. Sampson, 20 Tex. 21, 1090 Brinegarv. Griffin, 2 La. Ann. 154, 894 Brink v. New Amsterdam F, Ins. Co. 5 Robt. (N. Y.) 104, 78, 336, 382, 409 Brinkerhoff v. Marvin, 5 Johns. Ch. 320, ... - 189 Brinkley v. Harkins, 48 Tex. 225, - - - - 32, 35, 815 Brinley v. Kupfer, 6 Pick. 179, 864 Brisban v. Boyd, 4 Paige, 17, 84, 607, 700 Bristol V. Sprague, 8 Wend. 423, 611 Bristow V. Taylor, 2 Stark. 50, 681, 684 Broaddus v. Evans, 63 N. Ca. 633, - - - 383, 411, 510 Brock V. Bateman, 25 Oli, St. 609 (15 Am. Law Reg. N. S. 216), - - - 827, 832, 833 Brockman v. Aulger, 12 111. 277, .... 968, 978 Brockway v. Burnap, 16 Bnrb. 309 (12 Barb. 347), - 16, 43 Broda v. Greenwald, 63 Ala. 53S, 849 Bromley v. Elliot, 38 N. H. 287, - 23, 30, 33, 150, 322, 323, 324 Brook V, Enderby, 2 Brod. & B. 70, 497 Brooke v.Evans, 5 Watts, 193, 80. 446, 507, 508 V. Garrod. 2 DeG. & J. 62 ; 3 K. & J. 608, - - - 249 V. Washington, 8 Gratt. 248 (56 Am. Dec. 142), 150, 281, 301, 344, 374, 422 Brooks V. Brooks, 12 Heisk. 12, 714, 738, 828 V. McKinney, 5 111. 309, 1169 V. Martin, 2 Wall. 70, 125, 309 V. Sullivan, 32 Wis. 444, 338, 339 Broome, Ex parte, 1 Rose, 69, (decree in 1 Coll. 598, note), 595, 808, 844 Brothers, The, 7 Fed. Rep. 878 ; 5 Hughes, 282, - - - 908 Brougham v. Balfour, 3 Up. Can. C. P. 72, - - - 1024 Broughton v. Brougliton, 44 L. J. Ch. 526 ; 23 W. R. 990, - 661 Brower v. Creditors, 11 La. Ann. 114, - - - - 52 Brown's Appeal, 17 Pa. St. 480, 155 , 89 Pa. St. 139 (Brown's Estate, 11 Phila. 127), 770,771, 786, 794, 801 Brown, Ex parte, cited in 1 Atk. 225, .... 440 V. Agnew, 6 W. & S. 238, .... 583,866 V. Allen, 35 Iowa, 306, 722, 724, 1170 V. Atkinson, 91 N. Ca. 389, 1153 V. Belches, 1 Wash. (Va.) 9, - - ... 1093 V. Birdsall, 29 Barb. 549, 151, 1052 xiiii Bro.] TABLE OF CASES. [Bry. Brown v. Black, 96 Pa. St. 483, V. Bostian, 6 Jones (N. 531, 532 378 695 1155 181 Ca.), L. 1, - - - - 1016 V. Brabham, 3 Oh. 275, - 491 V. Broach, 52 Miss. 536, 349, 694, 695 V. Brown, 4 Taunt. 752, 1167 V. Byers, 16 M. & W. 252, 329 V. Chancellor, 61 Tex. 437, 136, 139, 588, 695 V. Cinqmars, 2 Up. Can. Prac. Rep. 205. - V. Clark, 14 Pa. St. 469, - V. Crandall, 11 Conn. 92, V. Dale, 9 Ch. D. 78, V. De Tastet, Jacob, 284 ; 4 Russ. 126, 164, 167, 773, 794 V. Fitch, 33 N. J. L. 418, 346 V. Gellatly, 31 Beav. 243, 743 V. Gordon, 16 Beav. 302, - 706 V. Hartford F. Ins. Co. 117 Mass. 479, - 143, 382, 409 V. Haynes, 6 Jones, Eq. (N. Ca.) 49, 237, 544, 917, 918, 983 V. Hicks, 8 Fed. Rep. 155, 593 V. Hicks, 24 Fed. Rep. 811, 43 V. Higginbothara, 5 Leigh (Va.), 583 (27 Am. Dec. 618), 61, 679, 693 V. Hurd, 41 111. 131, 1165, 1168 V. Jaquette, 94 Pa. St. 113 (39 Am. Rep. 770), - - 45, 61 V. Jewett, 18 N. H. 230, - 136, 195 V. Jones, 18 N. H. 230, - 135 V. Kidger, 3 H. «& N. 853, 329, 341, 370 V. Lawrence, 5 Conn. 397, 199, 381, 382, 4.39 V. Leonard, 3 Chit. 120, 324, 325 V. O'Brien, 4 Neb. 195, - 1149 V. Overstreet, 4 McCord, 79, 1086 V. Pickard (Utah), 9 Pac. Rep. 573, - - 101, 201, 1094 V. Rains, 53 Iowa, 81, 1151, 1155 Brown v. Robbins. 3 N. H. 64, 63 V. Shackelford, 53 Mo. 122, .... 790, 791 V. Tapscott, 6 M. «fe W. 119, ... 56, 852," 876 V. Torver, Minor (Ala.), 370, 884 V. Turner. 15 Ala. 832. 397. 697 V. Vidler, cited in 2 Russ. 325, 341, .... 796 V. Wooton, Cro. Jac. 73, - 535 Brownell v. Brownell, 2 Bro. C. C. 61 ; 1 Mac. & G. 94, 958, 964 Browning v. Browning, 31 Beav. 316, .... 245 V. Grady, 10 Ala. 999, - 386 V. Marvin, 22 Hun, 547, 753 Brownlee v. Allen, 21 Mo. 123, 88 Brownson v. Metcalfe, 1 Handy, 188, - - - . 1065 Brozee v. Poyntz, 3 B. Mon. 178, 538 Bruce v. Hastings, 41 Vt. 380, 43, 63 V. Nickerson, 141 Mass. 403, 595 Bruen v. Marquand, 17 Johns. 58, 415 Bruening, In re, 42 Mo. 276, - 734 Brugman v. McGuire, 32 Ark. 733, - - 101, 1C9, 5U, 1094 Bnimskill v. James, 11 N. Y. 294, 1094 Brundred v. Muzzy, 25 N. J. L. 268, • .... 23 Brunson v. Morgan, 76 Ala. 593, 296 Brutton v. Burton, 1 Chit. 707, 378 Bry v. Cook, 15 La. Ann. 493, 963 Bryan v. Tooke, 60 Ga. 437, . 347, 362, 507, 509, 1171 Bryant v. Clifford, 27 Vt. 664, 411, 1083 V. Hawkins, 47 Mo. 410, 537, 709 V. Hunter, 6 Bush, 75, . 281, 290, 291, 822. 1111, 1163 V. Lord, 19 Minn. 396, 690, 694 xliv Brt.] TABLE OF CASES. [Bum. Bryant v. Proctor, 14 B. Mon. saa, 589 Bryden v. Taylor, 2 Har. & J. 396, .... 1150, 1155 Brydolf v. Wolf, 82 Iowa, 509, 1087 Bryer v. Weston, 16 Me. 261, - 1145, 1154 Bryson v. Whitehead, 1 Sim. & Stu. 74, - - - - 657 Buchan v. Sumner, 2 Barb. Ch. 165, 281, 283, 293, 294, 297, 820, 976, 1111 Buchanan v. Comstock, 57 Barb. 568, .... 977 V. Curry, 19 Johns. 137 (10 Am. Dec. 200), - - 336, 582 V. Meisser, 105 111. 638, - 882 Buchoz V. Grandjean, 1 Mich. 367, 336 Buck V. Dowley, 16 Gray, 555, 43, 47 V. Mosley, 24 Miss. 170, 1038, 1046 V. Smith, 2 Colorado, 500, 1159 V. Smith, 29 Mich. 166 (18 Am. Rep. 84), - - 1011, 1012 - — V. Winn, 11 B. Mon. 320, 281, 285, 291, 295, 297 Buck Stove Co. v. Johnson, 7 L^a (Tenn.), 282, - - - 554 Bai khause. Re, 3 Lowell, 331 ; 10 Baukr. Reg. 206, 837, 905, 906 Buckingham v. Hanna, 20 Ind. 110, .... 161, 429 V. Ludlum, 29 N. J. Eq. 345, 181, 540, 786, 788, 935, 955, 971 V. Ludlum, 37 N. J. Eq. 137, - - 737, 747, 750, 1006 V. Waters, 14 Cal. 146, - 657 Buckley, Ex parte, 14 M. & W. 469; 1 Ph. 562; S. C. as ' Ex parte Clarke, DeGex, 153 (reverses s. C. as Ex parte Christie, 3 M. D. D. 736), 200, 346 V. Barber, 6 Exch. 164, - 718 V. Buckley, 11 Barb. 43, 297 V. Carlisle, 2 Cal. 420, - 274 V. Garrett, 47 Pa. St. 204, 273 Bucklin v. Bucklin, 97 Mass. 250, Buckmaster v. Gowen, 81 111. 153, Bucknam v. Barnum, 15 Conn. 67, Buckner v. Calcote, 28 Miss. 432, .... 195, 837 v. Lee, 8 Ga. 285, 45, 443, 445 V. Ries, 34 Mo. 357, - - 865 619 877 35 Bucyrus Machine Co., Re, 5 Baukr. Reg. 303, - - - 453a Buell V. Cole, 54 Barb. 353, 849, 881 Buffalo City Bank v. Howard, 35 N. Y. 500, - - - 013, 649 Buffum v. Buffum, 49 Me. 108, 281, 293, 297 V. Seaver, 16 N. H. 160, - 180, 452, 829 Bufkin V. Boyce, 104 Ind, 53, 995 Buford V. Neely, 2 Dev. (N.Ca.) Eq. 481, 544, 577, 585, 770, 773, 796, 927,931 Bulfinch V. Winchenbach, 3 Allen, 161, - - - 27, 1103 Bulkley v. Dayton, 14 Johns. 387, 383 Bull V. Harris, 18 B. Mon. 195, 325, 338, 403 V. Lambson, 5 S. Ca. 288, 1093, 1094 V. O'Sullivan, L. R. 6 Q. B. 209, .... 343, 376 V. Schuberth, 2 Md. 38, 36, 43 Bullard v. Kinney, 10 Cal. 60, 853 BuUen v. Sharp, L. R. 1 C. P. 86, - - - 18, 21, 29, 47 Bulliter v. Young, 6 El. & B. 40, 563 BuUoc V. Pailhos, 20 Mart. 172, 43 Bullock V. Ashley, 90 III. 102, 183 V. Chapman, 2 DeG. & Sm. 211, 673 V. Crockett. 3 Giff. 507, 806, 809 V. Hubbard, 33 Cal. 495, 150, 1114, 1115 Bumpass v. Webb, 1 Stew. (Ala.) 19 (18 Am. Dec. 34), - 875 V Bun.] TABLE OF CASES. [Bur. Bun V. Morris, 1 Caines, 54, 435, 544 Bundy v, Youmans, 44 Mich. 3TG, - - 455, 739. 785, 973 Bunn V. Morris, 3 Caii\es, 54, 1024 Bunnel v. Taintor. 4 Conn. 568, 303 Bunton v, Dunn, 54 Me. 153, 635, 643 Burbank v. Wiley, 79 N. Ca. 501, .... 184, 185 Burchard v. Boyce, 21 Ga. 6, 931, 934 Burckhardt v. Burckhardt, 36 Oh. St. 261 ; 43 id. 474, - 663 Burckle v. Eckart, 1 Den. 337 (aff'd, 3 Den. 279 ; 3 N. Y. 132), 43 Burden v. Burden, 1 Ves. & B. 172, - - 769, 773, 774, 1003 V. Cross, 33 Tex. 685, - 1065 V. McElmoyle, Bail. (S. Ca.) Eq. 375, - - 946, 953. 955 Burditt V. Grew, 8 Pick. 108, - 948 Burdine v. Shelton, 10 Yer. 41, 959, 964 Burdon v. Barkus, 4 Giflf. 413 (affd. in 4 DeG. F. & J. 42), 263. 768 V. Barkus, 4 DeG. F. & J. 43 (affg. 4 Giff. 413), 209, 363, 286, 330, 573, 766, 768, 769, 803, 974 Burfield v. Rouch, 31 Beav. 241, 661 Burgan v. Cahoon, 1 I'enny- packer (Pa.), 330, - - - 101 V. Lyell, 3 Mich. 103 (55 Am. Dec. 53), 72, 330, 331, 334, 613 Burgen v. Dwinal, 11 Ark. 314, 456, 1051, 1068 Burge.ss v. Atkins, 5 Blackf. 337, V. Merrill, 4 Taunt. 468, - V. Northern B'k of Ky. 4 Bush, 600, - . - - Burgwyn v. Hostler, Tayl. (N. Ca.) 134; 1 Am. Dec. 583, - Burk V. Morrison, 8 B. Mon. 131, Burke v. Maxwell, 81 Pa. St. 139, .... 1105 148 343 750 1072 Burke v. Roper, 79 Ala. 138, 75 Burland v. Nas.h, 2 F. & F. 6S7, 498 Burleigh v. Parton, 21 Tex. 585, 365 V. Whito, 70 Me. 130, 237, 290, 766. 823, 939 Burley v. Harris, 8 N. H. 233 (39 Am. Dec. 650), - - 883 Burlington & Mo. Riv. R. R. V. Dick, 7 Neb. 243, - 1059, 1005 Burls V. Smith, 7 Bing. 705, - 75 Burn V. Burn, 3 Ves. 578, - 416 V. Strong, 14 Grant's Ch. (Up. Can.) 651, 209, 316, 305, 589 Burnam v. Burnam, 6 Bush, 3S9, .... Burnell v. Hunt, 5 Jur. 650, V. Mi not, 4 Moore. 340 V. Weld, 59 Me. 423,, 281 1106 000 1103 880 Burnes v. Scott, 117 U. S. 583, Burnet v. Hope, 9 Ontario Rep. 10, 709, 730 V. Howell, 8 Phila. 531, - 398 Burnett v. Eufaula Home Ins. Co. 46 Ala. 11 (7 Am. Rep. 581), 273 V. Snyder, 76 N. Y. 344 (atfd. 11 J. & Sp. 238); S. C. 81 N. Y. 550 (37 Am. Rep. 537); rev. 13 J. & Sp. 577, 164, 168 V. Snyder, 81 N. Y. 550 (37 Am. Rep. 537; rev. 13 J. & Sp. 577 ; s. C. 76 N. Y. 344), 23, 164, 16G, 168, 586 V. Sullivan, 58 Tex. 535, Burnett Line of Steamers v. Blackman, 53 Ga. 98. - Burney v. Boone, 33 Ala. 486, Burnham v. Hopkinson, 17 N. H. 259, V. Whittier, 5 N. H. 334, 1086, 1093 1147 850, 856 1113 1017 26, - 1080 Burnley v. Rice, 18 Tex. 481, 439, 439 Burns v. Harris, 67 N. Ca. 140, 1131 V. McKenzie, 23 Cal. 101, 700 xivi Bur.] TABLE OF CASES. [Box. Burns v. Mason, 11 Mo. 469, 446, 453a V. Nottingham, 60 111. 531, 849. 858, 859, 81>1 V. Parish, 3 B. Men. 8, 440, 451 V. Pillsbury, 17 N. H. 66, 501 Burnside v. Fetzner, 63 Mo. 107, 533 V. Merrick, 4 Met. 537, 281, - 290, 294, 732 V. Savier, 6 Oregon, 154, 734 Burpee v. Buun, 22 Cal. 194, 184, 1114 V. Smith, 20 New Bruns- wick, 408, ... - 1151 Burr V. De La Vergne, 102 N. Y. 415, 266 V. Williams, 20 Ark. 171, 623, 694, 703, 705 Burress v. Blair, 61 Mo. 133, - 633 Burrill v. Daggett (Me. 1885), 1 Atl. Rep. 677, - - 676, 677 Burria v. Whitner, 3 S. Ca. 510, 526 Burritt v. Dickson, 8 Cal. 113, 56, 390, 510, 511 Burroughs' Appeal, 26 Pa. St. 264, 443 Burrows v. Foster, cited in Clark V. Leach, 32 Beav. 14, 18, 663 Burson v. Kincaid, 1 Pa. (Pen. &W.), 57, - - - - 385 Burt V. Lathrop, 53 Mich. 106, 75 V. Wilson, 28 Cal. 632, - 868 Burton v. Baum, 32 Kan. 641, 5C0, 1133 V. Goodspeed, 69 111. 237, 43 V. Rutherford, 49 Mo. 255, 733 V. Wigley, 1 Bing. N. C. 665, 234 V. Wookey, 6 Madd. 867, 303 Burtus V. Tisdall, 4 Barb. 571, 561, 562, 566 Burwell v. Cawood. See Bur- well V. Mandeville. V. Mandeville, 2 How, 560, 580, 598, 600, 601, 610, 750, 1038 Burwell v. Springfield, 15 Ala. 273, 1038 Bury V. Allen, 1 Coll. 589, 591, 594, 595, 7t0, 805, 8U6, 809 V. Bedford, 4 De G. J. & Sm. 353, ... - 675 V. Harris, 22 Md. 30, - 719 Busby V. Chenault, 13 B. Mon. 554, 845 Busfield v. Wheeler, 14 Allen, 139, 347 Bush V. Bush, 33 Kan. 556, - 484 V. Clark, 127 Mass. Ill, - 718, 825, 828 V. Crawford, 7 Bankr. Reg.L299, - - - - 352 V. Guion, 6 La. Ann. 797, 764, 765 v. Linthicum, 59 Md. 344, 143, 144, 147 Butchart v. Dresser, 4 De G. M. & G. 542; 10 Hare, 463, 693, 707. 730, 731 Butcher, Ex parte, 13 Ch. D. 465, 563 V. Forman, 6 Hill, 583, - 1167 Butler V. American Toy Co. 46 Conn. 136, - 134, 323, 333, 580 V. Burleson, 16 Vt. 176, - 676, 678 V. Finck, 21 Hun, 210, 43, 1135 V. Henry, 43 Ark. 551, - 507, 1159 V. Kirby, 53 Wis. 188, - 746 V. Stocking, 8 N. Y. 408, 349, 362, 365 Butner v. Lemly, 5 Jones' Eq. (N. Ca.) 148, - - - 770, 775 Butterfield, Ex parte, De Gex, 570, - - - - 843, 844 V. Beardsley, 28 Mich. 412, - - - - 72, 74, 931 V. Hemsley, 13 Gray, 226, 205, 349, 438 V. Lathrop, 71 Pa. St. 225, 68 Button V. Hampson, Wright (O.), 93, .... 419 xlyii But.] TABLE OF CASES. [Cam. Butts V. Genung, 5 Paige, 254, 749, 750 V. Tiffany, 21 Pick. 95, - 1146 Buxton V. Edwards, 134 Mass. 587, - - 519, 529, 701, 705 V. Lister, 3 Atk. 383, - 1010 Buzard v. First Nat'l B'k (Tex. 1886), 2 S. W. Rep. 54, 23, 43, 47 Byam V. Bickford, 140 Mass. 31, 296 Bybee v. Hawkett, 12 Fed. Rep. 649; SSawy. 176, - 164,168 Byers v. Bourret, 64 Cal. 73, - 129 V. Van Deusen, 5 Wend. 268, 234 Byington v. Gaff, 44 111. 510, - 199 V. Miss. & Mo. Riv. R. R. 11 Iowa, 503, - - - 1061 V. Woodward, 9 Iowa, 360, 1159 Byrd v. Charles, 3 S. Ca. 352, 1081 V. Fox, 8 Mo. 574, - 865, 870 Byrne, Re, Bankr. Reg. 464, - 832 546 c. Cabaniss v. Clark, 31 Miss. 423, Cabell V. Vaughan, 1 Saund. 291, 1016 Cadwallader v. Blair, 18 Iowa, 420, 507 V. Kroesen, 22 Md. 200, 411, 1044 Cady V. Kyle, 47 Mo. 346, 330, 331 V. Shepherd, 11 Pick. 400 (22 Am. Dec. 379), - 416, 701, 707 V. Smith, 12 Neb. 628, - 1065 Cahoon v. Hobart, 38 Vt. 244, 621, • 707 Calder v. Rutherford, 8 Brod. & Bing. 802; 7 J. B. Moore, 158, - - - - 714,746 Caldicott V. Griffiths, 8 Exch. 898, 75 Caldwell v. Auger, 4 Minn. 217, 1105 Caldwell v . Bloomington Mfg. Co. 17 Neb. 489, 189, 563, 563, 929 V. Hartupee, 70 Pa. St. 74, 1080 V. Leiber, 7 Paige, 483, - 269, 763, 770, 777 V. Parmer, 56 Ala. 405, 291, 293 V. Scott, 54 N. H. 414, - 562, 1045, 1146 V. Sithens, 5 Blackf. 99, - 197 V. Stileman, 1 Rawle, 212, 610, 708, 747, 750 Calhoun v. Albin, 48 Mo. 304, 900, 904 Calkins v. Smith, 48 N. Y. 614 895, (8 Am. Rep. 575), 896 Callahan v. DonoUy, 45 Cal. 152, 676 Callender v. Robinson, 96 Pa. St. 454, 155 Calloway v. Tate, 1 Hen. & M. (Va.)9, .... 978 Callum V. Bloodgood, 15 Ala. 34, 401 Calvert v. Marlow, 6 Ala. 337, 716 V. Marlow, 18 Ala. 67, 716, 722, V. Miller, 94 N. Ca. 600, 728, 731, 773 Calvit V. Markham, 3 How. (Miss.) 343, - - - 900,905 Cambefort v. Chapman, 19 Q. B. D. 229, - - - - 535 Camblat v. Tupery, 2 La. Ann. 10, - - - - 853 Cambridge Water Wks. v. Somerville Dyeing, etc. Co. 14 Gray, 193, - - - - 5 Cameron v. Bickford, 11 Ont. App. 52, - 110, 117, 120, 800 V. Canieo, 9 Bankr. Reg. 527, 173 V. Francisco, 26 Oh. St. 190, - - - 770, 773, 774 V. Stevenson, 12 Up. Can. C. P. 389, - - - 338,583 V. Watson, 10 Rich. Eq. 64, - - - 761, 762, 816, 980 zlviii Cam.] TABLE OF CASES. [Cab. Cammack v. Johnson, 2 N. J. Eq. 163, - 153, 154, 155, 840, 1109 Camp V. Eraser, 4 Demarest (N. Y.), 212, - - - - 715 V. Grant, 21 Conn. 41 (54 Am. Dec. 321), - 749, 826, 828 V. Mayer, 47 Ga. 414, - 555 V. Montgomery, 74 Ga. (1886), 56 V. Page, 42 Vt. 739, 565 Campbell v. Blanke, 13 Kan. 62, 1067 V. Bowen, 49 Ga. 417, 325, 1094 y. Campbell, 7 CI. & Fin. 166, 761 V. Campbell, 30 N. J. Eq. 415, - . . . 297, 281 V. Colorado Coal and Iron Co. 9 Colorado, 60, - 163, 195 V. Coquard, 16 Mo. App. 552, 784 V. Dent, 54 Mo. 325, 23, 45, 1149, 1152, 1153 V. Genet, 2 Hilt. 290, - 1079 V. Hastings, 29 Ark. 512, 95, 159, 1146, 1147, 1151, 1155 Hood, 6 Mo. 211, - 109, 1023, 1139, 1145 V. Lacock, 40 Pa. St. 448, 503 V. Mathews, 6 Wend. 551, 412 V. Moore, 3 Wis. 767, - 1136 V. MuUett, 2 Swanst. 551, 70, 269, 544 V. Pedan, 3 Up. Can. L. J. 68, 1113 V. Stewart, 34 111. 151, 543, 763 V. Whitley, 39 Ala. 172, - 86 Canada v. Barksdale, 76 Va. 899, .... 32, 974 Canada Lead Mine Co. v. Walker, 11 Lower Canada, 433, .... 377, 380 Canal Co. v. Gordon, 6 Wall. 561, .... 276, 383 Candler v. Candler, Jac. 225; 6Madd. 141, .... 110 V. Stange, 53 Mich. 479, 970 Canfield v. Hard, 6 Conn. 180, 111, 716 Cannon v. Copeland, 43 Ala. 201, .... 735, 736 V. Dunlap, 64 Ga. 680, - 456, 1119 V. Wildman, 28 Conn. 472, 325, 326, 384, 680, 683 Cannopv. Levy, 11 Q. B. 769, 459 Canon v. Campbell, 18 Pa. St. 164, 1169 Cape Sable Company's Case, 3 Bland (Md. Ch.), 606, - 577, 581 Capelle v. Hall, 12 Bankr. Reg. 1, 348 Capen v. Barrows, 1 Gray, 376, 863 872, 873, 889 Card V. Phoenix Ins. Co. 4 Mo. App. 424, .... 271 Carey v. Bright, 58 Pa. St. 70, 1053 V. Burruss, 20 W. Va. 571 (43 Am. Rep. 790), - 136, 137 Carfraev.Vanbuskirk,l Grant's Ch. (Up. Can.) 539, - 1151 Cargill V. Corby, 15 Mo. 425, 322, 323, 348 Carillon v. Thomas, 6 Mo. App. 573, 1105 Carl V. Knott, 16 Iowa, 379, 629 Carleton v. Jenness, 43 Mich. 110, _ 727 Carlew v. Drury, 1 Ves. & B. 157, 73 Carley v. Jenkins, 46 Vt. 731, 834 Carlin v. Donegan, 15 Kan, 495, - - 761, 780, 937, 969 Carlisle v. Mulhern, 19 Mo. 56, 281 V. Niagara Dock Co. 5 Up. Can. Q. B. (Old Ser.) 660, 326, 381 V. Tenbrook, 57 Ind. 529, 231, 815 Carlon v. Ruffner, 13 W. Va. 297, .... 1086, 1093 Carlton v. Cummings, 51 Ind. 478, .... 571, 80 xlix Car.] TABLE OF CASES. [Cas. Carlton V. Ludlow Woolen Mill, 27 Vt. 496, 703, 704, 705, 1155, 1158 V. Ludlow Woolen Mill, 28 Vt. 504, - - 704, 705, 1150 V. Mays, 8 W. Va. 245, 1170 Carlyle v. Plumer, 11 Wis. 96, 1143 Carmichael v. Greer, 55 Ga. 116, - - - 616, 1144, 1154 Carries v. White, 15 Gray, 378, 834, 372, 406 Carney v. Hotchkiss, 48 Mich. 276, - . - - 199, 441 Carpenter, Ex parte, 1 Mont. & Mac. 1, - - - 560, 846 V. Wells, 65 III. 451, - 869 Carper v. Hawkins, 8 W. Va. 291, 972 Carr v. Catlin, 13 Kan. 393, 733, 734 V. Leavitt,-54 Mich. 540, - 301 V. Roberts, 5 B. & Ad. 78, 638, 640 V. Smith, 5 Q. B. 128, - 861 V. Wilkins, 44 Tex. 424, - 1025 Carrere v. Spofford, 46 How. Pr. 294, - - 714, 715, 746 Carrier v. Cameron, 31 Mich. 3T3 (18 Am. Rep. 192), 341, 361, 1069 Carrillon v. Thomas, 6 Mo. App. 574, - - - - 1101 Carrington v. Cantillon, Bunb. 107, 1085 Carrithers v. Jarrel, 20 Ga. 842, 228, 431 Carroll v. Alston, 1 S. Ca. 7, 599, 798 V. Evans, 27 Tex. 262, 585, 950 V. Gayarre, 15 La. Ann. 671, 704 V. Martin, 35 Ga. 261, - 1002 Carruthers v. Ardagh, 20 Grant's Cb. (Up. Can.) 579, 538 Carson v. Byers, 67 Iowa, 606, 453 Carter, Ex parte, 2 Gl. & J. 233, 843 V. Adamson, 21 Ark. 287, 636, 639 V. Bailey, 64 Me. 458, - 69 Carter v. Beeman, 6 Jones (N. Ca.). L. 44, - - - 427, 429 V. Bradley, 58 111. 101, 974, 975 V. Connell, 1 Whart. 393, 385, 1162, 1166 V. Currie, 5 Call (Va.), 158, 714 V. Douglass, 2 Ala. 499, - 1155 V. Galloway, 36 La. Ann. 473, 5G6 V. Lipsey, 70 Ga. 417, - 486 V. Pomeroy, 80 Ind. 438, 698 V. Roland, 53 Tex. 540, - 584, 801, 1111, 1113 V. Southhall, 5 M. & W. 128, 397 V. Whalley, 1 B. & Ad. 11, 608, 609, 1157 Carver v. Dows, 40 111. 374, - 348 Gary v. Williams, 1 Duer, 667, 277, 894 Casco Bank v. Hills, 16 Me. 155, 94 Case V. Abeel, 1 Paige, 393, - 744 v. Baldwin, 136 Mass. 90, 1147 v. Beauregard, 1 Woods, C. C. 125 (99 U. S. 119), 486, 560, 824 V. Beauregard, 99 U. S. 119 (1 Woods, C. C. 125), 560, 824 V. Cushman, 3 Watts & S. 544 (39 Am. Dec. 47), 632, 644, 961 V. Fish, 58 Wis. 56, 105-7, 114 V. Maxey, 6 Cal. 276, - 850 Casebolt v. Ackermau, 46 N. J. L. 169, 705 Casey v. Brush, 2 Caines, 293, 849 v. Carver, 42 111. 225, 383, 428, 1037 Cash v. Earushaw, 66 111. 403, 591, 592 V. Tozer, 1 Watts & S. 519, 377, 878 Cassels v. Stewart, L. R. 6 App. Cas. 64, 308 Cassidy v. Hall, 97 N. Y. 159, 23, 36, 47, 91, 95, 101 1 CAS.J TABLE OF CASES. [Cha. Castle V. Bullard, 23 How. 172, 474, 480, 1094 V. Reynolds, 10 Watts, 51, 380, 727 Castly V. Towles, 46 Ala, 600, 923 Caswell V. Cooper, 18 111. 532, - . - - - 892 V. Howard, 16 Pick. 562, 549 Catlin V. Gilders, 3 Ala. 536, 2, 319, 698 Caton, In re, 24 Up. Can. C. P. 308, 562 Catron v. Shepherd, 8 Neb. 308, .... 311, 790 Catskill Bank v. Gray, 14 Barb. 471 (s. c. at a later stage, 5 Gray, 574), - - - 133, 134 133, 825 385 V. Hooper, 5 Gray, 574, - V. Messinger, 9 Cow. 37, V. Stall, 15 Wend. 364 (affd. in Stall v. Catskill Bank, 18 id. 466), - - - 352 Caulfleld v. Sanders, 17 Cal. 569, 401 Causten v. Burke, 2 Har. & G. 295 (18 Am. Dec. 297), - - 854 Causler v. Wharton, 62 Ala. 358, .... 301, 1171 Caussey v. Baily, 57 Tex. 665, 1121 Cavander v. Bulteel, L. R. 9 Ch. App. 79, - 185, 186, 291, 295 Cavitt V, James, 39 Tex. 189, 731 Cay ton v. Hardy, 27 Mo. 536, 401, 403, 404 Cayuga Bank v. Hunt, 2 Hill, 635, 397 Central City Sav. Bank v. Walker, 66 N. Y. 424 (aff. 5 Hun, 34), - - - - 4. 23 Central Sav. Bank v. Mead, 52 Mo. 546, - - 694, 696, 727 Central R. R. & Banking Co. V. Smith, 76 Ala. 572, 1147, 1151, 1155, 1157, 1158, 1160 Chace v. Hinman, 8 Wend. 452, 638, 639, 640 Chadsey v. Harrison, 11 111. 151, - . - 434, 849, 881 Chaffe V. Ludeling, 27 La. Ann. 607, .... 5 Chaffee v. Jones, 19 Pick. 260, 173 V. Rentf roe, 32 Ga. 477, - 1147, 1154 Chaffin V. Chaffin, 2 Dev. & Bat. Eq. 255, - 361, 630, 934 ChafiFraix v. Lafitte, 30 La. Ann. Pt. I, 631, - - 23, 29, 43 V. Price, 29 La. Ann, 176, 43 Chaffy, In re, 30 Up. Can. Q. B. 64, - - - 841, 882, 884 Chalfant v. Grant, 3 Lea (Tenn.), 118, - - 560, 1131, 1133 Chalk V. Bank, 87 N. Ca. 200, 933 Chamberlain v. Dow, 10 Mich. 319, 609 V. Hite, 5 Watts, 373, - 1019 V. Jackson, 44 Mich. 320, 1135 V. Madden, 7 Rich, (S. Ca,) L. 395, - - - 420, 438, 525 V. Walker, 10 Allen, 429, 868, 878 Chamberlin v. Chamberlin, 12 Jones & Sp. (N. Y.) 116, 282, 286 V. Madden, 7 Rich. (S. Ca,) L. 20, 1163 V. Prior, 2 Keyes, 539; 1 Abb. App. Dec. 338, • 473a, 897 Chambers v, Clearwater, 1 Keyes, 310; 1 Abb, App. Dec. 341 (affg. 41 Barb. 200), .... V. Crook, 42 Ala. 171, V. Howell, 11 Beav. 6, 465 810 743 Chambovet v. Cagney, 35 N. Y. Superior Ct. 474. - - 139 Cliampion v. Bostwick, 18 Wend. 175 (31 Am. Dec. 376), - - 67, 257, 462, 463 V. Mumford, Kirby (Conn,), 170, - - - 341, 1068 Charaplin v. Tilley, 3 Day, 303, - . . 1094,1143, 1154 Chandler, Ex parte, 9 Ves. 35, 825 Cha.J TABLE OF CASES. [Chb. Chandler v. Brainard, 14 Pick. 285, 79 V. Chandler, 4 Pick. 78, 1G7, 945, 948 V. Drew, 6 N. H. 469, - 1083 V. Herrick, 19 Johns. 129, 386 V. Higgius, 109 111. 602, - 532 V. Lincoln, 52 111. 74, 1105, 1111 V. Parkes, 8 Esp. 76, - 148 V. Sherman, 16 Fla. 99, 813,372, 761, 982, 986 V. Wilson, 52 111. 74, - 1112 Channel v. Fassitt, 16 Oh. 166, 164, 166 Channon v. Stewart, 103 111. 541, 922 Chapin v. Clemitson, 1 Barb. 311, . - - . 265, 382 V. Coleman, 11 Pick. 331, 331 Chapline v. Couant, 8 W. Va. 507, - - - - 23, 29, 45 Chapman v. Beckinton, 3 Q. B. 703, - - - 580, 649, 651 V. Chapman, 13 R. L 680, 736 V. Devereux, 32 Vt. 616 (9 Am. Law Reg. (O. S.) 419), 72, 323 324, 446 V. Eames, 67 Me. 452, - 31, 62 V. Koops, 3 B. & P. 289, 928 V. Lipscomb, 18 S. Ca. 222, 61 V. Wilson, 1 Rob. (Va.) 267, .... 26, 1147 Chappell V. Allen, 38 Mo. 213, 531, 690, C91 V. Cox, 18 Md. 513, - 259, 1110 Chardon v. Olipbant, 3 Brev. 183 (6 Am. Dec. 572), - - 701 Charles v. Eshelmau, 5 Col- orado, 107, - 329, 334, 825, 828 Charleston Fruit Co. v. Bond, 26 Fed. Rep. 18, - - - 250 Charlesworth v. Jennings, 34 Beav. 96, - - - - 595 Charllon v. Poulter, cited in note to 19 Ves. 148, - 314, 990 Charman v. Henshaw, 15 Gray, 293, 191 Charman v. McLane, 1 Oregon, 339, 350 Chase v. Barrett, 4 Paige, 143, 37, 43, 257 V. Bean, 58 N. H. 183, - 1046 V. Buhl Iron Works, 55 Mich. 139, - - - 383, 410 V. Deming, 42 N. H. 274, 151, 1052 V. Garvin, 19 Me. 211, - 888 V. Kendall, 6 Ind. 304, - 695 V. Scott, 33 Iowa, 309, - 276 V. Steel, 9 Cal. 64, - - 184 V. Stevens, 19 N. H. 465, 1135, 1150 V. Vaughan, 30 Me. 412, 505, 519 Chavener v. Wood, 2 Oregon, 182, - - - - - 296 Chazournes v. Edwards, 3 Pick. 5, 863 Cheap V. Cramond, 4 B. & Aid. 663, .... 16, 384 Cheeny v. Clark, 3 Vt. 431, - 75 Clieeseman v. Sturges, 6 Bosw. 520 ; 9 id. 246, - . - 791 v. Wiggins, 1 Thomp. & C. 595, . . . 739, 923, 937 Cheesman v. Price, 35 Beav. 142, 591 Cheetham v. Ward, IB. & P. 630, 385 Cheever v. Lamar, 19 Hun, 130, 978 Chemung Canal Bk. v. Brad- ner, 44 N. Y. 680, - - 349, 860 Chenango Bank v. Hyde, 4 Cow. 567, ... 368 Cheney v. Newberry, 67 Cal. 126, 129 Chenowith v. Chamberlin, 6 B. Mon. 60 (43 Am. Dec. 145), 172, 349, 358, 363 Cheshire, The, 8 Wall. 231, . 114 Cliester v. Dickerson, 54 N. Y. 1 (13 Am. Rep. 550), (affg. 52 Barb. 849; 45 How. Pr. 320). 150, 279, 299, 302, 473 ill Chi. J TABLE OF CASES. [CiT. Chicago V. Garrity, 7 111. App. 474, 661 Chicago, Burlington & Quincy R. R. V. Hoyt, 1 111. App. 374, 433 Chicago Life Ins. Co. v. Audi- tor, 101 111. 82, - - - 661 Chicago Lumber Co. v. Ash- worth, 26 Kan. 212, - - 296 Child V. Swain, G9 Ind. 230, 872, 897 Childress v. Emory, 8 Wheat. 642, 1070 Childs V. Hyde, 10 Iowa, 294, 725, 749 V. Seabury, 35 Hun, 548, 645 V. Walker, 2 Allen, 259, - 522, 558, 643, 655 Chipley v. Keaton, 65 N. Ca. 534, 544 Chipman, In re, 14 Johns. 217; 16 id. 102, - - - - 1117 Chippendale, Ex parte, 4 De G. M. & G. 19, - 320, 766, 769, 785 Chisholm v. Cowles, 42 Ala. 179, - - 1135, 1136, 1139 Chissum v. Dewes, 5 Russ. 29, 657 Chittenden v. German Amer. Bk. 27 Minn. 148, - - - 291 V. Witbeck, 50 Mich. 401, 305, 659, 768, 794, 798, 976 Choppinv. Wilson, 27 La. Ann. 444, .... 584, 756 Chouteau v. Barlow, 110 U. S. 238, 944 V. Raitt, 20 Oh. 132, 26, 153, 1018, 1022, 1158, 1162 Christian v. Crocker, 25 Ark. 327, 43, 59 V. Ellis, 1 Gratt. 396, - 1114 Christie, Ex parte, 3 M. D. & De G. 736 (reversed as Ex parte Clark, DeG. 153; s. C. as Ex parte Buckley, 14 M. & W. 469 ; 1 Ph. 562), - - 846 V. Clarke, 16 Up. Can. Com. PI. 544, - - - 668 Christman v. Baurichter, 10 Phila. 115, - - - - 181 Christy v. Sherman, 10 Iowa, 535, ... - 377, 880 Chubruck v. Vernam, 42 N. Y. 432, - - - - 962, 964 Chuck, Ex parte, 8 Bing. 469, 55, 155, 556, 558 Church V. First Nat'l Bank, 87 111. 68, - - - - 1037, 1039 V. Knox, 2 Conn. 514, - 1103 V. Sparrow, 5 Wend. 223, 348, 447 Churchill v. Bailey, 13 Me. 64, 1165 V. Bowman, 39 Vt. 518, - 565 V. Proctor, 31 Minn. 129, 185, 291. 295, 927 Churchman v. Smith, 6 Whart. 146, .... 322, 983 Churton v. Douglas, H. V. Johns. 174; 5 Jur. N. S. 887; 28 L. J. Ch. 841, 191, 663, 664, 669, 670, 671 Cilley V. Huse, 40 N. H. 358, 281, 300 V. Van Patten, 58 Mich. 404, 879 Cinnamond v. Greenlee, 10 Mo. 578, .... 70, 875 Citizens' Bank v. Hine, 49 Conn. 236, ... 83, 507, 509 Citizens' Mut. Ins. Co. v. Ligon, 59 Miss. 305, 52, 53, 603, 727, 741, 1000 City Bk. of Brooklyn v. Dear- born, 20 N. Y. 244, - - 1160 V. McChesney, 20 N. Y. 240, .... 613, 618 City Bank of New Haven's Appeal (Conn.), 7 Atl. Rep. 548, 453 City Bank of New Orleans v. Stagg, 1 Handy, 382, - - 173 City Discount Co. v. McLean, L. R. 9 C. P. 692, - - 489, 497 City Fire Ins. Co. v. Doll, 35 Md. 89, 257 City of Glasgow Bank v. Mur- dock, 11 Up. Can. C. P. 138, 861 liii C3LA.J TABLE OF CASES. [Cla. Claflin V. Butterly, 3 Abb. Pr. 446, 1094 Clagett V. Kilbourue, 1 Black, 346. 73, 379, 303. 937, 938, 1111 V. Salmon, 5 Gill & J. 314, - - - - - 386 Clan ton v. Price, 90 N. Ca. 96, 837, 453 Clap, Re, 3 Lowell, 168, - 601, 739, 746, 794, 838, 933, 939 , 2 Low. 236, - 505, 533, 539 Clapham v. Crabtree,73 Me. 473 (Crabtree v. Clapham, 67 id. 335), 274 Clapp V. Rogers, 12 N. Y. 283 (aff. 1 E. D. Smith, 549), 613, 614 V. Upson, 13 Wis. 493, - 634 Clark's Appeal, 73 Pa. St. 143, 360 Clark, Re, 3 D. & R. 860, - 110 V. Allee, 3 Harr. (Del.) 80, 1114 V. Billings, 59 Ind. 508, 505, 519 V. Brooks (Pa. Com. PL 1887), 19 Weekly Notes, 333, 505 V. Clark, 4 Porter (Ala,), 9, - - - 635, 636, 637, 879 V. CuUen, 9 Q. B. D. 355, 1066 V. Cashing, 53 Cal. 617, 1101, 1105 V. Dearborn, 6 Duer, 309, V. Dibble, 16 Wend. 601, V. Dunnam, 46 Cal. 305, 363 858 787, 970 1063 150, V. Evans, 64 Mo. 358, V. Fletcher, 96 Pa. St. 416, 153, 619, 633 V. Fowler, 57 Cal. 143, - 634 V. Gilbert, 33 Barb. 576, - 43 V. Gridley, 41 Cal. 119, 910, 957 V. Gridley, 49 Cal. 105, 38, 979 V. Holmes, 3 Johns. 148, 151, 1053 V. Houghton, 13 Gray, 38, 184, 201, 407 V. Howe, 23 Me. 560, - 732 V. Huflfaker, 26 Mo. 364, 1143, 1143 Clark V. Hyman, 55 Iowa, 14, 849, 365, 43» V. Johnson, 90 Pa. St. 443, 353 V. Jones, 50 Cal. 435, - 758 V. Kensall, Wright (O.), 480, .... 1067, 1154 V. Leach, 33 Beav. 14 (affd. in 1 De G. J. & Sm. 409), - 316, 318, 341, 663, 667 V. McClelland, 3 Grant's Cas. (Pa.) 31, - - - 339, 560 V. McKellar, 13 Up. Can. C. P. 563, .... 42 V. Rives, 33 Mo. 579, 401, 406 v. Smith, 52 Vt. 529, 87, 43, 61 V. Sparhawk, 2 Weekly Notes (Pa.), 115, - 383, 410, 430 V. Stoddard, 3 Ala. 366, • 1088, 1093 V. Taylor. 68 Ala. 453, - 1151 V. Thompson, 43 Tex. 138, 1087 V. Warden, 10 Neb. 87, - 781 V. Watkins, 9 Jur. N. S. 143; 8L. T. 8; 11 W. R. 319, V. Wilson, 15 N. H. 150, - V. Wilson, 19 Pa. St. 414, 677 1127 339, 570. 585, 688 Clarke's Appeal, 107 Pa. St. 436, 551, 965 Clarke, Ex parte, De Gex, 153 (s. c. as Ex parte Buckley, 14 M. & W. 469; 1 Ph. 562); reverses s. c. as Ex parte Christie, 3 M. D. & D. 736, -, Ex parte, 4 Ves. 677, -V. Gridley, 41 Cal. 119, - -V. Hart, 6 H. L. C. 633 (affg. Hart v. Clarke, 6 De G. M. & G. 233, and reversing 19 Beav. 349), — V. Lord Abingdon, 17 Ves. 106, . . . . . — V. Ware, 8 Ky. Law Rep. 438, Clarkson v. Carter, 3 Cow. 84, Clay, Ex parte, 6 Ves. 813, - 200, 846 835 931 241 25a 28 1022 825 liv Cla.] TABLE OF CASES. [Coc. Clay, Ex parte, 2 De G, M. & G. 230, 833 V. Giubb, 1 Litt. (Ky.) 222, 278 V. Van Winkle, 75 Ind. 239, ... - 137, 139 Clayton's Case. See Devayues V. Noble. Clayton v. Kynaston, 2 Salk. 573, 885 V. May, 67 Ga. 769, - - 686 V. May, 63 Ga. 27, - 848, 1064, 1130 V. Thompson, 13 Ga. 206, 331 Cleather v. Tvvisden, 24 Ch. D. 731 ; 28 id. 340, - - - 477 Clegg V. Edmondson, 8 De G., M. & G, 787, .... 305 V. Fisliwick, 1 Mac. & G. 294, - - - 304, 305, 996 V. Houston, 1 Phila. 352, 1131 Cleghorn v. Ins. Bank of Columbus, 9 Ga. 319, - - 847 V. Johnson, 11 Iowa, 293, 1154 Clement v. British Amer. Assur. Co. 141 Mass. 298, - 409, 437, 443 V, Brush, 3 Johns. Cas. 180, ... - 420, 421 V. Foster, 3 Ired. (N. Ca.) Eq. 213, - - 544, 928, 929 V. Hadlock, 13 N. H. 185, 39, 43 Clements v. Bowes, 1 Drew. 684, 955 V. Bowes. 17 Sim. 167, - 914 V. Hall, 2 De G. & J. 173, 304, 309, 801 V. Jessup, 36 N. J. Eq. 572, - - 256, 506, 1111, 1112 V. Lee, 8 Tex. 374, - - 951 V. Mitchell, Phil. (N. Ca.) Eq. 3, 980 V. Norris, 8 Ch. D. 129, - 320 Cleveland v. Woodward, 15 Vt. 302 (40 Am. Dec. 682), . 1053 Cleverdon, Re, 4 Ont. App. 185, ... 785 786, 846 Click V. Click, Minor (Ala.), 79, 1091 Clifton V. Howard, 89 Mo. 193, 29 Cline V. Caldwell, 4 La. 137, - 43 V. Wilson, 26 Ark. 154, - 78 Clinton Lumber Co. v. Mitchell, 61 Iowa, 132, - - - 1154 Clonan v. Thornton, 21 Minn. 380, .... 854, 1138 Clouch V. Moyer, 23 Kan. 404, 960 Clough, In re, 31 Ch. D. 324. - 731 V. Hoffman, 5 Wend. 499, 635, 640 Coakley v. Weil, 47 Md. 277, - 559, 560, 503, 824 Coalter v. Coalter, 1 Rob. (Va.) 79, ... 943, 943, 945 Cobb V. Abbot, 14 Pick. 289, - 67 V. L C. R. R. Co. 38 Iowa, 601, .... 463, 1034 Cobble V. Tomlinson, 50 Ind. 550, - - 293, 300, 580, 715 Cochran v. Cunningham, 16 Ala. 448 (50 Am. Dec. 186), 700, 1035, 1037 V. Perry, 8 Watts & S. 262, 72, 577, 585 Cochrane v. Allen, 58 N. H. 250, 858 V. Stewart, 63 Mo. 424, 522, 655 Cock V. Carson, 45 Tex. 429, - 604, 727 V. Evans, 9 Yerg, (Tenn.) 287, 255 Cockburn v. Thompson, 16 Ves. 321, .... 1028 Cocke V. Bank of Tenn. 6 Humph. 51, ... 398 V. Branch Bank at Mobile, 3 Ala. 175, - 329, 341, 343, 345 V. Hoffman, 5 Lea, 105, 703, 706 V. Upshaw, Munf. (Va.) 464, 749 Cockerell v. Aucompte, 2 C. B. N. S. 440, .... 75 Cockrell v. Thompson, 85 Mo. 510, - - - 761, 853, 1081 Iv Coc] TABLE OF CASES. [(DOL. Cockroft V. Claflin, 64 Barb. 464 (aff'd without op. 53 N. Y. 618), ... - 365, 367 Cocks V. Nash, 9 Bing. 841, - 385 Codding, Re, 9 Fed. Rep. 849, 292 Coddington v. Hunt, 6 Hill, 595, - - - 621, 622, 624 V. Idell, 29 N. J. Eq. 504, 766, 770, 785 V. Idell, 30 N. J. Eq. 540, 788 V. Tappan, 26 N. J. Eq. 141, 995 Coder v. Huling, 27 Pa. St. 84, 790 Codman v. Armstrong, 28 Me. 91, 381, 490 V. Rogers, 10 Pick. 112, - 948, 947, 951, 952 Cody V. Cody, 31 Ga. 619, 585, 1167 Coe V. Cook, 8 Whart. 569, - 70, 71 Coffee V. Eastland, Cooke (Tenn.), 158, - - - 1050, 1072 Coffey V. Brian, 10 Moo. 341 (S. C. as Coffee v. Brian, 3 Bing. 54; former report is fuller), .... 876, 878 Coffin's Appeal, 106 Pa. St. 280, 567 Coffin V. Jenkins, 3 Story, C. C. lOS, 59 V. McCullough, 30 Ala. 107, - - 558, 567, 645, 824 Coffing V. Taylor, 16 111. 457, 629 Coggswell V. Cavis, 65 Wis. 191, - - - 623, 627, 1156 V. Wilson, 11 Oregon, 371, 86 Coit V. Owen, 2 Dessaus. 456, - 1160 Colbeck, In re, Buck, 48, - 55 Cole V. Butler, 24 Mo. App. 76, 95 V. Moxley, 12 W. Va. 730, 27, 572, 577, 796 V. Reynolds, 18 N. Y. 74, 900. 904, 905, 1027 Colehour v. Coolbaugh, 81 111. 29, 976 Coleman v. Bellhouse, 9 Up. Can. C. P. 31, - 3:23, 458, 459 V. Coleman, 78 Ind. 344, 5, 531 Coleman v. Coleman, 12 Rich. (S. Ca.) L. 183, - - 879, 893 V. Darling, g66 Wis. 155, - 838, 889 V. Eyre, 45 N. Y. 38, 2, 169, 208 V. Garlington, 2 Spears (S. Ca.), L. 238, - - - 784 V. Lansing, 65 Barb. 54 ; 1 Thorn p. & C. 8, - - - 640 V. Pearce, 26 Minn. 123, - 473, 510, 511 Coles V. Coles, 15 Johns. 159 (8 Am. Dec. 231), - - 287, 868 V. Gurney, 1 Madd. 187, 1085 Colgate V. Colgate, 23 N. J. Eq. 372, ... - 744, 801 Colgin V. Cummins, 1 Port. (Ala.) 148, - - 772, 774, 789 Colgrove v. Tallman, 67 N. Y. 95 (23 Am. Rep. 90), (aff. 3 Lans. 97; 5 Hun, 103), - 534 CoUamer v. Foster, 26 Vt. 754, 874, 876, 889, 892 Collender v. Phelan, 79 N. Y. 366, - - - 549, 785, 795 CoUett V. Smith (Mass.), 10 N. E. Rep. 173, - - - - 381 Colley V. Smith, 2 Moo. & Rob. 96, Collie, Re, 3Ch. D. 481, - Collier, Re, 12 Bankr. Reg. 266, V. Cairns, 6 Mo. App. 188, 851 842 832 726, 734 V. Chadwick, not yet re- 666 ported, - - - - V. Cross, 20 Ga. 1, 1078, 1159, 1160 Collinge, Ex parte, 4 D. J. & S. 533, 843 Collins' Appeal, 107 Pa. St. 590, 548 Collins V. Butler, 14 Cal. 223, 268, 1079, 1084 V. Charleston Mut. F. Ins. Co. 10 Gray, 155, - 265, 284, 457 V. Collins, 26 Beav. 300, - 247 V. Decker, 70 Me. 23, - 282 Ivi Col.] TABLE OF CASES. [Con. Collins V. Dickinson, 1 Hayw. (N. Ca.) 240, - - - 571, 577 V. Hood, 4 McLean, 186, 562, 563 — — V. Jackson, 31 Beav. 645, 181, 269 V. Jackson, 54 Mich. 186, 657 V. Owens, 34 Ala. 66, - 810 V. Warren, 29 Mo. 286, - 290, 291 Collomb v.^ Caldwell. 16 N. Y. 484, 1 .... 569 Colloway T. Tate, 1 Hen. & M. (Va.)9, .... 978 Collumb V. Read, 24 N. Y. 505, 283, 284, 285, 298 Collyer v. Moulton, 9 R. I. 90, 505 Colnaghi v. Bluck, 8 C. & P. 464, .... 286, 709 Colt V. Lasnier, 9 Cow. 320, - 483 V. Wilder, 1 Edw. Cli. 484, .... 504, 510 Columbian Government v. Rothschild, 1 Sim. 94, - 938 Columbian Mfg. Co. v. Dutch, 13 Pick. 125, .... 1167 Colville V. Oilman, 13 W. Va. 314, 910 Col well V. Britton, 26 N. W. Rep. 538 ; 59 Midi. 350, - 23 Combs V. Boswell, 1 Dana, 473, 323, 383, 681, 684 V. Shrewsbury Ins. Co. 39 N. J. Eq. 403, - - 273 Comer v. Thompson, 4 Up. Can. Q. B. (Old Ser.) 256, - 880 Commercial B'k v. Lewis, 13 Sm. & Mar. (Miss. ) 226, 401, 406 V. Mitchell, 58 Cal. 42, - 189, 928, 1114 V. Wilkins, 9 Me. 28, 186, 1102 1112, 1114 Commercial Nat. Bank v. Proc- tor, 98 111. 558, 343, 376, 401, 633, 726 Commercial & Sav. B'k v. Cor- bett, 5 Sawy. 543, - 560, 1131 Commonwealth V. Bennett, 118 Mass. 443, ... - 43 V. Sumner, 5 Pick. 300, - 894 Comstock V. Buchanan, 57 Barb. 127, - - - - 303 V. Hier, 73 N. Y. 269, - 1170 V. White, 31 Barb. 801, 974, 977 Conant v. Frary, 49 Ind. 530, 184, 185 Condy v, Mitchell, 87 L. T. N. S. 766; 26 W. R. 269 (affg. 37 L. T. N. S. 268), - - - 675 Conery v. Hayes, 19 La. Ann. 325, - * - . . - 700 Congdon v. Monroe, 51 Tex. 109, 1094 Conger v. Cotton, 37 Ark. 286, 647 V. Piatt, 25 Up. Can. Q. B. 277, - - - 281, 290, 294 Conkey v. Barbour, 22 Ind. 196, * 703 Conklin v. Barton, 43 Barb. 435, - - - 37, 43, 98, 257 V. Cabanne, 9 Mo. App. 579, 1019 v.^ Harris, 5 Ala. 213, 456, 1119 V. Leeds, 58 111., 178, - 275 V. Ogborn, 7 Ind. 553, 694, 695, 698 Conley v. Chapman, 74 Ga. 709, 1089 Couuecticut, etc. Ins. Co. v. Bowler, 1 Holmes, 263, - 653 Connecticut River B'k v. French, 6 Allen, 313, - 352, 356 Connell, Ex parte, 3 Deac. 201, 261, 843 V. Owen, 4 Up. Can. C. P. 113, .... 711, 730 Conner v. Abbott, 35 Ark. 865, 6 Connolly v. Davidson, 15 Minn. 519, .... C6, 67 Conrad v. Buck, 21 W. Va. 396, 531, 583, 695, 708, 704, 769 Conroy v. Campbell, 45 N. Y. Superior Ct. 326, - - - 813 v. Woods, 13 Cal. 626, 562, 929 Ivii Con.] TABLE OF CASES. [Coo. Consolidated Bank v. State, 5 La. Ann. 44, - - - - 56 Const V. Harris, Turn. & Euss. 496, - 211, 213, 433, 433, 434 Converse v. Citizens' Mut. Ins. Co. 10 Cush. 37, - - 271, 285 V. McKee, 14 Tex. 20, 410, 988 V. Shambaugh, 4Neb, 376, 1151, 1154 Conwell V. McCowan, 81 111. 285, — V. Sandidge, 5 Dana, 210, — V. Sandidge, 8 Dana, 273, 532 181, 182 188, 629, 631, 810 Cony V. Wheelock, 33 Me. 306, 690 Cook, Ex parte, 2 P. Wms. 500, 825 , Ex parte, Montagu, 228, 837 , In re, 3 Biss. 122, - - 563 V. Arthur, 11 Ired. (N. Ca.) L. 407, - - - - 1103 V. Batchellor, 3 B. & P. 150, 1031 V. Bloodgood, 7 Ala. 683, 410 V. Carpenter, 34 Vt. 121, 86 V. Castner, 9 Cush. 266, - 472 V. CoUiugridge, Jac. 607 (and decree in 27 Beav. n.), - 244, 605, 665, 744, 796, 799, 974, 975 V. Frederick, 77 Ind. 406, 1147 V. Garrett, 1 Brev. (S. Ca.) 856 234 662 676 733 1073 779 388, — V. Jenkins, 35 Ga. 113, - — V. Jenkins, 79 N. Y. 575. — V. Johnson, 47 Conn. 175 (36 Am. Rep. 64), - — V. Lewis, 36 Me. 340, — V. Martin, 9 Sm. & Mar. 379, V. Phillips, 16 III. App. 446, .... — V. Port Fulton, 106 Ind. 170, 175 — V. Rogers, 3 Fed, Rep. 69 (8 Am. Law Rec. 641), 600, 601 — V. Slate Co. 36 Oh. St. 135, - - - 91,609,1155 Cooke, Re, 13 Bankr. Reg. 30, 838 V. Allison, 30 La. Ann. Part II, 963, - - 434, 761 V. Benbow, 3 Do G., J. & Sm. 1 ; 6 New Rep. 135, 263, 781, 786 V. Cooke, L. R. 4 Eq. 77, 233 V. Seeley, 2 Ex. 746, - 1019 Cookingham v. Lasher, 38 Barb. 656; 2 Keyes, 454 (1 Abb. App. 436), - , 151, 1053 Cookson V. Cookson, 8 Sim. 529, 216 CooJey V. Broad, 29 La. Ann. 315 (29 Am. Rep. 332), - - 17, 67 V. Sears, 25 111. 613, - 275, 1081 Coomer v. Bromley, 5 De G. & Sm. 532, .... 475 Coon V. Pruden, 25 Minn. 105, 395, 400 Coons V. Renick, 11 Tex. 134 (60 Am. Dec. 230), - 322, 334 Coope V. Bowles, 43 Barb. 87; 18 Abb. Pr. 442, . . .338 V. Eyre, 1 H. Bl. 37, 65, 71, 80 V. Webb, 15 Sim, 454. - 914 Cooper, Ex parte, 1 M. D. & De G. 358, .... .541 V. Bailey, 53 Me. 230. 194, 1091 V. Coates, 21 Wall. 105, . 1067 V. Drouillard, 5 Blackf. 152, — V. Frf'derick, 4 G. Greene 1070 (Iowa), 403 (F. v. C. 3 id. 171), 434, 435, 544, 936 V. Hood, 26 Beav. 293, - 247 V. McNeill, 14 111. App. 403, .... 78G, 788 V. Metropolitan Bd. of Wks. 25 Ch. D. 473, - - 659 V. Reid, 2 Hill (S. Ca.) Ch. 549, .... 743, 772 V. Tappan, 9 Wis. 361, - 47 Coote V. Bank of U. S. 3 Cranch, C. C. 95, - 199, 439 Coover's Appeal, 29 Pa. St. 9 (aflf'g 3 Phila. 287), - 190, 1114 Iviii Cop.] TABLE OF CASES. [Cou. Copcutt V. Merchant, 4 Bradf. 18, 747, 750 Cope V. Warner, 13 S. & R. 411, 747 Copeland v. Crane, 9 Pick. 73, 937 Copes V. Fultz, 1 Sm. & Mar. (Miss.) G23, - - - 714, 723 Copland v. Toulmin, 7 CI. & Fin. 349, . - - - 181 Copley V. Lawliead.ll La. Ann. 615, 328 Coppage V. Barnett, 34 Miss. 621, 1153 Corbett, Re, 5 Sawy. 206, 1131,1133 Corbin v. McChesney, 26 III. 231, 647 Cornells v. Stanhope, 14 R. 1. 97, - - - - 412, 493, 1037 Corner v. Oilman, 53 Md. 364, 932, 934 Corning v. Abbott, 54 N. H. 469, 323 V. Grohe, 65 Iowa, 328, - 779 Cornwall v. Cornwall, 6 Bush, 369, 298 Corps V. Robinson, 2 "Wash. C. C. 388, ... - 331, 1154 Corrie v. Calder, 6 Rich. (S. Ca.) L. 198, .... 1169 Corser v. Cartwright, L. R. 7 H.L.731, .... 294 Corwin v. Suydam, 24 Ohio St. 209, - - - 425, 430, 1048 Cory V. Long, 2 Sweeny (N. Y.), 491, - - - 551, 552 Cosio V. DeBernales, Ryan & Moody, 102, - ... 139 Costeker v. Horrox, 3 Young & C. Ex. 530, - - - 972 Coster V. Bank of Georgia, 24 Ala. 37, ... 186, 1102 V. Clarke, 3 Edw. Ch. 411, 439, 446 V. Murray, 5 Johns. Cb. 523, 943 ▼. Thomason, 19 Ala. 717, 398, 697 Costello V. Nixdorfif, 9 Mo. App. 501, .... 614 Costley V. Towles, 46 Ala. 660, 739 V. Wilkerson, 49 Ala. 210, 714, 722 Cothay v. Fennell, 10 B. & C. 671, .... 1020, 1023 Cothran v. Knox, 13 S. Ca. 496, .... 770, 771 V. Marmaduke, 60 Tex. 370, - . 17, 23, 35, 43, 47 V. Perry, 8 Watts & S. 262, 72 Cottle V. Harrold, 72 Ga. 830, - 291 V. Leitch, 35 Cal. 434, 591, 939 Cotton V, Evans, 1 Dev. & Bat. (N. Ca.) Eq. 284, 347, 353, 354, 361 693, 1081 Cottrill V. Vanduzen, 32 Vt. 511, .... 1151, 1154 Cotzliausen v. Judd, 43 Wis. 213 (28 Am. Rep. 539), - 321, 427, 428, 1038, 1044 Couch V. Mills, 21 Wend. 424, 385 V. Woodruff, 63 Ala. 466, 17, 28, 479 Couchman v. Maupin, 78 Ky. 33, 824 Coudrey v. Gilliam, 60 Mo. 86, 942, 949, 950 Couilliard v. Eaton, 139 Mass. 105, - - - • - Couldery v. Bartrum, 19 Ch. D. 394, Course v. Prince, 1 Mill (S. Ca.), 413, V. Prince, 1 Mill (S. Ca.), 881 843 274 853 416 (12 Am. Dec. 649), - Coursen v. Hamlin, 2 Duer, 513, .... 770, 771 Coursey v. Baker, 7 Har. & J. 28, . - - - 341, 381, 383 Coursin's Appeal, 79 Pa. St. 220, 70 Courtney v. Wagstaff, 16 C. B. N. S. 110, - ... 88 Courts V. Happle, 49 Ala. 254, 59 Ux Cov.J TABLE OF CASES. [Cra. Coventry v. Barclay, 33 Beav. 1 ; and on app. 3 De G. J. & Sm. 320, - - - - 245 V. Barclay, 3 D. J. & S. 320 (on app. from 33 Beav. 1), 211, 215, 245, 954 Coverly v. Braynard, 28 Vt. 738, 1126 Coville V. Oilman, 13 W. Va. 314, - - - 910, 914, 1160 Covington v. Leak, 88 N. Ca. 133, 854 Co%van v. Baird, 77 N. Ca. 201, 1067 V. Gill, 11 Lea (Tenn.), 674, - - 825, 828, 838, 839 V. Iowa State Ins. Co. 40 Iowa, 551 (20 Am. Rep. 583), 271 V. Kinney, 33 Oh. St. 422, 1151, 1154 V. Mclntyre, 19 Up. Can. Q. B. 607, .... 1056 Cowand v. Pulley, 11 La. Ann. 1, 328 Cowart V. Perrine, 18 N. J. Eq. 454, - - - - 942, 946 Cowden v. Cairns, 28 Mo. 471, 291, 295 V. Elliott, 2 Mo. 60, - - 723 Cowdin V. Hurford, 4 Oh. 132, 454, 1049, 1117, 1118, 1119 Cowell V. Sikes, 2 Russ. 191, - 832 Cowles V. Garrett, 30 Ala. 341, 64 Cox V. Cox, 2 Porter (Ala.), 533, 389 V. Delano, 3 Dev. L. 89, - 38 V. Harris, 48 Ala. 538, - 1066 V. Hickman, 8 H. L. 268, 18, 19, 42, 47, 55, 323, 1052 V. Hubbard, 4 C. B. 317, 1023 V. McBurney, 3 Sandf. 561, 281 V. Miller, 54 Tex. 16, 139, 826 V. Peters, 13 N. J. Eq. 39, 993, 997 V. Piatt, 82 Barb. 126; 19 How. Pr. 121, - - - 566 Cox V. Russell, 44 Iowa, 556, - 821, 1111, 1113 V. Volkert, 86 Mo. 505, 907, 993 V. Willoughby, 13 Ch. D. 863, .... 216, 244 Crabtree v. Clapham, 67 Me. 320; 72 id. 473, . - 274,275 V. May, 1 B. Mon. 289, - 145 V. Randall, 133 Mass. 552, 788, 801 Craft V. McConoughy, 79 111. 346, .... 112, 119 Cragg V. Ford, 1 Younge & Coll. Ch. 280, 762, 763 1160 Cragin v. Carleton, 21 Me. 493, V. Gardner (Mich.), 31 N. W. Rep. 206, - . 725, 1065 Craig V. Alverson, 6 J. J. Mar. 609, . . . 96,416,700 V. Chandler, 6 Colorado, 543, .... 136, 938 V. Hulschizer, 34 N. J. L. 363, - - . 383, 1037, 1039 Cram v. Union Bank of Roch- ester, 4 Keyes, 558; 1 Abb. App. Dec. 461 ; 42 Barb. 426, 633 Cramer v. Bachmann, 68 Mo. 310, .... 775, 777 707 V. Metz, 57 N. Y. 659, Crampton v. Jerowski, 2 Fed. Rep. 489, .... 563 Crane v. Barry, 60 Ga. 362, . 942 V. French, 1 Wend. 311, 377, 379, 1114 V. Gloster, 13 Nev. 379, . 1170 V. Morrison, 4 Sawy. 138; 17 Bankr. Reg. 393, 551, 557, 561, 567, 1109 Cranor v. Winters, 75 Ind. 301, 137 Crary v. Williams, 2 Oh. 65, . 201 Craven v. Edmonson, 6 Bing. 734, 750 V. Knight, 2 Ch. Rep, 226, 845 Crawford v. Austin, 34 Md. 49, 43 V. Baum, 12 Rich. L. 75, - 1114 V. Collins, 45 Barb. 269; 30 How. Pr. 398, - - - 193 Cra.] TABLE OF CASES. [Ceo. Cmwford v. Hamilton, 3 Madd. 254, - - - - - 158 V. Spotz, 11 Phila. 255, - 761 V. Stirliu-, 4 Esp. 207, - 349 V. Thoroughmau, 13 Mo. App. 579, .... 862 Ci'awshay v. Collins, 15 Vqs. 218; 1 J. & W. 267; 2 Euss. 325, 316, 255, 658, 755, 794, 796, 797, 967, 971, 974 V. Maule, 1 Swanst. 495, - 158, 163, 257, 281, 286, 573, 603, 679, 977, 1013 Creath v. Smith, 20 Mo. 113, - 294 Creel v. Bell, 2 J. J. Mar. 309, 1030 Cregler v. Durham, 9 Ind. 375, 150, 375, 1143 Cremer v. Higginson, 1 Mason, 823, - - . . 653, 656 Crenshaw v. Wickersham, 15 Iowa, 154, .... 1094 Crescent City v. Camp, 64 Tex. 521, . - - . 718, 719 Crescent Ins. Co. v. Baer (Fla. 1887), 1 So. R. 318, - 137, 1103 Cresson's Appeal, 91 Pa. St. 168, - ' - - - - 941 Cresswell v. Oberly, 17 III. App. 281, - ... 4 Greswell v. Blank, 8 Grant's Cas. (Pa.) 330, - - - 749 Crews V. Lackland, 67 Mo. 619, 1094 Criley v. Vasel, 53 Mo. 445, - 547 Crisp, Ex parte, 1 Atk. 133, - 830 Crites v. Wilkinson, 65 Cal. 559, 403 Crocker v. Col well, 46 N. Y. 213, - . • 443, 444, 445, 450 Crockett v. Crain, 33 N. H. 543, ... - 835, 847 Crockford v. Alexander, 15 Ves. 138, .... 990 Croft, Re, 17 Bankr. Reg. 324; 8 Biss. 188, .... 1131 V. B. & O. R. R. 1 Mac- Arthur (D. C), 493, - - 66 Cron V. Cron, 56 Mich. 8, - 566 Cronkhite v. Herrin, 15 Fed. Rep. 888, .... 704 Cronly v. Bank of Ky. 18 B. Mon. 405, - - - 094, 695 Crook V. Davis, 28 Mo. 94, - 1151 V. Rindskopf, 105 N. Y. 476 (rev. s. c. 34 Hun, 457), 5G9 V. Taylor, 12 111. 353, - 1169 Crooker v. Crooker, 46 Me. 250 (9 Am. Law. Reg. O. S. 539), 584, 1109 V. Crooker, 53 Me. 267, 453, 527, 820, 1111 Crooks V. Smith, 1 Grant's Ch. (Up. Can.) 356, - . - 934 Croone v. Bivens, 2 Head, 339, 533, 551, 553 Cropper v. Coburn, 3 Curt. C. C. 465, - - 915, 1106, 1107, 1109 v. Knapman, 2 Y. & C. Ex. 338 ; 6 L. J. N. S. Ex, Eq. 9, 935 Crosby v. Jeroloman, 37 Ind. 264, .... 454, 535 V. Dermitt, 7 Cal. 146, 276, 870, 871, 872, 873 V. Nichols, 3 Bosw. 450, 561, 893 Cross V. Cheshire, 7 Ex. 43, - 895 V. Hopkins, 6 W. Va. 333, 1013 V. Langley, 50 Ala. 8, • 1151 V. National Bank, 17 Kan. 336, 173, 507, 510, 511, 513, 515, 1155 V. Williams, 7 H. & N. 675, 75 Crossley v. Taylor, 83 Ind. 337, 853, 865 Crossman v. Shears, 3 Ont. App. 583, - - - 404, 438 Crosswell v. Lehman, 54 Ala. 363 (35 Am. Dec. 684), - 375, 544 Crosthwait v. Ross, 1 Humph. 33 (34 Am. Dec. 613), - 341, 344, 318, 371, 374 Crottes V. Frigerio, 18 La. Ann. 383, .... 851 Ixi Ceo.] TABLE OF CASES. [CXJB. Crouch V. Bowman, 3 Humph. 209, - - - 199, 200, 453 V. Woodruff, 63 Ala. 466, 779 Croughtoii V. Forrest, 17 Mo. 131, - - 410, 544, 545, 790 Crow V. Drace, 61 Mo. 225, 281, 291 V. Green, 111 Pa. St. 637, 882 V. Weidner, 36 Mo. 413, 726, 734 Crowder, Ex parte, 2 Vernon, 706, 825 Crovvell V. Western Reserve Bk. 3 Oh. St. 406, - - 1147 Crowley v. Barry, 4 Gill, 194, 697 Crowninshield v. Strobel, 2 Brev. (S. Ca.)80, - - - 1130 Crozier v. Kirker, 4 Tex. 252 (51 Am. Dec. 724), 200, 341, 361, 430, 439 V. Shauts, 43 Vt. 478, 545, 1045 Cruess v. Fessler, 39 Cal. 336, - 657 Cruikshank v. McVicar, 8 Beav. 106, - - - - 919 Crumless v. Sturgess, 6 Heisk. (Tenn.) 190, - - - 467, 700 Cruttwell V. Lye, 17 Ves, 335 ; 1 Rose, 123, 657, 664, 666, 667, 669 Cubitt V. Porter, 8 B. & C. 257, 274 Culbertson v. Townsend, 6 Ind. 64, 724 Culley V. Edwards, 44 Ark. 423, - - - - 23, 47, 908 Cullum V. Batre, 1 Ala. 126, - 746 V. Bloodgood, 15 Ala. 34, 401, 406 Cumraings' Appeal, 25 Pa. St. 268 (64 Am. Dec. 695), - - 847 Cummings v. Morris, 25 N. Y. 625, - - - 850, 880, 930 V. Fullam, 13 Vt. 441, - 1106 V. Parish, 39 Miss. 413, - 333 Cummins v. Cassily, 5 B. Mon. 74, 416 Cumpston v. McNair, 1 Wend. 457, - - - 26,33,1135 Cunliff V. Dyerville Mfg. Co. 7 R. L 325, - - - 770, 776 Cunningham v. Bragg, 37 Ala. 436, 694 V. Carpenter, 10 Ala. 109, 383, 1169 V. Green, 23 Ohio St. 296, 114, 784 V. Gushee, 73 Me. 417, - V. Ihmsen, 63 Pa. St. 351, 847 530, 881 V. Littlefield, 1 Edw. Ch. 104, 383 V. Munroe, 15 Gray, 471, 754, 1026 V. Smith, 11 B. Mon. 325, 764, 978, 985 V. Smithson, 13 Leigh, 33, 439, 440, 441, 1056, 1057 V. Sublette, 4 Mo. 224, 330, 331 Currey v. Warrington, 5 Har. (Del.) 147. - - 454. 456, 750 Currier v. Bates, 63 Iowa, 537, 763 V. Rowe, 46 N. H. 73, - 875 V. Silloway, 1 Allen, 19, - 1146, 1154, 1159 V. Webster, 45 N. H. 226, 875 Curry v. Allen, 55 Iowa, 318, 861, 894 V. Burnett, 36 Ind. 279, - 690 V. Fowler, 87 N. Y. 33 (41 Am. Rep. 343), (affg. 14 Jones & Sp. 195), - - - 23, 47, 49 V. Kurtz, 33 Miss. 24, - 700 V. Roundtree, 51 Cal. 184, 1095, 1096 V. Stokes, 12 R. L 53, - 1057 V. White, 51 Cal. 530, 094, 700, 704 Curtin v. Munford, 53 Ga. 168, 1007 Curtis V. Belknap, 31 Vt. 433, 1033 V. Cash, 84 N. Ca. 41, - 61 V. Gokey, 68 N. Y. 300 (rev. 5 Hun, 555), - - - 676 V. Hollingshead, 14 N. J. L. 403, 173, 454, 1049, 1117, 1118, 1119 V. Monteith, 1 Hill, 356, - 1166 V. Woodward, 58 Wis. 499 (46 Am. Rep. 647), 833, 834 Izii Cur.] TABLE OF CASES. [Dav. Curyea v. Beveridge, 94 HI. 424, 966 Gushing v. Marston, 12 Cush. 431, 1018 V. Smith, 43 Tex. 261, 107, 108 Cushman v. Bailey, 1 Hill, 536, 47 Cutler V. Hake, 47 Mich. 80, - 262 V. Thomas, 25 Vt. 73, 72, 73, 458, 1136, 1145 V. Winsor, 6 Pick. 335 (17 Am. Dec. S85), - - - 45, 59 Cutts V. Haynes, 41 Me. 560, - 1094 D. Dabney v. Stidger, 4 Sm. «fe Mar. 749, - - - 398, 452 Daby v. Ericsson, 45 N. Y. 786, 722, 731 Dages V, Lee, 20 W. Va. 584, 524, 527 Dahlgreen v. Duncan, 7 Sm. & Mar. 280, - - 531, 747, 825, 828 Dailey V. Blake, 35 N. H. 9, - 614 Dakin v. Graves, 48 N. H. 45, 887, 892 Dale V. Hamilton, 5 Hare, 369, 2, 803, 331 V. Kent, 58 Ind. 584, - 930 V. Thomas, 67 Ind. 570, - 853. 866 V. Pierce, 85 Pa. St. 474, 41, 43 Dales V. Weaber, 18 W. R. 993, 677 Dalton City Co. v. Dalton Mfg. Co. 83 Ga. 243, - - 45, 723 V. Haws, 37 Ga. 115, - 45 Dampf s Appeal, 106 Pa. St. 73, 926, 966 Dana v. Barrett, 3 J. J. Mar. (Ky.)8, .... 858 V. Conant, 30 Vt. 246, 531, 690 V. Gill, 5 J. J. Mar. 243 (20 Am. Dec. 255), 275, 856, 889 V. Lull, 17 Vt. 391, - 338, 583 V. Stearns, 3 Cush. 372, - 145 Danaher v. Hitchcock, 34 Mich. 516, - - - - 1068 Danbury Cornet Band v. Bean, 54 N. H. 524, ... 75 Dance v. Gridler, 1 B. & P. N. R. 84, 650 Danforth v. Carter, 1 Iowa, 546, 1121 V. Carter, 4 Iowa, 230, - 1143, 1158 Daniel v. Daniel, 9 B. Mon. 195, 383, 1033, 1042 V. Nelson, 10 B. Mon. 316, 700 V. Owens, 70 Ala. 297, - 1101, 1108, 1111 V. Toney, 2 Met. (Ky.) 523, .... 416, 420 V. Townsend, 21 Ga. 155, 750 Daniels, Petition of, 14 R. I. 500, - - - 338, 340, 418 Danvers v. Dorrity, 14 Abb. Pr. 206, .... 976 Dauvill Co. V. Parks, 88 111. 170, 177 Darby v. Darby, 3 Drewry, 495, - - - 279, 297, 974 Darden v. Crosby, 30 Tex. 150, 554 Darland v. Roseucrans, 56 Iowa, 122, ... - 561 Darling v. Bellhouse, 19 Up. Can. Q. B. 263, - - - 23, 83 V. Boston & C. R. R. 11 Allen, 295, .... 66 V. Magnan, 13 Up. Can. Q. B. 471, - - - 609,618 V. March, 22 Me. 184, 349, 362, 364, 899, 696 Darlington v. Garrett, 14 111. App. 238, - - - ' - 360 Darlington Banking Co., Ex parte, 4 Da G. J. & S. 581, 341, 360 Darrow v. St. George, 8 Colo. 592, ... - 40, 43 Darst V. Roth, 4 Wash. C. C. 471, .... 293, 416 Dart V. Farmers' Bank, 27 Barb. 337, .... 566 Davenport v. Davis, 23 Me. 24, 361 E Ixiii Day.] TABLE OF CASES. [Day. Davenport v. Gear, 3 111. 495, V. Ruulett, 3 N. -H. 386, 8G1 347, 3G2 David V. Birchard, 53 Wis. 493, - - - 147, 560, 562 V. Ellice, 5 B. & C. 196; 7 D. & R. 690 (affirming s. C. as David v. Ellis, 1 C. & P. 368), '- - - 505, 520, 528 Davidson v. Kelly, 1 Md. 492, 420, 438, 445, 448, 525 V. Knox, 67 Cal. 143, - 1061, 1086 V. Robertson, 3 Dow. 218, 107 V. Street, 31 Ala. 125, - 1091 V. Thirkell, 3 Grant's Ch. (Up. Can.) 330, 595, 780, 785, 897 V. Weems, 58 Ala. 187, 722, 724 D?,vies V. Davies, 2 Keen, 534, 743, 924, 926 V. Hodgson, 25 Beav. 177, 664, 665 • V. Skinner, 58 Wis. 638 (46 Am. Rep. 65), - - - 893 Davis, Estate of, 5 Whart. 530 (34 Am. Dec. 574), - 527, 695 , Ex parte, 4 De G. J. & Sm. 523, 88 V. Allen, 3 N. Y. 168, 150, 608 V. Ames, 3 Drew, 64, - 232 V. Anable, 2 Hill, 339, - 538 V. Berger, 54 Mich. 652, - 336 V. Blackwell, 5 111. App. 32, - - 348, 349, 351, 360, 448 V. Briggs, 39 Me. 304, 683, 884 V. Buchanan, 12 Iowa, 575, 1064 V. Choteau, 33 Minn. 548, 1029 V. Christian, 15 Gratt. 11, 298, 299, 598, 600, GDI V. Church, 1 "Watts & S. 240, 722 V. Church, 1 E. D. Smith, 279; 8N. Y. 452, - - - 1031 V. Cook, 9 Nev. 184, - 347, 1058, 1086 V. Cook, 14 Nev. 265, 344, 361, 367 Davis V. Davis, 60 Miss. 615, 910, 913 V. Dodge, 30 Mich. 267, - 424, 427, 647 V. Evans, 39 Vt. 182, - 78 V. Gelhaus, 44 Oh. 69, 481, 483, 487 V. Grove, 2 Robt. (N. Y.) 134; id. 635 (27 How. Pr. 70), 929, 995 V. Howell, 33 N. J. Eq. 72, 825, 833 V. Keyes, 38 N. T. 94, - 621 V. Kline, 76 Mo. 310, - 1065 V. Lane, 10 N. H. 161, - 581 V. Merrill, 51 Mich. 4S0, 882, 884 V. Michelbacher (Wis.), 31 N. W. Rep. 160, - - - 1006 V. Morris, 10 Q. B. D. 436, 1059 V. Richardson, 45 Miss. 499, - - - 323, 329, 371 V. Ruff, Cheves (S. Ca.), 17, 1023, 1032 V. Scarritt, 17 111. 202, - 1071 V. Smith, 27 Minn. 390; 29 id. 201, 412, 493, 1043, 1047, 1048 ■ V. Sowell, 77 Ala. 262, 711, 715, 716, 726, 730 V. Spencer, 24 N. J. 386, - 1080 V. Werden, 13 Gray, 305, 1118 V. White, 1 Houst. 223, - 1105 V. Willis, 47 Tex. 154, 454, 613, 1049, 1050 Davison v. Robertson, 3 Dow. 218, 341 Daw V. Rooke. See Rooke v. Nisbet, 804 Dawson v. Beeson, 22 Ch. D. 504, .... 242, 667 v. Dawson, 1 Atk. 1, - 963 V. Gurley, 22 Ark. 381, - 59 V. Wilson, 55 Ind. 216, - 1079 Day V. Lafferty, 4 Ark. 450, - 419 V. Lockwood, 24 Conn. 185, - - 758,764,781,899 V. McLeod, 18 Up. Can. Q. B. 256, - - - - 351 Ixiv Day.] TABLE OF CASES. [Dem. Day V. McQuillan, 13 Minn. 205, 1103 V. Stevens, 88 N. Ca. 83 (43 Am. r.ep. 732), - - Gl V. Wetherby, 20 Wis. 3_G3, 5G8 Dayton v. Bartlett, 38 Oh. St. 357, - - - . 714, 772 V. Wilkes, 17 How. Pr. 510, - - - 660,664,669 V. Wilkes, 5 Bosw. 655, 551, 557, 927 Deal V. Bogue, 20 Pa. St. 228 (57 Am. Dec. 702), 1106, 1111 Dean v. Dean, 54 Wis. 23, 252, 605 V. Emerson, 102 Mass. 480, 676, 677 V. Harris, 33 L. T. N. S. 639, 22, 47 V. McFaul, 23 Mo. 76, - 508 V. Macdovvell, 8 Ch. D. 345, .... 306, 793 V. Nevvhall, 8 T. R. 168, - 385 V. Phillips, 17 Ind. 406, - 825, 847, 848 Deane v. Hutchinson, 40 N. J. Eq. 83, - - - - 1111, 1112 Dear, Ex parte, 1 Ch. D. 519, 563 Dearborn v. Keith, 5 Cush. 224, .... 583, 754 V. Patton, 44 Ala. 584, - 1065 Deardorf v. Thacher, 78 Mo. 128 (47 Am. Rep. 95), - 329, 343, 344, 345, '361, 363 Dearing v. Smith, 4 Ala. 433, 1158 De Berkom v. Smith, 1 Esp. 29, 91 De Caussey v. Baily, 57 Tex. 665, - - - 565, 824, 1109 Deckard v. Case, 5 Watts, 23 (30 Am. Dec. 287), 340, 403, 418, 583, 587 Decker v. Howell, 43 Cal. 636, 329, 370 V. Ruckman, 28 N. J. Eq. 614, 114 Deckert v. Filbert, 3 Watts & S. 454, - - - - 339, 688 Decreet v. Burt, 7 Cush. 551, 883 Deoks V. Stanhope, 14 Sim. 57, - - - - - 914 Deere v. Plant, 43 Mo. 60, - 507 Deering v. Flanders, 49 N. H. 225, - - 150, 608, 618, 625 Deeter v. Sellers, 103 Ind. 458, 184 De Grieil v. Wilson, 30 N. J. Eq. 435, - - - - - 1016 De Groct v. Darby, 7 Rich. L. 18, 1024 Dehority v. Nelson, 56 Ind. 414, 936 Degan v. Singer, 41 111. 28, 1151 Deitz V. Regnier, 27 Kan. 94, - 323, 341, 348, 361, 370, 372, 1153 De Jarnette v. McQueen, 31 Ala. 230, 453, 453, 453a, 853, 859, 881 Delaney v. Dutcher, 23 Minn. 373, V. Tlmberlake, 23 Minn. 383, 53 43 75 764 127 Delauney V. Stickland, 2 Stark. 416, De Lazardi v. Hewitt, 7 B. Mon. 697, .... De Leon v. Trevino, 49 Tex. 88, Delhasse, Ex parte, 7 Ch. D. 511, - - - - 17, 29, 49 Dell, In re, 5 Sawy. 344, - 760, 845 Delmonico v. Guillaume, 3 Sandf. Ch. 366, - - - 281 V. Roundebush, 2 Mc- Crary C. C. 18, - - - 307 Delo V. Banks, 101 Pa. St. 458, 1003 Deloney v. Hutcheson, 2 Rand. (Va.) 183, - - 282, 286 Demarest v. Rutan, 40 N. J. Eq. 356, - - 799, 909, 987 De Mautort v. Saunders, 1 B. & Ad. 398, - - - 151, 1053 Deming v. Colt, 3 Sandf. 284, 281, 338 Demoss v. Brewster, 4 Sm. & Mar. 661, - - - - 1085 Ixv Dem.] TABLE OF CASES. [Dio. Demott V. Swaira, 5 Stew. & Por. 293, . - - - 10D2 Denithorne v. Hook, 113 Pa. St. 240, 95 Denman v. Dosson, 19 La. Ann. 9, 612 Dennis v. Ray, 9 Ga. 449, 331, 556 Denny v. Cabot, 6 Met. 83, 39, 43 V. Metcalf, 28 Me. 389, 900, 904 V. Piiraeau, 35 Mo. 529, - 733 V. Turner, 3 Mo. App. 53, 733, 734 V. Ward, 3 Pick. 199, 1099, 1114 Densmore v. Mathews, 58 Mich. 616, 1135 Densmore Oil Co. v. Densmore, 64 Pa. St. 43, - - 304, 30G Dent V. Slough, 40 Ala. 518, - 925 V. Turpin, 2 J. & H. 139, 69 Denton v. Erwin, 6 La. Ann. 317, . - - . 954, 1137 V. Rodie, 3 Camp. 493, 370, 440, 441 Denver v. Roane, 99 U, S. 355, 589, 711, 730, 739, 770, 773, 773, 775, 916, 923 De Pusey v. Dupont, 1 Del. Ch. 83, 283 Derraani v. Home Mut. Ins. Co. 26 La. Ann. 69, - - 273 Derby v. Gage, 38 111. 37, 788, 930 Desha v. Holland, 12 Ala. 513 (46 Am. Dec. 261), - - 1023 V. Smith, 20 Ala. 747, - 781, 978, 979 Despatch Line V. Bellamy Man. Co. 13 N. H. 205, - - 418, 420 Dessaint v. Elling, 31 Minn. 3S7, .... 1067, 1073 De Tastet v. Bordenave, Jac. 516, 995 V. Carroll, 1 Stark. 88, 376, 437 V. Shaw, 1 B. & Aid. 064, 883 Delhlefs v. Tamsen, 7 Daly, 354, - . - - 663, 664 Detroit v. Robinson, 48 Mich. 193, .... 376, 408 Deux V. Jeffries, Croke's Eliz. 353, 883 Devall V. Burbridge, 6 W. & S. 529, 761 Devaynes v. Noble, 1 Mer. 529 (affd. in 2 R. & M. 495), 496, 748 V. Noble (Baring's Case), 1 Mer. 611, T - - - 480 (Brice's Case), id. 620, - 610 (Clayton's Case), id. 572, 480, 518 (Houlton's Case), id. 616, 610 (Johnes' Case), id. 619, - 610 (Sleech's Case), id. 539, - 518, 748 Deveau v. Fowler, 2 Paige, 400, 551, 556, 739 Deveney v. Mahoney, 23 N. J. Eq. 247, - - - - 283 Devin v. Devin, 17 How. Pr. 514, 141 V. Harris, 3 G. Greene (Iowa), 186, - - - 333, 334 Devol V. Mcintosh, 23 Ind. 529, 504, 637 Devoss V. Gray, 23 Oh. St. 189, 75 Dewdney, Ex parte, 15 Ves. 499, 705 Dewey v. Dewey, 35 Vt. 455, 281, 451 Dewit V. Staniford, 1 Root (Conn.), 370, - - - 853 De Wolf V. Howland, 2 Paine, C. C. 356, ... 64, 71 Dexter v. Arnold, 3 Mason, 284, 786 De Zeng v. Bailey, 9 Wend. 336, 385 Dial V. Rogers, 4 Dessaus. (S. Ca.) 175, - ... 955 Diamond Match Co. v. Roeber, 35 Hun, 421, - - - 676 Dickin, Ex parte, L. R.^20 Eq. 249, - - - "- - 842 Dickenson v. Lockyer, 4 Ves. 36, 487 Dickerson v. Wheeler, 1 Humph. 51, - - - - 690 Izvi Die. J TABLE OF CASES. [Don. Dickinson v. Bold, 3 Desaus. (S. Ca.) 501, - - - - 575 V. Dickinson, 29 Conn. 600, 974 V. Dickinson, 25 Gratt. 331, - - - 610, 612, 021 V. Granger, 18 Pick. 315, 864 V. Legare, 1 Desaus. (S. Ca.) 537, - - 403, 405, 420 V. Vulpy, 10 B. & C. 128, 83, 87, 91, 94, 329, 345 Dickson v. Alexander, 7 Ired. L. 4, - - - 348, 373 V. Burke, 28 Tex. 117, - 1057 V. Collins, 17 Ala. 635, - 1168 V. Indianapolis Cotton Mfg. Co. 03 Ind. 9, - - 709 Dickson Crucible Co. v. Gug- genheim, 2 Brewst. 321, - 672 Dieckmann v. St. Louis, 9 Mo. App. 9, 823 Digby, Ex parte, 1 Deac. 341, 44 Diggs V. Brown, 78 Va. 293, - 281, 290, 297, 823 Dillard v. Scruggs, 36 Ala. 670, 43, 60 Dillon V. Brown, 11 Gray, 179, 299, 417, 418 V. Kauffman, 58 Tex. 696, 524 V. McRae, 40 Ga. 107, - 372 Dils V. Bridge, 23 W. Ya. 20, 42, 43 Dilworth v. Mayfield, 36 Miss. 40, - - - 290, 293, 294, 822 Dimon v. Hazard, 32 N. Y. 65, 551, 560 Dimond v. Henderson, 47 Wis. 172, - - - 788, 918, 983 Dinham v. Bradford, L. R. 5 Ch. App. 519, - 247, 785, 1012 D'Invillier'a Estate, 13 Phila. 362, .... 825, 833 Dishon V. Schorr, 19 111. 59, - 1080 Ditsche v. Becker, 6 Phila. 170, 43,44 Ditts V. Lonsdale, 49 Ind. 521, 364 Divine v. Mit6hum, 4 B. Mon. 483 (41 Am. Dec. 241), 281, 290, 291, 295, 823, 1111 Dix V. Mercantile Ins. Co. 23 111. 273, 273 V. Otis, 5 Pick. 38, 85, 508, 1140 Dixon V. Barclay, 23 Ala. 370, 1153 V. Dixon, 19 Iowa, 513, - 1029 V. Hammond, 3 B. & Al. 310, 723 V. Hood, 7 Mo. 414(38 Am. Dec. 461), - -1151,1154,1163 Doak V. Swann, 8 Me. 170, - 33 Doane v. Adams, 15 La. Ann. 350, 229 Dob V. Halsey, 16 Johns. 34 (8 Am. Dec. 293), 347, 363, 1043, 1048, 1083 Dobell V. Loker, 1 Handy, 574, 1065 Dobson V. Chambers, 78 N. Ca. 334, 1154 Dodd V. Dreyfus, 17 Hun, 600 ; 57 How. Pr. 319, - - - 534 Doddington v. Hallet, 1 Ves. Sr. 497, .... 70, 457 Dodds V. Rogers, 68 Ind. 110, 1153, 1170 Dodge V. McKay, 4 Ala. 346, - 414 Dodgson, Ex parte, Mont. & Mac. 445, - . - - 164 Dodson V. Dodson, 6 Heisk. (Tenn.) 110, - - - 742, 771 Doe ex dem. Colnaghi v. Bluck, 8 C. & P. 464, - - 286, 709 Doe ex dem. v. Miles, 4 Camp. 373; 1 Stark. 181, - - - 575 Doe ex dem. Overton v. Roe, 9 Dowl. 1039, - . - . 1085 Doe ex dem. Smith v. Tupper, 4 Sm. & Mar. 261 (43 Am. Dec. 483). - - - 414, 416 Doggett V. Dill, 108 lU. 560 (48 Am. Rep. 565), - 750, 825, 838 V. Jordan, 3 Fla. 541, - 1135 Dolman v. Orchard, 3 C. & P. 104, 441 Donahue v. McCosh, 70 Iowa, 733, .... 788, 959 Donald v. Hewitt, 33 Ala. 534, 70, 406 Ixvii Don.] TABLE OF CASES. [Dra. Donaldson v. Bank of Cape Fear, 1 Dev. (N. Ca.) Eq. 103 (18 Am. Dec. 577), 183, 184, 296, 299, 927 V. Williams, 1 Cr. & M. 345, 335 Donally v. Ryan, 41 Pa. St. 30G, 446 Donellan v. Hardy, 57 Ind. 393, ... - 1102, 1111 Doiielson v. Posey, 13 Ala. 753, 181 Doner v, Stauffer, 1 Pa. (Pen. & W.) 198 (31 Am. Dec. 370), 190, 824, 1111, 1113 Doniphan v. Gill, 1 B. Mon. 199, 420, 535 Donley v. Bank, 40 Oh. St. 47, 454, 655 V. Hall, 5 Bush, 549, - 86 V. Hall, 40 Oh. St. 47, - 655 Donnell v. Harshe, 67 Mo. 170, 29, 37, 61 V. Jones, 13 Ala. 490 (18 Am. Dec. 59), . - 1031, 1034 V. P. & O. R. R. 76 Me. 33, 1081 Donoho V. Fish, 58 Tex. 164, - 338 Doro V. Wilkinson, 2 Stark. 287, 403 Doremus v. McCormick, 7 Gill (Md.), 49, - 831, 382, 465, 480 Dorsey v. Dashiell, 1 Md. 198, 630. 638 V. Wayman, 6 Gill, 59,' - 489 Doty V. Bates, 11 Johns. 544, 197, 343, 846, 361 Doubleday v. Muskett, 7 Bing. 110, 74, 89 Dougal V. Cowles, 5 Day, 511, 437, 441 Dougherty v. Smith, 4 Met. (Ky.), 279, .... 1024 V. Creary, 30 Cal. 290, 163, 433 V. Van Nostrand, 1 Hoff. Ch. 68, . - 658, 7T0, 785, 974 Douglas V. Patrick, 3 T. R. 683, 406 Ixviii Douglas V. United States, 14 Ct. of Claims, 1, - - - 582 V. Winslow, 20 Me. 89, - 180, 1105, 1114 Douglass V. Brown, 37 Tex. 528, 905 Bounce v. Parsons, 45 N. Y. 180, .... 446, 477 Doupe V. Stewart, 13 Grant's Ch. (Up. Can.) 637, 578, 995, 997, 1003 Douthitt V. Stinson, 73 Mo. 199, 296 Dow V. Sayward, 13 N. H. 271 (affd. 14 id. 9), - 67, 323, 1113 V. Sayward, 14 N. H. 9, 67, 180, 1106, 1122 V. Smith, 8 Ga. 551, 350, 1121 Dowell V. Mitchell, 105 U. S. 430, 749 Dowling V. Clarke, 13 R. I. 134, 849 Downer v. Harrison, 2 Gratt. 250, 1065 Downing, Re, 1 Dili 33; 3 Bankr. Reg. 748, - . 560, 882 V. Linville, 3 Bush, 472, 412, 493 Downs V. Collins, 6 Hare, 418, 51, 249 Dowzelot V. Rawlings, 58 Mo. 75, - 609, 626, 693, 700, 1151 Doyle V. Bailey, 75 III. 418, . 78 Dozier v. Edwards, 3 Litt. (Ky.) 67, 930 Drake, Ex parte, cited in 1 Atk. 225, .... 845 V. Blount, 2 Dev. (N. Ca.) Eq. 353, - - . 717, 750 V. Brander, 8 Tex. 351, - 1121 V. Elwyn, 1 Caines, 184 (overruled in part in 1 N. Y. 242), - - 191, 201, 8G1, 1135 — V. Moore, 66 Iowa, 58, . 1131 — V. Ramey, 3 Rich. L. (S. Ca.) 37, ... 43, ic8 — V. Rogers, 6 Mo. 317, - 338 — V. Taylor, 6 Blatch. 14, . 453a, 641 Dra.] TABLE OF CASEfe. [Dun. Drake v. Thyng, 37 Ark. 228, - 403, 401 V. Williams, 18 Kan. 98, 629 Draper v. Bissell, 3 McLean, 275, .... G94, 698 Drcner v. ^tna Ins. Co. 18 Mo. 128, . ... 273 Drenncn v. London Assur. Corp. 20 Fed. Rep. 657 (re- versed in part, 113 U. S. 51. See Loudon Assur. Corp. v. Drenuen, 116 U. S. 461), 81, 271, 272 Dresser v. Wood, 15 Kan. 844, 1085 Drew V. Beard, 107 Mass. 64, 793, 936, 988 V. Drew, 2 Ves. Sc Bea. 159, 966 V. Person, 22 Wis. 651, 852, 854 Driggs V. Morely, 2 Pin. (Wis.) 403; 2Chand. 59, - - - 927 Driver v. Burton, 17 Q. B. 989, 438, 1017 Drumright v. Philpot, 16 Ga. 424 (60 Am. Dec. 738), 331,402, 414, 416, 418, 429 Drury v. Roberts, 2 Md. Ch. 157, ... 993, 997, 999 Dry v. Boswell, 1 Camp. 329, 16, 59 v. Davy, 10 A. & E. 30; 2 Perry & Dav. 219, - - 649 Dryer v. Sander, 48 Mo. 400, 201, 205, 439 Dubois' Appeal, 38 Pa. St. 231, 418 Duborrow's Appeal, 84 Pa. St. 404, - - - 928, nil, 1112 Du Bree v. Albert, 100 Pa. St. 483, 289 Dudley v. Little, 2 Oh. St. 504, 113 V. Littlefield, 21 Me. 418, 194, 279, 353, 367 Duff V. East India Co. 15 Ves. 198, - - - 381, 681, 683 V. Maguire, 107 Mass. 87, 770, 776, 854 Duffield V. Brainerd, 45 Conn. 424, - - - - 218, 580 Duffill V. Goodwin, 23 Grant's Ch. Up. Can. 431, - - 891 Duffy V. Gray, 53 Mo. 523, - 1031, 1033 V. Shockey, 11 Ind. 71, - 677 Dulaney v. Rogers, 50 Md. 524, 803 Dulles V. De Forest, 19 Conn. 190, 651 Dumont v. Ruepprecht, 38 Ala, 175, 230, 255, 591, 594, 597, 775 Dunbar v. Bullard, 2 La. Ann. 810, 301 v. Garrity, 58 N. H. 575, 496 Duncan, Re, 10 Daly, 95, - 835 v. Clark, 2 Rich. L. 587, - 352 v. Lewis, 1 Duv. (Ky.) 183, 446, 507, 508 V. Lowndes, 3 Camp. 478, 349, 364, 365 V. Rawls, 16 Tex. 478, - 963 V. Tombeckbee Bank, 4 Porter (Ala.), 181, - 1091,1093 Duncklee v. Greenfield Steam MiU Co. 3 Foster, 245, 883, 394 Dunham v. Gillis, 8 Mass. 463, 863, 872, 873. 889 V. Hanna, 18 Ind. 270, 5G0, 834 V. Murdock, 2 Wend. 553, 1114 -:: V. Presby, 120 Mass. 285, 114, 119, 121, 128 V. Rogers, 1 Barr, 255, 43, 45 Dunkerson, Re, 4 Biss. 277, - 835 Dunkerson, Re, 4 Biss. 323; 12 Bankr. Reg. 391, - - - 825 Dunkle, Re, 7 Bankr. Reg. 107, 367 Dunklin v. Kimball, 50 Ala. 251, - - - 338, 839, 340 Dunlap V. Limes, 49 Iowa, 177, .... 483, 693 V. McNeil, 35 Ind. 316, - 604 V. Odeua, 1 Rich. (S. Ca.) Eq. 273, - - - - 229 V. Watson, 124 Mass. 305, 770, 771, 788 Dunlop V. Richards, 2 E. D. Smith, 181, - - - - 307 Ixix Dun.] TABLE OF CASES. [Ear. Dunman v. Coleman, 59 Tex. 199, . - . . 725, 1029 Dunn V. McNaught, 38 Ga. 179, .... 595, 993 Dunne v. O'Reilly, 11 Up. Can. C. P. 404, .... 110 Dunnell v. Henderson, 23 N. J. Eq. 174, 226, 254. 7G8, 780, 978 Dunnica v. Clinkscales, 73 Mo. 500, 452 Dunns v. Jones, 4 Dev. & Bat. 154, .... 1057 Dun ton v. Brown, 31 Mich. 182, .... 143, 144 Du Pont V. McLaran, 61 Mo. 503, - -^ - . 586, 927 Dupuy V. Leavenworth, 17 Cal. 263, 187, 291, 294, 295, 340 V. Sheak, 57 Iowa, 361, - 136, 257, 260 Duquesne Nat'l Bk. v. Mills, 2 Fed. Rep. 611, - - 720,737 Durand v. Curtis, 57 N. Y. 7, 507, 508. 510, 513 Durant v. Rhener, 26 Minn. 362, ... 84, 114, 119 V. Rogers, 71 111. 121 (limited in 87 id. 508), - 465, 647 V. Rogers, 87 111. 508, 350, 405, 480 Durbin v. Barber, 14 Oh. 311, 577, 589, 597, 761, 797, 1007 Durden v. Cleveland, 4 Ala. 225, 868 Durell V. Wendell, 8 N. H. 369, 385 Duress v. Horneffer, 15 Wis. (195), 215 (see H. v. D. 13 id. 603), 137 Durgin v. Coolidge, 3 Allen, 554, 338 V. Somers, 117 Mass. 55, 384, 1158 Durham v. Hartlett, 32 Ga. 22, 630, 806 V. People, 5 111. 172, - 488 Durham Smoking Tobacco Case, 3 Hughes, 151, - - 663 Duryea v. Burt, 28 Cal. 569, - 163, 290, 291, 295, 585, 822 V. Whitcomb, 31 Vt. 395, 17, 26 Duryee v. Elkins, 1 Abb. Adm. 529, 69 Dutton V. Morrison, 17 Ves. 193, .... 755, 928 — '■ — V. Woodman, 9 Gush. 255 (57 Am. Dec. 46), 1149, 1151, 1160 Duval V. Wood, 3 Lansing, 789, 440 Dwight V. Brewster, 1 Pick. 50, 67 V. Hamilton, 113 Mass. 175, - - - 603, 664, 668 V. Mudge, 12 Gray, 23, - 503 V. Scovil, 2 Conn. 654, - 400 V. Simon, 4 La. Ann. 490, 475 Dwinel v. Stone, 30 Me. 384, 17, 29, 36, 37, 43, 257 Dyas V. Dinkgrave, 15 La. Ann. 503, - - - 174, 1059 Dyer v. Clark, 5 Met. 562 (39 Am. Dec. 697), 281, 285, 290, 293, 294, 300, 822, 1114 V. Sutherland, 75 111. 586, 383, 1035 Dyke v. Brewer, 3 Car. & K. 833, 508 E. Eads V. Mason, 16 111. App. 545, 749 Eager v. Crawford, 76 N. Y. 97, - - - - 23, 47, 1137 V. Price, 3 Paige, 333, - 1113 Eagle V. Bucher, 6 Oh. St. 295, 574, 780 Eagle Mfg. Co. v. Jennings, 29 Kan. 657 (44 Am. Rep. 668), 505 Eakin v. Knox, 6 S. Ca. 14, 944, 957, 960 V. Shu maker, 12 Tex. 51, 305 Earbee v. Ware, 9 Porter, 295, 1093 Earl V. Hurd, 5 Blackf. 248, - 1155 Early v. Burt, 68 Iowa, 716, - 505 Ixx Ear,] TABLE OF CASES. [Ell. Early v. Reed, 6 Hill, 12, 868 Edwards v. Hughes, 20 Mich. Earon v. Mackey, 106 Pa. St. 452, - - 510, 512, 513, G96 Eason v. Cherry, 6 Jones, Eq. 201, 544 Easter v. Farmers' Nat'l B'k, 57 111. 215, - - 625, 694, 698 Eastman v. Clark. 53 N. H. 276 (16 Am. Rep. 192), - 16, 23, 59 V. Cooper, 15 Pick. 276 (26 Am. Dec. 600), - - 353, 362 Easton v. Couitwright, 84 Mo. 27, - 294, 300, 726, 733, 734 Easterly * Bassignano, 20 Cal. 489, .... 1168 Eaton V. Able, 91 Ind. 107, - 832 V. Taylor, 10 Mass. 54, 429, 694, 698 V. Whitcomb, 17 Vt. 641, 321, 412, 427, 1025 Eaton, Cole & Burnham Co. v. Avery, 83 N. Y. 31, - - 1155 Ebbert's Appeal, 70 Pa. St. 79, 2S9 Ebert v. Ebert, 5 Md. 353, - 234 Eckerly v. Alcorn, 62 Miss. 228, 616 Eckhardt v. Wilson, 8 T. R. 140, .... 753, 1026 Eddie v. Davidson, Dougl. 650, 1100 Eden v. Lingeufelter, 39 Ind. 19, 978 Edens v. Williams, 36 111. 252, 634, 893 Edgar v. Cook, 4 Ala. 588, 51, 603 V. Donnally, 2 Munf. 387, 405 Edgell V. Macqueen, 8 Mo. App. 71, .... 1153 Edgerly v. Gardner, 9 Neb. 1.30, 56, 76 Edmonds, Ex parte, 4 De G., F. & J. 488, - - - 836, 843 V. Robinson, 29 Ch. D. 170, .... 802, 806 Edmonson v. Davis, 4 Esp. 14, 471 Edmundson v. Thompson, 2 F. & F. 564, ... 91, 101 Edwards v. Entwisle, 2 Mackey (Dist. Col.), 43, - - 564, 566 289, - - - 1117,1118, 1119 V. McEnhill, 51 Mich. 160, 139 V. Pitzer, 12 Iowa, 607, 377, 380 V. Remington, 51 Wis. 336, 887 V. Remington, 60 Wis. 33, 760, 785, 820, 939 V. Stevens, 3 Allen, 315, - 141 v. Thomas, 66 Mo. 468, - 136, 137, 249, 5S9 V. Tracy, 62 Pa. St. 374, 29, 43, 1151, 1154 Egberts v. Wood, 3 Paige, 517, 580, 688, 722, 726, 732, 739 Ege v. Kyle, 2 Watts, 221, - 10G7 Eggleston v. Boardman, 37 Mch. 17, V. Wagner, 46 Mich. 610, 437 549 1151 Ehrman v. Kramer, 30 Ind. 26, Eichbaum v. Irons, 6 W. & S. 67, Eighth Nat'l B'k v. Fitch, 49 N. Y. 539, .... Einstein v. Gourdin, 4 Woods, C. C. 415, .... Einstmanv. Black, 14111. App. 381, Elder's Appeal, 39 Mich. 474, Elder v. Hood, 38 111. 533, Eld red v. Warner, 1 Ariz. 175, Elgie V. Webster, 5 M. & W. 518, -■-... Elgin National Watch Co. v. Meyer, 30 Fed. Rep. 659, - Elkin V. Gj-een, 13 Bush, 612, 196, 347 Elkinton v. Booth, 143 Mass. 479, EUicott V. Nichols, 7 Gill, 85, V. Smith, 2 Cranch, C. C. 75 1114 43 317 850 868 743 876 569 107, 609 703 543, 1125 Ellinger's Appeal, 7 Atl. Rep. 180; 114 Pa. St. 505, - 377, 452 EUiot V. Davis, 3 B.&P. 338, 315, 346, 349, 421 v. Stevens, 38 N. H. 311, 105, 322, 446, 566, 567, 840, 1052, 1053 Ixxi Ell.] TABLE OF CASES. [ESH. Elliott V. Deason, 64 Ga. 63, 851, 878 V. Dudley, 19 Barb. 326, - 349 V. Dycke, 78 Ala. 130, 296, 299 V. Hoi brook, 33 Ala. 659, 377, 380, 385 Ellis, Ex parte, 2 GI. & J. 312. 843 V. Bronson, 40 III. 455, 618, 628 V. Commander, 1 Strob. Eq. (S. Ca.) 18S, - - - 990 V. Ellis, 47 N. J. L. 69, 377, 380 V. Fisher, 10 La. Ann. 479, 1163 V. Jamesoa, 17 Me. 235, - 1160 V. Lauve, 4 La. Ann. 245, 1168 Ells V. Bone, 71 Ga. 466, - - 537 EUston V. Deacon, L. R. 2 C. P. 20, 347 Ellswangerv. Coleman, 7 Mo. App. 582, .... 527 Ellsworth V. Pomeroy, 26 Ind. 158, .... 41, 43 V. Tartt, 26 Ala. 733 (63 Am. Dec. 749), . - 66, 134 Elton, Ex parte, 3 Ves. Jr. 238, 825, 830 Elverson v. Leeds, 97 Ind. 336 (49 Am. Rep. 458), . 107, 611 Ehvooil V. Western Un. Tel. Co. 45 N. Y. 545, - . 878, 881 Ely V. Hair, 16 B. Mon. 230, - 339, 824 V. Horine, 5 Dana, 398, 715, 716 Emanuel v. Bird, 19 Ala. 596 (54 Am. Dec. 200), 750, 825, 828, 833 V. Draughn, 14 Ala. 303, 28 V. Mariin, 12 Ala. 233, - 453 Emerson v. Baylies, 19 Pick. 55, - - . - 383, 1079, 1083 V. Duraud, 64 Wis. Ill, - 482, 483, 777, 785, 940 V. Harmon, 14 Me. 271, - 355, 370. 372 V. Knower, 8 Pick. 63, 383, 383 V. Parsons, 46 N. Y. 560 (all g 2 Sweeny, 417), - 551, 575 — — V. Providence Hat Mfg. Co. 12 Mass. 237, ... 334 Emerson v. Senter, 118 U. S. 3, 726, 732 Emery v. Canal Nat'l Bank, 7 Bankr. Reg. 217; 3 Cliff. 507, 341 V. Parrott, 107 Mass. 95, 807, 896 V. Wilson, 79 N. Y. 78, - 885 Euily, Ex parte, 1 Rose, 64, - 266 V. Lye, 15 East, 7, - 439, 440 Emmons v. Newman, 38 Ind. 372, 43 V. Westfield Bank, 97 Mass. 230, - - - - 43, 47 Emrie v. Gilbert, Wright (O.), 764, 849 Endo V. Caleham, You. 306, - 958 England v. Curling, 8 Beav. 129, - 211, 213, 988, 1010, 1013 V. Downs, 6 Beav. 269, . 659 V. England, 1 Baxter, 108, 45 Engle V. Bucher, 6 Oh. St. 295, 589 Englis V. Furniss, 4 E. D. Smith, 587; 3 Abb. Pr. 333, 900, 905 English & American Bank, Ex parte, L. R. 4 Ch. App. 49, 843 English & Irish Cliurcb, etc. Assur. Soc, In re, 1 Hen. & M. 85, 19 Enix V. Hayes, 48 Iowa, 86, . 1023 Eniiis V. Williams, 30 Ga. 691, 613 Ensign v. Briggs, 6 Gray, 339, 291. 453, 453 V. Wands, 1 Johns. Cas. 171, 333 Ensmingerv. Marvin, 5 Blackf. 210, .... 361, 1008 Ellsworth V. Curd, 08 Mo. 2S3, 908 Eppinger v. Canepa, 20 Fla. 263, 1171 Erwin's Appeal, 39 Pa. St. 535, 293 Erwin v. Downs, 15 N. Y. 575, 897 Eshleman v. Harnish, 76 Pa. St. 97, - - - - 39, 47, 48 Ixxii Esp.] TABLE OF CASES. [Fai. Esposito V. Bowden, 7 EI. & BI. 763, 583 Espy V. Comer, 76 Ala. 501, 281, 297, 703, 706 Ess, lu re, 3 Biss. 301, - - 150 Ess ^x V. Essex, 20 Beav. 442, 216, 302 Estabrook v, Messersmith, 18 Wis, 545, - - - 1037, 1038 V. Smith, 6 Gray, 570, - 194 Estes, Re, 3 Fed. Rep. 134; 6 Sawy. 459, - - - - 825 V. Whipple, 12 Vt. 373, - 855 Etcliemende v. Stearns, 44Cal. 583, 1151 Etheridge v. Binney, 9 Pick. 273, .... 370, 443 Evans v. Bidleman, 3 Cal. 435, 395, 481 V. Bradford, 35 Ind. 527, 175 V.Bryan, 95 N. Ca. 174, 821, 917, 1132 V. Carey, 29 Ala. 99, - 385 V. Clapp, 123 Mass. 165, 759, 960 v. Corriell, 1 G. Greene (Iowa), 25, - - - - 1151 V. Coventry, 8 DeG. M. & G. 835, -■ - - . - 7S8 V. Drummond, 4 Esp. 89, 150, 523, 528, 608, 600 V. Dunn, 26 Oh. St. 439, - 970 V. Evans, 9 Paige, 178, - 994 V. Gibson, 29 Mo. 223, 311, 790 V. Hanson, 42 111. 234, 210. 251, 645 V. Hawley, 35 Iowa, 83, 186, 290, 569, 823, 1115 V. Howell, 84 N. Ca. 460, 569 V. Hughes, 18 Jur. 691, - 073 — - V. Montgomery, 50 Iowa, 325, - - - 595, 909, 984 V. Richardson, 3 Her. 469, 110, 119 V. Silverlock, 1 Peake, 31, 1024 v. Wells, 22 Wend. 324 ; Lockw. Rev. Cas. 390 (rev. W. v. E. 20 'id. 251), - - 415 Evans v. Winston, 74 Ala. 349, 446, 509, 825 Everet v. Williams, 2 Pothier on Obi. 3; Europ. Mag. 1787, vol. 2, p. 360, - - 1 19, 127 Everett v. Backhouse, 10 Vea. 100, 834 V. Coe, 5 Den. 180, - - 47 Everhart's Appeal, 106 Pa. St. 349, 301 Everit v. Strong, 5 Hill, 163; affd. 7 id. 585, - - 401, 418 Everitt v. Chapman, 6 Conn. 347, - 32, 58, 80, 323. 445, 1135 Everughim v. Ensworth, 7 Wend. 336, - - 383, 427, 1044 Everly v. Durborrow, 8 Phila. 93 ; 1 Pa. Leg. Gaz. 127, - 816 Eversou v. Gehrman, 10 How. Pr. 301 ; 1 Abb. Pr. 167, 377, 380 Ewing V. Ewing, L. R. 8 App. Cas. 822, . ... 245 V. Trippe, 73 Ga. 776, 607, 608 Exchange Bank v. Ford, 7 Col- orado, 314, - - - - 1049 V. Tracy, 77 Mo. 594, 598, 599 Ex parte. See under the names. Eyre, Ex parte, 1 Ph. 227 (aff. 3 M. D. D. 12), - - - 475 V. Beebe, 28 How. Pr. 333, 569 F. Fabian v. Callahan, 56 Cal. 159, 139 Fagan v. Long. 30 Mo. 222, 507, 509 Fagg V. Hambel, 21 Iowa, 140, 385 Faikney v. Reynous, 4 Burr. ■ 2009, ... - 113, 127 Fail V. McArthur, 31 Ala. 26, 331 V. McRee, 36 Ala. 61, - 63 Fain v. Jones, 3 Head, 303, - 824 Fairbank v. Leary, 40 Wis. 637, 1 12. 117, 119 V. Newton, 50 Wis. 628, - 113 Fairbanks v. Kittridge, 24 Vt. 9, m Ixxiii Fai] TABLE OF CASES. [Fas. Fairchild v. Amsbaugh, 22 Cal. 572, 1167 V. Fairchild, 64 N. Y. 471 (aff. 5 Hun, 407), - 281, 284, 285, 297, 298, 301, 978 V. Grand Gulf Bank, 5 How. (Miss.) 597, - - - 1071 V. Holly, 10 Conn. 175, - 489 V. Rushmore, 8 Bosw. 698, 1074 V. Siocum, 19 Wend. 329 (affd. 7 Hill, 292), - - 67 V. Valentine, 7 Robt. (N. Y.) 5G4, - - - - 939 Fairhohn v. Marjoribanks, 3 Ross. Lead. Cas. 697, - 164, 168 Fairlee v. Blooraingdale, 14 Abb. New Cas. 341; 67 How. Pr. 292, - - - - 139 Fairtborne v. Weston, 3 Hare, 387, .... 913, 939 Faith V. Richmond, 11 A. & E. 339; 3 P. & D. 187, 202, 203, 441 Faler v. Jordan, 44 Miss. 283, 331, 841, 351, 370, 372, 1170 Fall River Un. Bank v. Sturte- vant, 12 Cush. 372, . - 410 Fall River Whaling Co. v, Bor- den, 10 Cush. 458, 285, 290, 301, 302, 822 Falls V. Hawthorn, 30Ind. 436, 694 Fanclier v. Bibb Furnace Co. 2 So. Rep. 268 ; 80 Ala. 481, 336 Fanning v. Chadwick, 3 Pick. 420 (15 Am. Dec. 233), 858, 864 Fant V. West, 10 Rich. L, 149, 416 Fargo V. Adams, 45 Iowa, 491, 565, 1114 V. Louisv., New Alb. & C. R"y, 10 Biss. 273, - . 73 V. Wells, 45 Iowa, 491, - 184 Farley v. Lovell, 103 Mass. 387, 1037 V. Moog, 79 Ala. 148, 715, 741, 74G, 756, 927, 928. 1111 Farmer, Re, 18. Bankr. Reg. 207, 301 V. Samuel, 4 Litt. (Ky. ) 18T(14 Am. Dec. 106), - 255, 311 Farmers' Bank v. Bayless, 35 Mo. 428, - - 439, 446, 1154 V. Bayliss, 41 Mo. 274, 204, 205, 441, 446. 448, 451 Farmers', etc. Bank v. Butch- ers', etc. Bank, 16 N. Y. 125, 361 Farmers' Ins. Co. v. Ross, 29 Oh. St. 429, . - 38, 61, 1135 Farmers' & Mech. Bank v. Green, 30 N. J. L. 316, 624, 1147, 1148 Farmers' & Mer. Bank v. Lonergan, 21 Mo. 46, - - 399 Farmers' & Traders' Sav. Inst. V. Garesche, 12 Mo. App. 584, 734 Farnam v. Brooks, 9 Pick. 212, 958, 962 Farnswortb v. Boardman, 131 Mass. 115, - . 629, 636, 879 V. Whitney, 74 Me. 370, 629, 632 Farnum, In re, 6 Law Re- porter, 21, - - . 453a, 841 V. Patch, 60 N. H. 294, - 76 Farquhar v. Hadden, L. R. 7 Ch. App. 1, - - - - 180 Farr v. Johnson, 25 III. 522, . 181 V. Pearce, 3 Madd. 74, 665, C68, 807 V. Wheeler, 20 N. H. 569, 3, 445, 1150 Farrand v. Gleason, 56 Vt. 633, - - - .29, 59, 68 Farrarv. Beswick, 1 Moo. & R. 527, 181 V. Defiance, 1 Car. & K. 580, 608 V. Hutchinson, 9 Ad. & El. 641, 383 V. Pearson, 59 Me. 561, - 863 Farrington v. Woodward, 82 Pa. St. 259. - - - . 636 Farwell v. Davis, 66 Barb. 73, 151, 724, 1024, 1052. V. Metcalf, 63 N. H. 276, - - . ■ . - 566 Ixxiv FAK.J TABLE OF CASES. [Fie. Farwell v. Tyler, 5 Iowa, 535, - 865 Faulds V. Yates, 57 111. 416, - 307, 433, 433 Faulkner v. Brigel, 101 Ind. 839, - - 1019, 1117, 1131 V. Hill, 104 Mass. 188, - 534 V. Whitaker, 15 N. J. L. 438, - 173, 1117, 1119, 1151 Faust V. Burgevin, 23 Ark. 170, 636, 879 Faver v. Briggs, 18 Ala. 478, - 1091 Fawcett v, Odborn, 33 111. 411, 29, 36, 39, 43, 257 V. Whitehouse, 1 Russ. & M. 133, - - - 307, 913, 937 Fay V. Davidson, 13 Minn. 533, 66 V. Duggan, 123 Mass. 243 (21 Am. Law Reg. N. S. 799), 1029, 1073, 1106 V. Finloy, 14 Phila. 206, - 639 V. Noble, 7 Cush. 188, - 4 Fayette Nat'lBank v. Kenney, 79 Ky. 133, - - 453a, 837, 841 Featherstone v. Hunt, 1 B. & C. 113; 3 Dow. & Ry. 233, - 537 Featherslonliaugh v. Fenwick, 17 Ves. 298, - 218, 305, 571, 573, 794, 974 V. Turner, 25 Beav. 382, 243, 778, 797, 803 Feder v. Epstein, 69 Cal. 456, 10S5 Feigley v. Whitaker, 23 Oh. St. 606 (10 Am. Rep. 778), - 701 Felder v. Wall, 26 Miss. 595, - 930, 938 Felichy v. Hamilton, 1 "Wash. C. C. 491, - - - - 26 Fellows V. Greenleaf, 43 N. H. 431, .... 825, 937 V. Wyman, 33 N. H. 351, 690, 695, 1037, 1044 Feltonv. Deall, 23Vt. 170, - 45 V. Reid, 7 Jones (N. Ca.), L. 269, - - - 713, 714, 733 Fenn v. Bolles, 7 Abb. Pr. 303, 673 V. Timpson, 4 E. D. Smith, 276, 1154 Fensler v. Prather, 43 Ind. 119, 534 Fenton v. Block, 10 Mo. App. 536, .... 1039, 1045 V. Folger, 21 Wend. 676, 1114 Fereday v. Horderu, Jac. 141, 16, 47,56 V. Wjghtwick, Taml. 250; 1 Russ. & M. 45 (former re- port is best), .... 845 Fereira v. Sayres, 5 Watts & S. 310 (40 Am. Dec. 496), 709, 730 Ferguson v. Fylle, 8 CI. & Fin. 121, - - - - - 330 V. Hass, Phil. (N. Ca.) Eq. 113, 297 V. King, 5 La. Ann. 642, 191 V. Shepherd, 1 Sneed, 254, 317, 428 V. Thacher, 79 Mo. 511, - 347, 349 V. Wood, 23 Tex. 177, - 1073 V. Wright, 61 Pa. St. 258, 849 Fern v. Gushing, 4 Gushing, 357, - - - 180, 755, 1122 Ferrero v. Buhlmeyer, 34 How. Pr. 33, - - - - 577, 585 Ferris v. Thaw, 5 Mo. App. 279, .... 75, 191 Person v. Monroe, 1 Foster (21 N. H.), 462, - 446, 566, 567, 824 Fessler v. Hickernell, 83 Pa. St. 150, 853 Fetz V. Clark, 7 Minn. 217 (over- ruled), - - - . 1074, 1094 Feurt V. Brown, 23 Mo. App. 333, - - - 328, 341, 866 Fichthorn v. Boyer, 5 Watts, 159, Pick V. Mulholland, 48 Wis. 413, Fickett V. Swift, 41 Me. 65, - Fidler v. Delavan, 20 Wend. 57, Field V. Carr, 5 Bing. 13, V. Chapman, 15 Abb. Pr. 434, 559 V. Cooks, 16 La. Ann. 153, 5 416 1151 331 1033 489 Ixxv Vie.] TABLE OF CASES. [Fit. Field V. IMalone, 103 Ind. 251, - 1124 First Nat'l Bank v. Hackett, 61 V. Tenney, 47 N. H. 513, 1136, 1140 Fielden v, Lahens, 2 Abb. App. Dec. Ill; 9 Bosw. 430, Fifield V. Adams, 3 Iowa, 487, Figgius V. Ward, 2 Cr. & M. 424, - - - - - Filley v. McHenry, 71 Mo. 417, V. Phelps, 18 Conn. 294, - 184, 453, 535, 556, 558, 719, 745, 747, 750, 848, 1114 Fillyau v. Laverty, 3 Fla. 72, - 749, 750 Finch, Ex parte, 1 D. & Ch. 274, V. De Forest, 16 Conn. 349 506 397 1151 180, 754 445, 194 Finckle v. Stacey, Sel. Cas. in Ch. 9, 59 Findlay, Ex parte, 17 Ch. D. 334, 835 Fink V. Patterson, 21 Fed. Rep. 603, ..... 929 Finley v. Fay, 17 Hun, 67 (re- ' versed as Finley v. Finley, 96 N. Y. 663), - - - 629 V. Finley, 96 N. Y. 6G3 (rev. s. C. as Finley v. Fay, 7 Hun, 67), .... 639 V. Lycoming Mat. Ins. Co. SO Pa. St. 311, - - 273 Finney v. Allen, 7 Mo. 416, - 1094 V. Turner, 10 Mo. 207, - 850 First Nat'l Bank, Ex parte, 70 Me. 309, - - - 453, 453a V. Almy, 117 Mass. 476, - 4 V. Breese, 39 Iowa, 640, - 364 V. Carpenter, 34 Iowa, 433, 331, 349, 362, 399 V. Carpenter, 41 Iowa, 518, 349 V. Ells, 68 Ga. 192, - - 695 V. Bissell, 4 Fed. Rep. 694; 2 McCrary, 73 (afifd. as Bis- sell V. Foss, 114 U. S. 252), - 310 V. Freeman, 47 Mich, 408, 401 V. Goflf, 31 Wis. 77, 72, 73, 458 Wis. 335, - - - 338, 1133 V. Hall, 101 U. S. 43, 054, 710 V. M6)-gan, 73 N. Y. 593 (affd. 6 Hun, 346), 853, 361, 529, 538, 747, 750 V. Snyder, 10 Mo. App. 211, 329 Fischer v. Raab, 57 How. Pr. 87, 594 Fish V. Dana, 10 Mass. 46, 639, 640 V. Gates, 133 Mass. 441, - 1018 V. Lightner, 44 Mo. 263, - 264 V. Miller, 5 Paige, 26, - 338 Fisher v. Bowles, 20 111. 398, - 109 V. Minot, 10 Gray, 260, - 547 V. Murray, 1 E. D. Smith, 341, 838 V. Pender, 7 Jones, L. 483, 416, 421 V. Stovall (Tenn.), 3 S. W. Rep. 567, .... 930 V. Sweet, 67 Cal. 233, 33, 849 V. Syfers, 109 Ind. 514, 565, 568 V. Tayler, 3 Hare, 218, - 371 V. Tifft, 127 Mass. 313, 532, 534 V. Tifft, 12 R. L 56 (S. C. with note, 18 Reg. N. S. 9), Am. Law 532 V. Tucker, 1 McCord (S. Ca.), Ch. 169, 414, C90, 701, 703, 709, 747, 750 Fisk V. Copeland, 1 Overton (Tenn.), 383, .... 831 V. Gould, 13 Fed. Rep. 373, 939 v. Herrick, 6 Mass. 271, - 1103 Fiske V. Hills, 11 Biss. 294, 935, 929 Fitch V. Hall, 25 Barb, 13, - 43 V. Harrington, 13 Gray, 408 (8 Am. Law Reg. N. S. 688), - - - 91, 93, 164, 168 V. McCrimmon, 30 Up. Can. C. P. 183, - 491, 494, 497 Fitchter v. Fitchter, 11 N. J. Eq. 71, - - 990, 993, 995, 1003 Fithian v. Jones, 13 Phila. 201, 794 Ixxvi Fit.] TABLE OF CASES. [For. Fitzgerald v. Boehm, 7 J. B. Moore, 333, - - - 74G V. Cross, 20 N. J. Eq. 90, 553, 541 V. Grimmell, 64 Iowa, 261, - - 173, 1059, 1061, 1063 Fitzpatrick v. Flannagan, 106 U. S. 648, 559, 560, 737, 738, 731, 794, 824, 929 Hack V. Charron, 29 Md. 311, 503, 500 Flagg V. Stowe, 85 111. 164, 5, 6, 181, 257 V. Upbam, 10 Pick. 147, - 347. 365, 367 Flammer v. Green, 47 N. Y. Superior Ct. 538, - - - 591 Flanagan v. Alexander, 50 Mo. 50, 410 V. Shuck, 83 Ky. 617, 283, 291, 298 Flannagan v. Maddin, 81 N. Y. 623, 985 Flannery v, Anderson, 4 Nev. 437, ' - - - 377, 379, 1086 Fleming v. Billings, 9 Rich. Eq. 149, 825 V. Dorn, 34 Ga. 213, 100, 1167 V. Dunbar, 3 Hill(S. Ca.), L. 532, 416 . V. Lawthorn, Dudley, L. 360, 420 Flemming v. Prescott, 3 Rich. (S. Ca.) L. 307 (45 Am. Dec. 766), .... 349, 362 Flemyug v. Hector, 2 M. & W. 173, 75 Fleshman v. Collier, 47 Ga. 253, - - 78, 1154, 1159, 1160 Fletcher V. Anderson, 11 Iowa, 228, 691 V. Hawkins, 2 R. I. 330, - 239 V. Ingram, 46 Wis. 191, 306, 463 V. Pollard, 2 Hen. & M. (Va.) 544, - - - 978, 982 V. Reed, 131 Mass. 312, - 571, 785, 917, 918 Fletcher v.Yan Dusen, 52 Iowa, 448, - 741, 1000, 1001, 1004 V. Vanzant, 1 Mo. 196, - 431 Flint V. Marble Co. 53 Vt. 009, 39 Flintoff V. Dickson, 10 Up. Can. Q. B. 438, - - - 1114 Flockton V. Bunning, L. R. 8 Ch. A pp. 223, - - - 484 Flood, Ex parte, 23 New Bruns- wick, 86, - - - - 468 Florida Territory v. Redding, 1 Fla. 279, - ... 715 Flournoy v. ■Williams, 68 Ga. 707, 1151 Flowers v. Helm, 29 Mo. 324, 700 Floyd V. Miller, 61 Ind. 224, 694, 1159 Flynn v. Fish, 7 Lansing, 117, 276 Foerster v. Kirkpatrick, 2 Minn. 210, ... - 1067 Fogarty v. Cullen, 49 N. Y. Superior Ct. 397, - - 529, 746 Fogerty v. Jordan, 2 Robt. (N. Y.) 319, ... - 331, 332 Fogg V. Greene, 16 Me. 2S3, - 1160 V. Johnston, 27 Ala. 433 (63 Am. Dec. 771), 592, 595, 597 V. Lawry, 68 Me. 78 (38 Am. Rep. 19), 1101, 1105, 1111 Poland V. Boyd, 33 Pa. St. 476, 400 Folk V. Wilson, 31 Md. 538, 193, 203, 319, 437, 444, 523, 524, 981, 1147, 1150, 1151 Foltz V. Pourie, 2 Desaus. (S. Ca.) 40, .... 695 Fontaine v. Lee, 6 Ala. 889, 694, 695 Foot, Re, 12 Bankr. Reg. 337; 8 Ben. 228, - - - 841, 842 V. Hunkins, 14 Allen, 15, 1103 V. Ketchum, 15 Vt. 258 (40 Am. Dec. 678), - - 1082 V. Sabin, 19 Johns. 154 (10 Am. Dec. 208), - 349, 858, 362 Forbes v. Davison, 11 Vt. 660, 569, 1140 V. Scannell, 13 Cal. 243, 340, 825 Ford V. Clark, 73 Ga. 760, - 703 Ixxvii For.] TABLE OF CASES. [Fox, Ford V. Kennedy, 64 Ga. 537, 1151, 1154, 1170 V. McBryde, 45 Tex. 498, 370, 372 V. Smith, 27 Wis. 261, 36, 43, 1108, 1110 Forde v. Herron, 4 Muuf. (Va.) 316, 295 Fordice v. Scribner, 108 Ind. 85, 430 Fordyce v. Shriver, 115 111. 530, 761, 967 Forkner v. Stuart, 6 Gratt. 197, 320, 40;J, 405, 406, 418 Forman v. Homfray, 3 Ves. & Bea. 329, - - - - 910 Forney v, Adams, 74 Mo. 138, 410, 427, 1038, 1043 Forrer v. Forrer, 29 Gratt. (Va.) 134, - - 305, 770, 777 Forrester v. Oliver, 1 111. App. 259, 727 Forsaith v. Merritt, 1 Low. 366; 3 Bankr. Reg. 11, - 753, 755 Forster v. Lawson, 3 Bing. 453; 11 Moo. 360, - - - 1031 V. Mackreth, L. R. 2 Ex. 163, - - 329, 343, 371, 376 Forsyth, Re, 7 Baukr. Reg. 174, 347 V. Woods, 11 Wall. 484, - 111, 128, 173, 453, 829 Fortune v. Brazier, 10 Ala. 793, 1024 V. Hayes, 5 Rich. (S. Ca.) Eq. 112, 704 Forward v. Forward, 6 Allen 494, 706, 742, 746, 788, 925, 926 Fosdick V. Van Horn, 40 Oh. St. 459, 107, 150, 153, 157, 196, 443, 449 Foster's Appeal, 74 Pa. St. 391 (15 Am. Rep. 553; 3 Am. Law Rec. 230), 289, 290, 294, 297, 299, 743 Foster v. Allanson, 2 T. R. 479, 858 V. Andrews, 2 Pa. 160, 361, 367 V. Barnes, 81 Pa. St. 377, 289, 291, 446, 824, 1008 Foster v. Chaplin, 19 Grant's Ch. (Up. Can.) 251, - 251, 813 V. Donald, 1 Jac. & W. 252, ... - 971, 972 V. Fifield, 29 Me. 136, 424, 647, 701, 978, 1048 V. Hall, 4 Humph. (Tenn.) 346, 216, 347, 439, 446, 584, 727, 1168 V. Rison, 17 Gratt. 321, - 861, 949, 950, 952, 957, 958 -'v. Shephard, 33 Tex. 687, 741, 1003 V. Vanauken, 4 N. J. L. 109, 865 V. Ward, 1 Cababe & El- lis, 168, 90f Foulks V. Rhodes, 12 Nev. 225, 850 874, 88^ Fourth National Bank v. Heu- schen, 52 Mo. 207, - 397, 69' Fowke V. Bowie, 4 Har. & J. 566, 49''r Fowle V. Harrington, 1 Cush. 146, - - 349, 690, 694, 695 V. Torrey, 131 Mass. 289, 503 Fowler v. Bailley, 14 Wis. [125] 136. - - - - 2'Jl, 1086 V. Reynal, 2 DeG. & Sm. 749; 3 M. & G. 500, - - 174 V. Richardson, 3 Sneed (Tenn.), 508, - - 526, 094, 095 V. Tuttle, 24 N. H. 9, - 268 V. Williams, 02 Mo. 403, - 1065 Fowlkes V. Baldwin, 2 Ala. 705, - - - 1074, 1086, 1087 V. Bowers, 11 Lea (Tenn.), 144, - 452, 453a, 825, 828, 841 Fox V. Clifton, 6 Bing. 776; 4 M. &P. 713, - 72,74,83,95,160 V. Haubuiy, Cowper, 445, 184, 274, 403, 583, 610, 754, 755 V. Johnson, 4 Del. Ch, 580, 141 V. Norton, 9 Mich. 207, - 215, 416 V. Rose, 10 Up. Can. Q. B. 16, 276, 403, 405, 577, 585, 756 Ixxviii Fka.] TABLE OF CASES. [Fro. Francis, In re, 2 Sawy. 286 ; 7 Bankr. Reg. 359, 23, bo, 43, 47, 49 , The. 1 Gall. 618, - 191, 793 V. Dickel, 68 Ga. 255, 139, 1094 V. Lavine, 21 La. Ann. 265, 930 V. Rand, 7 Conn. 221, - 1079, 1080 V. Smith, 1 Duv. 121, - 504 Francisco v. Fitch, 25 Barb. 130, 730 Fraucklyn v. Sprague, 131 U. S. 215, - - 294, 500, 645 Frank v. Anderson, 13 Lea (Tenn.), 695, - - - 136, 137 V. Beswick, 44 Up. Can. Q. B. 1, - - - - 243, 580 V. Blake, 58 Iowa, 750, - 393 V. Peters, 9 Ind. 343, - 824 Fraser v. Kershaw, 2 Kay & J. 496, ... - 754, 755 V. McLeod, 8 Grant's Ch. (Up. Can.) 208, - - 310, 373 Frazer v. Howe, 106 111. 503, 510, 511 Frazier v. Frazier, 77 Va. 775, 770, 774 Freck v. Blakiston, 83 'Pa. St. 474, - - - 307, 793, 903 Frederick, The, 5 Rob. Adra. 8, 59 V. Cooper, 3 Iowa. 171 (C. V. F. 4 G. Greene, 403), 182, 216, 779, 931, 936 Freeland v. Stansfeld, 3 Sm, .& G. 479, - 241, 755, 805, 807, 808, 809, 820, 995 Freeman, Ex parte. Buck, 471, 503, 516 V. Bloomfield, 43 Mo. 391, 159, 165, 317 V. Campbell, 55 Cal. 197, 453 V. Campbell, 56 Cal. 039, 189 V. Carhart, 17 Ga. 348, - 10S8 V. Carpenter, 17 Wis. 126, 329, 371 V. Fairlie, 3 Mer. 24, - 814 F Freeman v. Falconer, 44 N. Y. Superior Ct. 132, - - - 628 V. Freeman, 136 Mass. 200, 739, 794, 795, 923, 974 V. Ross, 15 Ga. 252, 347, 352, 353 V. Stewart, 41 Miss. 138, 749, 824, 929 Freeman's Nat'l B'k v. Savery, 127 Mass. 75, 349, 354, 355, 359 Frcese v. Ideson, 49 111. 191, - 1136 French v. Andrade, T. R. 582, 723 V. Barron, 49 Vt. 471, - 101 V. Chase, 6 Me. 106, - 155 V. Donohue, 29 Minn. Ill, 133 V. Hayward, 16 Gray, 512, 736 V. Lovejoy, 13 N. H. 458, 566, 723, 731, 1045 V. Price, 24 Pick. 13, - 71 V. Rowe, 15 Iowa, 563, - 472 V. Styring, 2 C. B. N. S. ^ 357, . ... 63, 257 V. Wall, 2 Tex. 288, - - 969 Frick V. Barbour, 64 Pa. St. 120, 1154 Friend v. Duryee, 17 Fla. Ill (35 Am. Rep. 89), - - 339, 1071 V. Michaelis, 15 Abb. N. Cas. 354, - - - - 569 Friermuth v. Friermuth, 40 Cal. 42, 746 Frigerio v. Crottes, 20 La. Ann. 351, - - - - 813 Frink v. Branch, 16 Conn. 260, 282, 291, 295 V. Ryan. 4 III. 323, - Fripp V. Williams, 14 S. Ca. 502, Frith V. Lawrence, 1 Paige, 424, From me v. Jones, 13 Iowa, 474, Fromont v. Coupland, 2 Bing. 170, - 67, 257, 850, 856, 861 Froneberger v. Henry, 6 Jones, L. 348, .... 420, 432 Ixxix 887 480 822 406 Feo.] TABLE OF CASES. [Gal. 590 506 59 Frost V. Hanford, 1 E. D. Smith, 540, - - - 332, 323 V. Moulton, 21 Beav. 596, 164, 169 V. Schackleford, 57 Ga. 260, .... 1067, 1070 V. Walker, 60 Me. 468, - 72, 78, 74, 458 Frothingham v. Seymour, 121 Mass. 409, - - - - Froun v. Davis, 97 Ind. 401, - Frout V. Hardin, 56 Ind. 165, Frow, Jacobs & Co.'s Estate, 73 Pa. St. 459, 453, 532, 848, 879 Fry, Ex parte. 1 GI. & J. 96, - 503 V. Hawley, 4 Fla. 258, - 164 V. Potter, 12 R. I. 542, - 865 Frye v. Sanders, 21 Kan. 26 (30 Am. Rep. 421), - 334, 424, 905 Fullam V. Abrahams, 29 Kan. 725, - . . . 825, 847 Fuller V. Benjamin, 23 Me. 255, 930, 931, 933 V. Ferguson, 26 Cal. 546, 189 V. Hooper, 3 Gray, 334, 399, 841 V. Miller, 105 Mass. 103, - 230, 779, 922 Nelson, 35 Minn. 213, 1016 Percival, 126 Mass. 381, 895 V. Rowe, 57 N. Y. 23 (rev. 59 Barb. 344), - - 5, 7, 507 V. Scott, 8 Kan. 25, - - 362 Fullerton v. Seymour, 5 Vt. 249, 10G8 Fulmer's Appeal, 90 Pa. St. 143, 182, 252, 255 Fulton's Appeal, 95 Pa. St. 323, 852 Fulton V. Central B'k of Pitts- burg, 62 Pa. St. 112, - - 695 V. Golden, 12 N. J. Eq. 37, 978 Hughes, 63 Miss. 61, 551, 560 Maccracken, 18 Md. 528, 191 Thompson. 18 Tex. 278, 580, 710, 711, 731, 741, 1000 V. Williams, 11 Cush. 108, 346, 531, 882, 884 V. V V. V. V. Funck V. Haskell, 132 Mass. 580, - - - - - 779 Funk V. Leachman, 4 Dana, 24, 780 Fuqua v. Mullt-n, 13 Bush, 467, 724 Furlong v. Bartlett, 21 Pick. 401, 147 Furnival v. Weston, 7 J. B. Moore, 350, - - - - 883 G. Gaar v. Huggins, 12 Bush, 259, - - - 618, 625, 1157 Gable v. Williams, 59 Md. 46, 732, 741, 1000, 1001 Gabriell v. Evill, 9 M. & W. 297 ; Car. & Marsh. 358, - 83 Gadsden v. Carson, 9 Rich. Eq. 252, - . . . 569, 825 Gaflfney v. Hoyt (Idaho), 10 Pac. Rep. 34, - - . 1155 Gage V. Angell, 8 How. Pr. 335, 850 V. Canada Pub. Co. 11 663 211, Out. App. 402 (affg. 6 id. 68), V. Parmalee, 87 III. 329, 777, 786, 95!:!, 979, 981, 983 V. Rollins, 10 Met. 348, 205, 437, 1020 Gaines v. Beirne, 3 Ala. 114, 1055, 1127 V. Catron, 1 Humph. (Tenn.) 514, .... 285 V. Coney, 51 Miss. 323, - 180 Galbraith v. Gedge, 16 B. Mon. 630, 290, 293, 294, 297, 298, 822 Galbreath v. Moore, 2 Watts, 86, 865 Gale V. Leckie, 2 Stark. 107, 870, 873, 874 V. Miller, 54 N. Y. 536 (affg. 1 Lans. 451 ; s. C. at an earlier stage, 44 Barb. 420), 347, 300, 369, 626, 691 Gallagher's Appeal, 7 Atl. R. 237; 114 Pa. St. 353, - 559, 569 Gallop V. Newman, 7 Pick. 282, 47 Ixxz Gal.] TABLE OF CASEa [Gat. Galloway v. Hughes, 1 Bail, (S. Ca.) L. 553, - -' - 818 Gallway v. Mathew. See Gal- way V. Matthew. Galway v. Fullerton, 17 N. J. Eq. 389, 406 V. Mattliew, 1 Camp. 403 (S. C. as Gallway v. Mathew, 10 East, 2G4), 197, 200, 325, 346 Gamble v. Grimes, 2 Ind. 392, 347 Gammon v. Huse, 9 111. App. 557 (affd. 100 111. 234), 882, 884 V. Huse, 100 111. 234 (affg. 9 111. App. 557), - 211,882,884 Gandolfo v. Appleton, 40 N. Y. 533, - 452, 523, 917, 918, 985 V. Walker, 15 Oh. St. 251, 605 Gannett v. Cunningham, 34 Me. 56, - - - 1018, 1019 Gano V. Samuel, 14 Oh. 593, 328, 349, 351, 370, 372, 395 Gansevoort v. Kennedy, 30 Barb. 279, - - - 432, 434 V. "Williams, 14 AVend. 133, - 317, 349, 362, 364, 448 Gantt V. Gautt, 6 La. Ann. 677, Garbett v. Yeale. 5 Q. B. 408; 13 L. J. Q. B. 98, - Gard v. Clark, 29 Iowa, 189, - Garland v. Agee, 7 Leigh (Va.), 362, 701 V. Jacomb, L. R. 8 Ex. 216, - - 329, 347, 423, 691 Garner v. Myrick, 30 Miss. 302 1102 692, 693 Gardenhire v. Smith, 39 Ark. 280, 59 Gardiner v. Bataille, 5 La. Ann. 597, - - - - 575 v. Fargo, 58 Mich. 72, - 639, 850, 856 V. Levaud, 2 Yeates, 185, 1162 Gardner v. Baker, 25 Iowa, 343, 386 V. Conn, 34 Oh. St. 187, - 526, 694 V. Northwestern Mfg. Co. 52 111. 367, - - - 1151, 1153 Gardom, Ex parte, 15 Ves. 286, 349 Garland, Ex parte, 10 Ves. 110, 51, 600, 739 448, 1168 5, 8 Garnett v. Richardson, 35 Ark. 144, Garnier v. Gebhard, 33 Ind. 225, 633 Garrard v. Dawson, 49 Ga. 434, 749 Garret v. Taylor, 1 Esp. 117, 1024 Garrett's Appeal, 100 Pa, St. 597, 496 Garrett v. Bradford, 28 Gratt. 609, . . - . 764, 775 V. Handley, 5 Dow. & R, 319; s. C. 4 B. & C. 664; S. C. 3 id. 463, - - - - V. Muller, 37 Tex. 589, - Garretson v. Weaver, 3 Edw. Ch. (N. Y.) 385, - Gartside Coal Co. v. Maxwell, 22 Fed. Rep. 197, Garvin v. Paul, 47 N. H. 158, 1072, 1106 Gaselys v. Separatists' Soc. 13 Oh. St. 144, .... Gaslin v. Pinney, 23 Minn. 26, Gass V. N. Y., Providence & Boston R. R. 99 Mass. 220, - V. Stinson, 3 Sumn. 93, V. Wilhite, 2 Dana, 170, Gaston v. Drake, 1 Nev. 175, Gates V. Beecher, 60 N. Y. 518 (19 Am. Rep. 207) {infra, 3 Th. & C. 404), - - 397, 697 V. Bennett, 33 Ark. 475, 406 V. Fisk, 45 Mich. 523, 704, 705 V. Fraser, 6 111. App. 229, 209, 573, 932 V. Graham, 12 Wend. 53, 410, 421 V. Hughes, 44 Wis. 332, - 519, 523, 534 V. Mack, 5 Cush. 613, - 1094 V. Manny, 14 Minn. 21, - 1158 1019 1023 993 4,7 13 233 66 495 18 111 Ixxxi Gat.] TABLE OF CASES. [Gil. Gates V. Pollock, 5 Jones (N. Ca.), L. 844, - - - - 415 V. Watson, 54 Mo. 585, - 101, 446, 419, 456. 1051, 1068 Gathriglit v. Burke, 101 lud. 590, G21 Gauger v. Pautz, 45 Wis. 449, 887 Gault V. Calland, 7 Leigh, 594, 732 Gaus V. Hobbs, 18 Kau. 500, 78, 446, 507 Gaut V. Reed, 24 Tex. 4^, 246, 535, 743, 744, 749 Gavin v. Walker, 14 Lea, 643, 156, 157, 329, 344, 371, 374, 443, 1153 Gay V. Bo wen, 8 Met. 100, - 701 V. Fretwell, 9 Wis. 186, - 95, 1138, 1155 V. Johnson, 33 N. H. 167, 144, 149, 1099 V. Johnson, 45 N. H. 537, 453 V. Seibold, 97 N. Y. 472 (49 Am. Rep. 533), - - 198 V. Waltinan, 89 Pa. St. 453, ... - 336, 1072 Gaylord v. Irahoff, 26 Oh. St. 317 (20 Am. Rep. 762 ; 15 Am. Law Reg. (N. S.) 477), - - 1131 Geddes' Appeal, 84 Pa. St. 482, 239, Pa. St. 442,' - - 308, 309 Geddes V. Adams, 11 Gray, 384, 1074 V. Simpson, 2 Bay (S. Ca.), 533, 701 V. Wallace, 2 Bligh, 270, 43, 56, 211, 215, 459, 759, 922 Gedge v. Traill, 1 Russ. & My. 281, 926 Geery v. Cockroft, 33 N. Y. Superior Ct, 146, - - - 1046 V. Geery, 79 N. Y. 565, 971, 972 Gellar, Ex parte, 1 Rose, 297, 16, 258 Geller, Ex parte, 3 Mad. 263, - 833 Genesee Sav. Bank v. Mich. Barge Co. 53 Mich. 164, - 1155 George v. Tate, 102 U. S. 564, 401, 406 George v. Wamsley, G4 Iowa, 175, - - - 560, 565, 566 Georgia Co. v. Castleberry, 43 Ga. 187, . - - . 505 Geortner v. Canajoharie, 3 Barb. 625, - - - 566, 994 Gerard v. Basse, 1 Dall. 119, 377, 379, 380, 414 V. Gateau, 84 111. 121 (25 Am. Rep. 438), - - - 594 Gere v. Clarke, 6 Hill, 350, - 714 Gerhardt v. Swaty, 57 Wis. 24, 389, 463, 480 German Bank v. Schloth, 59 Iowa, 516, - - - 265, 382 Gernon v. Hoyt, 90 N. Y. 631, 443 Getchell v. Foster, 106 Mass. 42, 28, 191, 200, 201, 443, 444, 524 Gething v. Keighley, 9 Ch. D. 547, - - . - 959, 964 Gibbs V. Bates, 43 N. Y. 192, - 629 V. Merrill, 3 Taunt. 307, 148 Giblett V. Read, 9 Mod. 459, - 005 Gibson v. Lupton, 9 Bing. 287, 65 V. Moore, 6 N. H. 547, 861, 866 V. Oliio Farina Co. 3 Dis- ney, 499, - - - - 905 V. Stevens, 7 N. H. 353, 53, 598, 599, 1106 V. Stone, 43 Barb. 385 ; 28 How. Pr. 468, ... 60 V. Warden, 14 Wall. 344, 407, 416, 418 Giddings v. Palmer, 107 Mass. 269, . . - - 551, 561 V. Seevers, 34 Md. 863, - 646 Gilbank v. Stephenson, 31 Wis. 593, 85 Gilbert's Appeal, 78 Pa. St. 266, 744 Gilbert v. Whidden, 20 Me. 367, - - - 1140, 1142, 1159 V. Wiman, 1 N. Y. 550, 630, 639 Gilbraith v. Lineberger, 69 N. Ca. 145, . - - - 99, 1148 Ixxxii Gil.] TABLE OF CASES. [God. Gilchrist v. Brande, 58 Wis. 184, - 348, C03, C21, 1151, 1153 Gilhooly v. Hart, 8 Daly, 176, 770, 783 Gill V. Geyor, 15 Ob. St. 899, - 2:10, 231, 815 V. Ferris, 83 Mo. 156, 43, 193, 576 V. Kulin, 6 S. & R. 333, - 17 V. Lattimore, 9 Lea, 381, 5C0, 1131, 1133 V. Morrison, 26 Up. Can. C. P. 134, .... 68 Gillan v. Morrison, 1 DeG. & S. 421, ... - 459, 759 Gillaspy v. Peck, 46 Iowa, 461, 847 Gillett V. Gaffuey, 3 Colorado, 351, 305 V. Hall, 13 Conn. 426, 907, 984 V. Thornton, L. R. 19 Eq. 599, - - - - 216, 223 V. Walker, 74 Ga. 291, - 10G2 Gillies V. Colton, 23 Grant's Ch. (Up. Can.) 123, - 59, 69 Gillig V. Lake Bigler Road Co. 3 Nev. 214, - - - - 1063 Gillham v. Kerone, 45 Mo. 487, 257. 260, 1110 Gillilan v. Sun Mut. Ins. Co. 41 N. Y. 376, - - 681, 6S2, 633 Gillow V. Lillie, 1 Bing. N. Cas. 695, - - - 315, 346 Gilly V. Singleton, 3 Litt. (Ky.) 219, Oilman v. Foote, 32 Iowa, 560, V. Vaughan, 44 Wis. 646, 697 5:37 786, 986 V. Williams, 7 Wis. 339 (now overruled), - - - 1131 Gilmore v. Black, 11 Me. 485, 64 V. Merritt, 63 Ind. 535, - 156 V. North Amer. Land Co. Peters. C. C. 460, 1111, 1113 V. Patterson, 36 Me. 544, 331 Gilpatrick v. Huuter, 34 Me. 18, 386 Gilpin V. Enderbey, 5 B. & Aid. 954, - - - 16, 47, 56 Ginesi v. Cooper, 14 Ch. D. 596, - 663, 664, C66, 667, 668 Giovanni v. First Natl. Bk. 55 Ala. 305 (38 Am. Rep. 723) (overruling s. c. 51 id. 17()), 1131 Glass Co. v. Ludlum. 8 Kan. 40, 734 Glasscock v. Smith, 25 Ala. 474, ... - 690, 691 Glassington v. Thwaites, 1 Sim. & Stu. 124, - - 306, 988 V. Thwaites, Coop. temp. Brougham, 115, - - - 243 Gleadow v. Hill Glass Co. 13 Jur. 10-20, .... 767 Gleason v. Clark, 9 Cow. 57, - 700 V. McKay, 134 M iss. 419, 176 V. Van Aernam, 9 Oregon, 343, .... 859, 919 V. White, 34 Cal. 258, - 735 Glen & Hall Mfg. Co. v. Hall, 61 N. Y. 226 (rev. 6 Lans. 158), 663 Glenn v. Arnold, 56 Cal. 631, - 189 V. Caldwell, 4 Rich. Eq. (S. Ca.) 168, - - - - 883 V. Gill, 3 Md. 1, 103, 104, 105, 834 Glidden v. Taylor, 16 Oh. St. 509, 140 Glossop V. Coleman, 1 Stark. 35, - . - - - - 1023 Glover v. Tuck, 24 Wend. 153, 876 Glyn V. Hood, 1 Giff. 328; 1 De G. F. & J. 334, - - 927 Glynn v. Phetteplace, 26 Mich. 383, - - 543, 852. 910, 931 Goble V. Gale, 7 Blackf. 218 (41 Am. Dec. 219), - - 1023 V. Howard, 13 Oh. St. 165, 894 Goddard v. Brown, 11 Vt. 278, 445, 1053 V. Cox, 2Stra. 1194, - 495 V. Hapgood, 25 Vt. 351 (CO Am. Dec. 272), - - - 569 V. Hodges, 1 Cr. & M. 33, 55, 852, 854 Ixxxiii God.] TABLE OF CASES. [Gou. Goddard v. Ingram, 3 Q. B. 839, 703 V. Pratt, 16 Pick. 412, 33, 64, 83, 150, 153, 589, 608, 609, 611, 622, 1156 V. Eenner, 57 Ind. 532, 403, 404 Godden v. Kimmell, 99 U. S. 201, 942 Godfrey v. White, 43 Mich. 171, 282, 294, 313, 767, 770, 775, 777, 785, 907, 974, 975, 976, 977 Goedde, Re, 6 Baukr. Reg. 295, 832, 833 Goelet V. McKinstry, 1 Johns. Gas. 405, - - - 724, 746 Goell V. Morse, 126 Mass. 480, 63 Goembel v. Arnett, 100 111. 34, 551, 560 Goepper v. Kinsinger, 39 Oh. St. 429, - - - 283, 286 Goesele v. Bimeler, 14 How. 589 (a Jig. 5 McLean, 223), - 13 Goldie V. Maxwell, 1 Up. Can. Q. B. 424, - - - 205, 439 Golding V. Vaughan, 2 Chitty, 436, . . - . 722, 723 Goldman v. Page, 59 Miss. 404, 1028 Goldshorough v. McWilliams, 2 Cranch, C. C. 401, - - 858 Goldsmith v. Sachs, 17 Fed. Rep. 726; 8 Saw. 110, 13, 870, 872 Goll V. Hinton, 8 Abb. Pr. 122, 1105 V. Hubbell, 61 Wis. 293, 1132 Gomersall v. Gomersall, 14 Allen, 60, .... 873 Goodbar v. Gary, 4 Woods, 663; 16 Fed. Rep. 316, - - 566 Goodburn v. Stevens, 5 Gill, 1 ; 1 Md. Ch. 420, 290, 297, 298, 580, 794, 801 Goode V. Harrison, 5 B. & Aid. 147, - - - 143, 146, 611 V. Linecum, 1 How. (Miss.) 281, .... 317, 373 V. McCartney, 10 Tex. 193, 43, 317, 362, 1040 Goodenow v. Jones, 75 111. 48, 503, 507, 508, 510, 511 Goodin v. Ai-mstrong, 19 Ohio, 44, 858, 860 Goodman V. Henderson, 58 Ga. 567, 676 v.Whitcomb, 1 Jac. & W. 589, .... 313, 314 V. White, 25 Miss. 163, - 317 Goodnow V. Smith, 18 Pick. 414, 386 Goodrich v. Leland, 18 Mich. 110, 446 Goodson V. Cooly, 19 Ga. 599, 870 Good speed v. South Bend Plow Co. 45 Mich. 237, - 526, 694, 707 V. Wiard Plow Co. 45 Mich. 322, ... . 707 Goodwin v. Einstein, 51 How. Pr. 9, 803 Gordon's Estate, 11 Phila. 136, 836 Gordon v. Bankard, 37 111. 147, 199, 1154 V. Boppe, 55 N. Y. 665, - 875, 877 V. Buchanan, 5 Yerg. 7, - 333 V. Cannon, 18 Gratt. 387, 338, 555, 825 V. Freeman, 11 III. 14, - 381, 583, 681, 684 V. Gordon, 49 Mich. 501, 286, 917 V. Janney, Morris (Iowa), 183, 1143 V. Kennedy, 36 Iowa, 167, 828 V. Tyler, 53 Mich. 629, - 1039, 1040 Gorham v. Farson, 10 N. E. Rep. 1; 119 111. 425, . - 918 Gorman v. Russell, 14 Cal. 531, 7, 75, 241, 591, 1028 V. Russell, 18 Cal. 688, - 75 Gossett V. Weatherly, 5 Jones (N. Ca.), Eq. 46, - - . 570 Gott V. Dinsniore, 111 Mass. 45, 73, 73 Gough V. Davies, 4 Price, 200, 521 Gould V. Gould, 35 N. J. Eq. 37; id. 563; 36 id. 380, - 141 Ixxxiv Gou.] TABLE OF CASES. [Gea. Gould V. Gould, 6 Wend. 263 (aff'g s. c. 8 Cow. 168), - 181, 1019 V. Horner, 12 Barb. 601, 216 V. Kendall, 15 Neb. 549, - 111, 114, 119, 137, 128 Gould ing. Ex parte, 2 Gl. & J. 118, 509 Gouthwaite v. Duckworth, 2 East, 421, .... 80 Gover v. Hall, 3 Har. & J. (Md.) 43, ... 952, 903 Gow V. Forster, 26 Ch. D. 672, 605 Go wan v. Jackson, 20 Johns. 176, - - 399, 1155, 1158, 1159 V. Jeffries, 2 Ashmead, 296, 591 V. Tun no. Rich. Eq. Cas. (S. Ca.) 369, - - - 750, 847 Grabenheimer v. Riudskoff, 64 Tex. 49, - - 43, 105, 1109 Grace v. Smith, 2 W. Bl. 998, 16, 47 Grady v. Robinson, 28 Ala. 2S9, - 72, 74, 83, 293, 416, 417 Graeff v. Hitchman, 5 "Watts, 454, - - 439, 440, 445, 446 Graff V. Kinney, 37 Hun, 405; 15 Abb. N. Cas. 397, - - 139 Grafton Bank v. Moore, 13 N. H. 99 (38 Am. Dec. 478), - 1149, 1151, 1155 Graham v. Boy n ton, 35 Tex. 712, 1124 V. Holt, 3 Ired. (S. Ca.) L. 300 (40 Am. Dec. 408), - - 856 V. Howell, 50 Ga. 203, - 1171 V. Meyer, 4 Blatchf. 129, 468 V. Pocock, L. R. 3 P. C. 345, 468 V. Robertson, 2 T. R. 282, 753, 895, 8915 313, 703, Granger v. McGilvra, 24 111. 152, - 326, 331, 681, 682, 1039 Grant, Re, 6 Law Reporter, 158, 400 V. Bryant, 101 Mass. 567, 230 V. Crowell, 43 N. J. Eq. V. Selover, 59 Barb, 1 C. & M 704 -~ — V. Whichelo, 188, 709 Gram v. CadweU, 5 Cow. 489, 823, 383, 683, 684, 1044 V. Seton, 1 Hall, 262, 414, 416 524, — V. Hardy, 33 Wis. 6G8, - — V. Holmes, 75 Mo. 109, - — V. McKinney, 36 Tex. 62, — V. Masterton, 55 Mich. 161, — V. Poillon, 20 How. 162, - — V. Shurter, 1 Wend. 148, 753 307 387 742 981 908 747 Graser v. Stellwageu, 25 N. Y. 315, .... 325, 403 Grasswitt v. Connally, 27 Gratt. 19, - - - - 105 Gratz V. Bayard, 11 Serg. & R. 41, - - - 598, 599, 605, 733 V. Stump, Cooke (Tenn.), 493, .... 456, 1051 Graves v. Boston Ins. Co. 2 Cranch, 419, .... 409 V. Cook, 2 Jur. N. S. 475, 876 V. Hall, 33 Tex. 605, 338, 340 V. Kellenberger, 51 Ind. 66, ... 257, 343, 409 V. Merry, 6 Cow. 701 (16 Am. Dec. 471), - 613, 618, 698 Gray v. Badgett, 5 Ark. 16, - 1079 V. Brown, 22 Ala. 263, - 385 V. Chiswell, 9 Ves. 118, 825, 828 V. Clement, 12 Mo. App. 579, 734 V. Cropper, 1 Allen. 337, 480 V. Gibson. 6 Mich. 300, 78, 1140 V. Haig, 20 Beav. 219, - 983 V. Larrimore, 3 Abb. (U. S.) 542, .... 930 V. McMillan, 22 Up. Can. Q. B. 456, 635, 636, 637, 640, 879 V. Palmer. 9 Cal. 616, 13, 150, 279, 294, 301, 9T0, 976 V. Rollo, 18 Wall. 631, - 1081 V. Steedman, 63 Tex. 95, 1121 V. Ward, 18 111. 32, - 329, 347 363, 420, 437, 430 Ixxxv Gka.] TABLE OF CASES. [Gel Gray v. Washington, Cooko, 321, 964 V. Williams, 9 Humph. 503, .... C36, 640 Grazebroolr, Ex parte, 2 Deac. & Ch. 186, - - - 634, 843 V. McCreedie, 9 Wend. 437, 380 Greathouse v. Greathouse, 60 Tex. 597. .... 850 Greatrex v. Greatrex, 1 DeG. & S. 693, .... 814 Great Westei'n R'y v. Preston & Berlin R'y, 17 Up. Can. Q. B. 477, 45 Great Western Tel. Co., Re, 5 Biss. 363, - - - - 208 Greeley v. Wyeth, 10 N. H. 15, 411, 430, 1037 Gregg V. Fisher, 3 111. App. 261, - 328, 341, 348, 361, 370 V. James, Breese (111.), 107 (12 Am. Doc. 151), 381 681, 1079 Gregory v. Dodge, 4 Paige, 557, 1169 V. Martin, 78 111. 38, - 1154 V. Menefee, 83 Mo. 413, 733 742, 772, 78o V. Patchett, 33 Beav. 593, 435 Green v. Beala, 2 Caines, 254, 377, 379, 380, 414, 421 V. Beesley, 2 Biug. N. Cas. 108, 27,67 — - V. Briggs, 6 Hare, 395, - 70 V. Castlebury, 77 N. Ca. 164, 908 V. Caulk, 16 Md. 556, - 1159 V. Chapman, 27 Vt. 236, 899, 900, 905, 1095 V. Edick, 50 N. Y. 613, - 1170 V. Pyne, 1 Ala. 235, - - 1051 V. Raud, 2 Conn. 254, - 377 V. Tanner, 8 Met. 411, 446, 451 V. Virden, 22 Mo. 506, - 733 V. Waring. 1 W. Bl. 475, Greene v. Ferrie, (S. Ca.) 164, - 1 Desaus. 234 564 Greene v. Graham, 5 Oh. 264, 294, 297, 975 V. Greene, 1 Oh. 535 (13 Am. Dec. 642), - - 281, 290 Greenebaum v. Gage, 61 III. 46, 677 Gieenewald v. Rathfon, 81 lud. 547, .... 897 Greenham v. Gray, 4 Irish Com. L. 501, - - - 17, 35, 873 Greenleaf v. Burbank, 13 N, H. 454, 365 V, Quincy, 12 Me. 11 (23 Am. Dec. 145), - - - 705 Greenslade v. Dower, 7 B. & C. 635; 1 Man. & Ry. 640, 329, 343, 345, 371 Greentree v. Rosenstock, 01 N. Y. 583, .... 1124 Greenup v. Barbee, 1 Bibb, 320, - - - - 72, 73, 458 Greenwald v. Kaster, 86 Pa. St. 45, - - - - 386, 387 Greenwood's Case, 3 De G. M. & G. 470, ... 72, 323 Greenwood v. Brodhead, 8 Barb. 593, .... 929 V. Sheldon, 31 Minn. 254, 219 Greer v. Bush, 57 Miss. 575, 650, 651 Gribbia v. Thompson, 28 111. 61, 1094 Gridley v. Conner, 2 La. Ann. 87, - . - 786, 907, 933, 993 V. Dole, 4 N. Y. 486, 851, 868, 878, 881 Grieff v. Boudousquie, 18 La. Ann. 631, .... 91 V. Kirk, 15 La. Ann. 320, 1086 V. Kirk, 17 La. Ann. 25. - 653 Grioner v. Ulerey, 20 Iowa, 206, 1143 Grier v. Hood, 25 Pa. St. 430, - 377 Griffey v. Northcutt, 5 Heisk. 746, 294, 297, 300, 769, 770, 773 Griffie v. Maxey, 58 Tex. 210, 286, 560, 1131, 1132, 1133 Griffin, Ex parte, 3 Ont. App. 1, 513 Ixxxvi Gel J TABLE OF CASES. [Gwi. Griffin v. Cranston, 10 Bosw. 1 ; 1 id. 281, ... - 562 V. Doe ex dem. Stoddard, 12 Ala. 783, - - - - 1145 V. Orman. 9 Fla. 22, - 551, C39 V. Samuel, 6 Mo. 20, - - 45(5 V. Spence, 69 Ala. 393, 714, 717 Griffith V. Buck, 13 MJ. 102, 551, 552, 638, 824 V. Buffuni, 22 Vt. 181 (54 Am. Dec. 64), 32, 156, 157, 445 V. Carter, 8 Kan., 565, - 175 V. Chew, 8 S. & R. 17, - 900 V. Vanheythuysen, 9 Hare, 85, - - - - 923 V. Willing, 3 Bin. 317, - 899 Griffitlis V. Griffitlis, 3 Hare, 587, 710 Griggs V. Clark, 23 Cal. 427, - 181, 770, 772, 773, 907, 908 Grigsby v. Nance, 3 Ala. 347, 875, 876, 880 Grim's Appeal, 105 Pa. St. 375, 735, 739, 743, 745, 923 Grinnan v. Baton Rouge Co. 7 La. Ann. 638, - - - 618 Grissom v. IMoore, 106 Ind. 296, 290, 297 Grisvvold v. Griswold, 14 How. Pr. 446, .... 1086 V. Haven, 25 N. Y. 595, 473 V. Hill, 1 Paine, C. C. 390, 941 V. Waddington, 16 Johns. 438 (affg. 15 id. 57), 325, 570, 581, 582, 610 Groenendyke v. Coffeen, 109 111, 325, - 952, 954, 955, 963 Groesbeck v. Brown, 2 How. Pr. 21, 3S0 Grossini v. Perazzo, 66 Cal. 545, ... - 753, 935 Grosvenor v. Austin, 6 Oh. 103 (25 Am. Dec. 743), - 828, 832 V. Lloyd, 1 Met. 19, 152, 157, 608 Grove v. Fresh, 9 Gill & J. 280, .... 764,900 Grove v. Miles, 85 111. 85, - 761 Groves v. Tallraan, 8 Nev. 178, 936 Grozier v. Atwood, 4 Pick. 234, 59 Grubb V. Cottrell, 62 Pa. St. 23, 353, 903, 1038 Grund v. Van Vleck, 69 111. 478, .... 407, 469 Guckenheimer v. Day, 74 Ga. 1, 1123 Guerand v. Dandelet, 32 Md. 561, 676 Guice V. Thornton, 76 Ala. 466, 84, 322, 323, 362, 308, 440, 483, 1140 Guidon v. Robsoo, 2 Camp. 302, .... 1023, 1067 Guild V. Belcher, 119 Mass. 257,' 347, 507, 509 V. Leonard, 18 Pick. 511, 560 Guillou V. Peterson, 89 Pa. St. 163 (rev. S. C. 9 Phila. 225), - 483 Guimond v. Nast, 44 Tex. 114, 1086 Guion V. Trask, 1 DeG. & J. 379, 185 Gulick V. Gulick, 14 N. J. L. 578, 150, 330, 331, 575, 858, 1155 v. Gulick, 16 N. J. L. 186, .... 530, 881 GuUat v. Tucker, 3 Cranch, C. C. 33, 347 Gullich V. Alford, 61 Miss. 224, 86 Gumbel v. Abrams, 20 La. Ann. 568, - - - . 457 V. Koon, 59 Miss. 264. 155, 193 Gunn V. Central R. R. Co. 74 Ga. 509, .... Gunnell v. Bird, 10 Wall. 304, Gunter v. Jarvis, 25 Tex. 581, V. Williams, 40 Ala. 561, 133 810, 812 725, 1057 416, 417 Guptil V. McFee, 9 Kan. 30, - 1131 Gurler v. Wood, 16 N. H. 539, 405 Gurr V. Martin, 73 Ga. 528, - 59 Guyton v. Flack, 7 Md. 398, - 824, 929, 1003 Gwin V. Selby, 5 Oh. St. 96, - 5G7 Ixxxvii Gwi.] TABLE OF CASES. [Hai» Gwinn v. Rooker, 24 Mo. 290, 414, 416, 420 Gwynn v. Duffield, 66 Iowa, 708. 462 Gvger's Appeal, 62 Pa. St. 73 '(1 Am. Rep. 382), - 769, 770, 773, 785, 786, 791, 798, 927, 986, 987 Gjnne v. Estes, 14 Lea, 062, - 740 H. Haas V. Roat, 16 Hun, 526 (affd. in 26 Hun, 633), - V. Shaw. 91 Ind. 884 (46 47 139 567 Am. Rep. 607), - - - Haben v. Haishaw, 49 Wis. 379, Habershon v. Blurton, 1 De G. & Sm. 121, - - 584, 928, 1103 Hacker v. Johnson, 66 Me. 21, 1105, 1107, 1111, 1112 Hackett v. Multnomah R'y Co. 12 Oregon, 134, - - - 133 Hackley v. Patrick, 3 Johns. 536, - . - . 699, 700 Hackwell v. Eustman, Cro. Jac. 410, - - - . 739 Hadden v. Shortridge, 27 Mich. 212, .... 1140, 1158 Haddock v. Crocheron, 32 Tex. 276 (5 Am. Rep. 244), 623, 694, 695, 704 Haddon v. Ayres, 1 E. & E. 118, 879 Hafer, In re, 1 Bankr. Reg. [147] 547, - - - - 1131 Had Held v. Jameson, 2 Munf. (Va.) 53, .... 895 Hagar v. Graves, 25 Mo. App. 164, 1039 V. Mounts, 3 Blackf. 57 ; id. 261, 347 V. Stone, 20 Vt. 106, 152, 1052 Haggart v. Allan, 4 Grant's Ch. (Up. Can.) 36, - - 952 Haggerty v. Granger, 15 How. Pr. 243, 338 Haggerty v. Johnston, 48 Ind. 41, - - - - 504, 634, 647 V. Juday, 58 Ind. 154, - 538 Hague V. Rolleston, 4 Burr. 2174, 583 Hahn v. St. Clair 'Sav. & Ins. Co. 50 111. 456, - - - 1151 Haig v. Gray, 3 De G. & Sm. 741, 723 Haight V. Arnold, 48 Mich. 512, 1073 V. Burr, 19 Md. 130, 994, 1004 Haines v. HoUister, 64 N. Y. 1, 750 V. Knowles, 36 Mich. 407, 1106 Hake v. Buell, 50 Mich. 89, - 1141 Haldeman v. Bank of Middle- town, 28 Pa. St. 440, - - 348 Halderman v. Halderman, Hempst. C. C. 559, - 852, 858 Hale V. Brennan, 23 Cal. 511, 978, .1136 V. Henrie, 2 Watts, 143 (27 Am. Dec. 289), - - 289 V. Plummer, 6 Ind. 121, 290, 297 V. Railroad, 60 N. H. 333, 405 V. Van Saun, 18 Iowa, 19, 1091 V. Wetmore, 4 Oh. St. 600, .... 11C8, 1169 V. Wilson, 112 Mass. 444, 871, 897 Haley v. Bellamy, 137 Mass. 357, 233 Halfhide v. Penning, 2 Bro. 0. C. 336, 233 Hall, Ex parte, 1 Rose, 2; 17 Ves. 63 (latter is fuller), - 382, 680 , Ex parte, 3 Deac. 125, - 634, 843 V. Bainbridge, 1 M. & G. 42, 438 V. Barrows, 4 DeG. J. & S. 150, - - 058, G03, 665, 675 V. Clagett, 48 Md. 233. 313, 765, 909, 953, 983 V. Cook, 69 Ala. 87, 450, 1051 Ixxxviii Hat..] TABLE OF CASES. [Han. Hall V. Curzon, 9 B. «fe C. 646, 1169 r V. Edson, 40 Mich. 651, 43, 78 V. Hall, 13 Beav. 414; 20 id. 139 ; 3 Macn. & G. 79, 603, 988, 991 V. Hall, 3 McCord, Ch. 269. 825 V. Irons, 4 Up. Cau. C. P. 351, 385 V. Jones, 56 Ala. 493, 508, 519, 616, 621, 707 V. Lannin, 30 Up. Can. C. P. 204, - - - 864, 806 V. Lanuing, 91 U. S. 160, 336, 377, 1086, 1089, 1090, 1092 V. Lonkey, 57 Cal. 80, 939, 974 V. Sannoner, 44 Ark. 34, 211, 763 V. Smith, 1 B. & C. 407 (overruled in Ex parte Buck- ley, 14 M. & W. 469; 1 Ph. 562), 346 V. Tay, 131 Mass. 192, - 650 V. Thayer, 12 Met. 130, - 75 Hallack v. March, 25 111. 48, - 336 Haller v. Willamowicz, 23 Ark. 566, 761, 770, 777, 898, 978, 979 Hallet V. Desban, 14 La. Ann. 529, 43 Hallett V. Cumston, 110 Mass. 29, 672 V. Cumston, 110 Mass. 33, 922 Halliday v. Bridewell, 36 La. Ann. 238, .... 43 V. Carman, 6 Daly, 422, - 879 V. Doggett, 6 Pick. 359, - 1018 V. McDougall, 20 Wend. 81 (rev. in part, 22 id. 264), 1155, 1156, 1157 Halsey v. Norton, 45 Miss. 703 (7 Am. Rep. 745), 583, 753, 1026 V. Whitney, 4 Mason, 206, 383, 415 Halstead v. Shepard, 23 Ala. 558, 276, 401, 403, 689, 991, 1039 Halbted v. Schmelzel, 17 Johns. 80, - - - - 849, 865 Ham V. Hill, 39 Mo. 275, - G36, 637 Hambridge v. De la Crouee, 3 C. B. 742, - - - 377, 380 Hamer v. Giles, 11 Ch. D. 943, 987 .Haraersley v. Lambert, 2 Johns. Ch. 508, 529, 747, 749, 750, 925 Hamil v. Stokes, 4 Price, 161 ; Dan. 20, - 595, 805, 807, 809 Hamill v. Hamill, 27 Md. 679, 589, 756, 999 v.Willett, 6 Bosw. 533, 105,547 Hamilton's Appeal, 103 Pa. St. 308, - * - - - - 377 Hamilton, lu re, 1 Fed. Rep. 800, - - 150, 838, 839, 845 V. Buxton, 6 Ark. 24, 456, 1051, 1068 V. Douglas, 46 N. Y. 218, 138 V. Einer, 20 La. Ann. 391, 447 V. Hodges, 30 La. Ann. Pt. II, 1390, - - - 430 V. Phoenix Ins. Co. 106 Mass, 395, - - 319, 336, 427 V. Purvis, 2 Pa. 177, - 403 V. Smith, 5 Jur. N. S. 32, 89 V. Seaman, 1 Ind. 185, - 695 V. Summers, 12 B. Mon. 11 (54 Am. Dec. 509), 353, 361, 700, 737 Hammond v. Aiken, 3 Rich. Eq. (S. Ca.) 119, - - 612, 619 658 949 380 ■ V. Douglas, 5Ves. 539, V. Hammond, 20 Ga. 556, V. Harris, 2 How. Pr. 115, V. He ward, 11 Up. Can. C. 474 P. 261, V. Heward, 20 Up. Can. Q. B. 36, ... 474, 1094 V. Paxton, 58 Mich. 393, 295 V. St. John, 4 Yerg. 107, 1055 Hamper, Ex parte, 17 Ves. 403, ... 16, 55, 257 Hamsmith, v. Espy, 13 Iowa, 439, ... - 847, 848 Hancock v. Haywood, 3 T. R. 433, 722 Ixxxix Han.] TABLE OF CASES. [Hae. Hancock v. Hintrager.CO Iowa, 374, .... 109,205 Handlin, Re, 12 Bankr. Reg. 49; 3Biss. 290, - - - 1131 V. Davis, 81 Ky. 34, - - 88 Hanff V. Howard, 3 Jones (N. Ca.), Eq. 440, - - - 281 Hanger v. Abbott, 6 Wall. 533, 535, 582 Hankey v. Becht, 25 Minn. 212, .... 257, 259 V, Hammock, Buck, 210; 3 Madd. 138, .... GOO Hanks v. Baber, 53 111. 292, - 770, 815, 888, 917 V. Hinson, 4 Porter (Ala.), 509, 285 Hauna v. Andrews, 50 Iowa, 462, 6G7 V. Flint, 14 Cal. 73, - - 43, GO V. Wray, 77 Pa. St. 27, - 737, 1170 Hanson v. Dodge, 134 Mass. 273, 655 V. Eustace, 2 How. 053, . 2S5 V. Paige, 3 Gray, 239, 457, 754 Han way v. Robertshaw, 49 Miss. 753; R. v. H. 53 id. 713, 719 Hapgood V. Cornwell, 48 111. 64, - - - - 551. 553,500 Haralson v. Campbell, 63 Ala. 278, .... 1004, 1130 Harbour v. Reeding, 3 Mon- tana, 15, ... - 303 Hardeman v. Tabler, 33 La. Ann. 555, - . - . 457 Harding, Ex parte, 13 Ch. D. 557, 45oa V. Foxcroft, 6 Me. 76, - 70, 71 V. Glover, 18 X^s. 281, - 995 V. Hagar, 03 Me. 515, 178, 2G:J Hardy v. Blazer, 29 Ind. 226, - 504 V. Cheney, 42 Vt. 417, - 1050, 1151, 1152 V. Donellan, 33 Ind. 501, 409 V. Mitchell, 67 Ind. 4y5, 5G9, 825 Hardy v. Norfolk Mfg. Co. 80 Va. 404, . - 72,281,531,882 V. Overman, 36 Ind. 519, 569, 848, 1130 Hare, Ex parte, Deac. 16; 2 Jlont. & A. 478, - - - 263 Harferd v. Street, 46 Iowa, 594, 1091 Hargrave v. Conroy, 19 N. J. Eq. 281, - - - 43, 49, 923 Hargreaves, Ex parte, 1 Cox, 440, - ' - - - - 837 Harkey v. Tillman, 40 Ark. 551, 278 Harlan v. Moriarity, 3 G. Greene (Iowa), 486, - - 543 Harland v. Lilienthal, 53 N. Y. 438, 110 Harlow v. Rosser, 28 Ga. 219, 410 Haruian v. Johnson, 2 E. & B. 61 (rev. s. C, 3 Car. & K. 272), .... 329, 477 Harmon v. Clark, 13 Gray, 114, - 453, 553, 553, 838, 843 Harper, Ex parte, 1 De G. & J. ISO, 249 V. Fox, 7 Watts & S. 143, 377 V. GodsL41, L. R. 5 Q. B. 433, 274 V. Lamping, 33 Cal. 641, 481, 810, 973, 974, 976 V. Wrigley, 48 Ga. 495, 383, 411, 435 Harrington v. Churchward, 29 L. J. Ch. 521 ; 6 Jur. N. S. 576 ; 8 W. R. 303, - - 923 V. Ilighara, 13 Barb. 6G0; 15 id. 534, ... - 336 Harris. Ex parte, 1 Rose, 437; 2 Ves. & B. 210, 830, 837, 833, 839 V. Farewell, 15 Beav. 31, 519, 523 V. Farwell, 13 Beav. 403, 828 V. Fleming. 13 Ch. D. 208, 907 V. Harris, 15 Ala. 710, - 860 V. Harris, 39 N. H. 45, - 849, 852, 861 xo Has.] TABLE OF CASES. [Hab. Harris v. Hillegass, 54 Cal. 403, 49, 575, 589, 945, 952 v.^Lintlsay, 4 Wash. C. C. 9S, id. 271, - - 520, 523 V. McGregor, 29 Cal. 124, 5 V. McLeoJ, 14 Up. Can. Q. B. 1G4, - - - 349, 358 V, Miller, Meigs (Tenn.), 158 (33 Am. Dec. 13S), 205, 420, 438 V. Peabody, 73 Me. 2G2, 824, 825, 832, 833 V. Pearce, 5 111. App. 022, 437, 723 V. Visscher, 57 Ga. 229, - 1131 V. Wade, 1 Chit. 322, - 380 V. Wilson, 7 Wend. 57, - 701 Hairison, Ex parte, 2 Rose, 70, 70 V. Armitage, 4 Mad. 143, 910, 913 V. Bevington, 8 C. & P. 703, ... - V. Close, 2 Johns. 448, V. Dewey, 40 Mich. 173, - V. Farrington, 36 N. J. Eq. 107(affa. 37 id. 316), V. Farrington, 38 N. J. Eq. 1, -v. Farrington, 38 N. J. 1033 385 932 Eq. 358, ... - V. Farrington, 40 N. J. Eq. 553, - - - - V. Fitzhenry, 3 Esp. 238, 940 964 964 984 1016, 1023 V. Gardner, 2 Madd. 198, 603 V. Jackson, 7 T. R. 207, 414, 416, 1088 V. McCormick, 69 Cal. 616, - - 195, 454, 1049, 1095 V. Pope (Iowa Dist. Ct. 1855), 4 Am. Law Reg. (O. , S.), 313, 524 V. Righter, 11 N. J. Eq. 389, .... 924, 925 V. Sterry, 5 Cranch, 289, 340 Harrod v. Hamer, 32 Wis. 16?, 3 Harry man v. Roberts, 52 Md. 64-77 ; 20 Am. Law Reg. (N. y.)873, - - - - 331 Harshfield v. aaflin, 25 Kan. 100(37 Am. Rep. 237), - - 1101 Hart's Case, 1 Ch. D. 307, - 459 Hart V. Alexander, 7 C. & P. 746, - - - 520, 010, 621, 622 V. Alexander, 2 M. & W. 484, 505, 520, 523, 616, 617, 621, 622 V. Anger, 3S La. Ann. 341, 598 V. Clarke, 6 DeG. M. & G. 232 (reverses 19 Beav. 349) ; affd. in Clarke V. Hart, 6 H. L. C. 633, - - - 241, 785 V. Clarke, 6 H. L. Cas. 633 (aflfg. 6 DeG. M. & G. 232), 574 V. Kelley, 83 Pa. St. 286,- 23, 47, 48, 507, 510, 511 V. Long, 1 Rob. (La.) 83, 696 V. Tomlinson, 2 Vt. 101, 507, 557 V. Withers, 1 Pa. 285 (21 Am. Dec. 382), - - 421, 422 Y. Woodruff, 24 Hun. 510, 700 Hartan v. Eastern R. R. 114 66 423 272 886 1045 825 Mass. 44, ' Harter v. More, 5 Blackf. 3G7, Hartford F. Ins. Co. v. Ross, 23 Ind. 179, ... - Hartley v. Manton, 5 Q. B. 247, V. White, 94 Pa. St. 31, - Hartman's Appeal, 107 Pa. 327, Hartman v. Woehr, 18 N. J. Eq. 383, 86, 577, 578, 589, 591, 780, 781 Hartness v. Thompson, 5 Johns. 100, 148 Hartnett v. Fegan, 8 Mo. App. 1, 300, 734 Hartung v. Siccardi, 3 E. D. Smith, 560, - - - - 1080 Hartz V. Scbrader, 8 Ves. 317, 741, 99'J, 1000, 1003 Harvey V. Childs, 28 Oh. St. 319 (22 Am. Rep. 387), 23, 47 V. Crickett, 5 M. & S. 336, 755 V. McAdams, 32 Mich. 472, 334, 405 V. Penny backer, 4 Del. Ch. 445, .... 384, 909 zci Har.] TABLE OF CASES. [Hay. Harvey v. Varney, 98 Mass. 118, 114, 123, 921 V. Varney, 104 Mass. 436, 766, 789, 9S3, 1005 Harwood v. Jarvis, 5 Sneed, 375, 399 Hasbrouck v. Childs, 3 Bosw. 105, - - - 813, 816, 818 Haseltine v. Madden, 7 Rich. (S. Ca.) L. 16, - - - 1162 Haskell v. Adams, 7 Pick. 59, 72, V. Cliampion, 30 Mo, 136, 201 V. Moore, 29 Cal. 437, 239, 850, 881 V. Vaughn, 5 Sneed, 618, 851 Haskins v. Alcott, 13 Oh. St. 210, ... - 1061, 106G V. Burr, 106 Mass. 48, - 81 V. D'Este, 133 Mass. 356, 174, 191, 1073 V. Everett, 4 Sneed, 531, 1105 V. Warren, 115 Mass. 514, 43 Hasleham v. Young, 5 Q. B. 833; Dav. & Mer. 700, - 349, 350 Haslett V. Street, 2 McCord, 310 (13 Am. Dec. 724), 1090, 10.)2 V. Wotherspoon, 2 Rich. (S. Ca.) Eq. 395, - - 8, 538 Hasselman v. Douglass, 52 Ind. 252, - - - 629, 632 Hastings v. Hopkinson, 28 Vt. 108, - - 95, 323, 324, 325 Hastings Nat. Bank v. Hib- bard, 48 Mich. 452, 100, 107, 196 Hatch V. Wood, 43 N. H. 633, 1023, 1054 Hatchett v. Blanton, 72 Ala. 423, - - - 281, 285, 288 Hathe way's Appeal, 52 Mich. 112, - - - 317, 368, 700 Hatt, In re, 7 Up. Can. L. J. 103, - - - - 175, 176 Hatton V. Stewart, 2 Lea, 233, 694, 695, 698 Hatzenbuhler v. Lewis, 51 Mich. 585, .... 1070 Haughey v. Strickler, 2 Watts & S. 411, ... - 1154 Havana, Rantoul & Eastern R. R. V. Wash, 85 111. 58, - - 1019 Haven v. Goodel, 1 Disney, 26, 694, 695 V. Wakefield, 39 III. 509, 900, 905 Havens v. Hussey, 5 Paige, 80, 338, 583 Hawes v. Dun ton, 1 Bailey (S. Ca.), 146 (19 Am. Dec. 663), 352 v. Tillinghast, 1 Gray, 289, 71 V. Waltham, 18 Pick. 451, 1103 Hawkeye Woolen Mills v. Conklin, 26 Iowa, 422, - 560, 824 Hawkins v. Appleby, 2 Sandf. 421, - - -^ - - 472 V. Hastings Bank, 1 Dil- lon, 462; 4 Bankr. Reg. 108, 416. 418 V. Lasley, 40 Oh. St. 37, - lUOG V. Lee, 8 Lea, 42, - - 700 V. Mclntire, 45 Vt. 496, 43, 59, 66 Hawks V. Hinchcliff, 17 Barb. 492, 53S Hawkshaw v. Parkins, 2 Swanst. 539, - - - 383, 415 Hawley v. Atherton, 39 Conn. 309, 1126 V. Dixon, 7 Up. Can. Q. B. 218, 45 V. Hurd, 56 Vt. 617, . 1068 V. Keeler, 62 Barb. 231 (affd. 53 N. Y. 114), - . 68 Hawtayne v. Bourne, 7 M. & W. 595, 320 Hayden, Ex parte, 1 Brown's Ch. 453, 832 V. Cretcher, 75 Ind. 108, 693, 694 V. Hill, 52 Vt. 259, - - 655 Haydon v. Crawford, 8 Up. Can. Q. B. (old ser.) 583, - 45, 59 xcii Hay.] TABLE OF CASES. [Heu Hayes v. Baxter, 65 Barb. 181, 8G7 V. Bement, 3 Sandf. 394, - 906 V. Fish, 3G Oh. St. 498, - 855 V. Heyer, 3 Sandf. 293, - 338 V. Heyer, 4 Sand. Ch. 485, 931 V. Heyer, 35 N. Y. 326, - 900 V. Knox, 41 Mich. 529, - 534 Hayraan, Ex parte, 8 Ch. D. 1 1, 105, 155, 840 Hayner v. Crow, 79 Mo. 293, - 364 Haynes v. Carter, 13 Heisk. 7, 612, 616, 617 V. Sechrest, 13 Iowa, 455, 292, 416, 417, 430 Hay's Appeal, 91 Pa. St. 205, - 284, 286, 794, 797, 1171 Haythorn v. Lawson, 3 C. & P. 196, 1031 Hayward v. French, 12 Gray, 453, - - - 848, 353, 1170 Haywood v. Harmon, 17 111. 477, - - - 336, 389, 1074 Hazard v. Caswell, 93 N. Y. 259 (rev. 14 J. & Sp. 559), - 198, 663, 675 V. Hazard, 1 Story, C. C. 371, 43, 56 Hazlehurst v. Pope, 2 Stew. & For. 259, - - - 882, 884 Head v. Goodwin, 87 Me. 181, 471 V. Horn, 18 Cal. 211, - 567 Headley v. Shelton, 51 Ind. 388, 629 Health v. Percival, 1 P. Wms. 682; IStra. 403, - - - 619 Heap V. Dobson, 15 C. B. N. S. 460, 80 Heartt v. Corning, 3 Paige, 566, 978, 979 V. Walsh, 75 111. 200, - 383, 682, 709, 715, 726 Heath v. Goslin, 80 Mo. 310 (50 Am. Eep. 505), ... 75 V. Sansom, 2 B. & Ad. 172, 362, 570, 577, 585, 597, 608, 694 V. Waters, 40 Mich. 457, 309, 738, 743, 770, 775, 789 Heathcot v. Ravenscroft, 6 N. J. Eq. 113, - - - 995, 998 Heaton, Ex parte. Buck, 386, - 481 Heberton v. Jepherson, 10 Pa. St. 124, 695 Heckert v. Fegely, 6 W. & S. 139, 80 Heckman v. Messinger, 49 Pa. St. 465, 825 Hedden v. Van Ness, 2 N. J. L. 84, 749 Hedge & Horn's Appeal, 63 Pa. St. 273, .... 72, 74, 83 Hedges v. Armistead, 60 Tex. 276, 1086 Hedley v. Bainbridge, 3 Q. B. 316, .... 329, 343 Hedrick v. Osborne, 99 Ind. 143, 1121 Heeuan v. Nash, 8 Minn. 407, 199, 441 Hefferman v. Brenham, 1 La. Ann. 146, - . - 1059, 1062 Heffron v. Hanaford, 40 Mich. 305, . 333, 349, 3(32, 369, 1151 Heflebower v. Buck, 64 Md. 15, 993, 995, 999 Hefner v. Palmer, 67 111. 161, 47, 91, 94 Hegeman v. Hegeman, 8 Daly, 1, 670 Heighe v. Littig, 63 Md. 301, 55 Heilbut V. NeviU, L. R. 4 C. P. 354, - 750, 1044, 1046, 1048 Heimstreet v. Howland, 5 Den. 68, ... 45, 59 Heineman v. Hart, 55 Mich. 64, 566 Heintz v. Cahn, 29 III. 808, - 1072 Heirn v. McCaughan, 33 Miss. 17, - - - ■ - - - 462 Heise v. Barth, 40 Md. 259, - 33 Hellman v. Reis, 1 Cint. Su- perior Ct. Rep. 30 (affd. in 25 Oh. St. 180), - . - 761 Hells V. Coe, 4 McCord, L. 136, 383 xciu HEL.J TABLE OF CASES. [Hew. Helme v. Smith, 7 Bing. 709, 70, 868. 875 Helmore v. Smith, 35 Ch. D. 436, .- 311,581,584,657,1103 Helbby v. Mears, 5 B. & C. 504, 508 Henderson v. Barbee, 2 Blatchf. 26, - - - 416, 419 V. Carveth, 16 Up. Can. Q. B. 324, - - - 349, 362 V. Haddon, 12 Rich. (S. Ca.) Eq. 393, - - 338, 566, 1109 V. Hudson, 1 Munf. (Va.) 510, ----- 303 V. Nicholas, 07 Cal. 152, - 404 V. Stetter, 31 Kan. 56, - 1029 V. Wadsworth, 115 U. S. 2G4, 507 Hendrick v. Gunn, 35 Ga. 234, 57 Hendrie v. Berkowitz, 37 Cal. 113, - - 349, 358, 362, 367 Hendry v. Turner, 32 CIi. D. 855, - . . . 610, 618 Henley v. Soper, 8 B. «& C. 16; 2 Man. & Ry. 166. - - 800 Heun V. Walsh, 2 Edw. (N. Y.) Ch. 129, 594 Hennegin v. Wilcoxon, 13 La. Ann. 283, - - - . 851 V. Wilcoxon, 13 La. Ann. 576, 852 Hennessy v. Westei'n Bank, 6 Watts & S. 300 (40 Am. Dec. 560), - • - - - 338, 418 Henning v. Raymond, 35 Minn. 229, 1008 Henry v. Anderson, 77 Ind. 361, - - 173, 184, 288, 375 V. Bassett, 75 Mo. 89, 181, 589, 770, 780 V. Jackson, 37 Vt. 431, 76, 211, 760, 907 V. Mahone, 23 Mo. App. 83, 708 V. Willard, 73 N. Ca. 35, 1151 Henry County v. Gates, 26 Mo. 315, - - - 414, 418, 421 Henshaw v. Root, 60 Ind. 220, 1074, 1145 Henslee v. Cannefex, 49 Mo. 295, 831 Hepburn, In re, 14 Q. B. D. 3U4, 843 Heran v. Hall, 1 B. Mon. 159 (35 Am. Dec. 178), - 43, 819 Herbert v. Hanrick, 16 Ala. 581, . . - - 292, 417 V. Hanrich, 16 Ala. 289, - 416 V. Odlin, 40 N. H. 267, 391, 392 Hercy v. Birch, 9 Ves. Jr. 357, 1011 Herd v. Delp, 1 Heisk. 530, - 731 Herfoot v. Cramer, 7 Colorado, 483, 057 Herkimer, The, Stew. Adm. 23, 2 Hermanos v. Duvigneaud, 10 La. Ann. 114, - -61,69,343 Heroy v. Van Pelt, 4 Bosw. 60, 520 Herrick, Re, 13 Bankr. Reg. 312, . - - 205, 439, 535 V.Ames, 8 Bosw. 115, - 790 Herriott v. Kersey, G9 Iowa, 111, 901 Hershfield v. Claflin, 25 Kan. 166 (37 Am. Rep. 237), - 584, 1105 Hersoni v. Henderson, 3 Fos- ter (23 N. H.), 498, 265, 439, 445 Herty v. Clark, 46 Ga. C49, - 959 Herzog v. Sawyer, 61 Md. 344, 416, 421 Hesham, Ex parte, 1 Rose, 146, 837 Heshion v. Julian, 83 Ind. 57(3, 43 Hesketh v. Blanchard, 4 East, 144, 16 Hess V. Final, 33 Mich. 515, 850, 878 V. Werts, 4 S. & R. 361, 73, 458 Hester v. Lumpkin, 4 Ala. 509, 347, 509 Heward v. Slagle, 52 111. 336, 742 Hewes v. Bayley, 20 Pick. 96, 1039 V. Parkman, 20 Pick. 90, 428, 430 Hewitt V. Kuhl, 25 N. J. Eq. 24, 850 xciv Hew.J TABLE OF CASES. [HiN. Hewitt V. Rankin, 41 Iowa, 35, 291, 298 v. Sturdevant, 4 B. Mon. 4.j3, - - 70, 290, 401, 822 Heydon v, Heydon, 1 Salk. 392, 1100 Heye v. Bolles, 2 Daly, 231 ; 33 How. Pr. 266, - - 562, 566 Heyhoe v. Binge, 9 C. B. 431, 2, 16 Heyne v. Middlemore, 1 Rep. in Ch. 138, - - - 739, 923 Hiatt V. Gilmer, 6 Ired. L. 450, 710 Hibbard v. Holloway, 13 111. App. 101, .... 10^6 Hibbert v. Ilibbert, cited in Collyer on Partnership, § 203, 1013 Kibbler v. De Forest, 6 Ala. 92, 349, 362 Hickman v. Cox, 3 C. B. N. S. 523, 19 V. Kunkle, 27 Mo. 401, 329, 343, 344, 361, 374 V. Reineking, 6 Blackf. 387, 347 Hicks V. Cram, 17 Vt. 449, - 109, 1052. 11.53, 1155 V. Mauess, 19 Ark. 701, - 1051 V, Russell, 72 111. 230, 341, 615, 626 V. Wyatt, 23 Ark. 55, - 503 Higdon V. Thomas, 1 Har. & G. (Md.) 139, - - - - 1020 Higgins, E.x parte, 3 De G. & J. 33, 535 V. Armstrong (Colorado), 10 Pac, Rep. 232, - - 329, 374 V. Bailey, 7 Robt. (N. Y.) 613, - - - - - 1002 V. Rector, 47 Tex. 361, 749, 826, 828, 832 Higginson v. Air, 1 Desaus. ' 427, - - - 994, 999, 1003 High V. Lack, Phil. (N. Ca.) Eq. 175, - 276, 408, 991, 9U6 riill. Ex parte, 2 B. &P. 191, note, - - - - 832, 833 a Hill V. Beach, 12 N. J. Eq. 31. 6, 820, 821, 813, 845, 917, 1103 V. Bellhouse, 10 Up. Can. C. P. 122, ... 23, 88 V. Hill, 55 L. T. N. S. 709, 677 V. Matta, 12 La. Ann. 179, 770 V. McPherson, 15 Mo. 204, 882, 884 V. Marsh, 46 Ind. 218, - 1027 V. Palmer, 56 Wis. 123 (43 Am. Rep. 703), - 870, 872, 889 V. Trainer, 49 Wis. 537, - 534 V. Treat, 67 Me. 501, - 733 V. Voorheis, 22 Pa. St. 68, 439 V. Wiggin, 31 N. H. 292, 186, 1102, 1105, 1106 Hilliard v. EifTe, L. R. 7 H. L. 39, 926 Hilligsberg v. Burthe, 6 La. Ann. 170, - - - 786, 787 Hilliker v. Francisco, 65 Mo. 598, - - 410, 452, 567, 1019 V. Loop, 5 Vt. 116 (26 Am. Dec. 286), - 1019, 1020, 1022 Hillman v. Moore, 3 Tenn. Ch. 454, ... - 105, 155 Hillock V. Traders' Ins. Co. 54 Mich. 531, - - - - 409 Hills V. Bailey, 27 Vt. 548, 779, 854 V. McRae, 9 Hare, 297, - 748- V. Nash, 1 Oh. 594, - - 930 V. Ross, 3 Dall. 331, - 380- Hilton V. McDowell, 87 N. Ca. 364, - - - 331, 332, 1151^ V. Vanderbilt, 82 N. Y. 591, 683 Himelright v. Johnson, 40 Oh. St. 40, - - - - 347, 363 Hinds, Ex parte, 3 De G. & Sm. 613, - - - 201, 287, 838 Hine v. Beddome, 8 Up. Can. C. P. 381, 507, 510, 511, 512, 516 Hines v. Driver, 71 Ind. 125, - 657 V. Kimball, 47 Ga. 587, - 1123 Hinkle v. Reid. 43 Ind. 390, - 635 Hiiiklcy V. Gilligan, 84 Me. 101, 701 xcv HiN.] TABLE OF CASES. [Hoo Hinkley v. St, Anthony's Falls Water Power Co. 9 Minn. 55, 1137 Hinnian v. Littell, 23 Mich. 484, 99 Hinton v. Law, 10 Mo. 701, - 70 V. Odenheimer, 4 Jones' Eq. 400, .... 531 Hirley v. Walton, 63 111. 260, - 59 Hirsch v. Adler, 21 Ark. 838, - 933 V. Im Thurn, 4 C. B. N. S. 509, 233 Ilirth V. Pfeifle, 42 Mich. 31, - 1125 Iliscock V. Phelps, 49 N. Y. 97 (below, 2 Laos. 106), 184, 185, 187, 290. 291, 295, 822 Hitchcock V. St. John, Hoff. Ch. 511, . ... 338 Hitchens v. Congreve, 1 R. & M. 150, 912 Hitchicgs V. Ellis, 12 Gray, 449, 17,39 Hite V. Hite. 1 B. Mon. 177, - 772 773, 778, 788, 963 Hittinger v. Westford, 135 Mass. 258, - - - - 177 nixon V. Pixley, 15 Nev. 475, - 621, 622, 624, 628 Hoadley v. County Comm'rs, 105 Mass. 519, - - - 176 Hoard v. Clum, 31 Minn. 186, 580, 739, 933 Hoare v. Dawes, 1 Doug. 371, 65, 71 V. Oriental Bank Corpora- tion, L. R. 2 App. Cas. 589, - 829 Hobart v, Ballard, 31 Iowa, 521, 83, 1002 V. Howard, 9 Mass. 304, - 629 Hobbs V. McLean, 117 U. S. 567, Ill, 822 V. Memphis Ins. Co. 1 Sneed (Tenii.), 444, - - 273 V. Wilson, 1 W. Va. 50, - 510, 565, 634, 635 Hoboken Bank v. Beckman, 36 N. J. Eq. 83 (affd. 37 id. 331), 331 Hobson V. Porter, 2 Colorado, 28, 416 Hockless V. Mitchell, 4 Esp. 86, 415 Hockwell V. Eustman, Cro. Jac. 415, - - - - 923 Hodge V. Twitchell, 33 Minn. 389, 307 Hodgen v. Kief, 63 111. 146, - 612 Hodges V. Black, 8 Mo. App. 389 (affd. without opinion, 76 Mo. 537), - - - - 881 V. Dawes, 6 Ala. 215, - 43 V. Iloleraan, 1 Dana, 50, - 184, 820, 8-2 V. Kimball, 49 Iowa, 577, 10-9 V. Ninth Nat. Bk. 54 Md. 406, - - 317, 321, 350, 430 V. Parker, 17 Vt. 242 (44 Am. Dec. 331), - - - 785 Hodgkins v. Merritt, 53 Me. 208, 726 Hodgkinson, Ex parte, 19 Ves. 291, - - - 155,382,831 Hodgman v. Smith, 13 Barb. 303, 43 Hodgson, Ex parte, 2 Brown's Ch. 5, - - - - 835, 834 , III re, 31 Ch. D. 177, 539, 748 V. Baldwin, 05 111. 533, 73, 76, 458 Hoeflinger v. Wells, 47 Wis. 628, - - - 440, 533, 524 Huffman v. ^tna F. Ins. Co. 33 N. y. 4U5 (affg. 1 Robt. 501; 19 Abb. Pr. 235), - 272, 273 V. Porter, 2 Brock. 158, - 296 Hogan V. Calvert, 21 Ala. 194, 036, 637, 879 V. Reynolds, 8 Ala. 59, - 317, 372, 382, 44vi V. Reynolds, 21 Ala. 56 (56 Am. Due. 336), - - - 531 Hogarth v. Latham, 3 Q. B. D. 643, ----- 341 Hogeboom v. Gibbs, 88 Pa. St. 235, 1168 Hogendobler v. Lyon, 12 Kan. 276, 685, 689, 1055 XCVl Hoa.] TABLE OF CASES. [HOL. Hogg V. Ashe, 1 Hay w. (N. Ca.) 471 ; S. C. Cam. & N. 3, 718, 723, 724, 731 V. Orgill, 34 Pa. St. 344, - 361, 700 V. Skeen, 18 C. B. N. S. 426, 362 Hogle V. Lowe, 12 Nev. 286, - 2S1, 286, 291 Hogarth V. Wherley, L. R. 10 C. P. 630, - ... 382 Hoile V. York, 27 Wis. 209, - 87 Holbrook, Re, 2 Low. 259, 346, 453. 842 V, Chamberlin, 116 Mass. 155, - - - 292. 416, 417 V. Lackey, 13 Met. 132 (46 Am. Dec. 726). - 718, 722, 723 V. Oberne, 56 Iowa, 324, - 43 V. St. Paul F. & M. Ins. Co. 25 Minn. 229, - - - 5, 6 389 V. Wight, 24 Wend. 169, Holdane v. Butterworth, 5 Bosw. 1, - - 608, 622, 623 Holdeman v. Knight, Dallam (Tex.), 556, - - - - 417 Holden v. Bloxura, 35 Miss. 381, .... 200, 435 V. French, 68 Me. 241, - 59 V. McFaul, 21 Mo. 215, - 508 V. McMakin, 1 Pars. Sel. Cas. (Pa.) 270, - - 658, 1001 V. Peace, 4 Ired. (N. Ca.) Eq. 223, - - 783, 787, 793 Holderness v. Shackela, 8 B. & C. 162, - - - - 753, 845 Holdrege v. Gwynne, 18 N. J. Eq. 26, - - - 545, 790 Holdridge v. Farmers' & Mech. B'k, 16 Mich. 66, - - - 387 Holdsworth, Ex parte, 1 M. D. & D. 475, - ... 323 Hoi i field V. White, 52 Ga. 567, 61 Holkirk v. Holkirk, 4 Madd. 50, 383, 1027 IloUaday v. Elliott, 3 Oregon, 340, .... 591, 936 xcvii Holladay v. Elliott, 8 Oregon, 84, - - - - 572, 593, 796 Holland v. Drake, 29 Oh. St. 441, ... - 338, 339 V. Fuller, 13 Ind. 195, 184, 731 V. King, 6 C. B. 727, - 249 V. Long, 57 Ga. 36, - 96, 156, 201, 444, G08 V. Teed, 7 Hare, 50, - 649 HoUembaek v. More, 44 N. Y. Superior Ct. 107, - - - 482 Hoi I is V. Staley, 3 Baxter, 167, 551 Hollister. Re, 3 Fed. Rep. 452, 825 V. Barkley, 11 N. H. 501, 764 Holloway v. Brinkley, 42 Ga. 236, 59 V. Turner, 61 Md. 217, 335, 692, 785, 786, 935, 949 Hoi man v, Langtree, 40 Ind. 349, 535 V. Nance, 84 Mo. 674, 733, 738, 858 Holme V. Allan, Tayl. (Up. Can.) 348, - - - - 377 V. Hammond, L. R. 7 Ex. 218, - - - 18. 52, 154, 747 Holmes' Appeal, 79 Pa. St. 279, 743 Holmes v. Bigelow, 3 Desaus. (S. Ca.) 497, ... - 761 V. Brooks, 68 Me. 416, - 733, 1170 V. Burton, 9 Vt. 252 (31 Am. Dec. 621), - 439, 445, 446 V. Caldwell, 8 Rich. (S. Ca.) L. 247, ... - 507 V. D'Camp, 1 Johns. 34 (3 Am. Dec. 293), - - 719, 722 V. Hawes, 8 Ired. (N. Ca.) Eq. 21, 5G1 V. Higgins, 1 B. & C. 74, 8!). 770. 8o4 V. Hubbard, 60 N. Y. 183, 644. 961 V. Kortlander (Mich.), 31 N. W. Rep. 532, - - - 429 V. McCray, 51 Ind. 358 (19 Am. Rep. 735), - - 302 HOL.] TABLE OF CASES. [Bos. Holmes v. McDowell, 15 Hun, 585 (affd. without opinion, 76 N. Y. 596), - - 935, 1006 V. McGee, 27 Mo. 597, - 297 V. Meuze, 4 A. & E. 127, 1109 V. Old Colony R. R. 5 Gray, 58, . - - . 43, 45, 46 V. Porter, 39 Me. 157, 231, 1139 V. Self, 79 Ky. 297, - 285 V. Shands. 27 Miss. 40, - 707 V. United F. Ins. Co. 2 Johns. Cas. 329, - - - 71 V. Winchester, 138 Mass. 542, 1131 Holt's Appeal, 98 Pa. St. 257, - 289 Holt V. Kernodle, 1 Ired. L. 199, 35 V. Simmons, 16 Mo. App. 97, 319, 337, 323, 341, 364, 403, 408, 427, 607. 611, 631, 970 Holtgreve v. Wintker, 85 111. 470. .... 621, 634 Holton V. Holton. 40 N. H. 77, 569, 835, 847 V. McPike, 27 Kan. 286, 391,408 Holyoke v. Mayo. 50 Me. 385, 854, 886, 888, 957 Homer v. Homer, 107 Mass. 82, 284 V. Wood, 11 Cush. 63, - 1037 Homfray v. Fothergill, L. R. 1 Eq. 567, - ... 243 H jney. Ex parte, L. R. 7 Ch. App. 178, .... 841 Honore v. Colmesnil, 1 J. J. Mar. 506, 181, 182, 761, 764, 771. 963, 985, 1003 V. Colmesnil, 7 Dana, 199, 788, 976 Hood V. Aston, 1 Russ. 412, - 989 V. Riley, 15 N. J. L. 127, 411, 434 V. Spencer, 4 McLean, 168, 504, 636, 637, 879 Hook V. Stone, 34 Mo. 329, - 338 Hook ham v. Pottage, L. R. 8 Ch. 91; 27 L. T. N. S. 595; 21 W. R. 47, - 663, 664, 066, 669 Hooley v. Gieve, 9 Daly, 104; 9 Abb. New Cas. 271 (affd. without opinion, 73 N. Y. 599), - - - . 739, 741 Hooper v. Keay, 1 Q. B. D. 178, 489, 497 V. Lusby, 4 Camp. 66, - 409 Hoopes V. McCan, 19 La. Ann. 201, - - 523, 537, 538, 534 Hopkins, -Ex parte, 104 Ind. 157, 1131 V. Banks, 7 Cow, 650, - 700 V. Boyd, 11 Md. 107, 349, 353, 357 V. Carr, 31 Ind. 260, 533, 524, 647 V. Forsyth, 14 Pa. St. 34, 70 V. Hull, 17 Md. 72, - - 1052 V. Johnson, 2 La. Ann. 842, 504 V. Watt, 13 111. 298, - 309 Hopkinson v. Smith, 1 Bing. 13; 7 Moo. 242, - - 110, 437 Hopley V. Wakefield, 54 Iowa, 711, 954 Hopper V. Lucas, 86 Ind. 43, 377, 379 Horback v. Huey, 4 Watts, 455, - - - 435, 544, 1024 Horn V. Newton City B'k, 33 Kan. 518, - - 339, 341, 343 Horneffer v. Duress, 13 Wis. [603], 137 Horsey v. Heath, 5 Oh. 353, 12, 442, 524, 747, 750 Horton's Appeal, 13 Pa. St. 67, 276, 570, 577, 585 Horton v. Child, 4 Dev. L. 460, 420, 422 Horton Mfg. Co. v. Horton Mfg. Co. 18 Fed. Rep. 816, 671, 672 Hosack V. Rogers, 8 Paige, 229, 385 Hoskins v. Johnson, 24 Ga. 625, 1125 Iloskisson v. Eliot, 62 Pa. St. 393, 315, 319. 323, 338, 339, 341. 370, 377, 430, 433, 427, 523, 724, 749 XCVUl Hos.] TABLE OF CASES. [IIox. Hosmer v. Burke. 26 Iowa, 353, 172 Hotchin v. Kent, 8 Mich. 526, 317, 323, 325, 426, 429 V. Secor, 8 Midi. 494, 523, 524 Hotclikiss V. English, 4 Hun, 369; 6 N. Y. Supreme Ct. 658, .... 43, 345 V. La(kl, 36 Vt. 593, - 448, 647 V. Ladd, 43 Vt. 345, - 448 Hot Springs R. R. v, Trippe, 42 Ark. 465 (48 Am. Rep. 65), 66, 134 Hottenstein v. Conrad, 9 Kan. 435, .... 993,1002 Hough V. Perkins, 2 How. (Miss.) 724, - - - 636, 637 Houlton's Case. See Devaynes V. Noble. Hourquebie v. Girard, 2 Wash. C. C. 212, - - - 799. 800 House V. Thompson, 3 Head (Tenn.), 512, - - - 847, 848 riouseal's Appeal, 45 Pa. St. 484, .... 836, 837 Houser v. Irvine, 3 Watts & S. 345 (38 Am. Dec. 768), 695, 700, 705 V. Riley, 4.") Ga. 126, 482, 483 Houston V. Brown, 23 Ark. 333, - - - 849, 851, 1081 V. Stanton, 11 Ala. 412, - 13 Hovey v. Cassels, 30 Up. Can. C. P. 230, .... 441 How V. Kane, 2 Pin. (Wis.) 531; 2 Chand. 223 (54 Am. Dec. 152). - - 153. 155, 535 Howard, In re, 4 Bankr. Reg. 571, 841 V. France, 43 N. Y. 593, - 868 V. Henriques, 3 Sandf. 725, 674 V. Jones, 50 Ala. 67 (now overruled), .... 1131 V. McLaughlin, 98 Pa. St. 440, 1103 V. Patrick, 38 Mich. 795, 850, 981, 1136 V Patrick, 43 Mich. 121, 1137 Howard v. Priest, 5 Met. 582, 281, 290, 293, 294, 823 V. Shaw, 91 Ind. 384; 46 Am. Rep. 607, - - - 136 V. Stephens, 52 Miss. 239, 136, 137 Howden, Ex parte, 2 M. D. & D. 574, - - - 70, 401 Howe V. Howe, 99 Mass. 71, 257, 868 V. Lawrence, 9 Cush. 553 (57 Am. Dec. 68), 551, 560, 833 V. Savery, 49 Barb. 403; 51 N. Y. 631, - - - 1022 V. Searing, 6 Bosw. 354; 10 Abb. Pr. 264, 657, 658, 664, 671 V. Shaw, 56 Me. 291, - 471 V. Snow, 3 Allen, 111, -1079. 1084 V. Thayer, 17 Pick. 91, - 623, 627, 1109 Howell V. Adams, 68 N. Y. 314, - 152, 445, 609, 613, 1154 V. Brodie, 6 Bing. N. C. 44, 88 V. Harvey, 5 Ark. 270 (39 Am. Dec. 376), 571, 577. 578, 592. 593, 595, 931, 932, 988 V. Howell, 15 Wis. [55J 60, 545. 790 V. McFarland, 2 Ont. App. 31, 416 V. Reynolds, 12 Ala. 128, 1024 V. Sewing Mach. Co. 13 Neb. 177, 347, 363, 446, 507, 509, 510, 511 V. Teel, 29 N. J. Eq. 490, 847 Howland v. Davis, 40 Mich. 545, 389 Howry v. Eppinger, 34 Mich. 29, 901 Howze V. Patterson, 53 Ala. 205 (25 Am. Rep. 607), 328, 341. 348, 370 Hoxie V. Carr, 1 Sumner, C. C. 173, 281, 291, 295, 297, 824, 932 V. Chaney, 143 Mass. 592, 663. 664, 669 xcix noY.] TABLE OF CASES. [Hun. Hoyt V. Bonnett, 50 N. Y. 538 (rev. 58 Barb. 529), - - 750 V. Hoyc, 69 Iowa, 174, - 1131 V. Murphy, 18 Ala. 316, 504. 1081, 1083, 1169 V. Murphy, 23 Ala. 456, 1167, 1168 V. Robinson, 10 Gray, 371, 372, 1125 V. Sprague, 103 U. S. 613, 556, 739, 743, 952 V. Sprague, 12 Chic. Leg. News, 25 (affd. 103 U. S. 613), 743 Hubbard v. Curtis, 8 Iowa. 1, 825, 928, 1109, nil, 1112 V. Galusha, 23 Wis. 398, 393 V. Guild, 1 Duer, 662, 241, 583, 754, 995, 1003 V. Matthews, 54 N. Y. 43 (13 Am. Rep. 562), 86, 349, 398, 707 V. Miller, 27 Mich. 15, - 676 V. Pace, 34 Ark. 80, - 761 V. Winsor, 15 Mich. 146, 176 Hubbardston Lumber Co. v. Bates, 31 Mich. 158. - - 390 V. Covert, 35 Mich. 254, 179, 1086, 1124 Hubbell V. Perin, 3 Oh. 287, - 747 V. Skiles, 16 Ind. 138, - 1067, 1070 V. Woolf, 15 Ind. 204, - 87 Hubble V. Perrin, 3 Oh. 287, - 847, 848 Huckabee v. Nelson, 54 Ala. 12, - - . - 64, 65 Hudgins v. Lane, 11 Bankr. Reg. 462, - - - 753, 754 Hudson V. Barrett, 1 Pars. (Pa.) Sel. Cas. 414, - - 910 V. Hunt, 5 N. H. 538, - 1125 V. McKenzie, 1 E. D. Smith. 358, - - - - 401 V. Osborne, 39 L. J. Ch. 79, ... 6G4, 667, 669 V. Robinson, 4 M. & S. 475, 11G9 Hudson V. Simon, 6 Cal. 453, - 1147 Huff V. Cameron, 1 Up. Can. Prac. Rep. 255, - - - 377 V. Lutz, 87 Ind. 471, 735, 825 Huffman v. Copeland, 86 Ind. 224, .... 139, 140 Hughes, Re, 16 Bankr. Reg. 464, ... - V. Devlin, 23 Cal. 501, V. Ellison. 5 Mo. 463, V. Trahern, 64 111. 148, V. Walker, 4 Blackf. 50, Huguley v. Morris, 65 Ga. 666, 1131 976 338 723 1067 376, 408 Huiskamp v. Molina Wagon Co. 121 U. S. 310 (reversing S. C. as Moline Wagon Co. v. Rummell, 2 McCrary, 807; 12 Fed. Rep. 658; 14 id. 155), 547, 559, 560, 561, 565 Hulett V. Fairbanks, 40 Oh. St'. 233, ... 82, 304. 311 Hull V. Garner, 31 Miss. 145, 377, 380 Hulse's Estate, 11 Weekly Notes (Pa.), 499, - - 548,829 Human v. Cuniffe, 33 Mo. 316, 418 Hume v. Bolland, Ry. & Moody, 370; ICr. & M. 130; 2 Tyr. 575. 474 v. Watt. 5 Kan. 34, - 398 Humes v. O'Bryan, 74 Ala. 64, 101, 317, 322, 1143, 1151, 1153, 1155, 1156, 1157 Humplireys v. Matthews, 11 111. 471, - - - - 894 v. Mooney, 5 Col. 282, - 4 Humpliries v. Chastaiu, 5 Ga. 166 (48 Am. Dec. 247), 690, 694 V. McCraw, 5 Ark. 01, - 64 Hunnicutt v. Summey, 63 Ga. 580, ... - 1131, 1132 Hunt V. Benson, 2 Humph. (Tenii.) 459, - - - 281. 544 V. Chapiu, 6 Lans. 139, - 329. 343, 371 V. Drane, 32 Miss. 243, - 723 Hun.] TABLE OF CASES. [Huw. Hunt V. Erikson, 57 Mich. 330, 38 V. Gookin, 6 Vt. 4G3, - 736 V. Gorden, 52 Miss. lU, 899, 937 V. Hall, 8 Ind. 215, - 370, 607 V. Hard wick, 08 Ga. 100, 961 V. Jucks, 1 Hayw. (N.Ca.) 173 (1 Am. Dec. 555), - 1155 V. Morris, 44 Miss. 314, 278, 541, 858, 892 V. Pfeiffer, 108 Ind. 197, 113, 128 V. Reilly, 50 Tex. 99. - 889 V. Rogers, 7 Allen, 469, 634, 635, 647 • V. Royal Exchange Assur. . Co. 5 M. & S. 47, - V. Roylance, 11 Cush. 117, V. Semouin, 79 Ky. 270, - V. Smith, 3 Rich. Eq. 465, V. Stuart, 53 Md. 225, V. Tibbetts, 70 Me. 221, - Hunter, Ex parte, 1 Atk. 228, - V. Aldrich, 52 Iowa, 442, V. Belcher, 3 De G., J. & Sm. 194, .... V. Hempstead, 1 Mo. [07] 409 1143 195 184, 187 964 663 825, 836 978, 979 954 48 (13 Am. Dec. 468), - - 397 — V. Hubbard, 26 Tex. 537, 150, 701, 1135 — V. Land, 8H Pa. St. 296, - 873 — V. Martin, 2 Rich. (S. Ca.) L. 541, V. Martin, 57 Cal. 365, - V. Parker, 7 M. & W. 322, — V. Smith, 14 Wis. 683, - 296 1068 418 296 V. Waynick, 67 Iowa, 555, 340, 404, 405 V. Whitehead, 43 Mo. 534, 303 Huntington v. Lyman, 1 D. Chip. (Vt.) 438 (13 Am. Dec. 716), . - - - 349, 363 V. Potter, 32 Barb. 300, 681, 683 Huntley v. Huntley, 1 14 U. S. 394, - . - - 208, 209 Huntoon v. Dow, 29 Vt. 215, - 1045 Hupp V. Hupp, 6 Gratt. 310, - 532, 635, 879 Hurd V. Haggerty, 24 111. 171, 331, - 448, 356, 1152 Hurlbert v. Dean, 2 Keyes, 97 (2 Abb. App. 428), - - 566 Hurlbut V. Johnson, 74 111. G4, 558, 1109 V. Post, 1 Bosw. 28, - 151, 1053 Hurst V. Hill, 8 Md. 399 (63 Am. Dec. 705), Hurt V. Clarke, 56 Ala. 19; 28 Am. Rep. 751, - - - V. Salisbury, 55 Mo. 310, - 694 429 5 Huston V. Neil, 41 Ind. 504, - 290, 927 Hutcheson v. Smith, 5 Irish Eq. 117, - - 770, 780. 788 Hutchins v. Bank of Teun. 8 Humph. 418, - - 613, 616 V. Buckner, 3 Mo. App. 594, .... 78, 1137 V. Childress, 4 Stew. & Por. 34, - - - - - 331 V. Gilman, 9 N. H. 359, - 317 V. Hudson, 8 Humph. 426, .... 372, 613 V. Sim, 8 Humph. 423, - 613 Hutchinson v. Dubois, 45 Mich. 143, ... - 1106 V. Onderdonk, 6 N. J. Eq. 277 (reversed, id. 633), - 767, 771 V. Paige, 67 Wis. 203, - 930 V. Smith, 7 Paige, 26, 482, 483, 726, 733 Hayes - 234, 575 V. Whitfield, (Irish), 78, - Hvitton V. Bullock, L. R. 8 Q. B. 331 (affd. in 9 id. 572), - V. Eyre, 6 Taunt. 289, V. Laws, 55 Iowa, 710, 80 385 923. 924 Hutzler v. Phillips (S. Ca.), 1 S. E. Rep. 502, - - 826, 847 Huwer v. Dannenhoffer, 82 N. Y. 499, .... 663, 675 ci HUY.] Huyck V. Meador, 24 Ark. 191, Hyams v. Rogers, 24 La. Ann. 230, 457 Hyat V. Hare, Coniberbach, 383, - - 373, 722, 724, 746 Hyde v. Easter, 4 Md. Ch. 80, 798 Hydeville v. Barnes, 37 Vt. 588, 899 Hyer v. Burdett, 1 Edw. Ch. 325. .... 924, 925 Hyman v. Stadler, 63 Miss. 362, .... . 537 Hynes v. Stewart, 10 B, Mon. 429, 595 Hyrschf elder v. Keyser, 59 Ala. 338, - - - - 403 I. Iddings V. Bruen, 4 Sandf. Ch. 223, .... 303, 645 V. Pierson, 100 Ind. 418, - 200, 607 Ide V. Ingraham, 5 Gray, 106, 701 Ihmsen v. Lathrop, 104 Pa. St. 365, ... - 97, 101 V. Negley, 25 Pa. St. 297, 359 Inbusch V. Farwell, 1 Black, 566, .... 1086, 1089 Indiana Pottery Co. v. Bates, 14 Ind. 8, . - - - 285 Ingalls, Re, 5 Boston Law Rep. 401, 825 Ingersoll v. Robinson, 35 Ala. 292, 1081 Inglebright v. Hammond, 19 Oh. 337 (53 Am. Dec. 430), 1155 Ingraham v. Foster, 31 Ala. 123, ... 81, 591, 940 V. Gildermester, 2 Cal. 88, 1086, 1093 Innes v. Stephenson, 1 Moo. & Ry. 145, 384 International Bank v, Jones (111.), 9 N. E. Rep. 885, - 1079 International Contract Co., Re, L. R. 6 Ch. 525. - - - 420 TABLE OF CASES. 880 [Jac. Iowa Seed Co. v. Dorr (Iowa), 30 N. W. Rep. 866, - 667, 669 Irby V. Graham, 46 Miss. 425, 454, 749, 825, 828 V. Viniug, 2 McCord (S. Ca.), L. 379, - 618, 621, 623, 624 Irish V. Snelson, 16 Ind. 8G5, . 850 Irvin V. Conklin, 86 Barb. 64, 91 V. Nashville, Ciiat. & St. L. R'y Co. 92 111. 103 (34 Am. Rep. 116), - - 57, 66, 134 Irvine v. Myers, 4 Minn. 229, 1057 V. Young, 1 Sim. & Stu. 333, 955 Irving, Re, 17 Bankr. Reg. 22, 349 Irwin V. Bid well, 72 Pa. St. 244, 16. 23, 45, 47, 48, 49, 88, 188 V. Williar, 11 Biss. 57 (re- versed in 110 U. S. 4£3), - 319- V. Williar, 110 U. S. 499, 317, 318. 319, 373 Isaacs, Re, 3 Sawy. SI; 6 Bankr. Reg. 93, - - - 503 Isler V. Baker, 6 Humpli. (Tenn.) 85, - - 527,581,694 Ives V. Miller, 19 Barb. 196, 850, 852 Ivey V. Hammock, 68 Ga. 428, 278 Ivy V. Walker, 58 Miss. 253, 849, 893 J. Jacaud v. French, 12 East, 317, 171, 381 Jackman v. Partridge, 21 Vt. 558, 543 Jackson, Re, 1 B. & C. 270, - 110 , Ex parte, 1 Ves. Jr. 131, 511 , Ex parte, 2 M. D. & D. 146 (s. c. below as Ex parte Whitmore, 5 M. & A. 637; 3 Deac. 365), - - - 512, 516 V. Alexander, 8 Tex. 109, 1022 V. Bohrman, 59 Wis. 422, 437, 1019 V. Clymer, 43 Pa. St. 79, - 1081 V. Cornell, 1 Sandf. Ch. 848, .... 566, 569 ou J AC] TABLE OF CASES. [Jen. Jackson v. Crapp, 33 Ind. 423, 812. 813 V. Deese, 35 Ga. 84, 593, 974, 975 V. De Forest, 14 How. Pr. 81, G60, 1007 -■ — V. Hollo way, 14 B. Mon. 108, 383 V. Jackson, 1 Sm. & G. 184, 247 V. Johnson, 11 Hun, 509, 781 V. Jones, 13 Ala. 121, - 1167 V, King, 8 Leigh, 669, - 749 V. King, 12 Gratt. 499, - 750 V. Lahee, 114 111. 287, - 1006 V. Litchfield, 8 Q. B. D. 474, 1063 • V. Robinson, 3 Mason, 138, 70, 71, 1081 - V. Salmon, 4 Wend. 327, - 508 V. Sedgwick, 1 Swanst. 460, ... - 86, 212 V. Stopherd, 3 Cr. & M. 361, 892 V. Todd, 56 Ind. 406 (s. C. as Todd v. Jackson, 75 id. 273), 316 Jackson Ins. Co. v. Partee, 9 Heisk. 296, - - - 824, 825 Jacobs, Ex parte, 10 Ch. App. 311, ... - 533, 534 V. McBee. 2 McMuU. 348, _ 430 V. Seward, L. R. 5 H. L. 464, 274 Jacoby v. Whitmore, 33 W. R. 18 ; 49 L. T. 335, - - - 676 V. Whitmore, 33 W. R. 18 ; 46 L. T. N. S. 740, - - 676 Jacques V. Hulit, 16 N. J. L. 38, 858, 860 Jacquin v. Buisson, 11 How. Pr. 385, .... 51, 994 Jaffray v. Frebain, 5 Esp. 47, 148 James v. Bostwick, Wright (O.), 142, - - - 421, 423 V. Brooke, 15 La. Ann. 541, 1167 V. Browne, 1 Ball. 339, - 899 V. Dixon, 21 Mo. 538, - 734 James v. Pope, 19 N. Y. 324, - 615 V. Stratton, 32 111. 202, - 83 Jameson v. Franklin, 6 How. (Miss.) 376, - - - 701, 1074 Janson, Ex parte, 3 Madd. 239; Buck, 337, - - - 833, 834 January v. Poyntz, 3 B. Mon. 404, 834 Jaques V. Marquaud, 6 Cow. 497 ; 8 Wend. 490, - - - 481 Jardine v. Hope, 19 Grant's Ch. (Up. Can.) 76, - 770, 781, 7f^3 Jarvis v. Brooks, 3 Foster (33 N. H.), 136, - - 824, 825, 847 V. Brooks, 27 N. H. 37 (59 Am. Dec. 359), - - 189, 281 V. Hyer, 4 Dev. L. (N. Ca.) 367, .... 750, 1106 Jauncey v. Knowles, 39 L. J. Ch. 95, - - - 595, 805. 809 Jefferys v. Smith, 3 Russ. 158, 158, 160, 163, 343, 934 Jeffreys v. Coleman, 30 Fla. 536, 416 Jeffries v. Castleman, 75 Ala. 263, 700 V. Mut. L. Ins. Co. 110 U. S. 305, - - - - 333. :07 V. Evans, 6 B. Mon. 119, 1081. 1084 Jell V. Douglass, 4 B. «& A. 374, 716 Jemison v. Bearing, 41 Ala. 283, .... 361, 10(i8 V. Minor, 34 Ala. 33, 193, 333 V. Webb, 30 Ind. 167, - 880 Jenkins v. Davis, 54 Wis. 253, 1159 V. De Groot, 1 Cai. 122, - 747 V. Howard, 31 La. Ann. 597, .... 278, 86" V. Morris, 16 M. & W. 879, 441 V. Peckiupaugh, 40 Ind. 133, .... 303, 765 Jenness v. Carleton, 40 Midi. 343; 42 id. 110, - - 691, 7:27 V. Smitii, 58 Mich. 2S0, 930, 931 Jennings v. Baddeley, 3 K. & J. 78, 5;;3 cm Jen.] TABLE OF CASES, [JOH. Jennings v. Broughton, 17 Beav. 234 (affd. in 5 De G.^ M. & G. liiG), - - - 595 V, Chandler, 10 Wis. 18 [21], 739, 741. 923, 1000, 1001, 1003 V. Estes, 16 Me. 323, - 1154 Jenny v. Perkins. 17 Mich. 28, 942 Jervis v. White. 6 Ves. 738, - V. White, 7 Ves. 413, Jessup V. Carnegie, 12 J. & Sp. 260; 80 N. Y. 441, V. Cook, 6 N. J. L. 434, - 972 9S9 rG4. 899, 954, 985 Jestons V. Brooke, Cowp. 793, 16 Jewell V. Ketclium, 63 Wis. 628, .... 635, 879 Jewett, In re, 1 Baiikr. Reg. 49 1, 832 , In re, 1 BauKr. Reg. 495 (7 Am. Law Reg. (N. S.) 291), 836 , Re, 7 Biss. 328 ; 15 Bankr. Reg. 126, .... 95 V. Bacon, 6 Mass. 60, - 1125 V. Meech, 101 Ind. 289, - 565 V. Phillips, 5 Allen. 150, 825 Johnes' Case. See Devaj'nes v. Noble. Johns V. Battin, SO Pa. St. 457, 410 Johnson's Appeal (Pa. 1887), 8 Atl. R<'p. 36, ... 305 Johnson, Re, 2 Lowell, C, 129, .... C. 5(J3, 832 154, 715 - 942 347, 508, 510, 515 . 84 111. 54 (25 Am. Rep. 427), - - 731 — V. Bernheim, 76 N. Ca. 139 V. Ames, 6 Pick. 330, V. Ames, 11 Pick. 173, V. Barry, 95 111. 483, V. Berlizheimer, (9. C. as Johnston v. B. 86 id. 339), - - - 323, 325, 1069 V. Boone, 2 Harr. (Del.) 172, V. Buttler, 31 N. J. Eq. 35, V. Clark, 18 Kan. 157, - V. Coffee, 1 Ash mead, 96, V. Curtis, 2 Bro. C. C. 311, 495 938 285 642 note, 962 ci Johnson v. Evans, 7 M. & G. 240, 1105 V. Gallivan, 52N. H.U3, - 1151 V. Garrett, 23 ]Minn. 565, 983, 986 V. Green, 4 Porter (Ala.), 126, 1094 V. Hartshorne, 52 N. Y. 173. - 709, 711, 783, 786, 789 V. Hellely, 34 Beav. 63 ; 2 DeG. J. & S. 446 (afiE. 10 Jur. N.S. 1141 ; 34 L. J. Ch. 32), - 664, 665, 974 V, Hersey, 70 Me. 74 (35 Am. Rep. 303); 8 Am. Law Rec. 720 (73 Me. 291). - - 1015 — V. Hersey, 73 Me. 291, - 410 — V. Kaiser, 40 N. J. L. 286, 723 — V. Kelly, 2 Hun, 139; 4 Thomp. & C. 417, - 813, 849 — V. Xing, 6 Humph. (Teun.)233, - - - - 1103 — V. Mantz, 69 Iowa, 710, 971, 974 — V. Marsh, 2 La. Ann. 772, G95 — V. Mdler, 16 Oh. 431, 42, 43, 45 — V. Peck, 3 Stark. 66, 372, 1035 — V. Rogers, 15 Bankr. Reg. 1 ; 5 Am. Law Rec. 536, 184, 186, 291 — V. Short, 2 La. Ann. 277, 894 — V. Straus, 4 Hughes, 621 (S. C. as Johnston v. Straus, 26 Fed. Rep. 57). See John- ston V. Straus. V. Totten, 3 Cal. 343 (58 Am. Dec. 412), - - - 707 V. Wilcox, 25 Ind. 182, 709, 711 V. Wilson, 54 111. 419, 850, 855. 888 V. Young, 20 W. Va. 614, 532, 534 Johnston v. Bernheim, 86 N. Ca. 339 (s. C. as Joiinsou v. B. 76 id. 139). - - 323, 325 V. Clements, 25 Kan. 376, 1151 V. Crichton, 56 Md- 108, 411, 430, 1038, 1046 JOH.] TABLE OF CASES. [JOK, Johnston 245, 230, — V, Button, 37 Ala. - 325, 328, 344, 374, 431, 432, 577, 619 Eichelberger, 13 Fla. 83 Freer, 51 Ga. 97, - - 959 V. Freer, 51 Ga. 313, - 930 V. Straus, 26 Fed. Rep. 57 (s. C. as Johnson V. Straus, 4 Huglies, 621), - 562, 263, 929 V. Warden, 3 Watts, 101, 156, 1143, 1151, 1154 Jones' Appeal, 70 Pa. St. 169. 190, 251, 289 Jones V. Anderson, 7 Leigh (Va.), 308, - - - - 1121 V. Bailey, 5 Cal. 345, - 330 V. Bartlett, 50 Wis. 589, 510,513 V. Benedict, 83 N. Y. 79. 496 V. Blair, 57 Ala. 457, 10-9, 1080 V. Bliss, 45 111. 143, - V. Booth, 10 Vt. 268, — V. Butler, 87 N. Y. (aff. 23 Hun, 3o7), — V. Call, 93 N. Ca. 170, - 629 349, 365, 430 613 - 814 26, 1135 — V, Capertou, 15 La. Ann. 475, 457 -^ V. Clark, 42 Cal. 180, 329, 374, 429, 580, 931 — V. Dexter, 130 Mass. 380 (39 Am. Rep. 459), - - 804, 309 V. Fegely, 4 Phila. 1, 152, 443 V. Fletcher, 42 Ark. 422, 550, 570, 907, 1102, 1115 — V. Foster, 67 Wis. 293, - 709 — V. Foxall, 15 Beav. 388, 485 — V. Hardesty, 10 Gill & J. (Md.) 404 (32 Am. Dec. 180), V. Heavens, 4 Ch. D. 636, V. Herbert, 7 Taunt. 421, V. Howard, 53 Miss. 707, V. Hurst, 67 Mo. 568, V. Jones, 12 Ala. 244, V. Jones, 23 Ark. 212, 91^ 746 677 383 57, 1023 347 1081 918, 920 Jones V. Jones, 1 Ired. (N. Ca.) Eq. 332, - - - 181, 785, 963 V. Jones, 9 Lea (Tenn.), 627, — V. Lloyd, L. R. 18 Eq. 265, 290 574, 581 V. Lusk, 2 Met. (Ky.) 356, 561, 565, 568, 821, 929, 1120 V. McMichael, 12 Rich. (S. Ca.) L. 17o, - 32, 58, 01, 208, 580 V. Mars, 2 Camp. 305, - 1068 V. Maund, 3 Y. & C. 347, 500 V. Morehead, 3 B. Mon. 377, - - - 795, 873, 986 V. Neale, 2 Patt. & H. (Va.) 339, 183, 184, 291, 236, 541 V. Newsom, 7 Biss. 321, - 754 V. Noy. 2 Myl. & K. 123, 581 V. OTanel, 1 Nev. 354, 331, 332 V. Parker, 20 N. H. 31, 107, 134. 196 V. Parsons, 25 Cal. 100, 184. 186. 1129 V. Perchard, 2 Esp. 507, - 111 V. Rives, 3 Ala. 11, - - 3G1 V. Sco'.t, 2 Ala. 58, - 158, 162 V. Shaw, 67 Mo. 607, 850, 880, 881 V. Shears, 4 Ad. & El. 832, 174 V. State, 76 Ala. 8, - - 277 V. Stevens, 5 Met. 373, - 1151 V. Thompson, 12 Cal. 191. 977, 1109, nil V. Thorn, 2 Mart. (La.) N. S. 463, 731 V. Walker, 103 U. S. 444, 55. 598, 600 V. Yates, 9 B. & C. 532, - 1037, 1038, 1044 Jordan, In re, 2 Fed. Rep. 319, 483, 484, 841 V. Miller, 75 Va. 443, 208, 320, 402, 949, 972 V. Smith, 17 Up. Can. Q. B. 590, - - - 100, 623, 62S V. Wilkins, 3 Wash. C. C. 110, - - - 56,66,1072 cv Jos.] TABLE OF CASES. [Keu Joseph V. Fisher, 4 111. 137, - 1155, 1158 Jovvers v. Baker, 57 Ga. 81, - 876 Joy V. Allen, 2 Woodb. & M. 303, 59 Joyce V. Williams, 14 Wend. 141 (explained in Stall v. Catskill Bank, 18 Wend. 400), - - - - 349, 358 Judd V. Wilson, 6 Vt. 185, 859, 8G0 Judd Linseed & Sperm Oil Co. V. Hubbell, 76 N. Y. 543, - 457, 1096 Judge V. Brasvvell, 13 Bush, 67 (26 Am. Rep. 185), 329, 341, 345 Judson V. Adams, 8 Cash. 556, - . - - 39, 43 Julian V. Wrightman, 73 Mo. 5G9, 1131 Julio V. Ingalls. 1 Allen, 41, 32. 258 K. Kahl V. Sneed, 59 Pa. St. 388, 278 Kahley, In re, 2 Biss. 383, - 565 Kahn v. Boltz, 39 Ala. 66, - 978 V. Central Smelting Co. 103 U. S. 641, - - 163, 585 Kaiser v, Fendrick, 98 Pa. St. 528, - - - 349, 369, 1151 V. Lawrence Sav. B'k, 56 Iowa, 104, - - - - 5 V. Wiihelm, 2 Mo. A pp. 596, 770 Kale V.Elliott, 18 Hun, 198, - 1170 Kamra v. Harker, 3 Oreg. 208, 454, 456, 1049, 1056 Karthaus v. Ferrer, 1 Pet. 222. 336 Kaskaskia Bridge Co. v. Shan- non, 6 111. 15, 154, 331, 332, 1145, 1151 Kassou V. Brocker, 47 Wis. 79, 1121 Kauffnian v. Fisher, 3 Grant's Cas. (Pa.) 303, - - 538, 703 Kaufman v. Schoeffel, 37 Hun, 140, - - - - 139 Kayser v. Maugham, 8 Col, 232 (S. C. id. 839), - - - 305 V. Maugham, 8 Col. 339, 305, 545, 790 Keasley v. Codd, 2 C. & P. 408, n., Keating v. Marsh, 1 Mont. & A. 582 (aff. on app. Marsh v. Keating, 1 Bing. N. C. 198; 2 CI. & Fin. 250), - V. Sherlock, 1 Cint. Supe- 73 474 528 rior Ct. Rep. 257, - Keaton v. Mayo, 71 Ga. 649. 810. 812 Keck V. Fisher, 58 Mo. 532, 299, 405, 406 Kedie, Ex parte, 2 Deac. & C. 331, 512 Keegan v. Cox, 116 Mass. 289, 145, 275, 406 Keeler v. Niagara F. Ins. Co. 16 Wis. 535, - - - - 273 Keeney v. Home Ins. Co. 71 N. Y. 396 (27 Am. Rep. 60), - 1003 Keerl v. Bridgers, 10 Sm. & Mar. (Miss.) 612, - 454, 523, 524 Keese v. Coleman, 72 Ga. 65S, 825 Keiser v. State. 58 Ind. 379, 43, 45, 46 Keith V. Armstrong, 65 Wis. 235, ... - 566, 1118 V. Fink, 47 III. 272, - - 566 V. Keith, 143 Mass. 263, - 294 Kell V. Nainby, 10 B. & C. 20, 1023 Keller v. Stolzenbach, 20 Fed. Rep. 47, - - - - 266 V. Tracy, 11 Iowa, 530, - 1038 Kelley v. Greenleaf, 3 Story, 93, .... 545, 790 V. Hurlburt, 5 Cow, 534, 150, 608 Kellogg V. Fox, 45 Vt. 348, 274, 554 V. Griswold, 13 Vt. 291, 37, 39. 43 V. Moore, 97 111. 283. - 887 V. Tolten. 16 Abb. Pr. 35, 663 Kellogg Newspaper Co. v. Far- rell, 88 Mo. 594, - - - 23, 4u cvi Kel.] TABLE OF CASES. [Ker. Kelly V. Baker, 2 Hilt. 531, - V. Clancey, 16 Mo. App. 549, V. Crawford, 5 Wall. 7S8, V. Devliu, 15 Jones & Sp. 338 203 698 555 (58 How. Pr. 487), - 114, 1186 — V. Eckford, 5 Paige, 548, 978 — V. Gaines, 24 Mo. App. 506, - - - - 23, 40, 61 — V. Hutton, L. R. 3 Ch. App. 703, - ... 927 — V. Hutton, L. R. 9 Ch. App. 690, - - - - 185 — V. Murphy (Cal.), 12 Pac. 480 722 340 Rep. 467, - - - - 278 V. Scott, 49 N. Y. 595, - 105 V. Scotto, 49 L. J. Ch. 383 ; 42 L. T. N. S. 827, - - - 22, 47 Kelsey v. Hobby, 16 Pet. 269, 552 Kelton V. Leonard, 54 Vt. 230, 319, 322 Kembie v. Farren, 6 Bing. 141, - - -■ - - 250 V. Kean, 6 Sim. 333. - 306 V. Mills, 9 Dowl. 446, - 890 Kemeys v. Richards, 11 Barb. 312,' Kemp V. Andrews, Carth. 170; 3 Lev. 290 ; 1 fehow. 188, 189, V. Carnley, 3 Duer, 1, V. Cook, 18 Md. 130, 142, 145 V. Doggett, 3 G. Greene, 190, 695 Kempner, In re, L. R. 8 Eq. 286, 564 Kendal v. Wood, L. R. 6 Ex. 243, - - - 383, 1046, 1048 Kendall, Ex parte, 17 Ves. 514, 747, 843 V. Garland, 5 Cush. 74, - 1073 V. Hamilton, 4 App. Cas. 504 (s. c. below, 3 C. P. D. 403), - - - 454, 535, 748 V. Rider, 35 Barb. 100, 282, 844 V. Riley, 45 Tex. 20, - 693 Kendrick v. Campbell, 1 Bai- ley (S. Ca.). 522, - - - 701 Kendrick v. O'Neil, 48 Ga. 631, ,385 V. Tarbell, 27 Vt. 512, 188, 453. 453a, 631, 852, bSl Kenedy v. Cunningham, Cheves (S. Ca.), 50, - - lOSl Kennard v. Adams, 11 B. Mon. 102, 894 Kennebec Co. v. Augusta Banking Co. 6 Gray, 204, - 333 Kennedy, Ex parte, 2 De G. M. & G. 228, .... 833 V. Bohannon, 11 B. Mon. 118, 152, 156, 445, 608, 612, 618 V. Kennedy, 3 Dana, 239, 228, 315, 591, 594, 988, 994 V. Lee, 3 Mer. 452, - - 664 V. McFadoD, 3 Har. & J. 194, 853 V. Shilton, 1 Hilt. 546; 9 Abb. Pr. 157, n., - - - 964 Kenney v. Altvater, 77 Pa. St. 34, - - 374, 375, 607, 615, 707 Keuney's Patent Button Hole- ingCo. V. Somervell, 3S L. T. N. S. 878 ; 26 W. R. 786, - 258 Kenniston v. Avery, 16 N. H. 117, 705 Kensington, Ex parte, 14 Ves. 447, ... - 833,834 Kent V. Chapman, 18 W. Va. 485, .... 333, 963 V. Holliday, 17 Md. 387, 1049, 1050 V. Jackson, 2 DeG. M. & G. 46, 958 V. Mojonier, 36 La. Ann. 259, 198 V. Wells, 21 Ark. 411, . 450, 1051, 1068 Kenton Furnace & Mfg. Co. v. McAlpiu, 5 Fed. Rep. 737, 261, 720 Keu worthy v. Sawyer, 125 Mass. 28, 29, - - - . u\ Kepler v. Erie Dime Sav. & Loan Co. 101 Pa. St. 002, - 289 Kerr v. Bradford, 26 Up. Can. C. P. 318, .... 55? cvu Ker.] TABLE OF CASES. [Kin. Kerr v. Kingsbury, 39 Mich. 150, .... 282, 295 V. Potter, G Gill, 404, 17, 43, 103, 104, 105 Kerrick v. Stevens, 55 Mich. 167, - - - - - 81, 82 Kerrigan v. Kelly, 17 Mo. 275, 870 Kershaw v. Matthews, 2 Russ. (52, 249 Ketchain v. Clark, 6 Johns. 144, - . - 611, 618, 621 Ketchum, In re, 1 Fed. Rep. 815, .... 480, 483 V. Durkee, Hoffm. Ch. (N. Y.) 538, - - - 446, 532 V. Ketchum, 1 Abb. Pr. (N. S.) 157, - - - - 894 Kettelle v. Wardell, 2 111. 592, 627, 1073 Kickman v. Kunkle, 27 Mo. 401, 343 Kidd V. Brown, 2 How. Pr. 20, 1086 Kiddei- v. Mcllhenuy, 81 N. Ca. 123, 880 V. Packard, 13 Mass. 80, - 1127 V. Page, 48 N. H. 380, 349, 566 Kilby V, Wilson, Ry. & Moo. 178, 480 Kilgour V. Finlyson, 1 H. Bl. 155, - - - 693, 694, 695 Killani v. Preston, 4 Watts & S. 14, - - - - 858, 860 Killock V. Greg, 4 Russ. 285, - 922 Kilshaw v. Jukes, 3 Best & Sm. 847, - - 18, 20, 29, 39. 61 Kimball v. Hearhart, 12 Cal. 27, 241 V. Hamilcon F. lus. Co. 8 Bosw. 495, - - - - 405 V. Lincoln, 5 III. App. 316 (reversed, 7 id. 470, and 99 111. 578), - - - 772, 774 V. Lincoln, 99 111. 578 (afTg. s. c. 7 111. App. 470, which reversed 5 111. App. 316), - - 743, 772, 774, 976 V. Thompson, 13 Met. 283, 190, 560 Kimball v. Walker, 30 111. 482, 629 Kimberly's Appeal (Pa.), 7 Atl. Rep. 75, .... 527 Kimble v. Seal, 92 Ind. 276, - 937 Kimbro v. Bullitt, 22 How. 256, 322, 327, 328, 329, 341, 348, 1049 Kimmel v. Shultz, Breese(Ill.), 128, 1094 Kimmins v. Wilson, 8 W. Va. 584, - - . - 2, 72, 595 Kinder v. Taylor, Gow on Part. 110, - - - - 1011 King, Ex parte, 17 Ves. 115, 845, 846 V. Barber, 61 Iowa, 674, 646 V. Barbour, 70 Ind. 35, - 146, 611, 1151, 1154 V. Bell, 13 Neb. 409, - 1055, 1068 V. Chuck, 17 Beav. 335, - 217 V. Courson, 57 Ga. 11, - 629 V. Faber, 22 Pa. St. 21, - 347 V. Ham, 4 Mo. 275, - - 1154 V. Hamilton, 16 111. 100, - 259, 262, 544, 766 V. Hoare, 13 M. & W. 495, 537 V. Leigh ton, 100 N. Y. 386 (rev. 22 Hun, 419), - 583, 795 V. Smith, 4 C. & P. 108, - 381, 681, 684 V. Wartelle, 14 La. Ann. 740, .... 942, 976 V. Weeks, 70 N. Ca. 372, - 284, 285, 293 V. Wilcoinb, 7 Barb. 263, 282 V. Winants, 71 N. Ca. 469, 113, 119, 127 Kingman v. Spurr, 7 Pick. 235, 72, 74, 1113 Kingsland v. Braisted, 2 Lans. 17, 905 Kingsley v. Hubbard, 39 Cal, 655, 1131 Kinkead, In re, 3 Biss. 405; 7 Batikr. Reg. 439 (U. S. D. C. 111.), 139 cvia Kin.] TABLE OF CASES. [Kno. Kiiiloch V. Hamlin, 2 Hill (S. Ca.), Ch. 19 (27 Am. Dec. 441), 577. 578, 855, 889 Kinney v. McCullough, 1 Sandf. Ch. 370, - - - 532 V, Robison, 52 Mich. 389, 855, 874 Kinsler v. McCants, 4 Rich. (S. Ca.) L. 46 (53 Am. Dec. 711), 685, 713, 722, 724 Kinsman v. Barker, 14 Ves. 579, 962 V. Castleraan. 1 Mon. (Ky.)210, - - - . 201 V. Dallam, 5 Mon. (Ky.) 383, 202 V. Parkhurst, 18 How. 289. .... 116, 305 Kintrea v. Charles, 12 Grant's Ch. (Up. Can.) 117, - 309, 632 Kious V. Day, 94 Ind. 500, - 884 Kipling V. Turner, 5 B. & Aid. 261, .... 651 Kipp V. McChesney, 66 111. 460, 531 Kirby v. Cannon, 9 Ind. 371, - 148, 1094 V. Carpenter, 7 Barb. 373, 825 V. Carr, 3 Younge & Coll. Ex. 184, .... 581 V. Coggswell, 1 Cai. 505, 543, 1017 V. Hewitt, 26 Barb. 607, - 199 V. Ingersoll, 1 Doug. (Mich.) 477 (aff. s. c. Harr. Ch. 172), - - - 838, 403 V. Lake Shore & M. S. R. R. 8 Fed. Rep. 463 ; s. c. 14 id. 261, - - - - 717, 722 V. Taylor, 6 Johns. Ch. 242, 386 V. Schoonmaker, 3 Barb. Ch. 46, - - - - 566, 569 Kirk V. Blurton, 9 M. & W. 284; 12 L. J. Ex. 117, - 192, 199, 201, 203 V. Hartman, 63 Pa. St. 97, 91 V. Hiatt, 2 Ifid. 332, 681, 701, 704 Kirk V. Hodgson, 3 Jolins. Ch. 400, .... 432, 4m Kirkman v. Booth, 11 Beav. 273, - - - 599, 600, 739 Kirkpatrick v. McElroy, 41 N. J. Eq. 5;!9, .... 1006 V. Turnbull, Addison (Pa.), 259, 411 Kirwan v. Kirwan, 2 Cr. & M. 617; 4 Tyr. 491, 520, 531, 523 Kistner v. Sindlinger, 33 Ind. 114, ... 184, 186, 824 Kitchen v. Lee, 11 Paige, 107, 144, 553 V. Reinsky, 42 Mo. 437, - 566 Kitchin v. Wilson, 4 C. B. N. S. 483, 1085 Kitner v. Whitlock, 88 III. 513, 191, 200, 444, 978, 979 Klase V. Bright, 71 Pa. St. 186, 629, 630, 850, 958 Klein v. Keyes, 17 Mo. 326, - 347 Kleinhaus v. Generous, 25 Oh. St. 667, 370 Klock V. Beekman, 18 Hun, 502, .... 701, 1153 Klotz V. Macready (La.), 2 So. Rep. 203, .... 741 Knapp V. Edwards, 57 Wis. 191, - - 816, 970, 984, 987 V. Levanway, 27 Vt. 298, 245, 1125 V. McBride, 7 Ala. 19, - 353, 361, 691 Knauth v. Bassett, 34 Barb. 31, 566 Knebell v. White, 2 Y. & C. Ex. 15, 910 Kneib v. Graves, 72 Pa. St. 104, 377 Knerr v. Hoffman, 65 Pa. St. 126, - 858, 860, 865, 928, 1106 Knight, Re, 2 Biss. 518; 8 Bankr. Reg. 430, - - - 832 V. Ogden, 2 Tenn. Ch. 473, 258, 1105, 1110, 1111 Knode v. Baldridge, 73 Ind. 54, 1006 cix Kno.] TABLE OF CASES. [Lak. Knott V. Knott, 6 Oregon, 142, 139, 140, 181, 301, 302, 937, 9S6 V. Stephens, 3 Or. 269, - 731 Knowles v. Haughton, 11 Ves. 168 (more fully rep. in CoU- yer. Partnership, 198), - - 913 Knowlton v. Reed, 38 Me. 246, 59, 70 Knox V. Buffington, 50 Iowa, 320, ... - 323, 325 V. Gye, L. R. 5 H. L. 656, 718, 719, 942. 945, 948, 949 V. Schepler, 2 Hill (S. Ca.), L. 595, ... - 719, 1104 Koehler v. Brown, 21 How. Pr. 235, 858 Kohler v. Mattlage, 42 N. Y. Superior Ct. 247, - - - 636 Koningsburg v. Launitz, 1 E. D. Smith, 215, - - 541, 892 Kottwitz V. Alexander, 34 Tex. 689, - - - 598. 602, 714 KouDtz V. Holthouse, 85 Pa. St. 233, - - - 503, 504, 510 Krafts V. Creighton, 3 Rich. L. 273, - - . . 438, 451 Kramers v. Artliur, 7 Barr, 165, .... 1H6, 1102 Kreis v, Gorton, 23 Oh. St. 468, - - - 53, 542, 726 Kritzer v. Sweet, 57 Mich. 617, 96 Krouskop V. Shontz, 51 Wis. 204, 217, - - - - 140 Krueger, Re, 2 Low. 03; 5 Bankr. Reg. 439, - - 100, 628 Kriitz V. Craig, 53 lud. 561, - 738, 849 Kuehnemundt v. Haar, 58 How. Pr. 464, - - - 933 Kuhn V. Abat, 2 Martin (La.), N. S. 168, - - - - 655 V. Newman, 49 Iowa, 424, 28, 274, 275 V. Weil, 73 Mo. 213, - 465 Kuhne v. Law, 14 Rich. L. 18, 825, 847 KuU V. Thompson, 33 Mich. 685, - - - . 401, 1010 Kutcher v. Williams, 40 N. J. Eq. 436, ... - 136, 138 Kyle V. Roberts, 6 Leigh (Va.), 495, - . . . 296, 417 L. Labouchere v. Dawson, L. R. 13 Eq. 332, - - - 664, 666 V. Tapper, 11 Moo. P. C. 198, 51 Lacey v. Hill, 4Cii. D. 537 (aff. S. c. as Read v. Bailey, L. R. 3 App. Cas. 94), - - 395, 839 V. Hill. L. R. 8 Ch. App. 441, Lacoste v. Bexar County, 28 Tex. 420, . - - - Lacy V. Kynaston, 2 Salk. 575; 1 Ld. Rayni. 688, - V. Le Bruce, 6 Ala. 904, - V. McNeile, 4 Dow. & Ry. 816 700 385 902 7, 884 V. Woolcott, 2 Dow. & Ry. 458, - . - . 628, 750 Ladd V. Griswold, 9 111. 25 (46 Am. Dec. 443), - - 551, 832 Ladiga Saw Mill Co, v. Smith, 78 Ala. lOS, - - 106-', 1088, 1093 Ladue v. Hart, 4 Wend, 583, - 1079 Laffan v. Naglee, 9 Cal. 662, 26, 305 Lafonv. Chiun, 6 B. Mon. 305, 446 Lafond v. Deems, 81 N. Y. 507 (52 How. Pr. 41 ; 1 Abb. N. Cas. 318), - - 75, 593, 594 Logan V. Cragin, 27 La. Ann. 352, 446 Lahey V. Kingon, 13 Abb. Fr. 192; S. c. as Leahy v. King- on, 22 How. Pr. 209, - 380, 1086 Laing v. Campbell, 36 Beav. 3, 958 Laird v. Chisholm, 30 Scottish Jurist, 582, - - - - 485 Y. Ivens, 45 Tex. 021, - 021 V. Umberger, 1 I hila. 518, 1049 L;ike v. Craddock, 3 P. Wnis. 15S; 1 Eq. Cas. Abr.- 290, - 186 ex Lak.] TABLE OF CASES. [Lat. Lake v. Duke of Argyll, 6 Q. B. 477, 98 T. Muuford, 4 Sm. & Mar. 312, .... 187, 507 Laler v. Jordan. 44 Miss. 283, - 361 Lallancle v, McRae, 16 La. Ann. 193, ... - 446 Lainalere v. Gaze, 1 Wash. C. C. 435, - . 434, 849, 858, 860 Lamar v. Hale, 79 Va. 147, 163, 311 I^mb V. Brolaski, 38 Mo. 51, 1082, 1083 V, Durant, 12 Mass. 54 (7 Am. Dec. 31), 70, 401, 403, 405 V. Grover, 47 Barb. 317, - 43 V. Saltus, 3 Brev. (S. Ca.) L. 130, 383 V. Singleton, 2 Biev. (S. Ca.)490, - ... 607 Lambden v. Sharp, 9 Humph. 224 (34 Am Dec. 642), - 416, 419 Lambert's Case, Godbolt, 244, 403, 437 Lambert v. Converse, 22 How. Pr. 265, 377 V. Griffith, 44 Mich. 65, - 962, 978, 979 V. Griffith, 50 Mich. 2S6, - 6-J9 Lamkin v. Pliillips, 9 Porter, (Ala.), 98, - - 543, 559, 5G0 LAraont v. Fullam, 133 Mass. 583, 60 Lamphire v. Cowan, 39 Vt. 420. 234 Larapton v. Nicliols, 1 Cint. Superior Ct. Rep. 166, - - 986 Lancaster Bank v. Myley, 13 Pa. St. 544. - - - 186. 1102 Lane, Re, 2 Low. 333 ; 10 Bankr. 'Reg. 135, - 566, 836. 837, 838 V. Arnold, 13 Abb. New Cas. 73, 198 V. Jones, 9 Lea (Tenn.), 627, - - - - b20, 822 V. Roche, Rih-y (S. Ca.). Ch. 215, - - - . 770, 8;0 V. Tyler. 43 JL-. 252, - 282 H cxi Lane v. Thomas, 87 Tex. 157, 119, 121 V, Williams, 2 Vernon, 292, ... - 370, 747, 750 Lanford v. Patton, 44 Pa. 584, 1065 Lang V. Keppele, 1 Bin. (Pa.) 123, .... 747, 750 V. Oppenheim, 96 Ind. 47, 849 V. Waring, 17 Ala. 145 (25 id. 625), - - - 291, 349, 727 V. Waring, 25 Ala. 625 (CO Am. Dec. 533), - 291, 294, 976 Langan v. Hewett, 13 Sm. & Mar. (Miss.) 122, - 323, 349, 351 Langdale, Ex parte, 18 Ves. 300, 16 V. Langdale, 13 Ves. 167, 883 Langdon v. Hughes, 107 Mass. 272, Lange v. Kennedy, 20 Wis. 279, - . . - . V. Werk, 2 Oh. St. 519, - 981 694 676 Langmead's Trusts, 7 DeG. M. & G. 353, - - 551, 552, 554 Lanier v. McCabe, 2 Fla. 32 (48 Aui. Dec. 173), 328, 343, 884 V. Macon, 59 Ga. 187, - 175 Lannan v. Clavin, 3 Kan. 17, 968, 974 L.insing v. Gaine, 2 Johns. 300 (3 Am. Dec. 422), - 618, 626, 691 Lape V. Parvin, 2 Disney, 560, 70 Lapham v. Green, 9 Vt. 407, 1022, 1083- Larkins v. Rhodes, 5 Porter (Ala.), 195, ... - 301 Lasell V. Tucker, 5 Sneed (Tenn.), 33, - 338, 340, 403, 418- Lassiter v. Jackman, 88 Ind. 118, 854 Laswell v. Robbins, 39 111. 209, 259, 262, 765, 970, 982, 984 Latham v. Keuniston, 13 N. H. 203, - - 759, 1160, 1168, 1169 V. Simmons, 3 Jones (N. Ca.), L. 27, - 1105, 1111, 1112 V. Sk inner, Phil. (N. Ca.) Eq. 292, ... - 551 Lat.] TABLE OF CASES. [Lee. Lathrop v. Atwood, 21 Conn. 117, - - 636, 637, 639, 879 V. Brown, 23 Iowa, 40, - 1064 V. Kuapp. 37 Wis. 307, 876, 973 V. Snell, 6 Fla. 750, - - 195 Lauferty v. Wheeler, 11 Daly, 194, 198 Lauffer v. Cavett, 87 Pa. St. 479, 29 1 Laugher v. Pointer, 5 B. & C. 547, 570, .... 463 Laughlin v. Lorenz, 48 Pa. St. 275, 600, 601 Laurens v. Hawkins, 1 Desaus. 144, 740 Laverty v. Burr, 1 Wend. 529, 349, 362 Law, Ex parte, 3 Deac. 541, - 155, 445 V. Cross, 1 Black. 533, . 446 V. Ford, 2 Paige, 310, 993, 998, 1003 V. Law, 2 Coll. 41, - - 926 Lawes v. Lawes, 9 Ch. D. 98, 211, 245 Lawrence, Re, 5 Fed. Rep. 349, 416 V. Clark, 9 Dana (Ky.), 257 (35 Am. Dec. 133), . 852, 865 V. Dale, 3 Johns. Ch. 23, 317 V. Robinson, 4 Colorado, 567, 571 V. Rokes, 61 Me. 38, - 951, 952 V. Tayloi", 5 Hill, 107, 292. 299, 424 V. Trustees of Leake & Watts Orphan House. 2 Den. 577 (aff. 11 Paige, 80), 737, 750, - — V. Vilas, 20 Wis. 381, 543, 723 Lawson v. Bank of London, 18 C. B. 84, - . - -" . 674 V. Glass, 6 Colorado, 134, 875 Laylin v. Knox, 41 Mich. 40, 531, 533 Layton v. Hall, 25 Tex. 404, . 979 V. Hastings, 2 Harr. (Del.) 147, 421 Lea V. Guice, 13 Sm. & Mar. (Miss.) 656, 156, 157, 191, 332, 1151, 1153 Leabo v. Goode, 07 Mo. 123, - 527 V. Renshaw, 61 Mo. 292, 850 Leach v. Church, 15 Oh. St. 1G9, 529 V. Cook, 10 Vt. 239, - - 1117 V. Kagy, 15 Oh. St. 169, . 537 V. Leach, 18 Pick. 68, 229, 305, 814, 975 V. Milburn Wagon Co. 14 Neb. 106, . 173, 842, 1059, 1066 Leaf's Appeal, 105 Pa. St. 505, 297, 208 Leaf V. Coles, 1 De G. M. & G. 171, 581 Leahey v. Kingon, 23 How. Pr. 209 (s. c. as Lahey v. Kingon, 13 Abb. Pr. 192), 380, 1086 Leake & Watts Orphan House, Trustees of, v, Lawrence, 11 Paige, 81 (affd. in L. v. Trustees, 2 Den. 577), - - 737 Learned v. Ayers, 41 Mich. 677, 849 Leary v. Shout, 33 Beav. 582, 594 Leavitt v. Comer, 5 Cush. 129, 23t V. Gooch, 13 Tex. 95, 942, 943 V. Peck, 3 Conn. 124 (8 Am. Dec. 157), - - - 325 Led den v. Colby. 14 N. H. 83 (40 Am. Dec. 173), - 722,724 Lee V. Abrams, 12 111. Ill, - 899 V. Davis, 70 Ind. 464, . 777 V. Dolan, 39 N. J. Eq. 193, 767 V. Fontaine, 10 Ala. 755 (44 Am. Dec. 505), 495, 503, 634, 047 V. Haley, L. R. 5 Ch. App. 674 383, 1007 1142 161, — V. Hamilton, 12 Tex. 413, — V. Hardgrave. 3 Mich. 77, — V. Lashbrooke, 8 Dana (Ky.), 214, 181, 764, 770, 777, 781, 785, 798 — V. Macdonald, 6 Up. Can. Q. B. (old series) 130, 319, 427, 1154 cxu Lee.] TABLE OF CASES. [Lev. Lee V. Onstott, 1 Ark. 206, 416, 419 V. Page, 7 Jur. N. S. 768; 80 L. J. N. S. Ch. 857, 233, 806, 987 V. St:>we, 57 Tex. 444, 693, 707 V. Templeton, G Gray, 579, 177 V. Wilkins, 65 Tex. 295, 1105, 1108 Ijeeds Banking Co., In re, L. R. 1 Ch. App. 231, - - - 51 Lees V. Laforest, 14 Beav. 250, 304 Leese v. Martin, L. R. 13 Eq. 77, 1085 Le Fanu v. Malcomson, 1 H. L. C. 637; 8 Irish L. R. 418, - 1031 Lefever v. Underwood, 41 Pa. St. 505, .... 763 Lefevre's Appeal, 69 Pa. St. 123 (8 Am. Rep. 229), - 285, 289 Lefevre v. Boyle, 3 B. & Ad. 877, 1020 Leffler v. Rice, 44 Ind. 103, - 370 Leftwich v. Clinton, 4 Lans. 176, 127 Leftwitch v. Leftwitch, 6 La. Ann. 346, .... 983 I^ggett V. Hyde. 58 N. Y. 272 (17 Am. Rep. 244), (affg. 1 N. Y. Supreme Ct. 418), 23, 47, 50 Leggott V. Barrett, 15 Ch. D. 300, .... 664, 666 Legli V. Legh, 1 B. & P. 447, 383 Leicestershire Banking Co., Ex parte, De Gex, 292, - - 842 Leiden v. Lawrence, 2 New Rep. 283, - - 63, 376, 408 Leidy v. Messinger, 71 Pa. St. 177, - . - . 852, 865 Leighton v. Hosmer, 39 Iowa, 594, 780 Leinkauff v. Munter, 76 Ala, 194, 1130 Leinsinring v. Black, 5 Watts, 303, .... 283, 284 Leland, Re, 5 Ben. 168; 5 Bankr. Reg. 222, - - 825, 832 V. Newton, 102 Mass. 350, 742 Le Levre v. Castagnio, 5 Col- orado, 564, - - - - 23, 47 Lemmon v. Hutchins, 1 Ohio Cir. Ct. 388, - - 292, 417 Lemon v. Fox, 21 Kan. 152, 348, 411,439 Lemons v. State, 50 Ala. 180, 178, AS6 Lengle v. Smith, 48 Mo. 276, - 35 Lenow v. Fones, 48 Ark. 557, 297, 298 Leonard v. Leonard, 1 W. & S. 342, 964 V. New York Tel. Co. 41 N. Y. 544. - ... 43 V. Robbins, 13 Allen, 217, 893 V. Wilde, 36 Me. 265, - 698 V. Winslow, 2 Grant's Cas. Pa. 139, .... 1038 Le Page v. McCrea, 1 Wend. 164 (19 Am. Dec. 4G9), - 385, 527, 531 Le Roy v. Johnson, 2 Pet. 186, 191, 198, 361, 439, 444, 446. 451-, 608, 626 Leslie v. Wiley, 47 N. Y. 648, 151, 1052 Lessing v. Sulzbacher, 35 Mo. 445, 191 Lester v. Abbott, 28 How. Pr. 488 (S. C. as Lester v. Pollock, 3 Robt. 691, which see). V. Pollock, 3 Robt. (N. Y.) 691 (S. C. as Lester V. Abbott, 28 How. Pr. 488), 556, 566, 567 Lesure v. Norris, 11 Cush. 328, 585, 629 Levally v. Ellis, 13 Iowa, 5^4, 1064 Leveck v. Shaftoe, 2 Esp. 468, 152, 1022 Level V. Farris, 24 Mo, App. 445, - - 825, 826, 828, 835 Leverson v. Lane, 13 C. B. N. S. 278, 362 Levi V. Karrick, 8 Iowa, 150, - 660, 974, 1007 V. Karrick, 13 Iowa, 344, 237, 777, 938, 954 CXIU Lev.] TABLE OF CASES. CLiT. Levi V. Latham, 15 Neb. 509 (48 Am. Rep. 361). 829, 344, 345, 427 Levick's Appeal (Pa.), 2 Atl. Rep. 532, .... 429 Levin v. Vannevar, 137 Mass. 532, 961 Levine v. Michel, 35 La. Ann. 1121, 988 Levy V. Cadet, 17 S. & R. 126 (17 Am. Dec. 650), - - 704 V. Cowan, 27 La. Ann. 556, - - . . 1101, 1113 V. McDowell, 45 Tex. 220, 1154 V. Pyne, Car, & Marsh. 453, .... 329, 364 V. Walker, 10 Ch. D. 436, 670 V. Williams, 79 Ala. 171, 1131 Lewis, Re, 8 Bankr. Reg, 546; 2 Hughes. 320, - 841, 842, 847, 848 V. Alexander, 51 Tex. 578, 101, 114, 127 V. Allen, 17 Ga. 300. - 331 V. Anderson, 20 Oh. St. 281, .... 187, 295 V. Culbertson, 11 S. «fe R. 48, 723 V. Davidson, 39 Tex. 6C0, 529 V. Edwards, 7 M. &W. 300, 856 V. Greider, 51 N. Y. 231 (affg. 49 Barb, 605). - . 43 V. Harrison, 81 Ind. 278, 821 V. Langdon, 7 Sim. 421, - 658, 673 V. Motfett, 11 m. 392, 770, 777, 778 V. Paine, 1 Pa. Leg. Gaz. Rep, 508, - - - - 1103 V. Post, 1 Ala. 65, 1149, 1154, 1168 V. Reilly, 1 Q. B. 349, 341, 352, 626, 690, 691 V. TJlton, 64 Iowa, 220 (52 Am. Rep. 436), - . 75 V. Westover, 29 Mich. 14, 519, 521 Liberty Savings Bank v. Camp- bell, 75 Va. 534, 411, 1038, 1043, 1046 Liddell v. Grain, 53 Tex. 549, - 393 Ligare v. Peacock, 109 111. 94, 181, 589, 770, 781, 795, 798, 1151 Lill V. Egan, 89 111. 009, - - 4530 Lime Rock F. & M. Ins. Co. v. Treat, 58 Me. 415, - - 342 Lincoln v. White, 30 Me. 291, 288 Lindell v. Lee, 34 Mo. 103, - 382 Linderman v. Disbrow, 31 Wis. 465, .... 850, 892 Lindh v. Crowley, 29 Kan. 756, 328, 341, 348, 361, 370 Lindley v. Davis, 6 Montana, 453, 1131 Lindsay v. Gibbs, 3 De G. & J. 690, 185 V. Guy, 57 Wis. 200, - 981, 1147 V. Hoke, 21 Ala. 542, 296 V. Jaff ray, 55 Tex. 636, - 296, 1072 Lindsey v. Edmiston, 25 III. 359, .... 156, 1150 Li 11 ford V. Linford, 28 N. J. L. 113, .... 834, 1114 Lingen v. Simpson, 1 Sim. & Stu. 600, - - 550, 551, 561 Lingenfelser v. Simon, 49 Ind. 82, 524, 535 Lingood v. Eade, 2 Atk. 501, 505, 231 Lininger v. Raymond, 9 Neb. 40, 1131 Linn v. Buckingham, 2111. 451, 1121 v. Ross, 16 N. J. L. 55, - 477 Linner v. Dare, 2 Leigh (Va.), 588, 747- Liutner v. Millikin, 47 111. 178, 47, 1135, 1158 Linton v. Hurley, 14 Gray, 191, 463 Lippincott v. Shaw Carriage Co. 25 Fed. Rep. 577, - 1049, 1087 Litchfield, Re, 5 Fed. Rep. 47, 832 V. Daniels, 1 Col. 268, - 1073 cxiv Lit.] TABLE OF CASES. [LON. Littell V. Fitch, 11 Mich. 525, 348, 361 Little V. Cambridge, 9 Cush. 298, .... 176, 177 V. Fei-guson, 11 Mo. 598, - 700 V. Hazzard, 5 Hair. (Del.) 291, .... 416, 1169 V. Merrill, 62 Me. 328, - 70 V. Quinn, 1 Cint. Superior Ct. Rep. 379, - - - 527. 533 V. Snedecor, 53 Ala. 167, 281, 936 IiivL'rpool, etc. Nav. Co. v. Agar, 14 Fed. Rep. 615; 4 Woods, C. C. 201, - - 173, 1059 Liverpool, London & Globe Ins. Co. V. Verdier, 35 Mich. 395, 271 Livingston v. Blancbard, 130 Mass. 341, - - - 231, 812 V. Hastie, 2 Caines, 246, - 362 V. Lynch, 4 Johns. Ch. 573, ... 17, 213, 434 V. Pittsb. & Steub. R. R. 2 Grant's Cas. (Pa.) 219, 428, 429 V. Ralli, 5 E. & B. 132, - 233 — — V. Roosevelt, 4 Johns. 251 (4 Am. Dec. 273), 13, 317, 334, 349, 352 Uoyd, Re, 23 Fed. Rep. 88 ; 5 Am. Law Rec. 079, - - 832 , Re, 23 Fed. Rep. 90, 825, 837 V. Archbovple, 2 Taunt. 324, 1022 V. Ashby, 3 B. & Ad. 23, 199, 441 V. Ashby, 2 C. & P. 138, - 439 V. Carrier, 2 Lans. 364, 783, 785 V. Freshfield, 2 C. & P. 333, 70 V. Loaring, 6 Ves. 773, 75, 1028 V. Thomas, 79 Pa. St. 68, 695 L,()bdell V. Mclits. & Man. Bk. 33 Mich. 408, - - - 1074 Lociiraue v. Stewart (Ky.). 3 S. W. Rep. 903, - - - 708 Locke V. Hall, 9 Me. 133, 503, 55^, 1114 Locke V. Lewis, 124 Mass. 1, - 1046 V. Stearns, 1 Met. 560 (35 Am. Dec. 383), - - 473, 475 Lockhart v. Lytle, 47 Tex. 453, 852, 943 Lockridge v. Wilson, 7 Mo. 500, 1 140, 1143, 1155 Lock wood V. Beckwith, 6 Mich. 168, - - 306, 446, 1153 - — V. Corastock, 4 McLean, 383, .... 694, 695 V. Doane, 107 111. 335, 35, 1029 V. Mitchell, 7 Oh. St. 387, 715 Lodge, Ex parte, 1 Ves. Jr. 166, 833 V. Dicas, 3 B. & Aid. 611, 505 V. Prichard, 1 DeG. J. & S. 610, - - - - 825, 828 V. Weld, 139 Mass. 499, - 671 Loeb V. Pierpoint, 58 Iowa, 469 (43 Am. Rep. 122), - 338, 339 Loeschigk v. Hatfield, 51 N.Y. - 660 (aff. 5 Robt. 26 ; 4 Abb. Pr. (N. S.) 210), - 726, 731, 732 Loesser v. Loesser, 81 Ky. 139, 962 Logan V. Bond, 13 Ga. 192, - 446 V. Greenlaw, 29 Fed. Rep. 299, .... 297, 737 V. Mason, 6 W. & S. 9, - 491 V. Wells, 76 N. Ca. 416, - 456, 1051 Logic V. Black, 24 W. Va. 1, - 36 Lomme v. Kintzing, 1 Mon- tana, 290, - - 322, 323, 1055 Loudon Assur. Co. v. Bold, 6 Q. B. 514, .... 655 V. Drennen, 116 U. S. 461 (rev. Drennen v. London Ass. Corp. 20 Fed. Rep. 657), 5, 6, 257, 271, 272 London Syndicate v. Lord, 8 Cii. D. 84, - - - - 972 Loney v. Bailey, 43 Md. 10, 535, 537, 1049 Long. Re, 7 Ben. 141; 9 Bankr. Reg. 227, - - 562, 563, &32 v. Carter, 3 Ired. (N. Ca.) L. 338, 849 cxv LON.] TABLE OF CASES. [Lua Long V. Garnett, 59 Tex. 229, 607, 624 V. McDonald, 39 Ga. 186, 1055, 1170 — — V. Majestre, 1 Johns. Ch. 305, . - - . 485, 794 V. Story, 10 Mo. 636, 607, 695 V. Story, 13 Mo. 4, - - 1167 Longman v. Pole, 1 Moo. & M. 223, - - . . 383, 896 Loomis V. Armstrong, 49 Mich. 521, .... 770, 772 V. Ballard, 7 Up. Can. Q. B. 366, 524 V. Barker, 69 111. 360, - 465 V. Barrett, 4 Vt. 450, - 899 V. Loomis, 26 Vt. 198, 701, 1166 V. Marshall, 12 Conn, 69 (30 Am. Dec. 598), 16, 23, 89, 43 V. McKenzie, 31 Iowa, 425, 594, 994 — — V. Pearson, Harper, L. (S. Ca.) 470, - - - 694, 1093 Looney v. Gillen waters, 11 Heisk. (Tenn.) 133, - 761, 917 Loosemore v. Radford, 9 M. & W. 657, 036 Lorch V. Ault^an, 75 Ind. 162, 1008 Lord V. Anderson, 16 Kan. 185, 388, 812 V. Baldwin, 6 Pick. 348, - 155, 1053, 1083 T. Davis, 3 Allen,- 131, 140, 141 V. Devendorf, 54 Wis. 491, 569, 825 V. Paiker, 3 Allen, 127, 139, 140 V. Proctor, 7 Phila. 630, 16, 23, 47 Loring v. Brackett, 3 Pick. 403, 383 Loscombe v. Russell, 4 Sim. 8, 910 Lothrop V. Adams, 133 Mass. 471 (43 Am. Rep. 528), - 467 V. Wightraan, 41 Pa. St. 297, 1111 Loubat V. Nourse, 5 Fla. 350, 70, 281, 290, 29;i Louden v. Ball, 93 Ind. 232 (18 Ceutr. L. J. 401, and note), 847 Love V. Blair, 72 Ind. 281, - 1061 V. Carpenter, 30 Ind. 284, 790 V. Payne, 73 Ind. 80 (38 Am. Rep. Ill), - - 158, 161 V. Rhyne, 86 N. Ca. 576, 850 Lovegrove v. Nelson, 3 M. & K. 1, 160 Lovejoy v. Bowers, 11 N. H. 404, - - - - 181, 185 V. Spafford, 93 U. S. 430, 618, 622 Lovel V. Whitridge, 1 McCord, L. 7, - - - - - 1079 Lovell v. Gibson, 19 Grant's Ch. (Up. Can.) 280, - - 739 Loveridge v. Larned, 7 Fed. Rep. 294, - - - - 524 Low V. Allen, 41 Me. 248, 188. 550 Lowe V. Dixon, 16 Q. B. D. 455, 78 v. Lowe, 13 Bush, 688, 297, 298 v. Penny, 7 La. Ann. 356, 612 V. Thompson, 86 Ind. 503, 210 Lowell Natl. Bk. v. Train, 2 Mich. Lawyer, 27, - - 886 Lower v. Denton, 9 Wis. 268, 854, 871, 873 Lowery v. Drew, 18 Tex. 786, 382, 416, 428 Lowry v. Brooks, 2 McCord (S. Ca.),L. 421, - - 43,57,59 v. Cobb, 9 La. Ann. 592, 306, 312 V. Hardwick, 4 Humph. (Tenn.) 188, - ... 537 Lucas V. Baldwin, 97 lud. 471, 362, 1068 V. Beach, 1 M. «& G. 417, 854, 868 V. Bruce (Louisville Chan- cery Ct. 18G4), 4 Am. Law Reg. (N. S.) 95, - - - 462 V. Cole, 57 Mo. 143, - - 81 V. Coulter, 104 Ind. 81, - 508, 510, 511 CXVl Luc] TABLE OF CASES. [McC. Lucas V. De La Cour, 1 M. & S. 249, ... 1020, 1021 V. Sanders, 1 McMull. 311, 410, 421 Luce V. Hartshorn, 7 Lans. 331 (affd. in56N. Y. C21), - - 820 Lucht V. Behrens, 28 Oh. St. 231, .... 600, 739 Ijuckombe v. Ashton, 2 F. & F. 705, 75 Luddington v. Bell, 77 N. Y. 133 (33 Am. Rep. GOl; rev. 11 J. & Sp. 557), - - 523, 527 Ludington v. Taft, 10 Barb. 447, 936 Ludlc vv V. Cooper, 4 Oh. St. 1, 298, 743, 924 Ludlurn v. Buckingham, 85 N. J. Eq. 71; 39 id. 563, - 743,745 Lumberman's Bk. v. Pratt, 51 Me. 563, - - - 690, 694 Lunt V. Stevens, 24 Me. 534, - 383, 385, 681, 684 Lush V. Graham, 21 La. Ann. 159, 455 Lusk V. Smith, 8 Barb. 570, - 695 Lycoming Ins. Co. v. Barrin- ger, 73 111. 230, - - - 79 ' Lyell V. Saubourn, 2 Mich. 109, 424 Lyle V. Jacques, 101 111. 644, - 170 Lyles V. Styles, 2 Wash. C. C. 224, 763 Lyman v. Lyman, 2 Paine, C. C. 11, 13, 301, 319, 766, 770, 907, 939, 974 Lynch v. Bitting, 6 Jones (N. Ca.), Eq. 238, ... 955 V. Fhnt, 56 Vt. 46, - - 429 V. Swanton, 53 Me, 100, - 1100 V. Thompson, 61 Miss. 354, 33, 322, 323. 345, 459, 1096 Lyndon v, Gorham, 1 Gall. 367, 1103, 1113 Lyon V. Haynes, 5 M. & G, 504, 856, 886 v. Johnson, 28 Conn. 1, - 610, 613, 621. 624 Lyon V. Knowls, 3 Best & Sra. 556, .... 45, 59 V. Malone, 4 Porter (Ala.), 497, 878 V. Tweddell, 17 Ch. D, 529, .... 597, 802 Lyons v. Jackson, 1 How. (Miss.) 474, ... - 1093 Lysaght V. Davern, 5 Bli. N. R. 1, 489 Lysagt v. Phillips, 5 Duer, 106, 386 Lyth V. Ault, 7 Ex. 667, - - 505 M. McAdams v. Hawes, 9 Bush, 15, - - 110, 582, 585, 790 McArthur v. Chase, 13 Gratt. 683, 906 V. Ladd, 5 Oh. 514, 41, 43, 873 V. Oliver, 53 Mich. 299, - 698 MrBain v. Austin, 16 Wis. 87, 411 MoBirney v. Harran, 5 Irish Law Rep. 428, - - - 1017 McBride v, Hagan, 1 Wend. 326, . - 336, 414, 415, 421 v. Stradley, 103 lud. 465, 770, 775 McCabe v. Franks, 44 Iowa, 208, - - - 983, 984, 985 v. Morrison, 2 Harr. (Del.) 66, 1022 McCallum v. Buffalo & Lake Huron R'y Co. 19 Up. Can. C. P. 117, - ... 67 McCameut v. Gray, 6 Blackf. 233, 942 McCandless v. Had den, 9 B. Mon. 186, - 715, 722, 725, 1029 McCann v. McDonald, 7 Neb. 305, - 331, 1094, 1151, 1154 McCart v. Lewis, 2 B. Mon. 207, .... 414, 410 McCarthy v. Nash, 14 Minn. 127, .... 1140, 1141 V. Pealie, 18 How. Pr, 133, 960 CXVU Mc'C] TABLE OF CASES. [McC. McCartney v. Garneau, 4 Mo. App. 5G6-7, - - - - 734 V. Hubbell, 52 Wis. 360, - 722 V. NixoQ, 2 Dall. G5, n., - 722 McCarty v. Emlen, 2 Dall. 277; 2 Yeates. 190, - - - 1103 V. Nixon, 2 Dall. 05, 66, - 716 M^Caskill v. Lancashire, 83 N, Ca. 393, .... 294 McCauley v. Cleveland, 21 Mo. 438, -...,. 257 V. Fulton, 44 Cal. 355, 184, 281, 291, 1102 V. Gordon, 64 Ga. 221 (37 Am. Rop. 68), - - - 194 McCauly v, McFarlane, 2 De- saus. (S. Ca.) 239, - 557, 567, 906 McClean v. Kennard, L. R. 9 Ch. App. 336, - - 795, 974 V. Miller, 2 Cranch, C. C. 620, .... 494, 534 :»rClelland v. Remseii, 36 Barb. 622 ; 14 Abb. Pr. 331 ; 23 How. Pr. 175 ; 3 Keyes, 454; 3 Abb. . App. Dec. 74, 401, 406, 518, 686 McClinch v. Sturgis, 72 Me. 288, 4 McCloskey v. Strickland, 7 Iowa, 259, .... 1068 V. Wingfield, 29 La. Ann. 141, 653 McClungv. Capehart, 24 Minn. 17, - - - - 942, 949, 951 McClure v. Hill, 36 Ark. 268, - 465 McClurg V. Howard, 45 Mo. 365, 705 McClurkan v. Byers, 74 Pa. St. 405, 393 McColl V. Oliver, 1 Stew. (Ala.) 610, .... 787, 858 McConeghy v. Kirk, 68 Pa. St. 200, 194 McConnell v. Denver, 35 Cal. 365, 72, 73 V. Gardner, Morris (Iowa), 272, -" - - 75, 1024, 1028 V. Hector, 3 B. & P. 113, 110 McConnell v. Wilkins, 13 Ont. App. 438, - - - 349, 853 McCord v. Field, 27 Up. Can. C. P. 391, 329, 343, 371, 446, 448 v. Seale, 56 Cal. 262, - 129 V. Williams, 96 Pa. St. 78, 664. 666 McCorkle v. Doby,' 1 Strob. (S. Ca.) L. 396 (47 Am. Dec. 560), ..... 1151 McCormick's Appeal, 55 Pa. St. 252, 845 McCormick v. Gray, 13 How. 26, 234 V. Largey, 1 Montana, 158, 865 v. McCormick, 7 Neb. 440, 546, 786 McCowin v. Cubbison, 72 Pa. St. 358, - - - - 695 McCoy V. Anderson, 47 Mich. 502, .... 176, 177 V. Boley, 21 Fla, 803, 403, 406, 407 V. Watson, 51 Ala. 466, - 1064 McCracken v. Millions, 7 III. App. 169, - 484, 510, 511, 808 McCrae v. Robeson, 2 Murph. (N. Ca.) 127, - - - - 765 McCrary v, Menteer, 58 Mo. 446, 734 v. Slaughter, 58 Ala. 230, 329 McCreary t. Van Hook, 35 Tex. 631, - - - 448, 647 McCredie v. Senior, 4 Paige, 378, 989 McCrillis v. Hawes, 38 Me. 566, 386, 471 McCulloch V. Judd, 20 Ala, 703, 1051 McCullough v. Sommerville, 8 Leigh (Va.), 415, - 340, 403, 418, 569, 825 M'Culloh V. Dashiell, 1 Har. & G. (Md.) 96 (18 Am. Dec. 271), 747, 825, 828, 832, 833, 884 McCully V. McCuUy, 78 Va. 159, 301 cxviii McC] TABLE OF CASES. [McL McCutchen v. Banston, 2 Ga. 244, - - - - - 331 V. Rice, 56 Miss. 455, - 1170 McDauiel v. Wood, 7 Mo. 542, 690 McDermot v. Laurence, 7 S. & R. 433 (10 Am. Dec. 468), - 289 McDonald v. Beach, 2 Blackf. 55, . - - 559, 568, 824 V. Eggleston, 26 Vt. 154 (60 Am. Dec. 303), 414, 416, 418 V. Matney, 82 Mo. 358, 2, 17, 29, 1160 V. Parker, Sneed (Ky.), 208, 446 45 543 1081 McDonnell v. Battle House Co, 67 Ala. 90 (43 Am. Rep. 99), McDougald v. Banks, 13 Ga, 451, McDowell V. Tyson, 14 S. & R 300, . . - - . McEIroy v. Ludlum, 32 N. J. Eq. 828, 701 V. Melear, 7 Cold. 140, - 698 McElvey v. Lewis. 76 N. Y. 373, - - - 571, 994, 998 McEwan, Re, 12 Bankr. Reg. 11; 6Biss. 294, - - 833, 838 V. Gillespie, 3 Lea, 204, - 944 McFadden v. Hunt, 5 W. & S. 468, 882 McFadgen v. Stewart, 11 Grant's Ch. (Up. Can.) 272, - 942, 948 McFarland v. Carey, 8 Cow. 253 (affd. 6 Wend. 297), - 889 V. Chase, 7 Gray, 462, - 288 V. Crary, 8 Cow. 253, - 475 V. Lewis, 8 111. 344, - - 1146 V. Stewart, 2 Watts, 111, - 657 McFerran v. Filhert, 102 Pa. . St. 73, - - - - 224, 590 McGar v. Drake (Tenn. 1877), 5 Reporter, 347, ... 80 McGliee v. Dougherty, 10 Ala. 863, 858 McGill V. Do wdle, 33 A r k. 3 1 1 , 64. 365 McGill V. McGill, 2 Met. (Ky.) 258, - - 709, 711, 747, 750 McGilway v. Clement, 6 Mo. App. 597, - - - 714, 733 McGiuty V. Flannagan, 106 U. S. 661, 741 McGlensey v. Cox. 1 Phila. 387 ; 5 Pa. L. J. 203 ; 1 Am. Law Reg. (O. S.) 34, 158, 160, 756, 999 McGowan v. Amer. B'k Co. (S. C. U. S. 1887), - - - 611 V. Bank of Ky. 5 Litt. 271, o6l McGowan Bros. Pump & Mach. Co. V. McGowan, 22 Oh. St. 370 (aff. 2 Superior Ct. Rep. 313), - - - 671, 672, 690 McGown V. Sprague, 23 Ala. 524, .... 554, 500 McGraw v. Pulling, 1 Freem. (Miss.) Ch. 357, - - - 211 McGregor v. Cleveland. 5 Wend. 475, 200, 319, 33S. 427, 453. 1067, llo9, 1140 V. Ellis, 2 Disney, 2SG, 403, 40(), 559, 560, 824 McGrew v. Walker, 17 Ala. 824, 1 149, 1158 McGuire v. Blantou, 5 Humph. 361, 868 V. O'Halloran, Hill & D. Supp. 85, . - - - 1155 V. Ramsey, 9 Ark. 518, 285, 942, 948, 950 McGunn v. Hanlin, 29 Mich. 476, 114, 127, 142, 864, 961, 903 McHale v. Oertel, 15 Mo. App. 582, ... - 164, 881 Mcllreath v. Margetson, 4 Doug. 278, - - - - 7(11 Mcllroy v. Adams, 32 Ark. 315, 4 5 Mcllvaine v. Fi-anklin, 2 La. Ann. 622, - - - • IKiS Mclntire v. McLaurin, 2 Humph. 71 (36 Am. Dec. 600), 194 cxix McL] TABLE OF CASES. [McN. Mclntire v. Miller, 13 M. & W. 725, 531 V. Oliver, 2 Hawks (N. Ca.), 209, ... - 703 V. Yates, 104 111. 491, 825. 848 Mclntyre v. Belcher, 14 C. B. N. S. 654, - - - - 219 McKaig V, Hebb, 42 Md. 227, - 908, 930, 912, 945 McKay v. Joy, 70 Cal. 581 (9 Pac. Rep. 910), 715, 716, 735, 909 V. Overton, 65 Tex. 82, 786, 880 V. Rutherford, 12 Jur. 21, 208 McKean v. Vick, 108 111. 373, 740 McKeand v. Mortimore, 1 1 Up. Can. Q. B. 428, - 503, 507, 516 McKee v. Bank of Mt. Pleas- ant, 7 Oh. 2d pt. 175, 377, 380, 414 V. Hamilton, 33 Oh. St. 7, 442, 451, 453, 472, 524 V. Stroup, Rice (S. Ca.), 291, - - ■ - - 381, 411 McKelvy's Appeal, 72 Pa. St. 409, - - 583, 942, 943, 945 McKeniia's Appeal, 11 Pliila. 84, 377, 452 McKenna, Ex parte, 3 DeG. F. & J. 645, - - 284, 285, 287 McKenzie v. Dickinson, 43 Cal. 119. - - - - - 311 McKersher, Re, 8 Bankr. Reg. 409. 1131 McKillip V. Cattle, 12 Neb. 477, 504 McKinney v. Baker, 9 Oregon, 74, 5G1 V. Bradbury, Dallam (Tex.), 441, - 347,361,441,447 V. Rosenband, 23 Fed. Rep. 785, - - - 561, 1120 McKnight v. McCutchen, 27 Mo. 436, .... 856 V. Wilkins, 1 Mo. 220 [30S], .... 414, 419 McKowen v. McGuire, 15 La. Ann. 637, - - - 715, 718 McLain v. Carson, 4 Ark. 164 (37 Am. Dec. 777), - - 749 McLanahanv. EUery, 3 Mason, 267, 543 McLane v. Sharpe, 2 Harr. (Del.) 481, - - - 415, 1035 McLaughlin v. Simpson, 3 Stew. & Por. (Ala.) 85, 739, 923 McLauriii v. McColl, 3 Strob. L. 21, 69 McLean, Re, 15 Bankr. Reg. o33, .... 832, 8u8 McLellan v. Cumberland Bank, 24 Me. 534, .... 385 V. Detroit File Works, 56 Mich. 579, .... 8 McLelland v. Rulgeway, 12 Ala. 482, - - - - 1160 McLeod V. Bullard, 84 N. Ca, 315, 332 V. Lee, 17 Nev. 103, - 332 McLewer v. Hall, 103 K Y. 039, 99 McLinden v. "Wentworth, 51 Wis. 170, - - 199, 446, 507 McLucas V. Durham, 20 S. Ca. 302, .... 632, 959 McLure v. Ripley, 2 Macn. & G. 274, 312 McMahan v. Thornton, 4 Mon- tana, 46, ^10 McMahon v. McClernan, 10 W. Va. 419, - 300, 571, 792, 1007 V. O'Donnell, 20 N. J. Eq. 306, 43 V. Rauhr, 47 N. Y. 07, 75, 1028 McMichael v. Raoul, 14 La. Ann. 307, - - - - 771 McMillan v. Hadley, 78 Ind. 590, .-"... 1103 McMuUan v. Mackenzie, 2 G. Greene (la.), 368, - 361.1135,1138 McMurry v. Fletcher, 24 Kan. 574; 28 Kan. 337, - - 296 McNair v. Fleming, cited in 3 Dow. 218, 229, - - • 107 V. Piatt, 46 111. 211, - - 411 cxx McN.] TABLE OF CASES. [Mad. McNair v. Ragland, 1 Dev. Eq. 516, .... 704, 787 V Rewey, 62 Wis. 167, - 445, 1131, 1133 McNally v. Kerswell, 37 Me. 550, 714 McNamara v. Dratt, 33 Iowa, 385, 1144 McNaughten v. Partridge, 11 Oh. 223 (38 Am. Dec. 731), - 377, 420, 421, 422 McNaughton's Appeal, 101 Pa. St. 550, - - 416, 544, 567, 1045 McNaughton's Appeal, 103 Pa. St. 368, 377 McNaughton v. Moore, 1 Hay w. (N. Ca.) 189, - - - - 580 McNeal v. Blackburn, 7 Dana, 170, 534 McNeely v. Haynes, 76 N. Ca. 122, .... 408, 1120 McNeil V. Congregational Soc. 60 Cal. 105, - - 291, 293, 294 McNeill V. Reid, 9 Bing. 68, - 870 V. Reynolds, 9 Ala. 313, - 1147 McNeillie v. Acton, 4 DeG. M. & G. 744, .... 601 McNeish v. Hulless Oat Co. 57 Vt. 316, 72, 316, 319, 322, 430, 580, 1153 McNicol V. McEwen, 3 Up. Can. Q. B. (old ser.) 485, - 858 McNutt V. King, 59 Ala. 597, 583 V. Strayhorn, 39 Pa. St. 269, ... - 190, 339 McPeters v. Ray, 85 N. Ca. 462, 960 McPherson v. Pemberton, 1 Jones, L. 378, - 116, 122, 1105 V. Rathbone, 11 Wend. 98, 1155 McQuewans v. Hamlin, 35 Pa. St. 517, 349 McRae v. McKenzie, 2 Dev. & Bat. Eq. 232, - 764, 910, 968 McRobert v. Crane, 49 Mich. 483, 1071 McShcrry v. Brooks, 46 Md. 103, - - 801, 880, 881. 8b7 McStea v. Matthews, 50 N. T. 166; 91 U. S. 7, - - 86,682 McWhorter v. McMahan, Clarke, Ch. 400; 10 Paige, 380, 299 V. Sell, 66 Ga. 139, - - 1170 McWilliams Mfg. Co. v. Blun- dell, 11 Fed. Rep. 419; 22 Pat. Off. Gaz. 177, - - 206 Mabbett v. White, 12 N. Y. 442 (explained in Petlee v. Orser, 6 Bosvv. 123, 137j, - - 180, 403 Mardougall v. Jersey Imperial Hotel Co. 2 Hem. & M. 528, 432 Machinists' Nat'l Bank v. Dean, 124 Mass. 81, - - - 72, 73, 580 Macintosh v. Fatinan, 38 How. Pr. 145, 503 Mack V. Spencer, 4 Wend. 411, I0o8 V. Woodruff, 87 III. 570, - 452, 821, 8-:9, 920 Mackay v. Blood good, 9 Johns. 285, - - - 336, 416, 419 Mackenna v, Parkes, 36 L, J. Ch. 306; 15 W. R. 217, - 805, 807 Mackey, Re, 2 A. «& E. 250, - 234 V. Auer, 8 Hun, 180. - 858 Mackinnon Pen Co. v. Foun- tain Ink Co. 48 N. Y. Su- perior Ct. 442, - - - 678 Macklin v. Crutcher, 6 Bush, 401, 205, 439, 440, 443, 446. 523, 527 V. Kerr, 28 Up. Can. C. P. 90, ... - 321, 349 Maclae v. Sutherland, 3 E. & B. 1, 340 Maclay v. Freeman, 48 Mo. 234, 1085 Macomber v. Wright, 35 Me. 156, .... 1125, 1127 Macy V. Combs, 15 Ind. 469, 23, 43, 1155 V. De Wolf, 3 Woodb. & M. 193, 70 Maddeford v. Austwick, 1 Sim. 80 (aff'd 2 Myl. & K. 279), - 309 M iddofk V. Astbury, 32 N. J. I Eq 181, - - - 247, 298, 1012 XX i TJad.] TABLE OF CASES. [Man. Matldox V. Stephenson, 60 Ga. 125, 985 Madge v. Puig, 12 Han, 15, 873, 874 Madgwick v. W imble, 6 Beav. 495. ... - 51, 249 Maffet V. Leuckel, 93 Pa. St. 468, .... 440, 450 Mafflyn v. Hathaway, 106 Mass. 414, - - - - 542 Magdalena Steam Nav. Co. v. Martin, 2 E. & E. 94, - - 131 Magee v. Dunbar. 10 La. 546, 398 Maghee v. Baker, 15 Ind. 254, 137 Magill V. Merrie, 5 B. Men. 168, - - 301, 597. 608, 012 Magovern v. Robertson, 40 Hun, 106, - - - - 23,47 Mahan v. Sherman, 7 Blackf. 378. ... - 880, 901 Maher v. Bull, 44 111. 97, 591, 761. 764, 780. 988, 994 Mahnke v. Neale, 23 W. Va. 57, 962 Maiden v. Webster, 30 Ind. 517, 200 Maier v. Canavan, 8 Daly, 272, 534 V. Horman, 4 Daly, 168, 676 Main v. Howlaud, Ricli. Eq. Cas. 352. - - - 954, 958 Maingay v. Lewis, Irish Rep. 5 Com. L. 229 (rev'g 3 id. 495), 533 Mainwaring v. Newman. 2 B. 6 P. 120, - - - 883, 900 Mair v. Bacon, 5 Grant's Ch. (Up. Can.) 338, - - 164, 165 V. Beck (Pa.), 2 All. Rep. 218, - - - 379,380,688 V. Glennie, 4 Jl. & S. 240, 59 Maitland v. Goldney, 2 East, 4-20, 1051 Major V. Hawkes, 12 111. 298, 681, 682 Malbec de Montjoc v. Sperrv, 95 U. S. 401, - 974. 976, 1075 Malcolinson v. Malcohnson, 1 Irish L. R. Ch. D. 228, 441, 453a ex Malley v. Atlantic Ins. Co. 51 Conn. 222, - - 256, 263, 271 Maltby v. Northwestern Va. R. R. Co. 16 Md. 422, 316, 317, 322, 373, 430 Manchester v. Mathewson, 3 R. I. 237, - - - - 942 Manchester Bank, Ex parte, 12 Ch. D. 917, - - - - 563 Manchester, etc. Bank, Ex parte, L. R. 18 Eq. 249, - 842 Manegold v. Dulau, 30 Wis. 541, .... 543, 1017 Manhattan Co. v. Ledyard, 1 Caines, 192. - - - - 1008 Manhattan Brass &Mfg. Co. v. Sears, 45 N. Y. 797 (6 Am. Rep. 177); rev. s. C. 1 Sweeney, 426, - - 17, 47 Manhattan Ins. Co. v. Web- ster, 59 Pa. St. 227, - 261, 271 Manley v. Taylor, 50 N. Y. Sup. Ct, 26, - - - - 818 Mann v. Flanagan, 9 Oregon, 425, . - . . 770, 777 V. Higgins, 7 Gill, 265, - 823^ V. Locke, 11 N. H. 246, - 701, 704 V. Taylor, 5 Heisk. 267, - 59 Manning v. Biickell, 2 Hayw. (N. Ca.) 13:J, - - 081, 722, 1006 V. Gasharie, 27 Ind. 399, - 76 V. Hays, 6 Md. 5, 358, 36 J, 372, 401 V. Smith, 16 Nev. 85, - 722 V. Williams, 2 Mich. 105, 749 Manny v. Frasier, 27 Mo. 419, 503 Manson, Town of, y. Ware, 63 Iowa, 345. - - - 101, 1154 Mant V. Mainwaring, 8 Taunt. 139; 2 Moore, 9, - - - 1167 Manuel v. Escolle, 65 Cal. 110, 735 Manuf. & Mech. Bk. v. Gore, 15 Mass. 75 (8 Am. Dec. 83), 479 Manufacturers', etc. Bank v. Winsiiip, 5 Pick. 11 (16 Am. Dec. 369), - 192, 361, 443, 445 xii Man.] TABLE OF CASES. [Mar. 551 441 10G7 393 133 428 Manville v. Parks, 7 Colorado, 128, - - - 322, 329, 374 Maquoketa, City of, v. Willey, 35 Iowa, 323, Mare v. Charles, 5 E. & B. 978, Maret v. Wood, 3 Cranch, C. C. 2, Marieuthal v. Am burgh, 2 Dis- ney, 586, - - - 1005, 1088 Marietta & Cin. R. R. v. Mowry, 28 Hun, 79, Marine Bank v. Ogden, 29 III. 248, Marine Co. v. Carver, 42 111. 67, Maritime Bank of Bangor v. Rand, 24 Conn. 9, - - 105G, 1065 Markham v. Buckingham, 21 Iowa, 494, - - - 1059, 10G4 V. Gehan, 43 Mich. 74, - 1103 V. Hazeu, 48 Ga. 570, 199, 347, 441, 510, 515 V. Jones, 7 B. Mon. 456, 91, 91 Marks v. Hill, 15 Gratt. 400, 565, 567 V. Say ward, 50 Cal. 57, - 184 V. Sigler, 3 Oh. St. 358, - 1100 V. Stein, 11 La. Ann. 509, 17, 32. 853 Marlatt v. Scantland, 19 Ark. 443, 715, 716 Marlett v. Jackman, 3 Allen, 287, - - 315, 340, 580, 610, 1073 Marlin v. Kirksey, 23 Ga. 164, 543, 550, 561 Marquand.v. N. Y. Mfg. Co. 17 Johns. 525, 577, 583, 585, 788, 812 V. Webb, 16 Johns. 89, - 1168 Marsh's Appeal, 69 Pa. St. 30 (8 Am. Rep. 206), 770, 777, 780 Marsh v. Bennett, 5 McLean, 117, - - 340, 504, 552. 563, 641 V. Davis, 33 Kan. 326, 283, 301 V, Dawes, 3 Biss. 351, - 43 V. Gold, 2 Pick. 285, 339, 350, 365 V. Keating, 1 Bing. N. C. 198; 2 CI. & Fin. 250 (affirms Keating v. Marsh, 1 Mont. & A. 583), .... 474 Marsh v. Mead, 57 Iowa, 535, - 1063 V. Northwestern Nat'l Ina. Co. 3 Biss. 351, ... 29 V. Russell, 66 N. Y. 283 (rev, 2 Lans. 340), - 27, 113 V. Thompson Nat'l Bk. 2 111. App. 217, - 349, 358, 867 Marsliall v. Colmau, 2 Jac. & W. 266, - - - - 199, 988 V. Johnson, 33 Ga. 500, - 300 v. McGregor, 59 Barb. 519, 1101 V. Watson, 25 Beav. 501, - 990 V. Winslow, 11 Me. 58 (25 Am. Dec. 264), - - - 875 Marsteller v. Weavei', 1 Gratt. 391, 949 Marston v. Dewberry, 21 La. Ann. 518, - - - 1101, 1113 V. Gould, 69 N. Y. 220, - 56 Marten v. Van Schaick, 4 Paige, 479, 660, 993, 994, 998, 1003. 1007 Martien v. Manheim, 80 Pa. St. 478, 107;; Martin v. American Express Co. 19 Wis. 3J6, - - - 10:.> V. Crump, 2 Salk. 444; 1 Ld. Ray. 340; Comb. 274, - 733 V. Davis, 21 Iowa, 535, - 1099 V. Fewell, 79 Mo. 401, - 5, 611 V. Good, 14 Md. 398, - 893 V. Kirk, 2 Humph. 529, 695, 700 V. Morris, 02 Wis. 418, 281, 294, 295, 297 V. Moulton, 8 N. H. 504, - 487 V. Searles, 28 Conn. 43, 618, 622 V. Smith, 25 W. Va. 579, 281, 290 V. Solomon, 5 Harr. (Del.) 344, 858 V. Stubbings, 29 111. App. 381, 881 V. Thraslier, 40 Vt. 460, 336 V. Walton, 1 McCord (S. Cn.), L. 16, - 617, 618, 621, 695 V. Young. 85 N. Ca. 156, 103!» CXXUl Mar.] TABLE OF CASES. [May. Martyn v. Gray, 14 C. B. N. S. 824, - - - - 90, 91, 99 V. Knowlrs, 8 T. R. 146, 274 Marvin v. Buclianan, 62 Barb. 4G8, 443 V. Dutcher, 26 Minn. 391, 1171 V. Wilber, 52 N. Y. 270, 315, 154 Warwick, Re, 2 Ware, 233, 832, §33, 834 Marx V. Bloom, 21 La. Ann. 6, 853 Marye v. Jones, 9 Cal. 335, - 1006 Mason v. Connell, 1 Whart. 381, 152, 156, 158, 161, 429,577 V. Denison, 11 Wend. 612 (affd. 15 id. 64), - - 149, 1087 V. Denison, 15 Wend. 04, 148, 149 V. Eldred, 6 Wall. 231 ; 7 Am. Law Reg. (N. S.) 402, 454, 535. 537, 1086 V. Hackett, 4 Nev. 420, - 43 V. Jouett, 2 Dana, 107, - 385 V. Parker, 16 Grant's Ch. (Up. Can.)2o0, - 187,291,295 V. Partridge, 66 N. Y. 633, 323 V. Potter, 26 Vt. 722, - 39, 43 V. Rice, 66 Iowa, 174, - 1121 V. Runisey, 1 Camp. 384, 441 V. Titlany, 45 111. 31)2, 529, 534, 707, 711, 730,749, 750 V. Tipton, 4 Cal, 276, 275, 276, 403 V. Wickersham, 4 Watts & S. 100, - - - 524, 527 Massey v. Pike, 20 Ark. 92, - 419 V. Tingle. 29 Mo. 437, - 94D Masters v. Freeman, 17 Oh. St. 323, ... - 863, 1029 M.asterson v. Goodlett, 46 Tex. 402. 723 Mathers v. Green, L. R. 1 Cli. App. 29, .... 69 Mathews V. FelcU. 25 Vt. 536, 115G Mathewson v. Clarke, 6 How. 122, - - - 164, 167, 927 Matlack v. James, 13 N. J. Eq. 120, - 184, 281, 291, 295, 440 ex Matlock V. Matlock, 5 Ind. 403, 281, 285, 290, 297 Matney v. The Gregg Bros. Co. 19 Mo. App. 107, - 722,724 Matteson v. Nathanson, 38 Mich. 377, - - - 694, 727 Matthews v. Colburn, 1 Strob. (S. Ca.) L. 258, - - - 534 V. Dare, 20 Md. 248, - 325 V. Hunter, 67 Mo. 293, - 294 V. McStea, 91 U. S. 7; 50 N. Y. 166. .... 582 V. Wallwyn, 4 Ves. 118, - 958, 964 Mauck V. Mauck, 54 III. 281, - 977 Maude, Ex parte, L. R. 2 Ch. App. 550, - - 837, 838, 843 , Ex parte, L. R. 6 Ch. App. 51, 813 V. Rodes, 4 Dana, 144, 780, 863 Maughlin v. Tyler, 47 Mtl. 545, 338 Mauldin v. Branch Bk. at Mo- bile, 2 Ala. 502, 349, 352, 362, 618, 621 Maulson v. Peck, 18 Up. Can. Q. B. 113, .... 23 Maund v. Allies, 5 Jur. 860, 958, 964 Mauney v. Coit. 80 N. Ca. 300 ^30 Am. Rep. 80), - - 095, 696 Maunsell v. Willett, 30 La. Ann. 322, - - - - 43, 59 Mawmau v. Giliett, in note to 2 Taunt. 324, - - - 1022 Maxey v. Averill, 2 B. Mon. 107, 749 V. Strong, 53 Miss. 280, - 694, 695, 700 Maxwell v. Allen, 78 Me. 33, - 250 V. Day, 4") ind. 509, 523, 524. 527 V. Gibbs, 32 Iowa, 32, 102, 109 V. Port Teuuant Co. 24 Beav. 495, .... 1012 V, Wheeling, 9 W. Va. 206, - - - 184, 189, 824 May, Re, 17 Baukr. Reg. 192, 842, 848 , Re, 19 Bankr. Reg. 101, - 838 xiv May.] TABLE OF CASES. [Mel, May V. Hewitt, 33 Ala. 161, - 441 Mayberg v. Steagall, 51 Tex. 351, 558 Mayberry v. Bainton, 2 Harr. (Del.) 24, ... 349, 1088 V. Willoughby, 5 Neb. 368 f25 Am. Rep. 491), - - 704 Maybiii v. Moorman, 21 S. Ca. 346, 54") Mayer v. Clark, 40 Ala. 259, - 559, 560, 824 V. Taylor, 69 Ala. 402, - 646 Mayliew's Case, 5 De G. M, & G. 837, .... 160, 187 May hew v. Heri'ick, 7 C. B. 229. .... 274, 1108 Mayuard v. Briggs, 26 Vt. 94, 1022, 1025 V. Fellows, 43 N. H. 255, 435. 453a, 1068 996 959 139 V. Railey, 2 Nev. 313, Mayo V. Bosson, 6 Oh. 525, V. Soyster, 30 Md. 402, ■ Mayou, Ex parte, 4 DeG. J. & S. 664 ; 11 Jur. N. S. 433 ; 12 L. T. N. S. 629, . . - 562 Mayrant v. Marston, 67 Ala. 453, 66 May son v. Beazley, 27 Miss. 106, - - - . 763, 794 Meacliam v. Batchelder, 3 Pin. (Wis.)281; 3Chand. 316, - 1068 Mead v. Bank of Fayetteville, 2 Bankr. Reg. [65] 173; 6 Blatch. 180; 7 Am. Law Reg. (N. S.) 818, ... 841 V. Byington, 10 Vt. 116, . 742 V. Raymond, 52 Mich. 14, 724 V. Shepard, 54 Barb. 474, 334 Meader v. Leslie, 2 Vt. 569, 723, 724 V. Malcolm, 78 Mo. 550, . 448 V. Scott, 4 Vt. 26, . . 723 Meador v. Hughes, 14 Bush (Ky.), 653, 27, C8, 507, 558, 822 Meaher v. Cox, 37 Ala. 201 (S. C. Ala. Sel. Cas. 15()). 26. 67, 158, 161, 233, !:76, 594 ex Meason v. Kaine, 63 Pa. St. 335, - , - - 301, 865, 1012 Mebane v. Spencer, 6 Ired. L. 423, 529 Mechanics' Bank v. Foster, 19 Abb. Pr. 47; 44 Barb. 87; 29 How. Pr. 408, . . - 352 V. Hildreth, 9 Cush. 356, 347, 401, 543, 561, 583 V. Livingston, 33 Barb. 458, .... 349, 613 Mechanics' Bank, Receivers of, V. Godwin, 5 N. J. Eq. 334, 184, 185, 295, 577, 585, 586, 927 Mechanics' & Farmers' Bk. v. Dakin, 24 Wend. 411, 107, 196, 439 Mechanics' & Traders' Ins. Co. V. Richardson, 33 La. Ann. 1308 (39 Am. Rep. 290), 362, 446 Mecutchen v. Kennady, 27 N. J. L. 230. - - - 358, 362 Med berry v. Soper, 17 Kan. 369, . . . 322, 457, 527 Medbury V. Watson, 6 Met. 246 (3'J Am. Dec. 726), - - 1034 Meddl V. Collier, 16 Oh. St 599, 4, 7 Med win v. Ditcham, 47 L. T. N. S. 250, .... 939 Meech v. Alien, 17 N. Y. 300, . 825, 847, 8J8 Meehan v. Valentine, 29 Fed. Rep. 276, . . . . 23, 47 Meeker v. Thompson, 43 Conn. 77, 1079 Meggett V. Finney. 4 Strobh. (S. Ca.)L. 220, - . . 704 Meily v. Wood, 71 Pa. St. 488 (10 Am. Rep, 719) (rev. 8 Phila. 517), - 173, 186, 289, 1102 Mellendy v. New Engl. Prot. Union, 36 Vt. 31, - - . 20:) Mellersh v. Keen, 27 Beav. 236, 574. 581, 597, 664, 769, 773, 794 V. Keen, 28 Beav. 453, . 661 Mellinger v. Parsons, 51 Iowa, 58, 193, 57G XV Mi^L.] TABLE OF CASES. [MiG l^Hltzer V. Doll, 91 N. Y. 3G5, - 1147 Melvin, Re, 17 Bankr. Reg. 543, - - - 500, 564, 1171 Menagh v. Wliitwell, 52 N. Y. 146 (11 Am. Rep. 683), 189, 553, 557, 562, 566, 567, 1111 Mendenhall, Re, 9 Bankr. Reg. 497. 5 V. Benbow, 84 N. Ca. 640, 290, 294, 719, 823 Jlercantile Bk. v. Cox, 88 Me. 500, 443 Mercein v. Andrus, 10 Wend. 461, . - - - 349, 368 Mercer v. Say re, Anth. (N. Y.) 119, 7C0 Merchant v. Belding, 49 How. Pr. 344, 349 Merchants' Bk. v. Rudolf, 5 Neb. 527, 394 Merchants' & Manuf. Bk. v. Stone, 38 Mich. 779, - - 4, 5 Merchants' Nat'l Bank v, Ray- mond, 27 Wis. 567, - 136, 848 Meredith's Case. See State F. Ins. Co. Meredith v. Ewing, 85 Ind. 410, - . - - - - 640 Meridian Nat'l B'k v. Brandt, 51 Ind. 56, - - - - 822 Merot V. Burnand, 4 Russ. 247; 2 Bli. N. S. 215, - - - 287 Meriick v. Brainard, 38 Barb. 574, ----- V. Gordon, 20 N. Y. 93, - 158 66 70 Merrill v. Bartlett, 6 Pick. 46, V. Green, 55 N. Y. 270, 503, 504, 630, 880 V. Guthrie, 1 Pin. (Wis.) 435, 543 V. Williams, 17 Kan. 287, 614 Merriman v. Ward, 1 J. & H. 371, 489 Merritt v. Day, 33 N. J. L. 32 (20 Am. R.'p. 362), - - 705 V. Dickey, 38 Mich. 41, 29:?, 2d4, COO, 715 Merritt v. Pollys, 10 B. Mon. 355, - - 607. 604, 703, 706 V. Walsh, 32 N. Y. 085, 089, 70 Merriwether v. Hardeman, 51 Tex. 436, 785, 814. 852, 801, 961 Mershon v. Hobensack, 22 N. J. L. 372, - 1050, 1154, 1156 Merwin v. Playford, 3 Robt. 702. 43 Meserve v. Andrews, 104 Mass. 360, 43 V. Andrews, 1€6 Mass. 419, - - 230, 231, 767, 815 Messer v. Messer, 59 N. H. 375, 281, 291 Messner v. Lewis, 20 Tex. 221, 193, 195 Metcalf V. Bruin, 12 East, 400 (aff. Metcalfe v. Bruin, 2 Camp. 422), - - - - 651 V. Fonts, 27 111. 110, - 887 V. Officer, 1 McCrary, 325; 2 Fed. Rep. 040, - 150, 152, 1155, 1150 V. Redmon, 43 111. 264, 78, 83 Metcalfe v. Rycroft, 6 M. & S. 75, .... 383, lOlfl Mi^zner V. Baldwin, 11 Minn. 150, 78 Mexican Mill v. Yellow Jacket Mine, 4 Nev. 40, - - 1018,1065 Mcyberg v. Steagall, 51 Tex. 351, 1109 Meyer v. Atkins, 29 La. Ann. 586, . - - - 523, 694 V. Krohn, 114 111. 574, 164, 168, 616 V. Schacher, 33 L. T. N. S. 37, V. Sharpe, 5 Taunt. 74, 78 258 40 110 Meyers v. Field, 37 Mo. 434, • Meymot'sCase, 1 Atk. 193, Meymottv. Meymott, 31 Beav. 445, 786 Micliael v. Workman, 5 W. V,t. 391, - - 193. 19\ 341, 370 cxxvi Mic] TABLE OF CASES, 383 [Mri„ Michell, Ex parte, 14 Ves. 597, Michigan Air Line R'y v. Mellen, 4-t Mich. 3-31, - 332, 429 Micliigau Ins. Bank v. Eldred, 9 Wall. 544, - - - - 322 Mick V. Howard, 1 Ind 250, 194, 401 Mickle V. Peet, 43 Conn. G5, 849, 851 Middled itch v. Sharland, 5 Ves. 87, 904 Mifflin V. Smith, 17 S. & R. 165, - 202, 203, 216, 443, 445 Mil burn v. Codd, 7 B. & C. 419, 854 Miles' Claim, L. R. 9 Ch. 635, - 439 Miles V. Ogden, 54 Wis. 573, - 489, 495 V. Pennock, 50 N. H. 564, 847 V. Wann, 27 Minn. 50, 54, 1004 789 993 772 882 Mil ford V. Milford, McCl. & Y. 150, 957 Millv. Sheibly, 68 Ga. 556, - 33 Millar v. Craig, 6 Beav. 433, - 782, 9G4 Millaudon v. Sylvestro, 8 La. 263, Mill bank v. Revett, 2 Mer. 405, MUler's Appeal (Pa.), 7 Atl. Rep. 190, - - - - Miller v. Andres, 18 Ga. 366, - V. Bartlet, 15 S. & R. 137, 16, 43 V. Brigham, 50 Cal. 615, 158, 276, 577, 585, 756, 927 V. Cliandler, 29 La. Ann. 88, 43 V. Clarke, 37 Iowa, 325, - 825 V. Consolidation Bank, 48 Pa. St. 514, - - - 359, 373 V. Creditors, 37 La. Ann. 604, 106 V. Dow, 17 Vt. 235, - - 428 V. Estill, 5 Oh. St. 508, - 551, 560, 832, 833 V. Florer, 15 Oh. St. 148, 687, 1082 V. Harris, 9 Baxter, 101, - 944 V. Hiaes, 15 Ga. 197, 329, 344, 361, 362, 374 I czxvii Miller v. Hoffman, 20 Mo. App. 199, 780 V. House, 67 Iowa, 737, - 424 V. Howard, 26 N. J. Eq. 166, ... - 982, 985 V. Hughes, 1 A. K. Mar. (Ky.) 181, - - 44, 323. 33.5 V. Jones, 39 111. 54, - 715, 739, 765, 923, 101)1, 1003 V. Knauff, 2 Pa. L. J. Rep. 11, .... 903 V. Lord, 11 Pick. 11, 785, 78'.), 939 V. McClauachan, 1 Yeates (Penn.), 144, .... 1168 V. Manice, 6 Hill, 114, 348, 370, 445, 4S0 V. Marx, 65 Tex. 131, 136, 137, 139 V. Miller, 8 W. Va. 542^ - 526, 694 V. Neimerick, 19 111. 172, 710 V. Northern Bank, 34 Miss. 413, , - - - - 456, 1051 V. Perrine, 1 Hun, 620, - 389 V. Price, 20 Wis. 1 17, 33, 545, 790, 1039 V. Proctor, 20 Oh. St. 442. 184, 187, 291, 292, 295 V. Bay Circuit Judge, 41 Mich. 326, .... — V. Richardson, 2 Ired. L. 250, — V. Sims, 2 Hill (S. Ca.), L. 479, — V. Sullivan, 1 Cint, Su- perior Ct. Rep. 271, — V. Talcott, 54 N. Y. 144 1119 • 347 145 258 (affg. 46Barb. 171), - - 880 Miller's River Nat'l Bank v. Jefferson, 138 Mass. Ill, 843, 884 Millerd v. Thorn, 50 N. Y. 403, 534. loer Millett V. Holt, 60 Me. 169, - 63 Milliken v. Loring, 37 Me. 408, 687 V. Milliken, 8 Irish Eq. 16, 249 Mills, Ex parte, 8 Ch. D. 669, 50 Mil.] TABLE OF CASES. [Moi. Mills, Ro, 11 Baiikr. Reg. 74, - 82S V. Barber, 4 Day, 4:28, 401, 408, 406, 437 V. Bunce, 29 Mich. 364, - 447, 1073 V. Dickson, G Rich. (S. Ca.) L. 4S7, - - - 877, 379 V. Fellows, 80 La, Ann. (Part II), 824, - - 7G2, 770 V. Fovvkes, 5 Binj]:. N. C. 455, — V, Hanson, 8 Ves. 68, — V. Kerr, 83 Up. Can. C. P. 63. 489 971 450 Milmine v. Bass, 29 Fed. Rep. 632, 341 Milne v. Bartlett, 3 Jur. 353, 581 Miluer v. Cooper, 05 Iowa, 180, 729, 731, 999 Milton V. Mosher, 7 Met. 244, 406, 407, 418 Minchiu, Ex parte, 2 Gl. & J. 287, 835 Miner v. Downer, 19 Vt. 14, 196, 205 V, Downer, 20 Vt. 461, 195, 205, 11 G5 V. Lorman. 56 Mich. 212, 849 Minnet v, Whitney, 5 Bro. P. C. 489, 325 Minock v. Shortridge, 21 Mich. 304, 145 Minor v. Gaw, 11 Sm, & Mar. (Miss) 322, - - 410,1038,1040 Miser v. Trovlngcr, 7 Oh. St. 281, 287, .... 398 Mitchel V. Read, 61 N. Y. 123 (19 Am. Rep. 252), (reversing 61 Barb. 310); s, C. 84 N. Y. 55G (affirmiug 19 Hun, 518), V. Reynolds, 1 Sm. Lead. Cas. 503, - - - . Mitchell V. D'Armoud, CO La. Ann. Part I. 396, - V. Colman, 2 Jac. & Walk. 266, V, Dall, 2 Ear. & Gill, 159, 152, 153, 1022 305 676 453 988 Mitchell V. Dobson, 7 Ircd. (N. Ca.) Eq. 34, - - - 530, 881 V. Gieenwald, 43 Miss. 167, - - . . 1085, 1103 V. O'Nealo, 4 Nev. 504, - 3, 13 V. Read, 19 Hun. 418 (afTd. in 84 N. Y. 556), - - 305, 603 V. Read, 84 N. Y. 556 (alT'g 19 Hun, 418), - 3a5, 761 V. Rich, 1 Ala. 228, - 380, 1091 V. Sell man, 5 Md. 376, 410, 411 V. Wells, 54 Mich. 127, 875, 881 V. Williams, 4 Hill, 13, - 389 Mitchum v. Bank of Ky. 9 Dana, 106, - - - 612, 618 Mittnight v. Smith, 17 N. J. Eq. 259. - - 824, 929, 1109 Mix V. Muzzy, 28 Conn. 186, 319, 357 V. Shattuck, 50 Vt. 421 (28 Am. Rep. 511), - 453, 704, 705 Moale V. Hollius. 11 Gill & J. 11, - - - 156, 157, 443, 535 Mobley v. Lonbat, 7 How. (Miss.) 318, .... 1103 Moddewell v. Keevcr, 8 Watts &S. 63, - - - - 583, 1169 JMode V. Penland, 93 N. Ca. 292, 471 Modisett v, Lindley, 2 Blackf. 119, .... 416, 419 M(;fl"at V. Farquharson, 2 Bro. C. C. 333, - - - - 269 V. McKissick, 8 Baxter, 517, - - - 195, 199, 203 Moflatt V. Thomson, 5 Rich. (S. Ca.) Eq. 155 (57 Am. Dec. 737), - 736, 738, 821, 917, 920 Mogford V. Courteuay, 45 L. T. 303 ; 29 W. R. 804, - - 666 Mohawk Nat. Bank v. Van Slyck, 29 Hun, 188, - 26, 443 Mohawk & Hudson R, R. v. Niles, 3 Hill (N. Y.), 162, 43, 66 Moies V. O'Neill, 23 N. J. Eq. 207, ... - 593, 999 Moist's Adra'rs' Appeal, 74 Pa. St. 106, ... - 384, 680 CXXVlll MOL.] TABLE OF CASES. [Moo. Molea V. Orr, 44 Ark. 486, - 1024, 10:29 Moley V. Brine, 120 Mass. 324, 144, 181, 815 Moline Wagon Co. v. Rum- mell, 2 McCrary, 807 ; 12 Fed. Rep. 658 ; 14 id. 155 (reversed by Huiskanip v. Molino Wagon Co. 121 U. S. 210), 105, 547, 559, 5C0, 5G1, 607 Moline Water Power & Mfg. Co. V. Webster, 2G 111. 233, 825, 828 Moll wo, March & Co. v. The Court of Wards, L. R. 4 P. C. 419, .... 23, 47 Monroe v. Conner, 15 Me. 178 (32 Am. Dec. 148), - - 825 V. Greeuhoe, 54 Mich, 9, 29 V. Hamilton, 47 Ala. 217, 919 V. Hamilton, 60 Ala. 226, 577, 585, 586 Montague v, Hayes, 10 Gray, 609, ... - 302, 781 V. Reakert, 6 Bush, 393, - 694 V. Weil, 30 La. Ann. 50, - 1091 Montgomery, Re, 3 Bankr. Reg. 429, - - - - 825 V. Boone, 2 B. Mon. 244, 213, 414 V. Elliott, 6 Ala. 701, - 72 V. Montgomery, Rich. Eq. Cas. (S. Ca.) 64, - - 949, 950 V. Sprankle, 31 Ind. 113, 139 Montjoys v. Holden, Litt. Sel. Cas. 447 (13 Am. Dec. 331), 275, 276, 403, Montefiori v. Lloyd, 15 C. B. N. S. 203. - - - - Montross v. Mabie, 30 Fed. Rep. 234, - . - - Montz V. Morris, 89 Pa. St. 392, Moody V. Downs, 63 N. H. 50, V. King, 3 B. & C. 558, 532, 846 V. Payne, 2 Johns. Ch. 548, ... - 1109 Moody V. Rathburn, 7 Minn. 89, 257, 286, 583, 585 V. Thomas, 1 Disney, 294, 664 655 265 1080 733 Mooe V. Story, 8 Dana, 226, 788, 978, 983,987 Moor V. Boyd. 15 Up. Can. C. P. 513 (doubted in s. C. 23 Up. Can. Q. B. 459), - 416, 419 Moore's Appeal, 34 Pa. St. 411, 749 Moore, Ex parte, 2 Gl. & J. 166, ... - 760,845 V. Ay res, 5 Sm. «fe Mar. 310, 194 V. Bare, 11 Iowa, 198, - 181 V. Brink, 4 Hun, 403; 6 N. Y. Supreme Ct. 22, - 72, 750 V. Burns, 60 Ala. 2G9, - 1018 V. Curry, 106 Mass. 409, 59, 70 V. Davis, 11 Ch. D. 261, 17, 26, 38 V. Gano, 13 Oh. 300, 395, 901 V. Huntington, 7 Hun, 425, 43, 257 V. Huntington, 17 Wall. 417, 931 V. Knott, 12 Oregon, 260, 435, 544, 586 V. Knott, 14 Oregon, 35, - 518 V. Lackman, 53 Mo. 323, - 533, 526, 537, 694 V. Otis, 20 Mo. 153, - - 1119 V. Pennell, 53 Me. 163, - 1105, 1108 V, Riddell, 11 Grant's Ch. (Up. Can.) 69, ... 490 V. Sample, 3 Ala. 319, - 1105, 1109 V. Smith, 19 Ala. 774, 43, 61 V. Stevens, 60 Miss. 809, - 331, 418, 438, 451 V. Trieber, 31 Ark. 113, - 215 V. Walton, 9 Bankr. Reg. 402, - - . - 23, 47, 88 V. Wheeler, 10 W. Va. 35, 810, 812, 957, 971 Moorehead v. Adams (Neb.), 26 N. W. Rep. 242, - - 563 CXXIS Moo] TABLE OF CASES. [MoR. Moorehead v. Gilmore, 77 Pa. St. 118 (18 Am. Rop. 435), - 341, 852, 355, 358, 372 Mooreraan v. Graffenread, 2 Mill(.S. Ca.), 195, - - - 11G4 Morau v. Le Blanc, 6 La. Ann. 113, 8()6 V. Palmer, 13 Mich. 367, - 283, 292, 299 V. Prather, 23 Wall. 492, 365 Morans v. Armstrong, Arms. M. & O. Irish N. P. Rep. 25, 315 Moraviav.Levy, 2T. R. 483, n., 858 More V. Bonnet, 40 Cal. 251, - 676 V. Rand, 60 N. Y. 208, 595, 897 Moreau v. SafTarans, 3 Sneed, 595, - . - - 293, 296 Morehead v. Wriston, 73 N. Ca. 398, - - - 503, 510, 511 Moreton v. Hardern, 4 B. & C. 223; 6 Dow. & Ry. 275, Morey v. Grant, 48 Mich. 326, Morgan v. Adams, 37 Vt. 233, V. Marquis, 9 Exch. 145, 402 995, 1005 964, 967 583, 610, 755 -V. Morgan, 68 Ala. 80, - 741 V. Nunes, 54 Miss. 308, - 874 V. Olvey, 53 Itid. 6, 281,283,285 V. Pierce, 59 Miss. 210, - 374 V. Richardson, 16 Mo. 409 (57 Am. Dec. 235), - - 377, 380 V. Schuyler, 79 N. Y. 490 (35 Am. Rep. 543). - 008, 671 V. Scott, Minor (Ala.), 81 (12 Am. Dec. 35), - - - 422 V. Skidmore, 55 Barb. 263, 471 V. Stearns, 41 Vt. 398, - 29 V. Tar bell, 28 Vt. 498, 499, 501 Morganstern v. Thrift, 66 Cal. 577. 274 Moriarty v. Bailey, 46 Conn. .592, .... 1047, 1048 Morin v. Martin, 25 Mo. 360, - 852 Morisou V. Moat, 9 Hare, 241, 258, 261, 669 Moritz V. Peebles, 4 E. D. Snuth, 135, - - - 793, 889 Morley, Ex. parte, L. R. 8 Ch. App. 1026, - - - 253, 563 V. Newman, 5 D. «& R. 317, 231 Morrell v. Trenton Mut. L. & F. Ins. Co. 10 Cush. 282 (57 Am. Dec. 92), 457 179 88 44, - — V. — V. V. V. 61, V. V 428, - V. Morrill v. Sanford, 49 Me. 565, V. Spurr, 143 Mass. 257, - Morris v. Allen, 14 N. J. Eq. - 763, 785 Barrett, 3 Y. & J. 384, 205 Col man, 18 Ves. 437, - 988 Harrison, Colles. 157, - 954 Hillery, 7 How. (Miss.) 900, 902 Husson, 4 Sandf. 93, - 400 Jones, 4 Harr. (Del.) . 420, 421 Litchfield, 14 111. App. 64 V. Marqueze, 74 Ga. 86, - 347, 507. 510, 514, 515 V. Morris, 4 Gratt. 293, - 569, 736, 825, 841, 845 V. Moss, 25 L. J. C!i. 194, 659 V. Peckham, 51 Conn. 128, 208, 572, 1011, 1012 Morris Run Coal Co. v. Barclay Coal Co. 68 Pa. St. 173. Morrissey v. Schindler, 18 Neb. 672, Morrison's Appeal, 93 Pa. St. 83, 112 1094 326, 507 Morrison v. Blodgett, 8 N. H. 238 (29 Am. Dec. G53), - 510, 515, 1105, 1100, nil, 1113 V. Cole, 30 Mich. 102, - 41, 43 V. Kramer, 58 Ind. 38, 761, 780 V. Meudenhall, 18- Minn. 232, ... - 283, 292 V. Perry, 11 Hun, 33, 534, 607, 694 V. Smith, 81 111. 221, V. Stockwf'll, 9 Dana, 172, V. Winn , Hardin (Ky.), 480, 763 882 722 cxxx MOR.] TABLE OF CASES. [MUN. Morrow v. Riley, 15 Ala. 710, 849, 8G0 Morse, Re, 13 Bankr. Reg. 376, 825 V. Bellows, 7 N. H. 549 (28 Am. Dec. 372), 381, 415, G81, 687, 690, 1035 V. Carpenter, 19 Vt. 613, - 296 V. Chase, 4 Watts, 456, - 1022 V. Gleasou, 64 N. Y. 204 (aff. 2 Huu, 31 ; 4 Thomp. & C. 274), - - - - 582, 570 V. Green, 13 N. H. 32 (38 Am. Dec. 471), - - - 543 V. Hagenah (Wis.), 32 N. W. Rep. 634, - - 321, 370 V. Hall, 109 Mass. 409, 198, 071 V. Hutcliins, 102 Mass. 439, 897 V. Richmond, 97 HI. 303 (affg. 6 111. App. 160), 26, 204, 299, 406, 438, 441, 444, 445 V. Richmond, 6 111. App. 166 (affd. 97 111. 303), - 299, 406 Mortley v. Flanagan, 38 Oh. St. 401, - - - - 560, 1133 Morton v. Ostrom, 33 Barb. 256, .... 261, 263 Moseley v. Ames, 5 Allen, 163, 341 Mosely v. Garrett, 1 J. J. Mar. (Ky.) 212, - ... 183 Moses V. Bagley, 55 Ga. 283, - 709 V. Moses, 50 Ga. 9, - 743, 745 Mosgrove v. Golden, 101 Pa. St. 605, 1024 Moss V. Jerome, 10 Bosw. 220, 57 V. McCall, 75 111. 190, - 786 V. Riddle, 5 Cranch, 351, - 375 Mossop V. Mason, 18 Grant's Ch. (Up. Can.) 453 (affg. 16 id. 303, and 17 id. 360), 664, 669 Mosteller v, Bost, 7 Ired. (N. Ca)Eq. 39, - - - 823, 829 Motley V. Jones, 3 Ired. Eq. 144, 44 Moulston V. Wire, 1 Dow. & L. 527, 1085 Mount V. Chapman, 9 Cal. 394, 858 Mt. Pleasant Branch of State Bank v. McLeran, 26 Iowa, 206, 397 Mountstephen v. Brooke, 1 B. & Aid. 214, - ... 724 Mourain v. Delamre, 4 La. Ann. 78, - - 787,789,955 Mousseau v. Thebens, 19 La. Ann. 516, - - - 78, 79, 507 Mowatt V. Howland, 3 Day, 353, 618 Mowbray v. Lawrence, 13 Abb. Pr. 317; 22 How. Pr. 107, - 1109 Moyuahan v, Hanaford, 43 Mich. 329, - - - 349. 358 Mudd V. Bast, 34 Mo. 465, 570, 1018 Mudge V. Parker, 139 Mass. 153, 605 Mueller v. Wiebracht, 47 Mo. 468, 510 Muir V. Leitch, 7 Barb. 341, - 825 Mulhall V. Cheatham 1 Mo. App. 476, - - 17, 28, 849 Mulholland v. Rapp, 50 Mo. 42, 922 Mullany v. Keenan, 10 Iowa, 224, 869 MuUendore v. Scott, 45 Ind. 113, .... G36, 879 Mumford v, MuiTay, 6 Johns. Ch. 1, 766 V. Nicoll, 4 Johns. Ch. 522 (rev. in part in 20 Johns. 611), — V. Nicoll, 20 Johns. 611 917 (reversing s. C. 4 Johns. Ch. 522), ... 70, 821, 917 Munn, In re, 3 Biss. 442, 107, 156, 196, 443 Munroe v. Cooper, 5 Pick. 412, 362 Munson v. Hall, 10 Grant's Ch. (Up. Can.) 61, ... 47 V. Sears, 12 Iowa, 162, - 63 V. Wickwire, 21 Conn. 513, - - - 330, 331, 701 Munster v. Cox, 11 Q. B. D. 435 (affd. 10 App. Cas. 680), - 1060 V. Cox, L. R. 10 App. Cas. 680 (aff. 11 Q. B. D. 435), 1060. 1063, 1088 ox XXI MUB.] TABLE OF CASES. [Nal. Murchison v. Warren, 50 Tex. 27, 542 Murdock v. Martin, 20 Miss. (12Sm. &M.)GG1, - - 8G1 V. Melilhop, 26 Iowa, 213, 629, C30 Murpliy V. Abrams, 50 Ala. 293, .... 294, 300 ■ V. Camden, 18 Mo. IIG, 352 V. Crafts, 13 La. Ann. 519, 7G1, 7G2 V. Whitlow, 1 Ariz. 340, 1154 V, Yeonaans, 29 Up. Can. C. P. 421, - - - 086,687 Murray v. Bogart, 14 Johns. 318 (7 Am. Dec. 466), - 1G4, 1G5, 852, 858 V. Elston, 24 N. J. Eq. 310 (affd. id. 589), - - - 958 V. Jolmson, 1 Head (Tenn. ), 353, 780 V. Mumford, 6 Cow. 441 (rev. Anthon's N. P. 294), G85, 713, 715, 722 V. Murray, 5 Johns. Cli. 60, - - - - 753, 754, 1026 V. Pinkett, 12 CI. & Fin. 764 (s. C. as Pinkett v. Wright, 2 Hare, 120), - - 187 V. Somerville, 2 Camp. 99, 439 V. Stevens, Rich. Eq. Cas. (S. Ca.) 205, - - - - 61 Murrell v. Murrell, 33 La. Ann. 1233, ... 13, 384, 792 Murrott v. Murphy, 11 Bankr. Keg. 131, .... 297 Murrill v. Neill, 8 How. (U. S.) 414, - - 569, 825, 830, 832 Murtagh v. Costello, 7 Irish L. R. 428, 297 Muse V. Donelson, 2 Humph. (Tenn.) IGG (36 Am. Dec. 309), 704 Musier v. Trumpbour, 5 Wend, 274, ... 61, 67, 8G5 Musselman's Appeal, 63 Pa. St. 81, .... (3.09, 661 Musser v. Brink, 68 Mo. 242; 80 id. 350, - - - 29, 37, 61 Mussey v. Holt, 4 Foster (24 N. H.), 248 (55 Am. Dec. 234), 299, 401 Musson V. May, 3 Ves. & B. 194, 637 Mut. Ben. L. Ins. Co. v. Hill- yard, 87 N. J. L. 444, - - 583 Mutual L. Ins. Co. v. Sturges, 33 N. J. Eq. 328 (rev. 32 id. 678), 718 Mutual Nat'l Bank v. Richard- son, 33 La. Ann. 1312, - 363 Mut. Sav. Institution V. Enslin, 37 Mo. 453, - - 690, 713, 731 Muzzy v.,Whitney, 10 .Joiins. 22G, - - - - 41. 43, 47 Myatts V. Bell, 41 Ala. 223, 349, 526 095, 704 My cock V. Beatson, 13 Ch. D. 384, - - - 595. 805, 808 Myers v. Bennett, 3 Lea (Tenn.), 184, - - 810, 978 V. Edge, 7 T. R. 254, - 649 V. Gilbert, 18 Ala. 467, - 462 V. Huggins, 1 Strob. L. 473, C95 V. Kalamazoo Buggy Co. 54 Mich. 215, - - 669, 674 V. Moulton (Cal.), 12 Pac. Rep. 505, .... 404 V. Smith, 15 Iowa, 181, - 635 V. Smith, 29 Oh. St. 120, 1103, 1113 V. Standart, 11 Oh. St. 29, 696, 700, 701 V. Winn, 16 111. 135, 543, 805 Mygatt V. McCIure, 1 Head (Tenn.), 495, - - - 339, 403 Mynderse v. Snook, 53 Barb. 234; 1 Lans. 488, - 1017, 1021 Myrick v. Dame, 9 Cush. 248, 853, 1035, 1037 N. Naglee v. Minturn, 8 Cal. 540, 935 Nail V. Mclntyre, 31 Ala. 532, 1040 CX.\X11 Nal.] Nalle V. Gates, 20 Tex. 315, • Nance v. Pope, 1 Stew. (Ala.) 230 (id. 3o4), - - - - 527 Nanson v. Gordon, 1 App, Gas, 195 (affJ. 10 Ch. App. IGO), SSP), 844 Napier v. Catron, 2 Humph. 534, - - - - 293, 416 V. McLcod, 9 Wend, 130, 181, G84 Napoleon v. State, 3 Tex. App. 532, ... - 83, 277 Nash V. Brophy, 13 Met. 476, 1125 Nashville & Chat. R. R. v. Spraybeny, 9 Heisk. 853, - 63 Nasou, Ex parte, 70 Me. 363, 453, 841 National Bank v. Bank of Com- merce. 94 111. 371, 825, 841, 8S0 TABLE OF CASES. 700 [New. V. Gushing, 53 Vt. 321, 843 V. Ingraham, 58 Barb. 290, 34S, 443 V. Mapes, 85 111. 67, - - 543 V. Norton, 1 Hill, 573, 607, 613, 625, 694, 695 V. Sprague, 20 N, J. Eq. 13 (reversed in part, 31 id. 530), 138, 281, 535, 585, 566, 568, 1130 V, Thomas, 47 N. Y. 15, 439, 446 National Bk. of Bait. v. Sackett, 2 Daly, 395, - - 340 Natl. Bk. of Commonwealth V. Law, 127 Mass. 72, - 349, 358 V. Temple, 39 How, Pr. 433, - - - - 468, 1130 Natl. Bk. of Newburg v. Big- ler, 83 N. Y. 51 (aff. 18 Hun, 400), . - - - 603, 655 National Security Bank v. McDonald. 127 Mass. 83, 358, 362 Nat'l Union Bk. v. Landon, 66 Barb. 189 (alld. iu part, 45 N, Y. 410), - - - 323, 361 National Bk. of Watertown v. Landon, 45 N. Y. 410, - 4, 5, 7 National Ins. Go, v. Bowman, 60 JIo. 253, - - - - 1068 Nat'l Shoe & Leather Bk. v. Hcrz, 89 N. Y. 639, - - 616 Natusch V. Irving, 2 Cooper's Ch. temp. Cottenham, 35S, 431. 435, 938 Nave V. Sturges, 5 Mo. App. 557, - - - 55, 598. 603 Naylor v. Sidener, 100 Ind. 179, 991, 998 Neale v. Turton, 4 Biug. 149, 8S0, 883 Near v. Lowe, 49 Mich. 483, - 933, 950 Nebraska R. R. Co. v. Colt, 8 Neb. 251, - - - - 457 Neel V. Keel, 4 T. B. Mon. 162, 899 Neely v. Morris, 2 Head, 505, 1067 Negus, Ex parte, 7 Wend. 499, 638 Nehrboss v. Bliss, 88 N. Y. 6U0, 714, 732, 74a Neil V. Greenleaf, 26 Oh. St. 567, - - - 850, 893, 956 Neilson v. Mossend Iron Co. L. R. 11 App. Cas. 293, - 218 Nelson v. Hayner, 66 111, 487, 744 V. Healey, 63 Ind. 194, - 453 V. Plill, 5 How. 137, - - 749 V. Lloyd, 9 Watts, 22, - 1095, 1151 V. Neely, 63 Ind. 194, - 200 V. Tenuey, 36 Hun, 327, 726, 733 V. Wheelock, 46 111. 25, - 406 Nerot V. Bernand, 4 Russ. 247 ; 2 Bli. N. S. 215, - - - 794 Neudecker v. Kohlberg, 3 Daly, 407, - - 810, 813, 813 Nevius V. Townsend, 6 Conn. 5, 882, 884 New V. Wright, 44 Miss. 203, 988. 993 Newberger v. Fields, 23 Mo. App. 631, - - - 29, 37, 257 Newbigging v. Adam, 34 Ch. D. 583, - - - 595, 805, 897 CXXXUl New.] TABLE OF CASES. [NIC. Newbrau v. Snider, 1 W. Va. 153, - - 35, 258, 259, 8J9 Newcomet v. Brotzman, 69 Pa. St. 185, - - - - 62:i Newell V. Desmond, 63 Cal. 243, 517 V. Humphrey, 37 Vt. 265, 766, 773, 795, 923 V. Smith, 23 Ga. 170, 328, 3-14 V. Towusend, 6 Sim, 419, 720 Newen v. Wetten, 31 Beav. 315, - - . . 957,907 Newhall v. Buckingham, 14 111. 405, - 340, 928, 1105, 1100, 1111 New Haven Co. Bk. v. Mitcli- ell, 15 Conn. 206, 389, 653, C98, 70S Newland v. Champion, I Ves. Sr. 105, 925 V. Tate, 3 lied. Eq. (N. Ca.) 221), - 161, 166, 168, 770 Newley v. Oregon Co. 1 Dead)^, 609, 674 Newling v. Dobell, 38 L. J. Ch. Ill; 19L. T. 408, - - - 677 Newlou V. Heaton, 42 Iowa, 593, - - 173, 1059, 1091, 1092 Newman v. Bagley, 16 Pick. 570, 569 V. Bean, 21 N. H. 93, 43, 1106 V. MuComas, 43 Md. 10, - 703 V. Morris, 52 Miss. 4U2, 136, 137 V. Kichardson, 4 Woods, C. C. 81 ; 9 Fed. Rep. 808, - — V. Springfield F. & M. Ins. 347 Co. 17 Minn. 123, - - - 333 Newmarch v. Clay, 14 East, 239, . - - . 497, 608 New Maiket Bank v. Locke, 89Ind. 428, - - - - 825 Newsome v. Coles, 3 Camp. 617, - - - 97, 100, 009 Newsoni v. McLendon, Ga. 27, 848 Newton v. Doran, 3 Grant's Ch. (Up. Can.) 353, 282, 301, 591 V. Doran, 1 Grant's Ch. (Up. Can.) 590, - - - 591 N. Y. & Ala. Contracting Co. V, Meyer, 51 Ala. 325, - - 899 V. Selma Sav. Bk. 51 Ala. 305 (23 Am. Rep. 552), - - 400 N. Y. Dry Dock Co. v. Tread- well, 19 Wend. 525, - - 1053 N. Y. Firemen's Ins. Co. v. Bennett, 5 Conn. 571 (13 Am. Dec. 109), - 323, 319, 354, 363 New York Iron Mine v. Ne- gaunee, 39 Mich. 644, - - 4 New York & Sliaron Canal Co. V. Fulton Bank, 7 Wend. 413, ' 414, " 183 Niagara Co. Nat'l Bk. v. Lord, 33 Hun. 557, - - - - 183 Nichels v. Mooring, 10 Fla. 760, 681, 958 Nichol V. Stewart, 80 Ark. 613, 226, 230, 254, 276, '374, 766, 780, 821, 824, 917, 927 Nicholaus v. Thielges, 50 Wis. 491, . - - . 43, 1150 Nicliolls V. Diamond, 9 Exch. 154, - - - . 349, 441 V. Dowding, 1 Stark. 81, - 331 Nichols V. Anguera, 3 Miles (Pa.), 290, - ... 535 V. Cheairs, 4 Sneed, 229, 322, 323, 523, 524, 525, 537 V. English, 3 Brewster (Pa.), 260, - - - 446, 448 V. Hughes, 2 Bail. (S. Ca.) L. 109, 318 V. James, 130 Mass. 5S9, - 109 V. Prince, 8 Allen, 404, - 635, 638, 643 V. Sober, 38 Mich. 678, 353, 354 V. White, 85 N. Y. 531, 700, 1151 Nicholson v. Janeway, 16 N. J. Eq. 285, - - - 309, 958 V. Moog, 65 Ala. 471, 96, 613, 618 V. Ricketts, 3 E. & E. 534, 154, 489 Nicklaus v. Dahn, 63 Ind. 87, 723, 724, 1170 ex XXIV NIC] Nicklaus v. Roach, 3 Ind. 78, NicoU V. Muuiford, 4 Johns. Ch. 532 ; 20 Johns. Gil, - 823 Niday v. Harvey, 9 GratL 454, 4'20, 422 Niehoff V. Dudley, 40 111. 406, 23, 47. 48 Nightingale V. Chaffee, 11 R. I. 6::9 (23 Am. Rep. 531), - - 527 V. Scaunell, G Cal. 506, - 1027, 1162 Niles V. Williams, 24 Couu. 27d, ..,.-. 007 Niiiis, Re, 16 Blatchf. 439 (re- versing s. c. 18 Baukr. Reg. 91, 10 Ben. 53), - - - 829 V. Bigelow, 44 N. H. 876, 858 V. Nims, 20 Fla. 204, - 966 V. Nims (Fla. 1887', 1 South. Rep. 527, 812, 917. 936, 968 Nisbet V. Nash, 52 Cal. 540, 163, 910 V. Patton, 4 Rawie, 120 (26 Am. Dec. 122), - 3S9, 474 Niven v. Spickerman, 12 Johns. 401, - 72, 849, 1024, 1028 Nixon V. Downey, 42 Iowa. 78, 1087 V. Nash, 12 Oh. St. 647, - 584, 928, 1101, 1105, 1109, 1111 Noakes v. Barlow, 26 L. T. N. S. 36, Noble V. McCIintock, 2 Watts &S. 152, . - . . V. Metcalf, 20 Mo. App. TABLE OF CASES. 535 [Not. 360, 29 347 430 780 Noel V. Bowman, 2 Litt. (Ky.) 46, Nolan V. Lovelock, 1 Mon- tana, 224, 323, 325, 334, 431, 432 Noonan v. McNab, 30 Wis. 277, 243 V. Orton, 31 Wis. 265, 243, 383, 1027 V. Orton, 32 Wis. 106, - 1032 Norcross, Matter of, 1 N. Y. Leg. Obs. 100, - - - 583 V. Clark, 15 Me. 80, - - 1072 Norfolk, Ex parte, 19 Ves. 455, 155, 840 Norman v. Conn, 20 Kan. 159, 812 V. Huddlestou, 64 111. 11, 629 V, Norman, 2 Yeates (Penn.), 154, - - - - 1169 Norment v. Hull, 1 Humph. 320, Norris v. Howard, 41 Iowa, 508, V. McCanna, 29 Fed. Rep. 757, — V. Rogers, 107 111. 148, - — V. Vernon, 8 Rich. L. 13, 43 667 138 796 190 North V. BIoss, 30 N. Y. 374, 150, 153, 1052 V. Mudge, 13 Iowa, 593, 377, 379, 535 North Pennsylvania Coal Co.'s Appeal, 45 Pa. St. 181, - 438 North River Bank v. Stewart, 4 Bradf. (N. Y.) 254; 4 Abb. Pr. 408, - - - - 825, 832 Northern Bank of Ky. v. Keizer, 2 Duv. 169, - 827, 834 Nurtlieni Ins. Co. v. Potter, 63 Cal. 157, - - - 386, 387 Northern R'y Co. v. Patton, 15 iTp. Can. C. P. 332, - - 43 Northup V. McGill, 27 Mich. 234, - . - . 181, 552 Northrup v. Phillips, 99 111. 449, - - 115, 121, 12S, 2G1 Norton v. Richards, 13 Gray, 15, 534 V. Seymour, 3 C. B. 792, 16 L. J. C. P. 100; 11 Jur. 312, - - - 200, 453, 1147 V. Thacher, 8 Neb. 186, 199, 426, 1068 Norway v. Rowe, 19 Ves. 144, 314, 992, 1002 Norwich Yarn Co., In re, 22 Beav. 113, - - - - 785 Nott V. Douming, 6 La. 680, 612, 694 V. Douming, 10 La. 546, - 398 exxxv Not.] TABLE OF CASES. [Ond. Nottiflge V. Pi-ichard, 2 CI. & F. 379 (all. S Bli. N. R. 493), 383, 681 No well V. Nowell, L. R. 7 Eq. 538, 813 Noyes v. Crawley, 10 Ch. D. 31, 942 V, Cushman, 25 Vt. 390, 61, 81, 1151, 1154 V. New Haven, etc. R. R. 30 Conn. 1, - 325,326,381,383 V. Sawyer, 3 Vt. 160, - 1016 Nugent V. Locke, 4 Cal. 318, - 70 Nunnely v. Doherty, 1 Yerg. (Tenn.), 20, - - - 414, 420 Nussbauuier v. Becker, 87 111. 281 (29 Am. Rep. 53), - - 608 Nutt V. Hunt, 4 Sm. & Mar. (Miss.) 702, - 399, 450, lOol, 1068 Nutting V. Aslicral'c, 101 Muss. 300, ... - 256, 825 V. Colt, 7 N. J. Eq. 539, 43, 103 o. Oakey v. Rabb, 1 Freem. (Miss.) Ch. 540, ... - 825, 832 Oakford v. European and Am. Steam Siiipping Co. 1 Hen. & Mil. 182, - - - 533, 709 Oiikeley v. Pasliollor, 4 Clark & Fin. 207; 10 Bligh. N. R. 548, .... 520, 533 Oakley v. Aspinwall, 2 Sandf. 7, 1 332 Oakraan v. Dorchester Mut. F. Ins. Co. 98 Mass. 57, - - 722 Ober V. Indianapolis & St. L. R. R. 13 Mo. App. 81, - 635, 713 O'Brien v. Cook, Irish L. R. 5 Eq. 51, . . - . 990 V. Hanley, 80 111. 278, - 978 O' Bryan v. Gibbons, 2 Md. Ch. 9, 995, 999 O'Conner v. Stark, 2 Cal. 153, 972 O'Connor v. Naughton, 13 Grant's Ch. (Up. Can.) 428, - 309 Odiorne v. Bacon, 6 Cush. 185, 1032 V. Maxcy, 15 Mass. 39, 331, 319, 424 V. Woodman, 39 N. H. 541, 850 O'Donnell v. Battle House Co. 67 Ala. 90 (42 Am. Rep. 99), 59 Offutt V. Scott, 47 Ala. 104, 281, 284, 295, 297, 538, 707, 724 Ogden V. Arnot, 29 Hun, 146, 583, 754, 755, 931 V. Astor, 4 Sandf. 311, 743, 794, 799 Ogdensburgh R. R. v. Frost, 21 Barb. 541, .... 310 Ogilby, Ex parte, 3 Ves. & B. 133; 2 Rose, 177, - - - 845 Ogle, Ex parte, Mont. 3'0, - 835 O'Gorman v. Fink, 57 "Wis, 649 (40 Am, Rep, 58), - - - 1131 Olcott V, Wing, 4 McLean, 15, 815, 974 Oliphant v, Mathews, 16 Barb, 60S, 443 Oliver V. Forrester, 96 111. 315, 707. 711, 728, 729, 730 V. Gray, 4 Ark. 425, 17, 57, 63 V. Hamilton, 2 Anstx\ 453, 993 V. Liverpool & Loudon L. & F. Ins. Co. 100 Mass. 531, 170 V. Lynn, 130 Mass. 143, - 176 Olleman v. Reagan, 28 Ind. 109, - - - 730, 832, 845 01 instead v. Hill, 2 Ark. 346, - 43 V, Webster, 8 N. Y, 413, 535, 530 Ohnsted v. Ilotailing, 1 Hill, 317, 480 O'Lone v. O'Loue, 2 Grant's Ch. (Up. Can.) 125, 245, 779, 788 917, 918, 987 Olsou V. Morrison, 29 Midi, 395, - - - 551. 636. 637 O'Mealey v, Wilson, 1 Camp. 482, 110 Onderdonk v. Hutchinson, 6 N. J. Eq. 632 (rev. id. 277), - 767 CXXXVl O'Ne.] TABLE OF CASES. [Pah, O'Neil V. Salmon, 25 How, Pr, 24G, .... 56G, 569 O'Neill V. Brown, Gl Tex. 34, - 851 V, Duff, U Phila. 244, - 774 Onondago Co. Bank v. De Puy, 17 Wend. 47, - 348, 370 Ontario Bank v. Hennessey, 48 N. Y. 545, - - - 191, 445 Ontario Salt Co. v. Merchants' Salt Co. 18 Grant's Cii. (Up. Can.) 540, . . . 8G, 134 Oppenheinier v. Clemmons, 18 Fed. Rep. 886, - . - 43, 49 Oran v. Rothermel, 98 Pa. St. 300, 719 Ord V. Portal, 3 Camp. 239, - 10G7 Oregon Steam Nav. Co. v. Winsor, 20 Wall. 04, . . 676 O'Reilly v. Brady, 28 Ala. 530, 769, 773, 970 Ormsbee v. Davis, 5 R. I. 443, 3oS, 339, 991, 996 Orr V. How, 55 Mo. 328, - - 29G Orrick v, Valiey, 49 Ux 428. - 733 Osborn v. McBride, 3 Sawy. 590; 16 Bankr. Reg. 22, 189, 1109 V. Osborn, 36 Mich. 48, - 141, 884, 504, 510, 511 Osborne v. Bai'ge, 29 Fed. Rep. 725, - - 339. 403, 405, 406 V. Brennan, 2 Nott & McC. 427; (10 Am. Dec. 614), . 1149 V. Haiper, 5 East, 225, 895, 896 V. Stone, 30 Minn. 25, - 349, 362, 369 ■ V. Thompson, 35 Minn. 229, 349 Osbrej v, Reimer, 51 N. Y. 630 (affg. 49 Barb. 265), 29, 43, 47, 922 Osburn v. Farr, 43 Mich. 134, - 148 Odmeut V, McElrath, 68 Cal. 466, . - - 771, 773, 791 Ostrom V. Jacobs, 9 Met. (Mass.) 454, - 199, 439, 448, 700, 1153 Otis V. Adams, 41 Me. 258, - 393, 10S3 Ovens V. Bull, 1 Ont. App. 63, 1106 Over V. Hetherington, 06 Ind. 365, 629 Overholt's Appeal, 13 Pa. St. 222, 51 Am. Dec. 598, - . 292, 1114 Overton v. Tozer, 7 Watts, 331, 378 Owen, Ex parte, 4 De G. & Sm. 351, . . . 263, 263 , Ex parte, 13 Q. B. D. 113, 754, 102o V, Van Uster. 20 L. J. C. P. Gl; IOC. B. 318, . 349,441 Owens V. Davis, 15 La. Ann. 22, 70 V. Mackall, 33 Md. 383, - 53, 54 V. Miller, 29 Md. 144, - 544 Owings V. Low, 5 Gill & J. 134, 700 V. Trotter, 1 Bibb, 157, - 383 Owston V. Ogle, 13 East, 538, - 886 Ozeas V. Johnson, 4 Dall. 434 (S. C. below, 1 Bin. 191), 735, 849, 862, 865 P. Packer v. Noble, 103 Pa. St. 18S, 1171 Packing Provision Co. v. Cas- ing Co. 34 Kan. 340, - - 1085 Page V. Brant, 18 111. 37, 625, 1049, 1050, 1053 V. Carpenter, 10 N. H. 77, 453, 453a, 547. 1106 V. Cox, 10 Hare, 163, 51. 219, 249, C03 V. Morse, 128 Mass. 99, - 144 V. Thomas, 43 Oh. St. 38, 185, 281, 291 V. Vankirk, 6 Phila. 264; S, C. 1 Brews. 282, - . 233, 234 V. Wolcott, 15 Gray, 536, 707, 710 Paige V. Paige (Iowa), 32 N. W. Rep. 300, .... 2i)0 Pahlman v. Graves, 2G 111. 405, 825. 832 cxxxvii Pah.] TABLE OF CASES. [Par. Pahlman v. Taylor, 75 III. G29, 319. 341, 364, 370, 452, 4o3 Paine v. Dwiuel, 53 Me. 52, - 439 V. Moore, G Ala. 129, - 8G8 V. Paine, 15 Graj', 299. - 9G8 V. Tliacber, 25 Wend. 450, 770, 775. 854, 885 Painter v. Painter, 68 Cal. 395, 630. 735 Palmer v, Bagg, 56 N. Y. 523, 655 V. Dodg(>, 4 Oh. St. 21 (62 Am. Dec. 271), - 618, 693, 695 V. Elliot, 1 Cliff. 63. - 445 V. Mitchell, 2 Myl. & K. 672, - . . . 4S5, 605 V. Meyers. 43 Barb. 509 ; 29 How. Pr. 8, - - 338, 340 — V. Pinkliam, 37 Me. 252, - 91 V. Purdy. 83 N. Y. 144, - 534 V. Sawyer, 114 Mass. 1, - 709 V. Scott, 68 Ala. 380, 328, 341, 483, 1073 V. Stephens, 1 Den. 471, 193, 199, 203, 444 V. Tyler, 15 Minn. 106, 86, 822. 932 Pannell v. Phillips, 55 Ga. 618, 441 Paradise v. Gersou, 32 La. Ann. 532, 365 Parch en v. Anderson, 5 Mon- tana, 438, - - - 23, 47, 64 Pardee v. Haynes, 10 Wend. 681, .... 3-0, 1086 Pardridge v. Ryan, 14 111. App. 598. 1135 Parham Sewing Mach. Co. v. Block, 113 Mass. 194, 526, 655, 694 Pariente v. Lubbock, 8 De G. M. & G. 5, - - - - 651 Paris, etc. Rond Co. v. Weeks, 11 Up. Can. Q.B. 56, - - 67 Parish v. Lewis, 1 Freem. (Miss.) Ch. 299, - 559. 560, 824 Parker, Ex parte, 2 M. D. & D. 511, - - - 503,511,516 , Succession of, 17 La. Ann. 28, - - 942 Parker v. Bowles, 57 N. H. 491. 282, 295, 301 V. Burgess, 5 R. I. 277, 352, 355 V. Canfield, 37 Conn. 250 (9 Am. Rep. 317), 30, 47, 49, 156, 157, 607 V. Cousins, 2 Gratt. 372 (44 Am. Dec. 388), - 526, 695 V. Danforth, 16 Mass. 299, 1025, 108G, 1127, 1128 V. Fergus, 43 111. 437, 43, 45, 46, 99 {'. Gossage, 2 Cr. M. & R. 617, — V. Hills, 5 Jur. N. S. 609 ; 238 7 id. 833, .... 203 — V. Jackson, 16 Barb. 33, 349, 750, 1094 — V. Jonte, 15 La, Ann. 290, 978 — V. Maconiber, 18 Pick. 505, - - - 090, 091, 095 V. Merrill, 6 Me. 41, V. Merritt, 105 111. 293, - V. Morrell, 2 Ph. 453, V. Muggeridge, 2 Story, 701 554 331 334, 337, .... 754 — V. Pistor, 3 B. & P. 2i-8. - 1109 — V. Ramsbottom, 3 B. & C. 257; 5 Dow. & Ry. 138, 560. 846 G08 1103 643, 055 Parkhurst v. Kinsman, 1 Blatchf. 488. - - - 69, 585 V. Muir, 7 N. J. Eq. 307, - 996 V. Muir, 7 N. J. Eq. 555, - 957 V. Wooten, 35 Ala. 242, - V. Wright, 66 Me. 392, - Parkes v. Parker, 57 Mich. 56, 902 551 1100 Parkinson v. Hanburj', L. R. 3 IL L. 1, .... Parks V. Comstock, 59 Barb. 16, V. Mosher, 71 Me. 304, - Parmalee v. Wiggenhorn, 5 Neb. 322, - 503, 507, 510, 511 Parnu'lce v. Lawrence, 44 111. 405, 386 Paruell v. Robinson, 58 Ga. 26, 228, 306 cxxxviii Par.] TABLE OF CASES. [Pea. Parr, Ex parte, 1 Rose, 76, - 843 Parry v. Hencierson, 6 Blackf. 72, 1074 Parsliall v. Fisher, 43 Mich. 529, - - - 101, 138, 1158 Parsons v. Hayward, 31 Beav. 199 (affd. in 4 DeG. F. & J. 474), - - - 216, 575, 794 V. Hayward, 4 DeG. F. & J. 474, 575 V. Tilhnan, 95 lud. 453, - 884 Partridge v. Wells, 30 N. J. Eq. 176, - - - 544, 790, 947 Patch V. Wheatland, 8 Allen, 103, - 200, 401, 40G, 407, 453 Pate V. Bacon, 6 Munf. (Va.) 219, .... 1049, 1065 Paterson v. Maughan, 39 Up. Can. Q. B. 371, - - - 403 V. Zachariah, 1 Stark, 71, 694 Paton V. Baker, 63 Iowa, 704, 283 V. Wright, 15 How. Pr. 481, 338 Patridge v. Kingman, 130 Mass. 476, - - - 43, 104 Pattee v. Gilmore, 18 N. H. 460 (45 Am. Dec. 385), - - 701 Patten v. Cunningham, 03 Tex. 666, 1086 V. Gurney, 17 Mass. 183, 1034 V. Kavanagh, 1 1 Daly, 348, 418 V. Whitehead, 13 Rich. L. 156, 1072 Patterson's Appeal (Supreme Ct. Pa. 1883), 13 Weekly Notes, 154, - - - 112, 128 Patterson v. Blake, 13 Ind. 436, 976 V. Brewster, 4 Edw. Ch. 352, . - - - 151, 205 V. Chalmers, 7 B. Mon. 595, . - - - V. Lilly, 90 N. Ca. 83, V. Martin, 6 Ired. L. Ill, V. Seaton, 70 Iowa, 689, - V. Silliman, 28 Pa. St. 304, 70, 724 949, 950 629. 630 566 241, 243 Patterson v. Trumbull, 40 Ga. 104, V. Ware, 10 Ala. 444, - 1113 800, 910 Pattison v. Blanchard, 6 Barb. 537, V. Blanchard, 5 N. Y. 186, Patton V. Calhoun, 4 Gratt. 138, - - - 849 66 772 886 Paul V. Edwards, 1 Mo. 30, ■ Pawsey v, Armstrong, 18 Ch. D. 698, - - - - 28, 060 Payne v. Freer, 91 N. Y. 43 (43 Am. Rep. 640; aff'g 25 Hun, 124), - - - 784, 851 V. Gardiner, 29 N. Y. 146 (aff. S. C. as Payne v. Slate, 39 Barb. 634), - - - 693 V. Hornby, 25 Beav. 280, - 553 V. James, 36 La. Ann. 476, 457 V. Matthews, 6 Paige, 19, 845 V. O'Shea, 84 Mo. 129, - 1079 V. Slate, 39 Barb. 634 (affd. as Payne v. Gardiner, 29 N. Y. 146), - - - 693, 703, 704 V. Tliompson, 44 Oh. St. 193, 139 Peabody v. County Conim'rs, 10 Gray, 97, - - - - 175 Peace, Re, 13 Bankr. Reg. 168, 833 Peacey v. Peacey, 27 Ala. 683. 337, 338, 636, 879 Peacock, Ex parte, 2 Gl. & J. 27, 842 V. Cummings, 46 Pa. St. 434 (5 Phi la. 253), - — V. Peacock, 2 Camp. 45, — V. Peacock, 16 Ves. 49, — V. Stott, 90 N. Ca. 518, 433 181. 257 679, 1003 1170 560 833 Pearce v. Chamberlain, 3 Ves. Sr. 33, - - - - 158, 581 V. Cooke, 13 R. L 184, 747, 750, 826 V. Ham, 113 TJ. S. 585, 573, 796 Peake, Ex parte, 1 Mad. 340, , Ex parte, 3 Rose, 54, CXXXIX Pea.] TABLE OF CASES. [Peo. Pearce v. Hewitt, 31 Beav, 22, 805 V. Lindsay, 3 De G. J. & Sm. 139, - ... 575 V. Madison & Indianapolis R. R. 21 How. 441, - - 133 V. Pearce, 77 111. 284, 259, 788, 813, 983, 983 V. Sliorter, 50 Ala. 318, - 456, 1103, 1119 V. Wilkins, 2 N. Y. 4G9, - 3i6, 38G Pearl v. Harris, 121 Mass. 390, 233 Pearpoint v. Graham, 4 Wash. C. C. 232, 338, 339, 403, 405, 577, 583 Pearson v. Concord R. R. Co. (N. H.) 13 Am. & Eng. R. R. Cas. 94, 133 V. Keedy, 6 B. Mon. 128 (43 Am. Dec. IGO), 742, 746, 929 V. Pearson, 27 Ch. D. 145, 661, G6G V. Post, 2 Dakota, 220, - 197, 401, 418 V. Skelton, 1 M. & W. 504, 852 Pease v. Cole, 53 Conn, 53, 329, 341, 344, 345, 371 V. Hewitt, 31 Beav. 22, 808, 809 V. Hirst, 10 B. & C. 122; 5 M. & R. 88, - 651, 1016, 1017 V, McClelland, 2 Bond, 42, 393 V. Morgan, 7 Johns. 4G8, 1068 V. Rush, 2 Minn. 107, - 1017 Peck V. Boggcss, 2 111. 281, - 960 V. Fisher, 7 Cush. 386, - 1102, 1107, 1114, 1115 V. Parch en, 52 Iowa, 46, - 1056 V. Schultze, 1 Holmes, C. C. 28, - - - - 1107, 1109 V. Wakely, 1 McCord, Ch. 43, 881 Pecker v. Hall, 14 Allen, 532, 612 Peckham lion Co. v. Harper, 41 Oh. St. 100, - - 468, 474 Pecks V. Baruum, 24 Vt. 75, - 173, 1127, 1128 Pecot V. Armelin, 21 La. Ann. C67, .... 287, 303 Peel V. Bryson, 72 Ga. 331, - 1085 V. Ringgold, 6 Ark. 546. - 1026 Peele, Ex parte, 6 Ves. Jr. C03, 503, 511, 512, 1016 Pegg V. Plank, 3 Up. Can. C. P. 396, 1079 Peine v. Weber, 47 111. 41, 292, 416, 417 Peirce v. Tobey, 5 Met. 168, - 704 Peirse v. Bowles, 1 Stark. 323, 406 Peltz V. Eichele, 62 Mo. 171, - 676 Pelzer V. Campbell, 15 S. Ca. 581, .... 420, 431 Pemberton v. Oakes, 4 Russ. 154, - - 499, 649, 650, 656 Pence v. McPhersou, 30 Ind. 68, Pendleton v. Phelps, 4 Day, 481, V. Wambersie, 4 Cranch, 183 747 927 895 73, Penguet v. McKenzie, 6 Up Can. C. P. ; 08, - - • Pcnn V. Kearny, 21 La. Ann. 21, 446 V. Stone, 10 Ala. 209, - 869 V, Whitehead, 17 Gratt. 503, .... 136, 142 Penniraan v. Munson, 26 Vt. 164. 69 Pennington v. Bell, 4 Sneed (Tenn.), 200, - - - 5C9, 825 Pennoyer v. David, 8 Mich. 407, 701 Pennsylvania Ins. Co. v. Murphj', 5 Minn. 36, - - 409 Penny v. Black, 9 Bosw. 310, 264 V. Martin, 4 Johns. Ch. 5G6, 535 Pennybacker v. Leary, Ql Iowa, 220, - 290, 302, 823, 974, 975 Pennyman v. Jones, 58 N. H. G47. ----- 932 People V. Judges of Duchess, 5 Cow. 34, 414 0x1 Peo.] TABLE OF CASES. [Pfe, People V. Lott, 36 III. 447, - 740 V. White, 11 111. S41, 715, 740. 741, 743, 1000 People's Bank v. Shryock, 48 Md. 427 (30 Am. Dec. 470), - 1103, 1111 Pepper v. Labrot, 8 Fed. Rep. 29. 674 Percifull v. Piatt, 36 Ark. 456, 293, 296 Perens v. Johnson, 3 Sra. & G. 419, ... - 311, 788 Perkins v. Iloyt, 35 Mich. 506, 336 V. Perkins, 3 Gratt. 364, 86 V. Walker, 16 Vt. 240, - 1121 V. Young, 16 Gray, 389, 880, 8S1 Perlberg v. Gorham, 10 Cal. 120, . - . . S83, 415 Perley v. Brown, 13 N. H. 493, ... .849 Perrin v. Kerne, 19 Me. 355 (36 Am. Dec. 159), - - 526, 695 Perrine v. Hankinson,!! N. J. L. 181, 45 Perring v. Hone, 4 Bing. 28 (3 C. & P. 401), 72, 74, 346, 851, 878, 900 Perrott v. Bryant, 2 Young & C. Ex. 61, - - - - 59 Perry v. Butt, 14 Ga. 699, 33, 981 V. Hale, 143 Mass. 540, 595, 897 V. Holloway, 6 La. Ann. 265, 180 V. Randolph, 6 Sm. & Mar. 335, - 323, 323, 459, 1150, 1163 V. Spencer, 23 Mich. 89, - 642 Person v. Carter, 3 Murph. (N. Ca.)321, .... 416 V. Wilson, 25 Minn. 189, 262 Fsrsonette v. Pry me, 34 N. J. Eq. 26, - - - - 301, 907 Persse & Brooks Paper Works V. Willett, 1 Robt. 131; 19 Abb. Pr. 410, - - - 560 Perzell v. Shook, 53 N. Y. Su- perior Ct. 501, - - - 250 Peteetv. Crawford. 51 Miss. 43, 959 Peters v. Anderson, 5 Taunt. 596, 489 V. Davis. 7 Mass. 257, - 722 V. McWiliiams, 78 Va. 567, .... 507, 570, 763 V. Sanford, 1 Den. 224, - 535 Peterson v. Roach, 32 Oh. St. 374 (30 Am. Rep. G07), 446, 450, 451 V. Humphrey, 4 Abb. Pr. 391, .... 609, 673 V. State, 33 Tex. 477, - 488 Petit V. Chevelier, 13 N. J. Eq. 181, 991 Petrie v. Han way, 3 T. R. 418, 112, 127 V. Lament, 1 Car. & M. 93, 467 V. Newell, 13 111. 647, - 10G8 Pettee v. Appletou, 114 Mass. 114, - - . . 33, 47 V. Orser, 6 Bosw. 123; 18 How. Pr. 413, - ■ 338. 340, 403 Pettes V. Spalding. 21 Vt. 00, 1125 Pettingill v. Jones, 28 Kan. 749, SG5 Pettis V. Atkins, GO 111. 451, 72, 74, 1049, 1050 V. Bloomer, 21 How. Pr. 317, .... 416, 419 Petty V. Hannum, 2 Humph. 103, 395 Pettyt V. Janesou, 6 Madd. 146, 245 Petzer v. Campbell, 15 S. Ca. 581, 423 Peyton v. Lewis, 12 B. Mon. 356, - - - 533, 634, 635 V. Stratton, 7 Gratt. 380, 384, 693 Pfau V. Lorain, 1 Cinti. Supe- rior Ct. 73, - - - - 1071 Pf effer v. Steiner, 27 Mich. 537, 719, Pfeifer v. Chamberlain, 53 Miss. 89, - - - - 1135 cxU Pfe.] TABLE OF CASES. [Pie. Pfoiffer V. Maltby, 38 Tex. 523 (see Pfeuffer v. Maltby, 54 id. 454), 127 Pfeuffer v. Mallby, 54 Tex. 454, 114, 127 Pfirrman v. Koch, 1 Cincinnati Superior Ct. Rep. 4G0, 559, 560 Pfister V. Wade, C9 Cal. 133, - 1007 Pliaup V. Stratton, 9 Gratt. G15, 1073 Pliclan V. Hutchison, Phil. (N. Ca.)Eq. 11(5, - - 7G4, 765 Phelps, Re, 17 Bankr. Reg. 144, 640 V. Brewer, 9 Cush. 390 (57 Am Dec. 56), - 1088, 1089, 1090 . V. Lyle, 10 A. & E. 113, 1017 V. McNeely, 06 Mo. 554 (37 Am. Rep. 378), - - 563, 563 Phelps Mfg. Co. V. Eng. 19 Conn. 58, ... - Philippi V. Philippi, 61 Ala. 41, Philips V. Crammond, 3 Wash. C. C. 441, ... - V. Henry. 2 Head, 133. - V. Pliilips, 8 Hare. 381, - V. Samuel, 76 Mo. 657, - V. Turner, 2 Dev. & Bat. Eq. 133, - 770, 968, 978, 979 Pliillips V. Ames, 5 Allen, 183, 562, 566 V. Blatchford, 137 Mass. 510, 51, 52, 73, 187, 003, 853, 905, 910 V. Clagett, 11 M. & W. 84, 383 V. Cook, 24 Wend. 389, - 1101, 1105. 1109, 1111, 1112 V. Jones, 20 Mo. 67, - 549 V. Lockliart, 1 Ala. 251, - 852 V. Nash, 47 Ga. 218, - 86, 152, 156, 157, 333, 459, 597, 608 V. Penny wit, 1 Ark. 59, - 70, 148, 1023, 1033 V. Phillips, 1 Myl. & K. 649, 285 V. Phillips, 49 111. 437, - 3 V. Purington, 15 Me. 425, 70, ior)9 952 544 1168 726 55 330, 331, 1143 Phillips V. Reeder, 18 N. J. Eq. 95, - - 305, 596, 6S9, 797 V. Reeder, 18 N. J. Eq. 614, 085 V. Trezevant, 67 N. Ca. 370, 994 Philson V. Bampfield, 1 Brev. (S. Ca.)303, - - - - 538 Fhipps V. Sedgwick, 95 U. S. 3, 564 Phoanixins. Co. v. Moog(Ala.), 1 South. Rep. 108, - 725, 1029 Piano Co. v. Bernard, 2 Lea, 358, 503, 507, 508, 510, 511, 513, 544. 978, 979 Piatt V. Oliver, 8 McLean, 37 (affd. 3 How. 333), 113, 241, 293, £01, 303 Pickels V. McPherson, 59 Miss. 216, - - - 317, 383, 416 Pickett V. Cloud, 1 Bailey (S. Ca.), 363, - - - - 1166 Pico V. Cuj-as, 47 Cal. 174, 209, 855 Pier V. Duff, 63 Pa. St. 59, - 547 Pierce v. Alspaugh, 83 N. Ca. 258. .... 507, 508 V. Camei'on, 7 Rich. (S. Ca.) L. 114, - - 420, 421, 524 V. Covert, 39 Wis. 253, - 976 V. Daniels, 25 Vt. 624, 300, 311, 761, 770, 773 V. Fuller, 8 Mass. 223, - 678 V. Jackson, 21 Cal. 636, - 303 V. Jackson, 6 Mass. 243, 475, 1112, 1114, 1115 V. Jarnagin, 57 Mass. 107, 318, 320, 322, 401 V. Kearney, 5 Plill, 83, 537, 1168 V. Kingsbury, 03 Mo. 259, 1106 V. McClellan, 93 111. 245, 942, 945 - 1151 — V. McCoimell, 7 Blackf 170, ... - — V. Nashua F. Ins. Co. 50 N. H. 297 (9 Am. Rep. 235), 272, 273 — V. Pass, 1 Porter (Ala.), 232, 4l0 — V. Plumb, 74 111. 320, - 636 — V. Scott, 37 Ark. 308, 313, 770, 9o2 cxlii Pie.] TABLE OF CASES, [Plo Pierce v. Shippee, 90 III. 371, 28 V. Thompson, 6 Pick. 193, 894, S9S V. Tiernan, 10 Gill & J. 853, - - - . 821,917 V. Trigg, 10 Leigh (Va.), 406, - - 281, 293, 294, 974 V.Whitley, 39 Ala. 172, 1136 V. Wood,*3 Foster (23 N. H.), 519, - - - 465, 701 Piercy v. Fynney, L. R. 12 Eq. C9, - - - 383, 425, 1039 Pierson v. Hooker, 3 Johns. 68 (3 Am. Dec. 467), - - 382, 415 V. Steinmyer, 4 Rich. L. 309, . . - - 16, 47 Pigott V. Bagley, McCl. & Y. 569, - - - - 51, 249 Pike V. Bacou, 21 Me. 280 (38 Am. Dec. 259), - - 410, 419 V. Bateman, 1 Iowa, 309, 72 V. Douglass, 28 Ark. 59, - 78 V. Hart, 30 La. Ann. Part II, 868, 848 Pilcher, Succession of, 1 South. Rep. 929, - - - - 172 Pillans V. Harkness (H. of L. 1713), Collos, 442, - - 595,805 Pilliug V. Pilling, 3 De G. J. & Sm. 162, - - 211, 263, 783 Pillabury v. Pillsbury, 20 N. H. 90, 876 Pirn V. Harris, Irish Rep. 10 Eq. 412, 782 Pinckney v, Keyler, 4 E. D. - Smith, 469, - - - 45, 375 V. Wallace, 1 Abb. Pr. 82, 722, 731 Pine V. Ormsbee, 2 Abb. Pr. (N. S.)375, - - - - 571,794 Pingree v. Coffin, 12 Gray, 288, 314, 711 Pinkerton, Ex parte, 6 Ves. 814, n., 834 V. Ross, 33 Up. Can. Q. B. 508, . - - 82, 129, 327 Pinkett v. Wright, 2 Hare, 120 (S. C. as Murray v. Pinkett, 12 CI. & Fin. 764), - - 187 Piukney v. Hall, Ld. Raym. 175 ; 1 Salk. 126, - - - 841 Pinschower v. Hanks, 18 Nev. 99, 1052, 1053 Piper V. Smith, 1 Head, 93, 297, 770, 772 Pirtle V. Penn, 3 Dana, 247 (28 Am. Dec. 70), 181, 182, 910, 991 Pitcher V, Barrows, 17 Pick. 361 (28 Am. Dec. 306), 621, 622, 882, 884, 904 Pitkin V. Pitkin, 7 Conn. 307 (18 Am. Dec. Ill), 55, 580, 598, 599, 600 V. Roby, 43 N. H. 138, - 1029 Pitt V. Cholmondeley, 2 Ves. Sr. 565, 964 Pittman v. Planters' Bk. 1 How. (Miss.) 527, - - - 1085 V. Robicheau, 14 La. Ann. 108, 1113 Pitts V. Brewster, 4 Edw. Ch. 322, - ■- - - - 150 V. Hall, 3 Blatchf. 201, - 69 Place V. Sedgwick, 95 U. S. 3, 566 V. Sweetzer, 16 Oh. 142, - 1109, 1111 Planters' & Mer. Bk. v. Willis, 5 Ala. 770, - - - 194, 401 Planters' & Miners' Bk. v. Padgett, 69 Ga. 159, - - 4 Piatt V. Halen, 23 Wend. 456, 1022 V. Piatt, 61 Barb. 52; 11 Abb. Pr. (N. S.) 110, - - 715 Pleasants v. Meng, 1 Dall. 380, 338, 583 Plews V. Baker, L. R. 16 Eq. 564, 571, - - - - 233 Ploss V. Thomas, 6 Mo. App. 157, . - . . 139, 140 Plowden, Ex parte, 2 Dea. 456 ; 3 Mont. & A. 402, - - 760 Plowman v. Riddle, 7 Ala. 775, 1071 K cxliii Plu.] TABLE OF CASES, [POS. Plumer v. Gregory, L. R. 18 Eq. 621, - - 371, 474, 477 V. Lord, 5 Allen, 460, 136, 139 V. Lord, 7 Allen, 481, 33, 139 Plummer, Re, 1 Ph. 56, - - 842 V. Trost, 81 Mo. 425, 61, 140 Plunkett V. Dillon, 4 Del. Ch. 198, 47,49 Poclielu V. Kemper, 14 La. Ann. 308, . - - - 4 Pogson V. Owen, 3 Desaus. 31, 1027 Poillon V. Secor, 61 N. Y. 456, 92, 93, 445 Poindexter v. Waddy, 6 Munf. (Va.) 418 (8 Am. Dec. 749), 347, 507 Pointon v. Pointon, L, R. 12 Eq. 547, ... - 925 Polk V. Buchanan, 5 Sneed (Tenn.), 721, - - - 23, 43, 47 V. Oliver, 56 Miss. 566, 97, 618 Pollard V. Brady, 48 N. Y. Superior Ct. 476, - - - 198 V. Stanton, 5 Ala. 451, 453, 852 V. Stanton, 7 Ala. 761, - 17, 56 Pollock V. Glazier, 20 Ind. 262, 1068, 1094 V. McClurken, 42 111. 370, 1164 V. Williams, 42 Miss. 88, 323, 446, 523 Pollexfen v. Sibson, 16 Q. B. D. 792, - - - - 1059, 1062 Pomeroy v. Benton, 57 Mo. 531 (14 Am. Law Reg. N. S. 306), - - 309, 790, 958, 901 V. Benton, 77 Mo. 64, 309, 789, 961, 983 V. Coons, 20 Mo. 597, - 615 V. Sigerson, 22 Mo. 177, - 00 Pond V. Clark, 24 Conn. 370, - 182, 963, 978, 979 V. Cummins, 50 Conn. 372, 43 V. Kimball, 101 Mass. 105, 1131 Pool V. Delaney, 11 Mo. 570, - 850 V. Perdue, 44 Ga. 454, - 8G0 Poole V. Fisher, 62 111. 181, - 91, 94 V. Gist, 4 McCord, L. 259, 709 Poole V. Hintrager, 60 Iowa, 180, - - - 504, 510, 1094 V. Lewis, 75 N. Ca. 417, 445, 451 V. Seney, 66 Iowa, 502, - 561 Pooley V. Driver, 5 Ch. D. 458, 1,17, 18, 35, 49, 50, 173 V. Whitmore, 10 Heisk. (Tenn.) 629 (27 Am. Rep. 733), - - 329, 343, 349, 304 Pope V. Bateman, 1 Iowa, 309, 1028 V. Cole, 55 N. Y. 124 (14 Am. Rep. 198), - - 747, 750 V. Hays, 19 Tex, 375, 639, 640 V. Nance, 1 Stew, (Ala.) 354 ; id. 220, - - - - 527 V. Randolph, 13 Ala. 214, 858 V. Risley, 23 Mo. 185, 621, 700 • V, Salsman, 35 Mo. 362, - 939 Popper V, Scheider, 7 Abb. Pr, (N. S.) 56 ; 38 How. Pr. 34, - 1003 Porche v. Le Blanc, 12 La. Ann, 778, . - - - 1103 Porter v. Graves. 101 U. S. 171, 1154 Port Darlington Harbor Co. v. Squair, 18 Up. Can. Q. B 533, ... - 523, 524 Porter v. Curry, 50 111. 319, 367, 429 V. Ewing, 24 111, 617, - 43 V, Gorman, 65 Ga. 11, - 664 V. Gunnison, 2 Grant's Cas. (Pa.) 297, - - 347, 363 V. McClure, 15 Wend. 187, 64 V. Parmley, 52 N. Y. 185, 179 V. Taylor, 6 Moo. & S, 156, 381, 684 V, Vance, 14 Lea, 627, - 468 V. Wheeler, 37 Vt. 281, 766, 899 V, White, 39 Md. 613, 329, 361, 364 Porthouse v. Parker, 1 Camp. 83, 397, 399 Portland Bank v, Gershom, 11 Me, 196, - - 882,884,900 Portsmouth v. Donaldson, 32 Pa, St. 202, - 274, 275, 455, 973 Posey V. Bullitt, 1 Blackf. 99, 414 cxliv Pos.] Post V. Kimbeily, 9 Johns. 470, 71 Postlewait v. Howes, 3 Iowa, 365, 749 Pote V. Phillips, 5 Cranch, C. C. 154, 858 Pott V. EytoD, 3 C. B. 32, 43, 91, 95 Potter V. Dillon, 7 Mo. 323 (37 Am. Dec. 185), - - - 847 V. Greene, 9 Gray, 309, - 96 V. Jackson, 13 Ch. D. 845, 987 V. Moses, 1 R. I. 430, 43, 334, 572, 791, 794 Potts V. Blackwell, 3 Jones (N. Ca.), Eq. 449, - - 560, 565 V. Blackwell, 4 Jones, Eq. 58, 560, 565 Powell, Succession of, 14 La. Ann. 425, - - - - 849 V. Graves, 9 La. Ann. 435, 880 V. Hopson, 13 La. Ann. 626, 598 V. Maguire, 43 Cal. 11, 78, 113, 870 V. Messer, 18 Tex. 401, 361,362, 1046 V. North, 3 Ind. 392 (56 Am. Dec. 513), - - 604, 727 V. Robinson, 58 Ga. 26, - 795 V. Waters, 8 Cow. 659, - 393 TABLE OF CASES. [Pri. Pratt V. Willard, 6 McLean, Power V. Kirk, 1 Pittsburg Rep. 510, - - - 585, 688 Powers V. Dickie, 49 Ala. 81, 970, 982 V. Fletcher, 84 Ind. 154, 504 V. Guardian Ins. Co. 136 Mass. 108 (49 Am. Rep. 20), 273, 278 Powrie v. Fletcher, 2 Bay (S. Ca.), 146, - - - - 1079 Pratt V. Langdon, 97 Mass. 97 ; 12 Allen, 546, - - - 40, 91 V. McHatton, 11 La. Ann. 260, 76 1, 766, 775, 782, 789, 930, 974, 986 V. Ogdensburg & Lake Champlain R. R 103 Mass. 557, . ... 66, 134 — V. Page, 33 Vt. 18, 608, 609, 626 37, 1067 Pray v. Mitchell, 60 Me. 430, - 856 Prentice v. Elliott, 72 Ga. 154, 785, 786, 949 Prentiss v. Brennan, 1 Grant's Ch. (Up. Can.) 484, - 545, 790 V. Foster, 28 Vt. 743, - 695 V. Sinclair, 5 Vt. 149 (20 Am. Dec. 288), - - 618, 621 President v. Cornen, 37 N. Y. 320, 625 Pressley v. Harrison, 102 Ind. 14, 995 Preston v. Colby, 117 111. 477, 835, b47 V. Foellinger, 34 Fed. Rep. 680, .... 107, 611 V. Strutton, 1 Anstr. 50, - 861 Preusser v. Henshaw, 49 Iowa, 41, .... 510, 511 Prewett v. Buckingham, 38 Miss. 92, .... 942 Price's Estate, 81 Pa. St. 263, - 987 Price, Re, 6 Bankr. Reg. 400, - 1131 V. Alexander, 3 G. Greene (Iowa), 437 (52 Am. Dec. 526), 43, 45, 416, 418, 419 V. Barker, 4 E. & B. 760, 385, 386 V. Gavins, 50 Ind. 122, - 845 V. Drew, 18 Fla. 670, 849, 851, 852, 858, 865 V. Groom, 2 Ex, 542, - 53, 88 V. Hicks, 14 Fla. 565, 281, 885, 290, 393, 736 V. Hunt, 59 Mo. 258, 410,1141, 1145 V. Mulford, 36 Hun, 347, 483 V. Towsey, 3 Litt. (Ky.) 433, 612 Priest V. Chouteau, 13 Mo. App. 353 (affd. 85 Mo. 398), - 26, 261, 291, 1147 V. Chouteau, 85 Mo. 398 (aff. 12 Mo. App. 252), 26, 261, 290, 391, 832, 1147 cxlv Pri.] TABLE OF CASES. [Rad. Prince v. Crawford, 50 Miss. 344, 318, 322, 329, 343, 345, 371 Princeton & Kingston Turn- pike Co. V. Gulick, 16 N. J. L. IGl, - 13, 350, 365, 009, 615, 624 Pringle v. Leverich, 16 Jones & Sp. 90, 94, - - - - 92 V. Leverich, 97 N. Y. 181 (49 Am. Rep. 522), - - 700 Priutup V. Turner, 05 Ga. 71, - 296, 1086, 1093 Pritt V. Clay, 6 Beav. 503, - 959 Prize Cases, 2 Black, 635, 114, 582 Prosser v.' Hartley, 35 Minn. 340, 1131 Proudfoot V. Bush, 7 Grant's Ch. (Up. Can.) 518, - - 229 Prouty V. Swift, 51 N. Y. 594, .... 36, 43 Providence v, Bullock, 14 R. L 353, 285 Prudhonime v. Henry, 5 La. Ann. 700, - - - - 695 Puckett V. Stokes, 2 Baxter (Tenn.), 442, - - - 439, 443 Pugh V. Currie, 5 Ala. 446, 285, 293, 294 Pullen V. Whitfield, 55 Ga. 174, 747, 750 Punnett, Ex parte, 16 Ch. D. 226, 659 Purdy V. Powers, 6 Pa. St. 442, ... - 1038, 1046 Purinton v. Ins. Co. 72 Me. 22, 333 Pursley v. Ramsey, 31 Ga. 403, 191 193, 322, 618 Purviance v. Dryden, 3 S. & R. 402, 1162 V. Edwards, 17 Fla. 140, - 1087 V. McClintee, 6 S. & R. 259, 44 v. Sutherland, 2 Oh. St. 478, 348, 416, 418, 420, 422, 423 Purvines v. Champion, 67 111. 459, - - - 858, 866, 892 rurvis, Re, 1 Bankr. Rog. 163, 382 Puschel v. Hoover, 16 111. 340, 1050 Put man v. Fife Lake Twp. 45 Mich. 125, - - - 176, 177 Putnam v. Dobbins, 38 111. 394, 283 v. Parker, 55 Me. 235, 733, 734 V. Ross, 55 Mo. 116, 456 1051 V. Wise, 1 Hill, 234, - 61 Pyke V. Searcy, 4 Porter (Ala.), 52, 742 Q. Quackenbush v. Sawyer, 54 Cal. 439, - - - 31, 45, 63 Quagle v. Guild, 91 III. 378, - 942 Queen v. Mallinson, 16 Q. B. 367, - . - . 277, 898 v. Robson, 16 Q. B. D. 137, 75 Quillen v. Arnold, 12 Nev. 234, 722, 724 Quincy v. Young, 5 Daly, 327 (rev. in part, 63 N. Y. 370), - 1149 Quine v. Quine, 9 Sm. & Mar. . 155, IJ Quinlan v. Keiser, 66 Mo. 603, 959 Quinlivan v. English, 42 Mo. 362, 921 V. English, 44 Mo. 46 (limiting 42 id. 362), - 993, 999 Quinn v. Fuller, 7 Cush. 224, - 393, 1044 R. Raba v. Ryland, Gow, N. P. 133, 258 Rabby v. O'Grady, 33 Ala. 255, . 1144 Rabe v. Wells, 3 Cal. 148, - 617 Rackstraw v. Imber, Hc>lt, N. P. 368, 858 Radcliff V. Woods, 25 Barb. 52, 1131, 1133 Radcliffe v. Varner, 55 Ga. 427, 323, 1084 Radenhurst v. Bates, 8 Bing. 463, 890 cxlvi Eai.] TABLE OF CASES. [Rea. Raiguel's Appeal, 80 Pa. St. 234 (as Wentworth v. Raiguel, 9 Phila. 275), - . 43, 455, 548, 931 Railroad Co. v. Bixby, 55 Vt. 235, .... 133, 1111 V. Sprayberry, 8 Bax. 341, 66 Eainey v. Nance, 54 111. 29, 1109, 1111 Ralph V. Lockwood, 61 Cal. 155, 129 Ralston v. Moore, 105 Ind. 243, 749 Raraey v. McBiide, 4 Strob. (S. Ca.) L. 12, - - - - 411 Rammelsberg v, Mitchell, 29 Oh. St. 22, 244, 296, 297, 298, 598, 599, 661, 665, 743 Rarasbottoni v. Lewis, 1 Camp. 179, .... 349, 695 Ramsey v. Barbaro, 12 Sm. & Mar. (20 Miss.) 661, - - 894 Randall v. Baker, 20 N. H. 335, 407 V. Hunter, 66 Cal. 513, - 347 V. Johnson, 13 R. L 338, 1105, 1108, 1111 V. Morrell, 17 N. J. Eq. 343, 995 Randegger v. Holmes, L. R. 1 C. P. 679, - - • - - 233 Randel v. Yates, 48 Miss. 685, 1137 Randle v. Richardson, 53 Miss. 176, 181, 764, 765, 770, 795, 812, 982, 985 V. State, 49 Ala. 14, 43 Randolph, In re, 1 Ontario App. 315, - - - - 23 V. Daly, 16 N. J. Eq. 313, 569, 1130 V. Govan, 14 Sm. & Mar. 9, 1135 V. Peck, 1 Hun. 138, - 698 Randolph Bk. v, Armstrong, 11 Iowa, 515, - - - 401 Rank v. Grote, 50 N. Y. Supe- rior Ct. 275, - - - 281, 297 Rankin v. Harley, 12 New Brunswick, 371, - - - 1158 Rankin v. Jones, 2 Jones (N. Ca.), Eq. 169, - - - 551, 560 V. Shephardson, 89 111. 445, 646 Ransom v. Loyless, 49 Ga. 471, 612 V. Van Deventer, 41 Barb. 307, - - - 561, 562, 564 Rapier v. Gulf City Paper Co. 64 Ala. 330, .... 286 Rapp V. Latham, 2 B. & Aid. 795, - - - 331, 473, 479 V. Vogel, 45 Mo. 534, - 1149 Ratlibone v. Drakeford, 4 Moo. & P. 57, - - - 380 Rathwell v. Rathwell, 26 Up. Can. Q. B. 179, - - 718, 741 Ratzer v. Ratzer, 28 N. J. Eq. 136, 1136 Rau V. Boyle, 5 Bush, 253, - 819 Ravenscraft v. Pratt, 22 Kan. 20, 926 Rawlins v. Wickham, 3 De G. & J. 304 (S. C. below, 1 Giflf. 355), 595 Rawlinson v. Clark, 15 M. & W. 292, 43 V. Moss, 7 Jur. N. S. 1053, 710 Rawson v. Pratt, 91 Ind. 9, 657, 659 V. Taylor, 30 Oh. St. 389 (27 Am. Rep. 464), - - 534 Ray V. Bogart, 2 Johns. Ch. 433, 953 V. Powers, 134 Mass. 23, - 75 Rayburn v. Day, 27 111. 46, - 526 Raymond, Sir Charles' Case, cited in 2 Rose, 252, 255, - 167 v.'Bigelow, 11 N. H. 466, 643 — ;- V. Came, 45 N. H. 201, - 930 — ^ V. Putnam, 44 N. H. 160 (S. C. as Raymond v. Came, 45 id. 201), - 150, 255, 813, 813, 817, 930 V. Vaughan, 17 III. App. 144, 581 Read v. Bailey, L. R. 3 App. Cas. 94 (aff. S. C sub. nom. Lacey v. HiU, Ch. D. 537), 836, 839 cxlvii Re A.] TABLE OF CASES. [Rel Read v. McLanahan, 15 Jones & Sp. 275, - - - - 1105 V. Nevitt, 41 Wis. 348, - 244, 305, 890 V. Smith, 60 Tex. 379, 110, 119 Reading R. R. v. Johnson, 7 W. & S. 317, ... 386 Rebel- v. Columbus Mach. Mfg. Co. 12 Oh. St. 175, - - 109 Reboul V. Chalker, 27 Conn. 114, - - - - 78, 577 Receivers of Mechanics' Bank. . See Mechanics' Bank, Re- ceivers of. Record v. Record, 21 New Brunswick, 277. - - - 378 Reddington v. Lanahan, 59 Md. 429, - - - 17, 43 Rediieffer v. Leather, 15 Mo. App. 12, ... - 710 Redlon v. Churchill, 73 Me. 146 (40 Am. Rep. 345; 14 Centr. L. J. 412), - 349, 355, 358 Redmayne v. Forster, L. R. 2 Eq. 467, - - 163, 185, 927 Redmond v. Stausbury, 24 Mich. 445, - - - - 10G7 Reece v. Hoyt, 4 Ind. 169, 276, 577. 585, 750 Reed V. Girty, 6 Bosw. 567, 420, 537 V. Hanover Branch R. R. 105 Mass. 303. - - - 1018 v. Hussey, Blatchf. & H. Adm. 525, - - - - 59 V. King, 23 Iowa, 500, 644, 951 V. Kremer, 111 Pa. St. 482, . - - - 109, 1154 V. McLanahan, 15 Jones &Sp. 275, - - - - 1103 V. McLeod, 20 Ala. 576, - 1125 V. Murphy, 2 G. Greene (Iowa), 574 (52 Am. Dec. 520), 43,45 V. Shepardson, 2 Vt. 120 (19 Am. Dec. 697), 1101, 1105, 1107 V. Vidal, 5 Rich. (S. Ca) Eq. 289, 1012 Reed v. White, 5 Esp. 122, 533, 528 V. Whitney, 7 Gray, 533, 1081 Reeder v. Sayre, 70 N. Y. 180, 190, 724 Reese v. Bradford, 13 Ala. 837, 551, 560, 824, 929 V. Kindred, 17 Nev. 447, 722, 724 V. Kinkead, 18 Nev. 126, - 550, 1067 Reeve, Ex parte, 9 Ves. 583. - 436, 835, 836, 843, 845 Reeves v. Ayers, 38 111. 418, - 187, 291, 295 V. Denicke, 12 Abb. Pr. N. S. 92, - - - - — V. Goff, 3 N. J. L. 194, 454, 609, Reevs v. Hardy, 7 Mo. 348, Reg. V. Warburton, L. R. 1 Cr. Cas. 274; 11 Cox, C. C. 584, Regester v. Dodge, 19 Blatchf. 79; 6 Fed. Rep. 6; 61 How. Pr. 107, Regina v. Evans, 9 Jur. N. S. 184, V. McDonald, 7 Jur. N. S. 1127; 31 L. J. M. C. 67, V. McNaney, 5 Up. Can. 670 70 439 277 519 277 43 P. C. 438, - - - - 421 Rehill V. McTague (Pa.), 7 Atl. Rep. 224, - - 955, 959, 961 Reid, Ex parte, 2 Rose, 84, 155, 840, 846 V. Eatanton Mfg. Co. 40 Ga. 98, 8 V. Godwin, 43 Ga. 527, 188, 884 V. Hollinshead, 4 B. & C. 867 ; 7 Dow. & Ry. 444, - 60, 65, 258, 406 V. McLeod, 20 Ala. 576, - 1125 V. McQuesten, 61 N. H. 421, ... - 780, 868 Reilly v. Reilly, 14 Mo. App. 62, 167, 169 V. Smith, 16 La. Ann. 31, 612, 017 cxlviii Rei J TABLE OF CASES. [Ria Reilly v. Walsh, 11 Irish Eq. OQ - - . . - - 313 Eeirasdyk v. Kane, 1 Gall. 630, - - - 204, 441, 705 Eeinheimer v. Hemingway, 35 Pa. St. 432, - - - - 1111 Reis V. Hellman, 25 Oh. St. 180, - - 158, 761, 870, 871 Reiter v. Morton, 96 Fa. St. 229, - - - 210, 591, 873 Remick v. Emig, 42 111. 342, - 181, 727 Remington v. Allen, 109 Mass. 47, 275 V. Cunimings, 5 Wis. 138, 377, 380 Rencher v, Anderson, 95 N. Ca. 208, .... 944 Rend v. Boord, 75 Ind. 307, - 348 Renfrew v. Pearce, 68 111. 125, 545, 790 Renfro v, Adams, 62 Ala. 302, 389 Renny's Patent Button-Hole- ing Co. V. Somervell, 38 L. T. N. S. 878; 26 W. R. 786, - 669 Reno V. Crane, 2 Blackf. 217, 266 Rensselaer Glass Factory v. Reid, 5 Cow. 587, 785, 786, 788 Renton v. Chaplain, 9 N. J. Eq. 62, 311, 583, 584, 585, 754, 756, 993, 999, 1111 Reppert v. Colvin, 48 Pa. St. 248, 703 Reubin v. Cohen, 48 Cal. 545, 367 Revis V. Lamme, 2 Mo. [207] 168, 1049 Rex V. Dodd, 9 East, 516, 73, 457 V. Hodgson, 12 Price, 537, 831 V. Manning, Comyn, 616, 468 V. Rock. 2 Price, 198, - 831 V. Sanderson, Wightwick, 50, 831 Reynell v. Lewis, 15 M. & W. 517; 1 Sim. N. S. 178, - 79, 89, 99 Reynold v. Bullock, 47 L. J. Ch. 773; 39 L, T. N. S. 443; 26 W. R. 678, - - 661, 665 Reynolds v. Austin, 4 Del. Ch. 24, 581, 1003 V. Bowley, L. R. 2 Q. B. 474, ... - 155, 840 ■ V. Cleveland, 4 Cow. 282 (15 Am. Dec. 369), - - 445 V. Hicks, 19 Ind. 113, 164, 168 V. Mardis, 17 Ala. 32, - 781 V. Patrick, 52 Mich. 590, - 634 V. Pool, 84 N. Ca. 37 (37 Am. Rep. 607), - - - 61 V. Ruckman, 35 Mich. 80, 286, 295 V, Toppan, 15 Mass. 370, - 45 V. Waller, 1 Wash. (Va.) 164, 472 Rhea v. Tathem, 1 Jones (N. Ca.), Eq. 290, - - 312, 589 — — V. Vannoy, 1 Jones, Eq. (N. Ca.) 282, - - - - 589 Rheam v. Smith, 2 Ph. 726, - 934 Rhett V. Poe, 2 How. 457, - 399 Rhiner v. Sweet, 2 Lans. 386, 455, 888, 973 Rhodes v. Amsinck, 38 Md. 345, - - - 377, 379, 935 V. McKean, 55 Iowa, 547, 365, 647 V. Williams, 12 Nev. 20, 290, 544, 566, 933, 970, 977 Rhoton's Succession, 34 La. Atm. 893, - ... 544 Rianhard v. Hovey, 13 Oh. 300, 73 Riarl v. Wilhelm, 3 Gill (Md.), 356, - - - 856, 858, 863 Rice, Appellant, 7 Allen, 112, 746, 749, 750 , Re, 9 Bankr. Reg. 373, - 832 V. Austin, 17 Mass. 197, 33, 47, 59, 257 V. Barnard, 20 Vt. 479 (50 Am. Dec. 54), - - 13, 824 V. Barrett, 116 Mass. 312, 109 V. Barry, 2 Cranch, C. C. 447, 365 V. Culver, 32 N. J. Eq. 601, 897 cxlix Ric] TABLE OF CASES. [Rig. Rice V. Doniphan, 4 B. Mon. 123, 1085 V. McMartin, 30 Conn. 573, - - - 387, 680, 685 V. Richards, Busb, (N. Ca.) Eq. 277, - - - 716, 722 V. Shute, 5 Burr. 2611, - 454, 457 V. Wolflf, 65 Wis. 1, - - 515 V. Woods, 21 Pick. 30, 883, 385 Rich T. Davis, 4 Cal. 22, - 352, 353 V. Davis, 6 Cal. 141, - - 352 V. Davis, 6 Cal. 1G3, - 150, 154 V. Flanders, 39 N. H. 304, 701, 1140 V. Husson, 4 Sandf. 115, - 1168 V. Roberts, 48 Me. 548 ; 50 id. 395, 179 Richards v. Baurman, 65 N. Ca. 162, - - - 572, 577, 998 V. Burden, 59 Iowa, 723, - 795 V. Butler, 65 Ga. 593, - 628 V. Davies, 2 Russ. & M. 347, .... 910, 913 V. Fisher, 2 Allen, 527, - 383, 635, 884 V. Grinnell, 63 Iowa, 44 (50 Am. Rep. 727), 32, 302, 815, 949, 951 V. Haines, 30 Iowa, 574, - 1106, 1113 V. Heather, 1 B. & Aid. 29, - - - - 714,724,746 V. Hunt, 65 Ga. 342, - 628 V. Hunter, 2 B. & B. 302, 724 V. Manson, 101 Mass. 482, 285, 560, 584 V. Todd, 127 Mass. 167, 595, 775, 780, 805, 897 Richardson, Ex parte, 3 Madd. 138, 600 , Re, 5 L. J. Ch. 129, - 906 , Re, 11 Bankr. Reg. 114, - 1131 V. Adler, 46 Ark. 43, - 1131 V. Bank of England, 4 Myl. & Cr. 1G.5, - 851, 883, 971 V. Coddington, 49 Mich. 1, 496 Richardson v. Dickinson, 6 Foster (26 N. H.), 217, - - 169 V. Farmer, 36 Mo. 35, 156, 445 V. French, 4 Met. 577, 341, 483 V. Fuller, 2 Oreg. 179, - 377 V. Hastings, 7 Beav. 323, 914 V. Huggins, 23 N. H. 106, 200, 453 V. Hughitt, 76 N. Y. 55 (32 Am. Rep. 267), - - 23, 47, 49 V. Humphreys, Minor (Ala.), 383, - ... 449 V. Lester, 83 111. 55, - - 406 V. Moies, 31 Mo. 430, 694, 698, 707 V. Pitts, 71 Mo. 128, - 5 V. Smith, 21 Fla. 336, - 1049 V. Snider, 72 Ind. 425 (37 Am. Rep. 1G8), - - - 625 V. Tobey, 3 Allen, 81, 557, 560 V. Turner, 36 Mo. 35, - 157 V. Wyatt, 2 Desaus, 471, • 290, 761, 764, 766, 978, 979 Riches, Re, 5 N. R. 287, - - 362 Richmond v. Heapy, 1 Stark. 202, .... 1035, 1038 V. Judy, 6 Mo. App. 465, 75 Richter v. Poppenhausen, 42 N. Y. 373 (9 Abb. Pr. N. S. 263; 39 How. Pr. 82), 52, 53, 747, 750 Rick V. Neitzy, 1 Mackey (D. C), 21, 909 Ricker v. American Loan & Trust Co. 140 Mass. 346, - 72 Ricketts v. Bennett, 4 C. B. 686, 320 Rickey v. Bowne, 18 Johns. 131, 899 Ridenour v. Mayo, 40 Oh. St. 9, 6, 1158 Ridgen v. Pierce, 6 Mad. 353, 974 Ridgway v. Clare, 19 Beav. Ill, 828 V. Grant, 17 111. 117, - 890 Rieser, Re, 19 Hun, 202, - 836, 837 Ridden v. Pierce. 6 Madd. 244 353, cl Eia.] TABLE OF CASES. [Rob. Riggs V. Hawley, 116 Mass. 596, 958 Riley v. Noyes, 45 Vt. 455, - 469 Rimel v. Hayes, 83 Mo. 200, 91, 98, 109, 317, 1151 Riper v. Poppenhausen, 43 N. Y, 68 (see Richtei- v, Poppen- hausen), ... - 750 Ripley v. Colby, 28 N. H. 438, 1142 V. Kingsbury, 1 Day, 150, n. a, 439 V. People's Savings Bank, 18 lU. App. 430. - - - 1103 V. Thompson, 12 Moore, 55, 1168 Rippey v. Evans, 22 Mo. 157, 101. 109 Rishton v. Grissell, L. R. 5 Eq. 326, . - - . 781, 922 Ritchie v. Kinney, 46 Mo. 298, 547 V, Moore, 5 Munf. (Va.) 388 (7 Am. Dec. 688), - - 1081 Rittenhouse v. Leigh, 57 Miss. 697, . - - - 97, 136 Rix, Ex parte, Mont. 237, - 835 V. Elliot, 1 N. H. 184, - 1125 Rizer v. James, 26 Kan. 221, - 04, 1155 Roach V. Brannon, 57 Miss. 490, 726, 728, 731, 746, 1117, 1120 V. Ivey, 7 S. Ca. 434, 570, 955, 959, 963 V. Perry, 16 111. 37, 181, 770 Roache v. Pendergast, 3 Har. & J. 33, 575 Roakes v. Bailey, 55 Vt. 542, - 612 Robb v. Bailey, 13 La. Ann. 457, 1067 V. Mudge, 14 Gray, 534, - 503, 551, 691, 833 V. Stevens, Clarke, Ch. (N. Y.) 191, - - - 552, 560, 824 Robbins v. Fuller, 24 N. Y. 570, - - 681, 686, 687, 689 V. Laswell, 27 111. 365, 35, 56, 216, 257, 972 V. Willard, 6 Pick. 464, - 1151 Roberts' Appeal, 93 Pa. St. 407, - 317, 321, 329, 363, 424 Roberts v. Adams, 8 Porter (Ala.), 297 (33 Am. Dec. 291), 691 V. Atwood, 8 B. Mon. 209, 1073 V. Barrow, 53 Ga. 314, - 367 V. Cuffin, 2 Atk. 112. - 960 V. Fitler, 13 Pa. St. 265, - 850 V. Gr is wold, 35 Vt. 498, - 650, 655 V. Johnson, 58 N. Y. 613, 471 V. Kelsey, 38 Mich. 602, - 580, 738 V. Law, 4 Sandf. (N. Y.) 642, '738 V. McCarty, 9 Ind. 16, 282, 290, 823 — V. McKee, 29 Ga. 161, - 990 — V. Oldham, 63 N. Ca. 297, 848, . 1114 — V. Pepple, 55 Mich. 367, - 347. 1094 — V. Ripley, 14 Conn. 543, 884, 893 — V. Roberts, 8 Rich. L. 15, 847 — V. Rowan, 3 Harr. (Del.) 314, 1049 — V. Shepard, 3 Daly, 110, 339 — V. Spencer, 123 Mass. 397, 617, 621 — V. Strang, 38 Ala. 566, 385, 534 V. Totten, 13 Ark. 609, 761, 764, 961. 964 V. Yarboro, 41 Tex. 449, 1170 Robertshaw v. Hanway, 52 Miss. 713, - 290, 719, 746, 1131 Robertson v. Baker, 11 Fla. 193, - - 281, 551, 559, 561 V. Corsett, 39 Mich. 777, 173, 282 V. Findley, 31 Mo. 384. - 634 V. Gibb, 38 Mich. 165, 970, 983 V. Jones, 20 New Bruns- wick, 267, - - - - 446 V, Lockie, 15 Sim. 285; 10 Jur. 533, - - - 574, 581 V. Mcllhenny, 59 Tex. 615, 1029 V. Miller, 1 Brock. 428, - 217 cli Rob.] TABLE OF CASES. [Roa. Robertson v. Mills, 3 Harr. & Gill, 93, 1163 V. Quiddington, 28 Beav. , 529, ... - 657, 673 V. Read, 17 Gratt. 544, - 810 V. Smith, 18 Johns. 459, 535 Robias v. Warde, 111 Mass. 244, . - - - 981, 1147 Robinson's Case, 6 DeG. M. & G. 572, 73 Robinson, Ex parte, 3 Dea. & Ch. 37G ; 1 Mont. & A. 18, - 755 V. Aldridge, 34 Miss. 352, 347, 361, 362 V. Anderson, 20 Beav. 98 ; 7 D. M. G. 289, - 181. 770, 780 V. Ashtou, L. R. 20 Eq. 25, 256, 284 V. Bland, 2 Burr. 1086. - 758 V. Bullock, 58 Ala. 618, 61, 876 V. Crowder, 4 McCord (S. Ca.), L. 519 (17 Am. Dec. 762), - 299, 338, 340, 417, 418 V. Crowde]-, 1 Bail. (S. Ca.) 185, 1120 V. Davison, L. R, 6 Exch. 269, - - - 224, 770, 780 V. GilQllan, 15 Hun, 267, 261, 274, 981 V. Gleadow, 2 Bing. N. Cas. 156, .... 409 — V. Goings, 63 Miss. 500, - 466, 467, 408 V. Green, 5 Harr. (Del.) 115, - 854, 1135, 1136, 1139 V, Gregory, 29 Barb. 560, 340 V. Haas, 40 Cal. 474, 62, 1143, 1153 V. Hall, 3 Met. 301, - - 1128 V. Hofman, 4 Bing. 562; 1 Moo. & P. 474, - — V. McFaul, 19 Mo. 549, - — V. Mcintosh, 3 E. D. 381 1167 Smith, 22, - - - - 1015 — V. Magarity, 28 111. 423, - 191 — V. Mansfield, 13 Pick. 139, 1022 — V. Marchaut, 7 Q. B. 918, 1032 Robinson v. Moriarity, 2 G. Greene (Iowa), 497, - - 543 V. Robinson, 10 Me. 240, - 458 V. Taylor, 4 Pa. St. 242, - 695 V. Tevis, 38 Cal. 611, 180, 1102, 1103 V. Thompson, 1 Vernon, 465, .... 432, 958 V. Thompson, Sm. & Mar. Ch. (Miss.) 454, - - - 722 V. Turner, 3 G. Greene (Iowa), 540, ... - 1163 V. Ward, 13 Oh. St. 293, 176 V. Wilkinson, 3 Price, 538, .... 420, 525 V. Williams, 8 Met. 454, 858, 863 V. Worden, 33 Mich. 316, 623 V. Wright, Brayton (Vt.), 22, 738 Robley v. Brooke, 7 Bligh, 90, 265 Robson V. Curtis, 1 Stark. 78, 853, 872 V. Drummoud, 2 B. & Ad. 303, - - - - 710, 1020 Rochester v. Monteath, 1 Den. 402 (43 Am. Dec. 681), - 193 V. Trotter, 1 A. K. Mar. (Ky.) 54, .... 361 Rockwell V. Wilder, 4 Met. 556, - - - 861, 864, 881 Roddin, Re, 6 Biss. 377, - 453, 829 Rodcnv. Roland, 1 Stew. (Ala.) 266, 1121 Rodes V. Rodes, 6 B. Mou. 400, 766 Rodgers v. Maw, 15 M. & W. 444; 4 Dow. & L. 66, - 532, 533 V. Meranda, 7 Oh. St. 179. 824, 825, 828, 832, 836, 837 Rodriguez v. Hcffernan, 5 Johns. Ch. 417, - - - 184 Rogers v. Batchelor, 13 Pet. 221, .... 1038, 1040 v. Coit, Hill, 323, - - 441 V. Nichols, 20 Tex. 719, - 263, ■552, 554,1101, 1109 clu Roo.] TABLE OF CASES. [Eow. Rogers v. Nuckolls, 2 Colorado, 281, 1073 V. Rogers (Conn.), 21 Rep. 394, 674 V. Rogers, 5 Ired. (N. Ca.) Eq. 31, - - - - 900, 905 V. Suttle, 19 lU. App. 163, 1145, 1154 V. Taintor, 97 Mass. 291, 198, 670, 671 Rolirbough v. Reed, 57 Mo, 293, 1065 Rolfe V. Dudley, 58 Mich. 208, 465 V. Flower, L. R. 1 P. C. 27, 512, 530 — V. Rolfe, 15 Sim. 88, - 677 Rollins V. Stevens, 31 Me. 454, 349, 358 Rolston V. Click, 1 Stew. (Ala.) 526, .... 349, 363 Romain v. Garth, 3 Hun, 214, 383 Roney v. Buckland, 4 Nev. 45, 341, 370, 373, 1170 Rooke V. Nisbet, 50 L. J. C)i. 588; 29 W. R. 843, - 803, 804 Roop V. Herron, 15 Neb. 73 (commented upon in 17 id. 489), . 173, 553, 562, 563, 593 V. Rogers, 5 Watts, 193, - 1115 Roosvelt V. McDowell, 1 Ga. 489, 750 Root V. Gay, 64 Iowa, 399, 257, 1133 Rootes V. Wellford, 4 Munf. (Va.)215, .... 700 Rooth V. Quin, 7 Price, 193, 335, 618 Roots V. Salt Co. 27 W. Va. 483, - 406, 689, 693, 694, 770 Ropes V. Upton, 125 Mass. 258, 676, 678 Rose V. Baker, 13 Barb. 230, - 447, 524, 537 V. Coffield, 53 Md. 18 (36 Am. Rep. 389), - - 613, 618 - — V. Guun, 79 Ala. 411, 737, 737 V. Keystone Shoe Co. (Sup. Ct. Pa. 1886) 18 Weekly Notes, 585, - - - - 567 Rosenfeld v. Haight, 53 Wis. 260 (40 Am, Rep. 770), 17, 49, 50 Rosenkrans v. Barker, 115 111. 331, . - 466, 467, 468, 469 Rosenstiel v. Gray, 112 111. 282, 161, 167, 184, 917, 918, 931, 971, 972 Roseuzweig v. Thompson, 66 Md. 593, . . - 934, 926 Ross V. Cornell, 45 Cal. 133, - 570, 849, 852. 859 V. Drinker, 2 Hall, 415, - 43 V. Everett, 12 Ga. 30, . 1055 V, Henderson, 77 N. Ca. 170, 184, 285, 291, 295, 834, 1099, nil, 1112 V. Howell, 84 Pa. St. 129, 377 V. McLauchlan, 7 Gratt. 86, 963 V. Parky ns, L. R. 20 Eq. 331, 43 V. Pearson, 21 Ala. 473, - 723, 736, 738 V. Titsworth, 37 N. J. Eq. 333, . - . 834, 935, 1006 V. West, 2 Bosw. 360, . 893 Roth V. Colvin, 33 Vt. 135, 338, 353, 354 V. Moore, 19 La. Ann. 86, 446 Rothwell V. Humphreys, 1 Esp. 406, .... 370 Roulston V. Washington, 79 Ala. 529,r .... 908 RoLiten V. Bostwick, 59 Ala, 360, 980 Routh V, Peach, 3 Anstr. 637, 234 V. Webster, 10 Beav. 561, 672, 990 Rowand v, Fraser, 1 Rich. (S. Ca,) L. 335, .... 543 Rowe V. Wood, 2 Jac, & W, 589, 313 Rowland, Re, L, R, 1 Ch. App. • 421, . - . . *. 105 V, Boozer, 10 Ala. 690, 301, 303, 893 V. Long, 45 Md. 439, . 4 1, 56 cliii Row.] TABLE OF CASES. [Sag. Rowland v. Header Furniture Co. 38 Oh. St. 269, - - 4 V. Miller, 7 Phila. 3G2, - 812 Rowlands v. Evans, 30 Beav. 202, ... - 581, 977 Rowlandson, Ex parte, 1 Rose, 89, IG, 44 Rowley v. Adams, 8 Jur. 994, 288 V. Stoddard, 7 Johns. 207, 385 Rowsey v. Lynch, 61 Mo. 560, 636 Royal Canadian Bank v. Wil- son, 24 Up. Can. C. P. 362, 199, 354, 360, 362 Royer v. Aydelotte, 1 C. S. C. R. 80, 480 Roys V. Vilas, 18 Wis. 169, 722, 731. 743, 976 Royster v. Johnson, 73 N. Ca. 474, ... - 772, 919 Ruckman v. Decker, 23 N. J. Eq. 283 (rev. in part, 28 id. 614), - - 35, 331, 391, 685 Ruddick v. Otis, 33 Iowa, 402, 43, 56, 1170 Ruffin, Ex parte, 6 Ves. 119, 544, 550, 551, 559, 679 Ruffner v. Hewitt, 7 W. Va. 585, 680 V. Hewitt, 14 W. Va. 737, 938 V. McConnel, 17 111. 212 (63 Am. Dec. 362), - - 299 Ruhev. Burnell, 121 Mass. 450, 1151, 1152 Ruhl V. Phillips, 2 Daly, 45, - 560 Rumery v. McCuUoch, 54 Wis. 565, - - - 338, 339, 340 Runyon v. Brokaw, 5 N. J. Eq. 340, 234 Rupp, Re, 4 Bankr. Reg. 25, - 1131 Rushing v. Peoples, 42 Ark. 390, .... 257,260 Rushton V. Rowe, 64 Pa. St. 63, 1 124 Russ V. Fay, 29Vt. 381, - - 1105 Russell v. Annable, 109 Mass. 72 (12 Am. Rep. 665j, - 321, 347 416, 423 • V. Byron, 2 Cal. 86, - 849, 856 Russell V. Convers, 7 N. H. 343, 1045 V. Green, 10 Conn. 269, 32. 382, 490, 788, 982 V. Grimes, 46 Mo. 410, 8«7, 893 V. Leland, 12 Allen, 349, - 585, 904 V. Lennon, 39 Wis. 570 (20 Am. Rep. 60), - - 1131, 1132 V. Miller, 26 Mich. 1, - 545 V. Minnesota Outfit, 1 Minn. 162, - - 70, 884, 892 V. Perkins, 1 Mason, 368, 655 V. Russell, L. R. 14 Ch. D. 471, .... 233, 241 V. Swan, 16 Mass. 314, - 1017 Rust V. Chisholm, 57 Md. 376, 285, 707 V. Hauselt, 9 Jones & Sp. 467 (aflfd. 76 N. Y. 614), 347, 363 Ruth V. Lovvrey, 10 Neb. 260, 825, 1066 Rutland Marble Co. v. Ripley, 10 Wall. 339, - - 571, 991 Rutledge v. Squires, 23 Iowa, 53, 347, 447 Rutter V. Sullivan, 25 W. Va. 427, 1050 Ryder v. Gilbert, 16 Hun, 168, 181, 446, 1114 V. Wilcox, 103 Mass. 24, 17, 32, 35, 873, 878 Ryerson v. Hendrie, 22 Iowa, 480, 315 Ryhiner v. Feickert, 92 111. 305 (34 Am. Rep. 130), - - 1142 s. Sabin v. Cooper, 15 Gray, 532, 1125 Sadler, Ex parte, 15 Ves. 52, - 832, 834 V. Lee, 6 Beav. 324, 471, 474, 480, 581 V. Nixon, 5 B. & Ad. 936, 852 Sage V. Chollar, 21 Barb. 596, 560 V. Ensign, 2 Allen, 245, - 705 cliv Sag.] TABLE OF CASES. [Sar. Sage V. Sherman, 2 N. Y. 417, 201, 279, 292, 299, 322, 1050 V. Woodin, 6G N. Y. 578, 743 Sager v. Tupper, 38 Mich. 258, 1143, 1144, 1155, 1159 Sailors v. Nixon-Jones Printing Co. 20 111. App. 509, - - 17, 88 St. Armand v. Long, 25 La. Ann. 167, - ... 156 St. Aubyn v. Smart, L. R. 3 > Ch. App. 646, - - - 474 St. Barbe, Ex parte. 11 Ves. 413, 837 St. Denis v. Saunders, 36 Mich. 369, - - - - 61, 970 St. James Club, 2 De G. M. & G. 383, 75 St. John V. Hendrickson, 81 Ind. 350, .... 897 V. Holmes, 20 Wend. 609, 380 St. Louis Ins. Co. v. St. Louis, Vandalia, etc. R. R. 104 U. S. 146 (3 Am. & Eng. R. R. Cas. . 563), 66 St. Louis Type Foundry v. Wis- dom, 4 Lea, 695, - - - 494 St. Niciiolas BIj. v. Savery, 13 Jones & Sp.(45 N. Y. Superior Ct.) 97, - - - - 358, 363 St. Victor V. Daubert, 9 La. 314, 43 Sale V. Dishman, 3 Leigh (Va.), 548, - - 420, 423, 747, 750 Salmon v. Davis, 4 Binn. (Pa.) 375 (5 Am. Dec. 410), - 3S1, 1035 Saloy V. Albrecht, 17 La. Ann. .75, - - 562, 566, 583, 756 Salsbury v. Ellison, 7 Colorado, 167 (49 Am. Rep. 347), - 726, 732 Salt Co. V. Guthrie, 35 Oh. St. 666, 112 Salter v. Ham, 31 N. Y. 321, - 47 Saltmarsh v. Bower, 22 Ala. 231, - - - 351, 370, 448, Saltoun V. Houstoun, 1 Bing. 433, - 239, 457, 635, 643, 879 Sampson v. Shaw, 101 Mass. 145, - - - 112, 119, 749 Sanborn v. Dwinell, 135 Mass. 336, 934 V. Royce, 132 Mass. 594 (21 Am. Law Reg. N. S, 799), 1106 V. Sanborn, 11 Grant's Ch. (Up. Can.) 359, - 290, 297 Sander v. Hoffman, 64 N. Y. 248 (rev. 7 J. & Sp. 307), - 677 V. Sander, 2 Coll. 276, - 581 Sanders v. Knox, 57 Ala. 80, - 496 V. Pepoon, 4 Fla. 465, - 407 V. Scott, 68 Ind. 130, - 788 V. Young, 31 Miss. Ill, - 584, 1101, 1105, 1109 Sanderson v. Milton Stage Co. 18 Vt. 107, - - - 575, 607 V. Sanderson, 17 Fla. 820, 789, 793, 925, 947 V. Sanderson, 20 Fla. 293, 787, 793 V. Stockdale, 11 Md. 563, 562, 563, 939 Sandham, Ex parte, 4 Deac. & Ch. 812, 512 Sandusky, Re, 17 Bankr. Reg. 452, .... 847, 848 Sandy v. Randall, 20 W. Va. 244, 949 Sanford v. Mickles, 4 Johns. 224. .... 690, 695 Sanger v. Overmier, 64 Tex. 57, - - - - 1086, 1088, 1091 Sangster v. Mazarredo, 1 Stark. 161, - - - - 331 Sangston v. Hack, 52 Ind. 173, 43, 216, 217, 775, 785, 789, 814, 952, 978 San Jose Indiano, 2 Gall. 268, 191, 793 Sankey v. Columbus Iron Works, 44 Ga. 228, 32, 43, 1151, 1158 Sanson v. Lathrop, 25 Barb. 455, 825 Santa Clara Min. Ass'n v. Quicksilver Min. Co. 17 Fed. Rep. 657 ; 8 Sawy. 330, - - 907 Sarchet v. Sarcbet, 2 Oh. 320, 920 civ Sar.] TABLE OF CASES, [SCO. Sargent v. Collins, 3 Nev. 260, 1150 V. Downey, 45 Wis. 498, - 68 V. Franklin Ins. Co. 2 Pick. 90, .... 333 Satterthwait v. Marshall, 4 Del. Ch. 337, - - - 1012, 1013 Sanfley v. Howard, 7 Dana, 367, - - 80, 84, 101, 323, 459 Saul V. Kruger, 9 How. Pr. 569, 277 Saunders v. Bartlett, 12 Heisk. 316, 1105 V. Bcntly, 8 Iowa, 516, - 1086 V. Duval, 19 Tex. 467, 978, 979 V. Rcilly, 105 N. Y. 12, - 190, 565, 567, 824, 829, 1130 V. Wood, 15 Ark. 24, 930, 938 Sauntry v. Dunlap, 12 Wis. 364, 1045 Sauthoff, Re, 8 Biss. 35; 16 Bankr, Reg. 181; 5 Am. Law Rec. 173, - SCO, 564, 1131, 1133 566 -, Re, 16 Bankr. Reg. 316, Savage, Re. 16 Bankr. Reg.3G8, 825, 836, 837 V. Carter, 9 Dana, 403, - 188, 550, 552, 766, 973, 1111 V. Putnam, 32 N. Y. 501, 187, 534, Savannah v. Hines, 53 Ga. 616, 175 Savery v. Thurston, 4 111. App. 55, - - - 231, 815 Saville v, Robertson, 4 T. R. 720, 71, 80 Savings Bk. v. Wulfekuhler, 19 Kan. 60, - - - - 394 Savings & Loan Soc. v, Gibb, 21 Cal. 595, - - - - Sawyer v. Proctor, 2 Vt. 580, - v. Tappan, 14 N. H. 352, - 569 899 495 581 Sayer v. Bennett, 1 Cox, 107, ■ Saylor v. Mockbie, 9 Iowa, 209, 544, 994, 1002 Sayre v. Peck, 1 Barb. 464, - 960 Scanlon v. Union F. Ins. Co. 4 Biss. 511, - - - - 271 Scarf V. Jurdine, L. R. 7 App. Cas. 345, 109, 517, 612, 626, 1054 Schaeffer v. Fithian, 17 Ind. 463, .... 568, 824 Schalck v. Harmon, 6 Minn. 265, - 180, 680, 754, 824, 1111 Scharringhausen v. Luebsen, 52 Mo. 337, - - - - 247 Schenkl v. Dana, 118 Mass. 236, ... - 773, 773 Schermerhorn v. Schermer- horn, 1 Wend. 119, - 349, 363 Schiele v. Healy, 61 How. Pr. 73, 561, 566 Sch later v. Winpenny, 75 Pa. St. 321, - - - 611, 631, 708 Schraidlapp v. Currie, 55 Miss. 597 (30 Am. Rep. 530), 565, 5G8, 835 Schmidt V. Lebby, 11 Rich. Eq. 329, 955 Schmertz v. Shreeve, 63 Pa. St. 457 (1 Am. Rep. 439), 416, 418 Schnader v. Schnader, 26 Pa. St. 384, 1162 Schneider v. Sansom, 62 Tex. 201 (50 Am. Rep. 531), - - 403 Scholefield v. Eichelberger, 7 Pet. 586, - - - 580, 598 Schoneman v. Fegley, 7 Pa. St. 433, 696 Schooner Ocean Belle, 6 Ben. 253, 908 Schooner Steelman, 5 Hughes, C. C. 210, - . - - 496 Schorten v. Davis, 21 La. Ann. 173, 613 Schreiber v. Sharpless, 6 Fed, Rep. 175, - - - - 468 Schriber v. Rapp, 5 Watts, 351, 13 Schuchardt, In re, 15 Bankr. Reg. 161, - . - 472 Schulte v, Anderson, 13 Jones & Sp. 489 (45 N. Y. Superior Ct.), .... 810,817 Schwabacker v. Riddle, 84 III. 517, 473a Scott's Appeal, 88 Pa. St. 173, 533, 845, 846 clvi SCO.] TABLE OF CASES. [See. Scott V. Bandy, 2 Head, 197, - 349, 364, 1168 V. Beale, 6 Jur. N. S. 559, 497 V. Bogait, 14 La. Ann. 2G1, 1085 V. Campbell, 30 Ala. 728, 26, 850, 874, 876 V. Caruth, 50 Mo. 120, 849, 853, 858 V. Clark, 1 Oh. St. 382, 169, 770 V. Colmeanil, 7 J. J. Mar. 416, 156, 157, 454, 525, 535, 608 V. Conway, 58 N. Y. 619, 139, 1052 V. Dansby, 12 Ala. 714, - 347. 362, 1152 V. Goodwin, 1 B. & P. 67, 1016 V. Green, 89 N. Ca. 278, - 904, 905 V. Jones, 5 Ala. 694, - 1167 V. Kenan, 94 N. Ca. 296, - 1131 V. Mcintosh, 2 Camp. 238, 865 V. McKinney, 98 Mass. 344, 265 V. Miller, H. V. Johns. 220, 110 V. Pinkerton, 3 Edw. Ch. 70, 930, 938 V. Ray, 18 Pick. 360, - 495 V. Rayment, L. R. 7 Eq. 112, .... 870, 1012 V. Rowland, 26 L. T. N. S. 391 ; 20 W. R. 508, - 671, 672 V. Searles, 5 Sm, & Mar. 25, 738 V. Shipherd, 3 Vt. 104, - 384, 406, 449, 979 V. Trent, 1 Wash . (Va. ) 77, 412, 1079 V. Trent, 1 Wash. (Va.) 526, 381 V. Tupper, 8 Sm. & Mar. 280, - - 731, 732, 741, 1001 Scottin V. Stanley, 1 Dall. 129, 70 Scotto V. Bryan (N. Ca. 1887) ; 3 S. E. Rep. 235, - - - 760 Scovill V. Kinsley, 13 Gray, 5, 640 Scripture v. Gordon, 7 Up. Can. C. P. 164, - - - 852 Scroggs V. Cunningham, 81 111. 110, 788 Scruggs V. Blair, 44 Miss. 406, 281, 294, 297, 1117 V. Burruss, 25 W. Va. 670, 338, 1099, 1111 V. Russell, McCahon (Kan.), 39, - - 281, 301, 790 Scrugham v. Carter, 12 Wend. 131, - - 1105, 1109, 1111 Scudder v. Ames, 89 Mo. 496, 742, 770 V. Delashmut, 7 Iowa, 39, - - - - - 188, 550 Scull's Appeal (Pa. 1886), 7 Atl. Rep. 588, - . . 106, 1149 Scull V. Alter, 16 N. J. L. 147, 519, 556, 558, 842 Sculthorpe v. Bates, 5 Up. Can. Q. B. 318, - - - 1149 Seabrook v. Rose, 2 Hill (S. Ca.), Ch. 553, - . . 70 Seaman v. Ascherman, 57 Wis. 547, - - - 320, 325 V. Huffaker, 21 Kan. 254, 188, 550 868 V. Johnston, 46 Mo. Ill, - V. Waddington, 16 Johns. 510, Sears v. Munson, 23 Iowa, 380, 582 63, 773 Sechel v. Mosenthal, 30 Beav. 371, 1010 Second Nat'l Bk., Appeal of, 83 Pa. St. 203, - - - - 289 Second Nat'l Bk. v. Farr (N. J.), 7 Atl. Rep. 892, - - 560 Secor V. Keller, 4 Duer, 416, - 1022 Sedam v. Williams, 4 McLean, 51, - - - - 504, 535, 552 Sedgwick v. Lewis, 70 Pa. St. 217, 352 Seekell v. Fletcher, 53 Iowa, 333, - - 201, 439, 444, 1158 Seeley v. Boehm, 2 Madd. 176, 925 Seely v. Schenck, 2 N. J. L. 75, 1018, 1065 clvii See.] TABLE OF CASES. [Sha. Seely v. Beck, 42 Mo. 143, - 111 Seelyi; v. Taylor, 33 La. Ann. 1115, 849 Seguin's Appeal, 103 Pa. St. 139, 485 Seighortner v. Weissenborn, 20 N. J. Eq. 172 (rev. in part in 31 id. 483), 577, 591, 593, 851 Selden v. Bank of Commerce, 3 Minn. 166, - - - 349, 363 Seldner. v. Mt. Jackson Nat'I Bk. 66 Md. 468, - - 399, 696 Seligman v. Kalkman, 17 Cal. 152, ... - 753, 935 Selking v. Jones, 53 Ind. 409, 381 Sellers v. Streater, 5 Jones, L. 261, .... 416, 421 Sellew V. Chrisfield, 1 Handy, 86, 1117 Sells V. Hubbell, 2 Johns. Ch. 394, . - - - 531, 739 Selzer v. Beale, 19 W. Va. 274, 969, 981 Sessions, Ex parte, 2 Up. Can. Chy. Cham. 360, - - - 743 Sessums v. Henry, 38 Tex. 37, 439 Settembre v. Putnam, 30 Cal. 490, 167, 187, 792, 795, 930, 931, 933 Settle V. Davidson, 7 Mo. 604, 420, 421 Setzer v. Beale, 19 West Va. 274, 158, 164, 165, 166, 771, 981 Seward v. L'Estrange, 36 Tex. 295, .... 526, 694 Sewell v. Cooper, 21 La. Ann. 583, 881 Sexton v. Lamb, 27 Kan. 426, 254, 780 V. Sexton, 9 Gratt. 204, - 309 Seybold v. Green wald, 1 Dis- ney, 425, - - - 322, 370 Seymour v. Butler, 8 Iowa, 804, .... 386, 387 V. Freer, 8 Wall. 202-215, 43 V. Marvin, 11 Barb. 80, - 489 V. Western R. R. Co. 106 U. S. 320, - - Shaaber v. Bushong, 105 Pa. St. 514, 349 Shackelford v. Shackelford, 32 Gratt. 481, 552, 553, 554, 559, 500, 824, 978 Shackleford v. Clark, 78 Mo. 491, .... 826,848 Shafer's Appeal, 99 Pa. St. 246, 507 Shafer's Appeal, 106 Pa. St. 49, 289, 543, 868 Shafer v. Hockheimer, 36 Oh. St. 215, 218, .... 1063 V. Randolph, 99 Pa. St. 250, 101 Shaffer v. Snyder, 7 S. & R. 503, 623 Shaler v. Trowbridge, 38 N. J. Eq. 595, - - - 544, 790, 791 Shamburg v. Abbott, 113 Pa. St. 6, - - - - 72, 533 V. Ruggles, 83 Pa. St. 148, 153, 507, 510, 511, 512, 609 Shanahan, Re, 6 Biss. 39, - 754 Shanks V. Klein, 104 U. S. 18, 281, 294, 300, 733 Shannon v. Wright, 60 Md. 520, 994 Shapard v. Lightfoot, 56 Ala. 506, - - 1085, 1086, 1093 Sharp V. Hibbins, 42 N. J. Eq. 543, - - - 545,921,937 V. Taylor, 3 Phil. 801, 114, 125, 126 Sharpe v. Cummings, 2 Dow. & L. 504, - - - - 181 V. Johnston, 59 Mo. 557, 277, 542 Shattuck V. Lawson, 10 Gray, 405, - - - 641, 859, 864 Shatzill V. Bolton, 2 McCord, L. 478; 3 McCord, L. 33, - 1103 Shaver v. Upton, 7 Ired. L. 458, 779 V. White, 6 Munf. (Va.) 110, - - 1100, 1101, 1105 Shaw, Ex parte, 1 Glyn. & 1016 I Jam. 127, - - - - 382 clviii Sha.] TABLE OF CASES. [Sho. Shaw V. Farnsvvorth, 108 Mass. 357, 299 V. Gait, 16 Irish Com. L. 357, 43 V. Gandolfo, 9 La. Ann. 32, 819 V. McDonald, 21 Ga. 395, 184, 186, 1044 — V. McGregoiy, 105 Mass. 96, 317, 339, 347, 510, 515, 519, 520 V. Pictou, 4 B. & C. 715, - 489 V. Pratt, 22 Pick. 305, - 385 V, State, 56 Iiid. 18S, 269, 315 V. Vanduseu, 5 Up. Can. Q. B. 353, . . . - C55 Sliea V. Donahue, 15 Lea, 160, 229, 812 Shearer v. Paine, 12 Allen, 289, 164, 165, 166, 738 V. Shearer, 98 Mass. 107, 297 Shearman v. Hart, 14 Abb. Pr. 358, ... - 676, 678 Shed V. Brett, 1 Pick. 401, - 397 V. Pierce, 17 Mass. 623, - 386 Shedd V. Bank of Brattleboro, 32 Vt. 709, 377, 380, 558 1109 V. Wilson, 27 Vt. 478, - Sheedy v. Second Nat'l Bk. 62 Mo. 17 (21 Am. Rep. 407), - Sheehy v. Graves, 58 Cal. 449, V. Mandeville, 6 Cranch, 254, Sheen, Ex parte, 6 Ch. D. 235, 843, 846 Sheenefield v. Dutton, 85 111. 503, Sheffield Gas, etc. Co. v. Har- rison, 17 Bpav. 294, Sheldon v. Smith, 28 Barb. 593, Shellito V. Sampson, 61 Iowa, 40, Sliel mire's Appeal, 70 Pa. St. 281, .... 946, 1154 Shelton v. Cocke, 3 Muuf. (Va.) 191, - - - 700, 705 V. Knight, 68 Ala. 598, 770, 772, 773 184 535 836, 879 1012 339 404 Shepard, Matter of, 3 Ben. 347, 552 V. Pratt, 16 Kan. 209, 43, 1153 V. Richards, 2 Gray, 424, 864 V. Ward, 8 Wend. 542, - 331 Shepherd v. Allen, 33 Beav. 577, 597 V. Frys, 3 Gratt. 442, - 1067 Sheppard v. Boggs, 9 Neb. 257, 660, 661, 974 V. Oxenford, 1 K. & J. 491, 914 Sherburne v. Goodwin, 44 N. H. 271, 487 Sheridan v. Medara, 10 N, J. Eq. 469, .... 47 Sherman v. Christy, 17 Iowa, 322, - - 315, 346, 537, 1051 V. Elder, 1 Hilton (N. Y.), 178, - - - - 139, 140, V. Kreul, 42 Wis. 33, 109, 343, 750, 1055, 1094 Sherrod v. Langdon, 21 Iowa, 518, .... 101, 102 Sherry v. Gilmore, 58 Wis. 324, 296 Sherwood v. St. Paul & Chi. R'y, 21 Minn. 127, - - 301 V. Snow, 46 Iowa, 481 (26 Am. Rep. 155), 341, 348, 380, 370, 437, 447 Shiddell v. Messick, 4 B. Mon. 157, 794 Shields v. Fuller, 4 Wis. 102, 716, 722 V. Oney, 5 Munf. (Va.) 550, 1050 Shimer v. Huber, 19 Bankr. Reg. 414, - - - 559, 560 Shine v. Central Sav. Bank, 70 Mo. 524, ... - 193, 655 Shinnv. Macpherson, 58 Cal. 593, . - - . 545, 790 Ship man. Re, 61 How. Pr. 518, 835 Shipwright v. Clements, 19 W. R. 599, Shirley v. Fearne, 33 Miss. 653, Shirreff v. Wilks, 1 East, 48, 663 416 347, 609 Shoe and Leather Bank v. Herz, 89 N. Y. 629 (allg. 24 Hun, 260), . - - - cliz 613 Sho.] TABLE OF CASES. [Sim. Shoemaker v. Benedict, 11 N. Y. 176, 704 V. King, 40 Pa. St. 107, 503, 510 Shorbe v. Beaudry, 5G Cal. 44G, 5, 6, 5S9 Short V. Magruder, 22 Fed. Rep, 46, 1131 V. Stevenson, 63 Pa. St. 95, 307 Shorter v. Hightower, 48 Ala. 526, 1059 Skillen v. Jones, 44 Ind. 136, - 742 Shott V. Streatfield, Moo. & Rob. 9, 91 Shotwell V. Miller, 1 N. J. L. 95 [81], 385 Shouse, Ex parte, Crabbe, 482, 5G2 Shropshire v. Shepperd, 3 Ala. 733, 43 Shubrick v. Fisher, 2 Desaus. 148, 27 Shufeldt V. Seymour, 21 111. 524, 1074 Shulte V. Hoffman, 18 Tex. 678, 1008 Shurlds V. Tilson, 2 McLean, 458, 618 Shurtleff v. Willard, 19 Pick. 202, 547 Siegel V. Chidsey, 28 Pa. St. 279, - - 439, 448, 567, 583 Siegfried v. Ludwig, 102 Pa. St. 547, 695 Sieghortner v. Weissenborn, 20 N. J. Eq. 172 (partly reversed in \V. V. Seighortner, 21 id. 483), ... - 277, 993 Siffkiu V. Walker, 2 Camp. 308, .... 439, 440 Sigler V. Knox Co. Bank, 8 Oh. St. 511, - - - 5G1, 568 V. Piatt, 16 Mich. 206, - 704 Sigourney v. Munn, 7 Conn. 11; id. 824, - 281,291,295,974 Sikes V. Parker, 65 N. Ca. 232, 1170, 1171 V. Work, 6 Gray, 433, 64, 287, 864, 868 SiUitoe, Ex parte, 1 Gl. & J. 374, .... 836, 837 Silver v. St. L. I. M. & S. R'y, 5 Mo. App. 381 (afld. 72 SIo. 194), 865 Silverman v. Chase, 90 111. 37, 347, 510, 515, 749, 750 Silvers v. Foster, 9 Kan. 56, - 349, 1094 Silveus V. Porter, 74 Pa. St. 448, 136 Sim V. Sim, 11 Irish Ch. 310, - 957 Simmondsv. Swaine, 1 Taunt. 549, 234 Simmons v. Curtis, 31 Me. 373, 583, 587 V. Leonard, 3 Hare, 581, - 212, 245 Simonds v. Speed, 6 Rich. L. 390, 1049 V. Strong, 24 Vt. 642, 623, 624 Simonton v. McLain, 37 Ala. 663, 921 Simpson, In re, 9 Ch. App. 572, 563 V. Baker, 2 Black, 581, - 446 V. Chapman, 4 De G. M. 6 G. 154, - - - 745, 798 V. Feltz, 1 McCord, Ch. 213 (16 Am. Dec. 602), 36, 43, 788 V. Henniug, L. R. 10 Q. B. 406, 841 V. Leech, 86 111. 286, - 290 V. McDonough, 1 Up. Can. Q. B. 157, - - - 348 V. Schulte, 21 Mo. App. 639, .... 456, 749 Simrall v. O'Bannons, 7 B. ]\Ion. 60S, - - 849, 882, 884 Sims V. Bond, 5 B. & Ad. 389, 1020 V. Brittain, 4 B. & Ad. 375, 1020 V. Jacobson, 51 Ala. 186, 1081, 10G5 V. McEwen, 27 Ala. 184, 680, 1014 V. Ross, 8 Sm. & Mar. 557, ... - 1026, 1072 clx Sim.] TxVBLE OF CASES. [Smi. Sims V. Smith, 11 Rich. (S. Ca.) L. 5G5, - 596, G81, 682, 684, 1044 V. Willing, 8 Serg. & R. 103. - - - G7, 259, 263 Simson v. Cooke, 1 Bing. 452, 497, 653 V. Ingham, 2 B. & C. 65; 3 Dow. & Ry.' 249, 489, 490, 491, 501 Sinclair v. Wood, 3 Cal. 98, - 1147, 1158 Singer v. Heller, 40 Wis. 544, 594, 780 Singer Mfg. Co. v. Allen, 122 Mass. 467, .... 655 Singerly v. Fox, 75 Pa. St. 112, 935 Sinsheimer v. Tobias, 53 N. Y. Superior Ct. 508, - - - 636 Sir Charles Raymond's Case, cited in 2 Rose, 252, 255, - 167 Sirrine v. Briggs, 31 Mich. 443, 403, 405, 1101, 1106, 1113 Sitler V. Walker, 1 Freem. (Miss.)Ch. 77, - - - 1109 Sizer v. Ray, 87 N. Y. 220, 507, 643 Skaife v. Jackson, 1 B. & C. 421, 383 Skaunel v. Taylor, 12 La. Ann. 773, .... 518, 528 Skidmore v. Collier, 8 Hun, 50. 794 Skillen v. Jones, 44 Ind. 136, 739 Skilluian v. Lachman, 23 Cal, 199, - - 163, 329, 343, 585 Skinner v. Dayton, 19 Johns. 513 aO Am. Dec. 286), (rev. 5 Johus. Ch. 351), 72, 73, 324, 416, 420, 421, 577 V. Shannon, 44 Mich. 86 (38 Am. Rep. 232), - - 1131 V. Stocks, 4 B. & Aid. 437, 1019, 1021 V. Tinker, 34 Barb. 333, 571 Skipp V. Harwood, 2 Swanst. 586, .... 584, 1111 Skipwith V. Lea, 16 La. Ann. 247, 718 Skirving v. Williams, 24 Beav. 275, 600 Slade V. Paschal, 67 Ga. 541, 47, 48, 98 Slater v. Lawson, 1 B. & Ad. 396, .... 704, 746 Slatter v. Carroll, 2 Sandf. Ch. 573, .... 747, 750 Slaughter v. Doe ex d. Swift, 67 Ala. 494, .... 296 V. Huling, 4 Dana, 424, - 595 Sleech's Case. See Devaynes V. Noble. Slemmer's Appeal, 58 Pa. St. 168, - - - - - 577 Slipper V. Stidstone, 5 T. R. 493; 1 Esp. 47, - - - 723 Sloan V. Bangs, 11 Rich. (S. Ca.) L. 97, - - - 1019, 1164 V. McDowell, 71 N. Ca. 356, 383, 1079, 1083, 1084 V. McDowell, 24 Oh. St. 209, 425 V. Moore, 37 Pa. St. 217, 276, 404, 428, 594, 991, 994, 998 V. Owens, Lane & Dyer 407 833 Mach. Co. 70 Mo. 206, - Slocum, Re, 5 Fed. Rep. 50, V. Hooker, 13 Barb. 536 (reversing s. C. 12 id. 563), - 148 Slocumb V. Lizardi, 21 La, Ann. 355, .... 398 Sloo V. Lea, 18 Oh. 279, - . 535 V. Powell, Dallam, 467, - 421 V. State Bank of 111. 2 111. 428, .... 377, 414 Slutts V. Chafee, 48 Wis. 617, 1049 Smale v. Graves, 19 L. J. (N. S.) Ch. 157 ; 14 Jur. 662, - 668 Small V. Riddle, 31 Up. Can. C. P. 373, - - - 852, 881 Smead v. Lacey, 1 Disney, 239, 504, 510, 511, 512, 520, 558, 848 Smelting Co. v. Smith, 13 R. L 27 (43 Am. Rep. 3), . - 422 Smith's Estate, 11 Phila. 131, - 580, 731 cLxi SMI.] TABLE OF CASES. [Smi. 1105 825 971 802 603 841 Smith, Ex parte, 3 Madd. 03, - 263 , Ex parte, 1 Glyn. & J. 74, 838 , Matter of, 16 Jolins. 103 (1 Am. Ijead. Cas. 457), (now- overruled), - - - - , Re, 13 Bankr. Reg. 500, - , Re, 16 Bankr. Reg. 113, - V. Allen, 18 Johns. 245, - V. Andrews, 49 111. 28, - 184. 186 V. Ayer, 101 U. S. 320, - V. Bailey, 11 Mod. 401, - V. Barringer, 74 N. Ca. 665, .... 964, 967 V. Barrow, 3 T. R. 476, 722, 868 V. Black, 9 Serg. & R. 143 (11 Am. Dec. 686), - - 535 V. Bkitchford, 3 Ind. 184 (53 Am. Dec. 504), - - 1070 V. Bodine, 74 N. Y. 30, - 43 V. Book, 5 Up. Can. Q. B. (O. S.)556, - ... 274 V. Bryan, 60 Ga. 628, 1057, 1085 V. Bryson, Phil. (N. Ca.) Eq. 257, 923 V. Buruham, 3 Sumner, 435, .... 150, 301 V. Cahoon, 37 Me. 281, - 1104 V. Canfield, 8 Mich. 493, - 1049 V. Chenault, 48 Tex. 455, 1131, 1133 V. Cisson, 1 Colorado, 29, 334, 1146 V. Collins, 115 Mass. 888, 318, 328, 339, 341, 370, 440, 450, 451, 1154 V. Cooke, 31 Md. 174, 1049, 1050 V. Cooper, 5 Abb. New Cas. 274, - - - 669, 672 V. Craven, 1 Cr. & J. 500, 80 V. Cropper, L. R. 10 App. Cas. 249, .... V. Danvers, 5 Sandf. 669, V. Dennison, 101 111. 531, V. Duke of Chandos, Bar- nardiston, 419; 3 Atk. 453, - 1071 283 680, 687 213 clxii Smith V. Edwards, 3 liar. & G. (Md.)411, - - - - 1149 V. Edwards, 7 Humph. (Tenn.) 106, .... 551 V. Emerson, 43 Pa. St. 456, 1111 V. Evans, 37 Ind. 536, 184, 187, 937 V. Everett, 136 Mass. 304, 595 V. Everett, 27 Beav. 446, 658, 659, 664, 665, 743 V. Exchange Bank, 26 Oh. St. 141, 537 V. Fagan, 17 Cal. 178, 73, 591 V. Felton, 43 N. Y. 419, - 453 V. Garth, 33 Ala. 368, . 47 V. Goldsworthy, 4 Q. B. 430, 434 V. Gregg, 9 Neb. 313, - 1061 V. Griffith, 3 Hill. 333, - 1155 V. Hall, 5 Bo.sw. 319, - 394 V. Harris, 76 Ind. 104, - 1131 V. Hazleton, 34 Ind. 481, 761, 780, 810, 9:38 V. Hill. 13 Ark. 173, - 437 V. Hill, 45 Vt. 90 (13 Am. Rep. 189), ... - 98 V. Hoffman, 3 Cranch, C. C. 651, 446 V. Hollister, 33 Vfc. 695, 76, 1033, 1135, 1146 V. Hood, 4 lU. App. 360, 446, 507, 503 V. Howard, 20 How. Pr. 121, .... 556, 569 V. Howell, 6 Exch. 730, - 638, 640 V. Hulett, 65 111. 495, - 1151 V. Jackman, 138 Mass. 143, - - - - 617, 031 V. Jackson, 3 Edw. Ch. 38, 285 V. Jameson, 5 T. R. 601, - 487 V. Jeyes, 4 Beav. 503, 990, 994 V. Jones, 13 Me. 333, - 345 V. Kerr, 3 N. Y. 144, 393, 416, 417 V. Knight, 71 111. 148 (33 Am. Rep. 94), - 23, 47, 1167 Smi.] TABLE OF CASES. [Snb. Smith V. Ledyard, 49 Ala. 279, 703 V. Loriag, 2 Oli. 440, 349, 761 V. Lowe, 1 Edw. Ch. (N. Y.)14, 995 V. Ludlow, G Jolms. 207, 703 V. Lusher, 5 Cow. 088, 543, 882, 884 -^— V. McMicken, 3 La. Ann. 819, 1103 V. Mallory, 24 Ala. 628, - 825, 828 V. Moynihan, 44 Cal. 53, 59 V. Mules, 9 Hare, 550, 241, 269, 574, 974 V. Mulock, 1 Robt. (N, Y.) 569; 1 Abb. Pr. (N. S.) 374, 575 V. Onell, 1 East, 308, - 755 V. Orser, 42 N. Y. 132 (aff. S. C. 43 Barb. Ib7), - - 1105 V. Parkes, 16 Beav. 115, 184, 723 V. Perry, 29 N. J. L. 74, - 43 V. Ramsey, 107 Mass. 82, 283 V. Ramsey, 6 111. 373, 288, 541, 790 V. Riddell, 87 111. 105, - 877 V. Rogers, 17 Johns. 340, 519 V. Shelden, 35 Mich. 42(24 Am. Rep. 529), - - 534, 695 V. Sloan, 37 Wis. 285 (19 Am. Rep. 757), - - 329, 343 V. Small, 54 Barb. 233, 26, 274, 894 V. Smith, 5 Ves. 189, 265, 266, 284 V. Smith, 33 Mo. 557, - 856 V. Smith, 7 Foster (N. H.), 244, ... - 101, 445 V. Smith, 13 Grant's Ch. (Up. Can.) 81, - - - 601 — — V. Smyth, 42 Iowa, 493, - 439 V. Stone, 4 Gill & J. 310, 415 V. Sum merlin, 48 Ga. 425, 59 V. TarltoD, 2 Barb. Ch. 336, - - 208, 281, 801, 303 V. Teer, 21 Up. Can. Q. B. 412, .... 637, 640 Smith V. Tupper, 4 Sm. & Mar. 261. See Doe ex dem. Smith V. Tupper. V. Turner, 9 Bush, 417, 341, 418, 533, 527 V. Vanderburg, 46 111. 34, 45, 47, 48, 587, 589 V. Walker, 38 Cal. 335, - 719 V. Walker, 57 Mich. 456, 675, 1136 V. Walker, 6 S. Ca. 100, - 1018 V. Watson, 2 B. & C. 401; 8 D. & R. 751, 16, 258, 200, 1110 V. Wigley, 3 Moo. & Sc. 174, 497 V. Winter, 4 M. «fe W. 454, 690, 691, 698 V. Wood, 31 Md. 393, 716. 719, 722, 724 V. Wood, 1 N. J. Eq. 74, 918 V. Wright, 5 Sandf. 113 (affd. in part, 4 Abb. App. Dec. 274), . . . . 29, 66 Smitha v. Cureton, 31 Ala. 652, 331 Smock V. Pierson, 68 Ind. 405, 657 Smyth, Ex parte, 3 Dea. 597, 838, 843 V. Harvie, 31 111. 63, - 709 V. Strader, 9 Porter (Ala.), 446 ; 4 How. (U. S.) 404, 626, 691, 883, 884 V. Strader, 4 How. (U. S.) 404 ; S. C. 9 Porter (Ala.), 448, 626, 691, 883, 884 Snaith v. Burridge, 4 Taunt. 684, 1046 Snarr v. Small, 13 Up. Can. Q. B. 125, .... 390 Suead v. Barringer, 1 Stew. (Ala.) 134, - . . 156, 157 Sueed. v. Kelley, 3 Dana, 538, 195 V. Mitchell, 1 Hayw. (N. Ca.)289, .... 543 V. Wiester, 2 A. K. Mar. (Ky.) 277, - . 491, 495, 525 clxiii Sne.] TABLE OF CASES. [Spb. 566 886 968 259, 912 Snell V. Crowe, 3 Utah, 20, - 1105, 1103, 1113 V. De Land, 43 HI. 323, - 29 V. Dwight, 120 Mass, 9, 114, 119 Sniffer v. Sass (1828), - - 825 Snodgrass v. Reynolds, 79 Ala. 452, 78 Snow V. Howard, 35 Barb. 55, 315, 346, 1051 Snowball, Ex parte, L. R. 7 Ch. App. 534, Snyder v. Baber, 74 Ind. 47, - V. Hall, 10 111. App. 235, - V. Lunsf ord, 9 W. Va. 223, 261, 347, 410, 5G5 V. Walford, 33 Minn. 175, 302 Society of Prac. Knowledge v. Abbott, 2 Beav. 559, - Sodiker v. Applegate, 24 W, Va. 411 (49 Am. Rep. 252), - Sohier v. Johnson, 111 Mass. 238, - 198, 057, 659, 671, 673 Sollee V. Meugy, 1 Bailey (S. Ca.), 620, .... Solly V. Forbes, 2 Brod. & Bing. 38, .... Solomon v. Kirkwood, 55 Mich. 256 (as Solomon v. Hollander in 21 N. W. Rep. 336), - 577, 578, 618, 020. 622 V. Solomon, 2 Ga. 18, 26, 541, 760, 788 Solomons v. Medex, 1 Stark. 191, .... 1032, 1033 Solvency Mut. Guarantee Co. V. Freeman, 7 H. & N. 17, - 049 Somerby v. Buntin, 118 Mass. 279, - - 26, 32, 1012, 1013 Somerset Potters' Works v. Miuot, 10 Cush. 592. 104, 825, 832, 837, 838 Soper V. Fry, 37 Mich. 236, - 377 Sorg V. Thornton, 1 Cin. Supe- rior Ct. Rep. 383, - - 370, 440 Soule V. Frost, 76 Me. 119, - 808 V. Hay ward, 1 Cal. 345, 258, 277 894 43 650 386 Soules V. Burton, 36 Vt. 652, 761, 762, 1138 South Boston Iron Co. v. Holmes, 4 Cliff. 313, - - 825 South Canadian Bank v. Case, 8 B. & C. 427, - . 444, 445 South Wales Atlantic Steam- ship Co., Re, 2 Ch. D. 763, - 7 Southard v. Lewis, 4 Dana, 148, .... 746, 747 V. Steele, 3 Mon. (Ky.) 435, - - . 336, 413, 1088 Southern v. Grim, 67 111, 106, - 618 Southern Steam Packet Co. v. Magrath, McMull. (S. Ca.) 93, 434 Southmayd's Appeal (Pa. 1837), 8 Atl. Rep. 72, - - - 981 Southmayd v. Southmayd, 4 Montana, 100, - - 163, 209 Southwick V. Allen, 11 Vfc. 75. 576, 619, 623 V. McGovern, 28 Iowa, 533, - 608, 618, 1151, 1153, 1155, 1156, 1157 Spalding v. Black, 22 Kan. 55, 1108 V. Mure, 6 T. R. 363, - 746 V. Wilsou, 80 Ky. 589, 281, 290 453, 823 Sparhawk v. Drexel, 12 Baukr. Reg. 450, - ... 195 V, Russell, 10 Met. 305, 826, 828 Sparman v. Keim, 83 N. Y. 245, 144 Sparrow v. Chisman, 9 B. & C. 241, .... 393, 1035 V. Kohn, 109 Pa. St. 359, 198 Spaulding v. Holmes, 25 Vt. 491, - . . - - 904 V. Ludlow Woolen Mill, 30 Vt. 150, - - 389, 621, 623 V. Smith, 10 Me. 303, - 1168 Spaunhorst v. Link, 40 Uo. 197, 347, 503, 585 Speak V. Kinscy, 17 Tex. 301, 1125 Speake v. Barrett, 13 La. Ann. 479, 623 V. Prewitt, 6 Tex. 252, 150, 152, 1019, 1022 clxiv Spe.] TABLE OF CASES. [Sta. Speake v. White, 14 Tex. 304, 700 Spear v. Gillet, 1 Dev. (N. Ca.) Eq. 4G6, .... 420 V. Newell, 2 Paine, C. C. 2G7, 899 V. Newell, 13 Vt. 388, 849, 91-1 Spears v. Lord Advocate, 6 CI. & Fin. 180, .... 831 V. Toland, 1 A. K. Mar. (Ky.)203, - - 331,628,700 Speer v. Bishop, 24 Oh. St. 598, .... 100, 628 Speis;hts V.Peters, 9 Gill (Md.), 472, - - - 997, 998, 1002 Spence v. Whitaker, 3 Porter (Ala.), 297, - - - 187, 777 Spenceley v. Greenwood, 1 F. & F. 297, .... Spencer v. Billing, 16 Oh. St. 75, Sperry, Ex parte, 1 Ashm. 347, Spiers v. Houston, 4 Bligh, N. R. 515, - - - - 650, 656 Spiess V. Rosswogg, 16 Jones &Sp. 135; 63 How. Pr. 401, Spiro V. Paxton, 3 Lea (Tenn.), 75 (31 Am. Dec. 630), - Sprague, Ex parte, 4 DeG. M. & J. 866, .... V. Ainsworth, 40 Vt. 47, 526 107 832 305 - 1131 541 444, 448, 451 V. Zunts, 18 Ala. 382, - 356 Sprague Mfg. Co. v. Hoyt, 29 Fed. Rep. 421, - - - 294 Sprawles v. Barnes, 1 Sm. & Mar. (iMiss.) 629, - - 725, 1029 Spring V. Gray, 6 Pet. 151, - 943 Spring Valley Water Works v. Schottler, 63 Cal. 69, 118, - 661 Springer v. Cabell, 10 Mo. 640, 302, 851, 856 V. Shirley, 11 Me. 204, - 528 Sprout V. Crowley, 30 Wis. 187, - - 28, 852, 874, 876 Spruhen v. Stout, 52 Wis. 517, 437 Spnrck v. Iieonard, 9 111. App. 174, - - 615, 624, 626, 694 cl Spurr V. Cass, L. R. 5 Q. B. 656, - - - 1019, 1023 V. Russell, 59 N. H. 338, 557, 558 Squires v. Anderson,' 54 Mo. 103, 229 Staats V. Bristow, 73 N. Y. 264, 180, 186, 291, 1099, 1102, 1111, 1112, 1117, 1122 V. Howlett, 4 Den. 559, 197, 073 Stables v. Eley, 1 C. «&; P. 614, 102. 463, 470 Stacey v. Decy, 2 Esp. 469, n. (s. c. as Stracey v. Deey, 7 T. R. 361, n. c), - - - - 1083 Stadler v. Allen, 44 Iowa, 198, 291 Stafford v. Gold, 9 Pick. 533, 722 Stafford Bank v. Palmer, 47 Conn. 443, - - - - 4, 7 Stahl V. Stahl, 2 Lans. 60, 747, 750 Stainbank v. Fernley, 9 Sim. 556, .... 595, 897 Stainer v. Tysen, 3 Hill, 279, - 347 Stainton v; Carron Co. 18 Beav. 146, .... 924, 926 v, Carron Co. 24 Beav. 346, 964 Stair v. Richardson, 108 Ind. 429, .... 689, 690 Stall V. Cassady, 57 Ind. 234, 607, 613 V. Catskill Bk. 18 Wend. 466 (affirms Catskill Bk.'v. Stall, 15 id. 364), 349, 852, 358, 1153 Stallings v. Corbett, 2 Spears (S. Ca.), L. G13, - - - 763 Stanberry v. Cattell, 55 Iowa, 617, r35 Standbridge v. Catanach, 83 Pa. St. 368, - - - - 1170 Stanford v. Lockwood, 95 N. Y. 5S2, 5S8, - - - - 733 Stanhope v. Suplee, 2 Brewst. (Pa.) 453, - - 718,741,1000 Stannary v. Smith, 40 Vt. 513, 64 Stanton v. Buckner, 24 La. Ann. 391, - ... 856 V. Lewis, 20 Conn. 444, 686, 687 V. Westover (N. Y. 188(3), 4 N. E. Rep. 529. - 551, 560, 563 XV Sta.] TABLE OF CASES. [Ste. Stauwood V. Owen, 14 Gray, 195, - - - 598, GOl, 602 Staples V. Sprague, 75 Me. 458, 32, 432 Stapleton v. King, 33 Iowa, 28 (11 Am. Rep. 109), - - . G2 Star AVagon Co. v. Swezey, 52 Iowa, 394 ; 59 id. 609, - 399, 090, 708 Starbuck v. Shaw, 10 Gray, 492, - - - - 26, 70, 850 Stark V. Corey, 45 HI. 431, 322, 348, 447, 449 V. Noble, 24 Iowa, 71, - 677 Starke v. Kenan, 11 Ala. 818, 1146 Starr v. Case, 59 Iowa, 491, 224, 2G9, 455, 499, 715, 763, 770, 773, 798, 973 V. Dugan, 22 Md. 58, - 54 V. Mayer, 60 Ga. 546, - 1117 Starrs v. Cosgrave, 12 Duval (Canada), 571, - - - 651 State V. Baldwin, 31 Mo. 561, 734 V. Baldwin, 27 Mo. 103, - 734 V. Bierman, 1 Strob. L. 256, 488 V. Butman, 61 N. H. 511, 277 V. Coleman, Dudley (S. Ca.), L. 32, - - - - 488 V. Donnelly, 9 Mo. App. 519, . 1 ... 43 V. Gerhardt, 3 Jones (N. Ca.), L. 178, - - - 178, 269 V. How, 1 Mich. 512, - 4 V. Linaweaver, 3 Head, 61, 1127 V. Mohr, 68 Mo. 303, - 48H V. :Myers, 9 Mo. App. 44, 734 V. Neal, 27 N. H. 131, - 488 V. Parker, 34 N. J. L. 71, 175 V. Penman, 2 Desaus. 1, - 1168 ■ V. Quick, 10 Iowa, 451, - 586 V. Thomas, 7 Mo. App. 205, .... 5G0, 1133 V. Wiggin, 20 N. H. 449, - 100, 1150 . V. Williams, 103 Ind. 235, 488 V. Woods, 36 Mo. 73, - 734 State ex rel. v. Bowden, 18 Fla. 17, 1131 V. Donegan, 12 Mo. App. 190 (affd. 83 Mo. 374), - 734, 736 V. Emmons, 99 Ind. 452, - 1181 V. Finn, 11 Mo. App. 546, 257, 260, 1110 V. Merritt, 70 Mo. 275, - 1019 V. Spencer, 64 Mo. 355 (27 Am. Rep. 244), - - - 1131 State F. Ins. Co., Mei-edith's Case, 1 B. & P. New Rep. 510, 323 Stauffer, Succession of, 21 La. Ann. 520, .... 1131 Stead V. Salt, 3 Bing. 101 ; 10 Moore, 389, - - - 336, 381 Stead well v. Morris, 61 Ga. 97, 959, 963 Steamboat Orleans v. Phoebus, 11 Pet. 175, ... - 908 Stearns v. Burnham, 4 Me. 84, 365 V. Haven, 14 Vt. 540, 43, 91, 1145 V. Houghton, 38 Vt. 583, - 716, 719 Stebbins v. Harmon, 17 Hun, 445, 978 V. Willard, 53 Vt. 665, 184, 446, 692, 693, 769, 770 Stecker v. Smith, 46 Mich. 14, 447, 451 Stedman v. Feidler, 20 N. Y. 437, 70 V. Smith, 8 E. & B. 1, - 274 Steel V. Jennings, Cheves (S. Ca.), 183, - - - 370. 447 Steele v. First Natl. Bank, 60 111. 23, - - - - 326, 381 v. Grossmith, 19 Grant's Ch. (Up. Can.) 141, - - 996 V. Jennings, 1 McMull. (S. Ca.) 297, - - - - 703 V. Stuart, L. R. 2 Eq. 84, 395 Stegall V. Coney, 49 Miss. 761, 403, 566, 1038 clxvi Ste,] TABLE OF CASES. [Ste, Stegman v. Berryhill, 72 Mo. 307, - - - 766, 770, 780 Steiglitz V. Egginton, Holt, N. P. 141, 416 Stein V. La Dow, 13 Minn. 412, 338, 839, 340 V. Robertson, 80 Ala. 286, 86, 143, 181 Steinhart v. Fyhrie, 5 Mon- tana, 463, ... 338, 339 Stephens v. Orman, 10 Fla. 9, 216, 309, 794, 961 V. Parkhurst, 10 Iowa, 70, 1091 V. Reynolds, 5 H. & N. 513; IF. &F. 739; 2 id. 147, 341, 443 V. Thompson, 28 Vt. 77, 523, 524 Stephenson v. Chiswell, 3Ves. 566, 748 V. Jackson, 9 Bankr. Reg. 378; 2 Hughes, 204, 841 Sterling v, Brightbill, 5 Watts, 229 (30 Am. Dec. 304), - - 848 Stern's Appeal, 95 Pa. St. 504, 740, 794, 798 Sternberg V. Callanan, 14 Iowa, 251, .... 507, 510 Sterndale v, Hankinson, 1 Sim. 893, 497 Sterne v. Bentley, 3 How. Pr. 331, 380 Stettauer v. Carney, 20 Kan. 474, 42 Stettheiraer v. Killip, 75 N. Y. 282, 958 Steuben Co. Bank v. Alburger (N. Y. 1880), 4 N. E. Rep. 341, .... 351, 364 Stevpns, Re, 5 Bankr. Reg. 112; 1 Sawy. 397, - - - 828 V. Bank of Central N. Y. , 81 Barb. 290, - - - 1099 V. Penning, 1 K. & J. 168 ; 6 DeG. M. & G. 223, - 710 V. Cook, 5 Jur. N. S. 1415, 781, 786 Stevens v. Faucet, 24 111. 483, 29, 36, 39. 43, 257 V. Gainesville Natl. Bank, 62 Tex. 499, - - - - 17 V. Lunt, 19 Me. 70, - - 1079 V. Perry, 113 Mass. 380, - 847, 1118 V. Rollins, 34 Me. 226, - 722, 724 V. South Devon R'y Co. 9 Hare, 313, .... 43.' V. Stevens, 39 Conn. 474, HOD V. West, 1 How. (Miss.) 308, ... - 453a, 841 V. Yeatman, 19 Md, 480, - 980 Stevenson v. Brown, 9 L. J. Chy. (Up. Can.) 110, - . 338 V. Farnsworth, 7 111. 715, . 1071 V. McLean, 11 Up. Can. C. P. 208, .... 650 V. Mann, 13 Nev. 268, 274, 535 V. Mathers, 67 111. 123, 83, 930, 932 V. Sexsmith, 21 Grant's Ch. (Up. Can.) 355, . - 552 V. Woodhull, 19 Fed. Rep. 575, - - . . 381, 543 Steuart v. Gladstone, 10 Ch. D. 626, .... 241, 661 Steward v. Blakeway, L. R. 4 Ch. 603, .... 257, 287 Stewart's Appeal, 105 Pa. St. 307, .... 703,719 Stewart, Assignment of, 63 Iowa, 614, - - - - 566 , Re, 13 Bankr. Reg. 295, - 1131 V. Bedell, 79 Pa. St. 336, - 676 V. Behm, 2 Watts, 356, . 423 V. Brown, 87 N. Y. 350, - 1131 V. Burkhalter, 28 Miss. 396, .... 742, 925 V. Caldwell, 9 La. Ann. 419, 867, 626 V. Challacombe, 11 111. App. 379, .... 676 V. Erie &, Western Transp. Co. 17 Minn. 372, - - . 1028 clxvii Ste.] TABLE OF CASES. [Sto. Stewart v. Forbes, 1 Hall & Tw. 461 ; 1 Macn. & G. 137, - 181, 215 V. nuuter, 1 Handy, 23, 1105, 1109 V. Kerr, 1 Morr. (Iowa) 240, 899 V. Levy, 36 Cal. 159, 464, 4G8, 480 V. Mcintosh, 4 Har. & J. 233, - - 114, 119, 128, 425 V. Parker, 18 New Bruns- wick, 223, - - - 349, 3G1 V. Piatt, 101 U. S. 731, - 179 V. Slater, 6 Duer, 83, - 569 V. Sonneborn, 49 Ala. 178, 618, 625 V. Sonneborn, 51 Ala. 126, 620 V. Stebbins, 30 Miss. 66, - 549, 789 Stickney v. Smith, 5 Minn. 486, 191 Stidger v. Reynolds, 10 Oh. 351, - - 252, 763, 770, 771 Stiles V. Meyer, 64 Barb. 77 ; 7 Lans. 190, - - - - 349 Stillwell V. Gray, 17 Ark. 473, 685, 713 Stimson v. Lewis, 36 Vt. 91, 76, 933 V. Whitney, 130 Mass. 591, 322, 328, 341, 354, 359, 618 Stiness v. Pierce, 12 R. L 452, 927 Stilling V. Heintzman, 42 Midi. 449, - - - - 1060 Stirnermaun v. Cowing, 7 Johns. Ch. 275, - - - 707 Stitt V. Cass, 4 Barb. 92, - - 387 Stix V. Mathe%v8, 63 Mo. 371, 1068 Stoalliugs V. Baker, 15 Mo. 481, 61 Stockdale v. Keyes, 79 Pa. St. 251, 393 V. Ullery, 37 Pa. St. 486, 988 Stocken v. Davison, 6 Beav. 371, V. Dawson, 9 Beav, 239, and on app, 17 L. J. Ch. 282, Stocker v. Brockelbauk, 3 Mac. & G. 250, 772 799 43 Stocker v. Wedderburn, 3 K. & J. 393, .... 1013 Stockton V. Fry, 4 Gill, 406, - 471 V. Johnson, 6 B. Mon. 408, 333 Stockwell V. Brewer, 59 Me. 286, 176 V. Dillingham, 50 Me. 442, 348, 406, 450 V. United States. 13 Wall. 531 (aff. 3 Cliff. 284), - - 468 Stoddard v. Smith, 11 Oh. St. 581, .... 483, 486 V. Wood, 9 Gray, 90, - 629 Stoildart v. Key, 62 How. Pr. 137, 198 V. McMahan, 35 Tex. 367, 1143, 1154 V. Van Dyke, 13 Cal. 437, 1094 Stokes V. Hodges, 11 Rich. Eq. 138, 781 Stone, Ex parte, L. R. 8 Ch. App. 914, - 200, 453, 453a, 841 V. Boone, 24 Kan. 337, - 894 V. Chamberlin, 20 Ga. 259, 534 V. Dennis, 3 Porter (Ala.), 231, - - - 870,871,873 V. Fouse, 3 Cal. 293, 873, 890 V. Manning, 3 111. 530, - 108 V. Marsh, Ry. & Moody, 3G4 ; 6 B. & C. 551 ; 8 Dow. & Ryl. 71, V. South Carolina, 117 U. S. 430, V. Wendover, 3 Mo. App. 247, 474 1058 889 848 Stoney V. Shultz, 1 Hill(S. Ca.), Ch. 465, - - - - - Storer v. Hinkley, Kirby (Conn.), 147, - - 341, 747, 750 Storm V. Cumberland, 18 Grant's Ch. (Up. Can.) 245, - 183, 949 V. Roberts, 54 Iowa, 677, - 1063 Story V. Moon, 3 Dana, 331, - 764, 765, 973 Stothert v. Knox, 5 Mo. 113, - 853, 856 clxviii Sto.] TABLE OF CASES. [Sun. Stoughton V. Lynch, 1 Johns. Ch. 467, - - 237, 789, 790, 791 V. Lynch, 2 Johns. Ch. 209, 787, 789, 790, 791, 798 V. State, 2 Oh. St. 562, - 488 Stout V. Baker, 32 Kan. 113. - 1064 V. Fortner, 7 Iowa, 183, - 1109 V. Hicks, 5 Blackf. 49, - 1070 V. Seabrook, 30 N. J. Eq. 187(affd. without op.' 32 id. 820), 952 V. Zulick (N. J.). 7 Atl. Rep. 362, .... 4 Stoutenburgh v. Vandenburgh, 7 How. Pr. 229, - 377, 380, 1086 Stovc4d, Ex parte, 1 Glyn. & J. 303, 1003 Stowe V. Sewall, 3 Stew. & For. (Ala.) 67, - - - 860 Stracey v. Deey, 7 T. R. 361, n. c; S. C. as Stacey v. Decy, 2 Esp. 469, n., - - - 1083 Strader v. White, 2 Neb. 348, - 44 Straffin v. Newell, T. U. P. Charlton, Ga. 163 (4 Am. Dec. 705), .... 414 Strang v. Bradner, 114 U. S. 555 (aff. 89 N. Y. 299), - 472, 480 V. Hirst. 61 Me. 9, - 722, 733 Strange v. Graham, 56 Ala. 614, - - 685, 713, 719, 942 V. Lee, 3 East, 484, - 649, 656 Strangford v. Green, 2 Mod. 228, 336 Strathy v. Crooks, 3 Up. Can. Q. B. 51, .... 716 Strattan v. Tabb, 8 111. App. 225, - - - 770, 830, 845 Straus V. Kerngood, 21 Gratt. 584, - 569, 825, 828, 832, 847 Strauss v. Frederick, 91 N. Ca. 121, .... 740, 824 V. Jones, 37 Tex. 313, - 445 V. Waldo, 25 Ga. 641, 192. 205. 439, 443 Strecker v. Conn, 90 Ind, 469, 612 Street v. Rigby, 6 Ves. 613, 618, 233 Stretch v. Talmadge, 65 Cal. 510, 957 Stroll V. Hinchman, 37 Mich. 490, .... 34G, 36S Sti-oman v. Yarn, 19 S. Ca. 307, 292, 416, 417 Strong V. Baker, 25 Minn. 412, 449 V. Clawson, 10 III. 31G, - 927 V. Fish, 13 Vt. 277, 411, 412, 1044 V. Lord, 107 111. 25, 294, 297, 298, 976 V. Niles, 45 Conn. 52, - 454 V. Place, 51 N. Y. 627; 4 Robt. 385, - - - - 48, 78 Stroud V. Stroud, Phil. (N. Ca.) L. 525, - - - 290, 294, 297 Struthers v. Chrystal, 3 Duly, 327, 987 V. Pearce, 51 N. Y. 357, - 305 Stuart V. Lord Bute, 12 Sim. 460, 314 V. McKithan, 74 111. 122, 978 Stultzraan v, Yeagley, 32 Up. Can. Q. B. 630, - - - 881 Stumph V. Bauer, 76 Ind. 157, 257, 260, 1101, 1110 Stupart V. Arrowsmith, 3 Sra. & G. 176, - - - 432, 958 Sturges V. Beach, 1 Conn. 507, 737, 750, 1160 V, Swift, 32 Miss. 239, 861, b80 Sullivan v. Murphy, 23 Minn. 6, 1154 V. Smith, 15 Neb. 476 (47 Am. Rep. 354), ... 340 V. Sullivan, 20 S. Ca. 79, - 7 Summey v. Patton, 1 Winst. (N. Ca.) Eq. 52, - - 281, ^97 Sumner v. Powell, 2 Mer. 30 (affd. T. & R. 423), - . 239 v. Hampson, 8 Oh. 328 (32 Am. Dec. 722), - 285, 290 Sun Ins. Co. v, Kouutz Line, 122 U. S. 583, - - - 101 clxix SUR,] TABLE OF CASES Surrogate Court, Re, 44 Up. [Tam. Can. Q. B. 207, - - - 743 Sutcliffe V. Dohrman, 18 Oh. 181 (51 Am. Dec. 450), - 1109, 1111 Sutlive V. Jones, Gl Ga. 676, - 184, 299, 41G Sutro V. Wagner, 23 N. J. Eq. 388 (afra. 24 id. 589), - 591, 994 Sutton V. Dilluye, 3 Barb. 529, G93 V. Gregory, 2 Peake, 150, 841 V. Irwiue, 12 Serg. & R. 13, 349, 363 V. Mandeville, 1 Cranch, C. C. 2, 979 Suydani v. Barber, 18 N. Y. 468 (rev. 6 Duer, 31), - 535, 537 V. Cannon, 1 Houst. (Del.) 431, - - - 531, 532, 535 Swails V. Coverdill, 17 lud. 337, 1024 Swallow, The Steamboat, 01- cott, 334, - ... 67 V. Thomas, 15 Kan. 66, - 175, 176 Swan V. Scott, 23 Up. Can. Q. B. 434, 110 V. Stedman, 4 Met. 548, - 334, 416, 698 V.Steele, 7 East, 210; 3 Smith, 199, - - 107, 196, 341 Swann v. Sanborn, 4 Woods, C. C. 625, - - - 47, 95, 105 Swasey v. An tram, 24 Oh. St. 87 (13 Am. Law Reg. (N. S.) 577), 138 Swearingen v. Bassett, 65 Tex. 2G7, .... 1131, 1133 Sweeney v. Neely, 53 Mich. 421, .... 766, 786 V. Stanford, 67 Cal. 635, - 129 Sweet V. Bradley, 24 Barb. 549, .... 402, 472 V. Ervin, 54 Iowa, 101, - 1061 V. McCounel. 2 Neb. 1, - 629 V. Morrison, 103 N. Y. 235, 315, 383, 89a V. Read, 12 R. L 121, - 1103 I Sweet V. Taylor, 36 Hun, 256, - 716 Sweetser v. French, 2 Cush. 309 (48 Am. Dec. 666), 343, 363, 367 Sweetzer v. Mead, 5 Mich. 107, 407, 416, 413 Swinney v. Burnside, 17 Ark. 38, 10G8 Swire v. Redman, 1 Q. B. D. 536, - - - 537, 533, 709 Switzer v. Smith, 35 Iowa, 269, 1114, 1115 Syers v. Syers, L. R. 1 App. Cas. 174, - - 257, 974, 1011 Sykes v. Beadon, 11 Ch. D. 170, - - - 112, 119, 125 Sylverstein v. Atkinson, 45 Miss. 81, - 348, 349, 360, 361 Sylvester v. McCuaig, 28 Up. Can. C. P. 443, ... 89 V. Smith, 9 Mass. 119, - 1052 T. Tabb V. Gist, 1 Brock. 33, - 161, 429 V. Gist, 6 Call (Va.), 279, 434, 435 Taber v. Cannon, 8 Met. 456, - 441 Tnft V. Buffum, 14 Pick. 322, 585 V. Schwamb, 80 111. 289, 181, 182, 231, 256, 815 V. Ward, 106 Mass. 518, 73, 73, 74 V. Warde, 111 Mass. 518, 73, 7i Taggart v. Phelps, 10 Vt. 318, 416, 506 Taitt, Ex parte, 16 Ves. 193, - 825 Talbot V. Pierce, 14 B. Mon. 158, .... 553, 569 V. Wilkins, 31 Ark. 411, - 331 Talcott V. Dudley, 5 111. 437, - 155, 583, 754 Tallis V. Tallis, 1 E. & B. 391, 676 Tall mad ge v. Penoyer, 35 Barb. 130, - - - - 481 Tams V. Hitner, 9 Pa. St. 441, 107 clxx Tap.] TABLE OF CASES. [Tay. Tapley v. Butterfield, 1 Met. 515 (35 Am. Dec. 374), - 384, 403, 406, 407, 418 Tappan v. Blaisdell, 5 N. H. 190, .... 189, 1114 V. Kimball, 30 N. H. 136, 704, 705 V. Redfield, 1 Halst. Ch. (N. J.) 339, - - - - 416 Tarbel v. Bradley, 7 Abb. New Cas. 273, 184, 180, 385, 290. 291, 407, 823 Tavbell v. Page, 24 111. 46, - 4 V. West, 86 N. Y. 280, 184, 186, 291, 974 Tarlton v. Herbert, 4 Ala. 359, 1086 Tasker v. Shepherd, 6 H. & N. 575, . - - . 708, 709, 730 Tassey v. Church, 4 Watts & S. 141 (39 Am. Dec. 65), - 700 V. Churcli, 6 Watts & S. 465 (40 Am. Dec. 575). - - 900 Tatara v. Williams, 3 Hare, 347, 158 Tate V. Mutual F. Ins. Co. 13 Gray, 79, - - - - 272 V. Tate, 35 Ark. 289, 739, 923, 924 V. Clements. 16 Fla. 339 (26 Am. Rep. 709), - 703, 704 Tattersall v. Groote, 3 B. & P. 131, - - - - 233, 234 Tay V. Ladd, 15 Gray, 296, - 427 Tayler v. Scott, 45 Vt. 261, - 33 Tayloe v. Bush, 75 Ala. 433, 17, 43, 59 Taylor, Ex parte, 8 De G. M. & G. 254; 25 L. J. Bkr. 35; 3 Jur. N. S. 320, - - - 144 , Ex parte, 3 Rose, 175, - 845 V. Bemis, 4 Biss. 406, - 657 V. Bothin, 5 Sawy. 584 (8 Reporter, 516), - - - 675 V. Castle, 43 Cal. 367, 163, 585 V. Cawthorne, 2 Dev. Eq. 221, 987 V. Church, 1 E. D. Smith, 279; 8N. Y. 453, - - - 1033 Taylor v. Coffing, 18 111. 422, - 813, 814 V. Coryell, 13 Serg. & R. 243, ... - 336, 416 V. Davis, cited in note to Whittaker v. Howe, 3 Beav. 383, 388, .... 314 V. Farmer (111. 188G), 4 N. E. Rep. 370, - 290, 452, 821, 822 V. Fields, 4 Ves. 396 (ex- plained in 15 id. 559, n.), 845, 1111 — V. Gilleau, 23 Tex. 508, - 100(5 — V. Hare, 1 B. & P. N. R. 260, 809 — V. Haylin, 2 Bro. C. C. 310, 962 — V. Heudersou, 17 S. & R. 453, .... 1093, 1169 — V. Herring, 10 Bosw. 447, 979 — V. Hill, 36 Md. 494, 323, 380, 6 13 — V. Hillyer, 3 Bluckf. 433 (26 Am. Dec. 430), 847, 365, 647, 694, 701 — V. Holman, 1 Mill (S. Ca.), 173, 889 — V. Hutchison, 25 Gratt. 536 (18 Am. Rep. 699), - 582, 798, 974, 977 V. Jarvis, 14 Up. Can. Q. B. 128, ... - 155, 1114 V. Jones, 42 N. H. 35, 317, 389, 465 V. Love, 43 N. J. L. 143, - 175 V. McDonald, 4 Oh. 149, - 1117, 1118 V. Morrison, 7 Dana (Ky.), 241, - - - 942,948,952 V. Penny, 5 La. Ann. 7, - 158 V. Post, 30 Hun, 446, - 500 V. Rundell, 1 Ph. 222 (aff'g 1 Y. & C. C. C. 128), - — V. Stbt. Robt. Campbell, 314 1020 20 Mo. 254, . - - V. Shaw, 2 Sm. & Stu. 12, 958 V. Smith, 3 Cranch, C. C. 241, 854 V. Sotolingo, 6 La. Ann. 154, 43 clxxi Tay.] TABLE OF CASES. [Tna Taylor v. Taylor, 28 L. T. 189, 912 V. Taylor, 3 Murph. (N. Ca.)TO. 181 V. Tonne, 3 Har. & J. 505, 44 V. Webster, 39 N. J. L. 102, ... - 317, 1155 V. Wilson, 58 N. H. 465, - 105 V. Young, 3 Watts, 339, - 400, 620 V. Young. 2 Bush, 438, 780, 788 Teague v. Hubbard, 8 B. & C. 315, 882 Tebbetts v. Dearborn, 74 Me. 392, 791 Teed v. Ehvorthy, 14 East, 210, 148 Tell V. Beyer, 38 N. Y. 161, 162, 275 Temple v. Seaver, 11 Cush. 314, - - - 691, 882, 884 Tench v. Roberts, 6 Madd. 145, 110 Tennant, Ex parte, G Ch. D. 303, 21, 47 Teuney v. Foote, 95 111. 99, 112, 128 V. Johnson, 43 N. H. 144, 562, 563, 824, 1114, 1115 V. New Engl. Protec. Union, 37 Vt. 64, - 72, 76, 580 Terrell, Ex parte. Buck, 345, - 845 V. Goddard, 18 Ga. 664, - 997 V. Hurst, 70 Ala. 588, 315, 346, 1131 V. Ingersoll, 10 Lea, 77, - 1008 Terrill v. Richards, 1 Nott & McC. (S. Ca.) 20, - 870, 875, 876 Terry v. Berry, 13 Nev. 514, - 1131 V. Butler, 43 Barb. 395, - 825 V. Carter, 25 Miss. 168, - 873 V. Ragsdale, 33 Gratt. 342, 1171 Tesson, Re, 9 Bankr. Reg. 378, 841 Tevis V. Tevis, 24 Mo. 535, - 358 Texas Banking & Ins. Co. v. Cohen, 47 Tex. 406 (26 Am. Rep. 298), - - - - 272 Texas Ins. Co. v. Cohen, 47 Tex. 406, .... 273 Texas & St. Louis R'y Co. v. McCaughey, 63 Tex. 271, - 1086, 1091 clx Thacker v. Shepherd, 2 Chit. 652, Thackray's Appeal, 75 Pa. St. Tharp v. Marsh, 40 Miss. 158, - Thayer v. Augustine, 55 Mich. 188 (40 Am. Rep. 465), - V. Buffum, 11 Met. 398, - 1021 659 37 V. Smith, 116 Mass. 3C9, V. Younge, 86 Ind. 259, Theall v. Lacey, 5 La, Ann. 548, Theilen v. Haun, 27 Kan. 778, 45 - 882, 884 - 453 676, 678 984 192, 443 908 Theller v. Such, 57 Cal. 447, Theriot v. Michel, 28 La. Ann. 107, ... 70, 286, 587 Thibodaux v. Keller, 29 La. Ann. 508, 509, - - - 176 Thick nesse v. Bromilow, 2 Cr. & J. 425, - - 329, 342, 370 Thomas, Re, 17 Bankr. Reg. 54; 8 Biss. 139, 200, 453, 841, 842 V. Adams, 2 Porter, 196, 1079 V. Alherton, 10 Ch. D. 185, 761, 763 101 321, 1151 211, 213, 252, 544 V. Green, 30 Md. 1, - V. Harding, 8 Me. 417, V. Lines, 83 N. Ca. 191, V. Lusk, 13 La. Ann. 319, V. Miles, 3 Oh. St. 274, - V. Minot, 10 Gray, 263, 1103 676 825, 835 1107 1149 383, V. Mohler, 25 Md. 36, V. Moore, 71 Pa. St. 193, V. Pennrich, 28 Oh. St. 55, 1038, 1044 V. Pyke, 4 Bibb (Ky.), 418, 874 V. Shillabeer, 1 M. & W, 124, ... - 505, 520 V. Stetson, 62 Iowa, 537 (49 Am. Rep. 148), - 427, 1044 V. Thomas, 5 Ex. 28, - 856 V. Wolcott, 4 McLean, 365, 1154 xii Tuo.] TABLE OF CASES. [Tie. Thomason v. Frere, 10 East, 418, - - 610, 750, 755, 1020 Thompson, Ex parte, 3 Deac. & Ch. 012, - - - . 90G V. Andrews, 1 Myl. & K. 116, 600 V. Briggs, 8 Foster (28 N. n.), 40, 529 V. Bowman, 6 Wall. 316, 279, 280, 299, 587, 700 V. Brown, 1 Mood. & Malk. 40, 494 V. Brown, 4 Johns. Ch. 619, ... - 604, 727 V. Egbert, 3 N. Y. Su- preme Ct. 474, ... 301 V. Emmert, 15 111. 415, 380, 535 V. Franks, 37 Pa. St. 327, 1164 V. First Nat'lB'k, 111 U. S. 529, - - - - 91, 92, 94 V. Frist, 15 Md. 24, - 824, 1109 V. Gray, 11 Daly, 183, - 198 V. Hale, 6 Pick. 259, - 884 V. Head, 2 Ind. 245, - - 317 V. Lewis, 34 Me. 167, 719, 1103, 1104, 1109 V. Percival, 5 B, & Ad. 925; 3 Nev. & M. 167, - 505, 519, 520, 523, 524, 528, 529 V. Rogers, 69 N. Ca. 357, 731, 763 V. Eyan, 3 Swanst. 565, - 269 V. Snow, 4 Me. 264 (16 Am. Dec. 263), ... 45 V. Spittle, 102 Mass. 207, - 183 V. Springall, 3 C. B. 540, - 886 V. Stbt. Julius D. Mor- ton, 3 Oh. St. 26 (59 Am. Dec. 658), .... 882 V. Tinnin, 25 Tex. Sup. 56, 1109 V. Williamson, 7 Bligh, N. R. 432, .... 181 V. Waithman, 3 Drew. 628, 706 Thomson's Estate, 12 Phila. 36. 73 Thomson v. Thomson, 1 Bradf. (N. Y.) 24, - - - - 714 Thorn v. Smith, 21 Wend. 365, 443, 701, 1153, 1153 Thorndike v. DeWolf, 6 Pick. 120, 70 Tliornton, Ex parte, 5 Jur.N. S. 213, 842 V. Bussey, 27 Ga. 302, 454, 825, 847 V. Dixon, 8 Brown's Ch. Cas. 199, .... 974 V. Kerr, 6 Ala. 833, - - 1151 V. McNeill, 23 Miss. 369, ... . - - 962 V. Proctor, 1 Anstr. 94, - 7G6, 770, 780 Thorpe v. Jackson, 2 Y. & C. Ex. 553, .... 748 Thrall v. Crampton, 9 Ben. 218; 16 Baukr. Reg. 361, 290, 822 V. Seward, 37 Vt. 573, - 211, 681, 1025, 1171 V. Waller, 13 Vt. 231 (37 Am. Dec. 593), - - - 860 Thurber v. Corbin, 51 Barb. 215 (S. C. as Thurber v, Jen- kins, 36 How. Pr. 66), - 534, 5c8 V. Jenkins, 36 How. Pr. 66 (S. c. as Thurber v. Cor- bin, 51 Barb. 315), - 534, 538 Thursby v. Lidgerwood, 69 N. Y. 198, - - - 265, 686, 687 Thurston v. Horton, 16 Gray, 374, 1154 V. Lloyd, 4 Md. 383, . 361 V. Perkins, 7 Mo. 29, 86, 611 Thwaites v. Richardson, 1 Peake, 23 [16J, - - - 331 Thwing V. Cliflford, 136 Mass. 483, .... 60, 473 Tibbetts v. Magruder, 9 Dana, 79, 878 Tidd V. Rines, 36 Minn. 201 ; 10 Cent. L. J. 102, - - .296 Tiemann v. MoUiter, 71 Mo. 513, .... 737, 733 Tiernan v. Doran, 19 Neb. 492, 267, 1061 clxxiii Tip. J TABLE OF CASES. [Tou. Tiffany v. Crawford, 14 N. J. Eq. 278, .... 848 TifielJ V. Adams, 3 Iowa, 487, 507 Tilford V. Ramsey, 37 Mo. 563, 199, 202, 324, 341 Till's Case, 3 Neb. 261, - - 1131 Tillier v. Whitehead, 1 Dall. 269. . - - . 322, 334 Tillinghast v. Champliu, 4 R. I. 173, 281, 291, 294, 295, 300, 739, 923, 1001, 1114 Tillotson V. Tillotson, 34 Conn. 335, 285, 523, 603, 763, 767, 769, 770, 774 Tillou V. Kingston Mut. Ins, Co. 5 N. Y. 405 (rev. 7 Barb. 570), 272 Tilman v. Cannon, 3 Humph. (Tenn.)637, - - - - 1014 Timmerman v. Dever, 52 Mich. 34 (50 Am. Rep. 240), - - 676 Tiudal V. Bright, 1 Minor (Ala.), 103, 900 Tiner v. Christian, 27 Ark. 300, 908 Tiukum v. O'Neale, 5 Nev. 93, 454, 535, 1049, 1055 Tipton V. Vance, 4 Ala. 194, - 884 Tirrell v. Jones, 39 Cal. 655, - 781 Tissard v. Warcup, 2 Modern, 279, 746 Titus V. Follet, 2 Hill, 318, - 1031 V. Todd, 25 N. J. Eq. 458, 523, 529 Tobey v. McFarlin, 115 Mass. 98, ... 180, 1103, 1113 Tobias v. Blin, 21 Vt. 544, - 45, 59 Todd V. Clapp, 118 Mass. 495, - 136, 145 V. Daniel, 16 Pet. 521, - 1057 V. Jackson, 75 Ind. 272 s. C. aa Jackson v. Todd, 56 id. 406), 316 V. Lorah, 75 Pa. St. 155, - 411, 428, 1044 V. Rafferty, 30 N. J. Eq. 254, 115, 121, 128, 306, 792. 942, 947, 949 Tolan V. Carr, 12 Daly, 520, - 795 Tolford V. Tolford, 44 Wis. 547, 863 Tolman v. Hanrahan, 44 Wis. 133, 441 Tom V. Goodrich, 2 Johns. 213, 438, 451 Tombeckbee Bk. v. Dumell, 5 Mason, 56, .... 694 Tomes, Re, 19 Bankr. Reg. 36, 105, 547, 562 Tomlin v. Lawrence, 3 Moo. & P. 555, .... 199, 381 Tomlinson v. Hammond, 8 Iowa, 40, - - - 632, 644 V. Nelson, 49 Wis. 679, - 850, 852 V. Ward, 3 Conn. 396, 761, 767 Tompkins v. Tompkins, 18 S. Ca. 1, - - - - 711, 730 V. Woodyard, 5 W. Va. 216, - - - . 349, 362 Tone V. Goodrich, 2 Johns. 213, 746 Tonne, Re, 13 Bankr. Reg. 170,. 1131 Toof V. Duncan, 45 Miss. 48, - 317, 477 Toombs V. Hill, 28 Ga. 371, 825, 828 Topliff V. Jackson, 13 Gray, 565, - - - 641,978,979 V. Vail, 1 Harr. Ch. (Mich.) 340, 552 Topping, Ex parte, 4 De G. J. & S. 551, - - - 844, 846 V. Paddock, 92 111. 92, 251, 785 Torrens v. Campbell, 74 Pa. St. 470, - 503, 504, 510, 513, 514 Torrent v. Yager, 52 Mich. 506, 177 Torrey v. Baker, 13 Vt. 452, 526, 692 V. Baxter, 13 Vt. 452, 408, 694 V. Twombley, 57 How. Pr. 149, 853 Totty V. Donald, 4 Uuut (Va.) 430, 1065 Toulmin v. Copland, 3 Ph. 711 (revg. 4 Ha. 41), - - - 801 V. Copland, 2 CI. & Fin. 681 ; 3 Y. & C. Ex. 625, 314, 497, 801, 973 clxxiv Tow.] TABLE OF CASES. [Tuc. Towle V. Meserve, 33 N. H. 9, 849, 856 V. Pierce, 12 Met. 329 (46 Am. Dec. 679), - 907, 933, 936 Town V. Hendee, 27 Vt. 238, - 101 V. Washburn, 14 Minn. 26^, 706, 1094 Towne v. Leach, 32 Vt. 747, - 1103 Townend v. Towneod, 1 Giff. 201, 800 Towner v. Lane, 9 Leigh (Va.), 262, - - - - - 181 Townes v. Birchett, 12 Leigh, 173, 1055 Townsend v. Goewey, 19 Wend. 424, - - - 874, 876 V. Long. 77 Pa. St. 143, - 647 V. Neale, 2 Camp. 189, - 1019 Townsends v. Stevenson, 4 Rich.(S. Ca.)L. 59, - - 528 Tozier v. Crafts, 123 Mass. 480, 1153 Tracy v. McManus, 58 N. Y. 257, 1150 V, Walker, 1 Flip. 41 ; 3 West. Law Month. 574, 541, 555. 560, 755, 952 Tradesmen's Bank v. Astor, 11 Wend. 87, 90, - - - 322 Trafford v. Hubbard, 15 R. I, 1105, 1107 Trafton v. United States, 3 Story, C. C. 646, - - - 537 Trammell v. Harrell, 4 Ark. 602, - - - - 718, 723 Trann v. Gorman, 9 Porter, 456, 1081 Trapliageu v. Burt, 67 N. Y. 30. 303, 913 Travers v. Dyer, 16 Blatchf. 178, 899 Travis v. Milne, 9 Hare, 141, - 483, 926 V. Tartt, 8 Ala. 574, 456, 1125 Treadway v. Ryan, 3 Kan. 437, 858, 860, 894 Treadwell v. Brown, 41 N. H. 12, - - - - 825, 928, 1113 Treadwell v. Brown, 43 N. H. 290, .... 1106, 1113 V. Wells, 4 Cal. 260, 617, 622. 624 V. Williams, 9 Bosw. 649, 186, 291 Tredwell v. Rascoe, 3 Dev. (N. Ca.) L. 50, - - - 1105, 1111 Treiber v. Lanahan, 23 Md. 116, 63, 64 Tremper v. Conklin, 44 N. Y. 58 (aff. 44 Barb. 456), 450, 718, 1170 Tregerthen v. Lohrum, 6 Mo. App. 576. - - . - 100 Trentman v. Swartzell, 85 Ind. 443, ... - 551, .560 Trenwith v, Meeser, 12 PhiJa. 366. - - - . 377, 379 Trickett v. Moore, 34 Kan. 755, 110:5 Trimble v. Coons, 2 A. K. Mar. (Ky.) 375, - - - 414, 416 Tripp V. Williams, 14 S. Ca. 502, .... 701, 1151 Troughton v. Hunter, 18 Beav. 470, 610, 07 M Troup's Case, 29 Beav. 143, - 785 Trowbridge v. Cross, 117 111. 109, - - - 180, 290, 1131 V. Cushman, 24 Pick. 310, 453. 1099, 1114' V. Scudder, 11 Cush. 83, 4, 7- Troy Iron & Nail Factory v. Winslow, 11 Blatchf. 513, 750, 1055' True V. Congdon, 44 N. H. 48, 1072- Truesdell v. Baker, 2 Rich. (S. Ca.)L. 351, - - - - 575 Truitt V. Baird, 12 Kan. 420, - 876' Trull V. Trull, 13 Allen, 407, - 483 TruUinger v. Corcoran, 8H Pa. St. 395, 351 Trumlin v. Goldsmith, 40 Ga. 221, 1147 Trump V. Baltzell, 3 Md. 295, 629, 632, 775 Tucker v. Adams, 03 N. H. 361, 114. 116, 129, 1105,110(5 V. Bradley, 33 Vt. 324, 390, 484 clxxv Tuc] TABLE OF CASES. [Uhl. Tucker v. Cole, 54 Wis. 539, ,889, 642 V. Oxley, 5 Cranch, 34 (rev. 1 Cr. C. C. 419), - - 1081 V. Peaslee, 36 N. H. 167, 15G, 157, 439, 445, 446, 449, 852, 978 Tuckeiman v. Newhall, 17 Mass. 581, - - - - 385 Tudor V. White, 27 Tex. 584 (White V. Tudor, 24 id. 639), 618, 690, 1171 Tulane v. McKee, 10 Tex. 335, 1094 Tunis V. Leutze, 1 Mo. App. 211, 869 Tupery v. Lafitte, 19 La. Ann. 296, 1057 Tupper V. Haythorne, Gow, N. P. 135, 258 Turbeville v. Ryan, 1 Humph. 113, 129 (34 Aro. Dec. 622), - 416 Turk V. Nicholson, 30 Iowa, 407, 1081 Turnbow v. Broach, 12 Bush, 455, - - - 523, 526, 694 Turner, Ex parte, 4 D. «& C. 169 ; 1 Mont. & A. 54, - - 838 V. Bayley, 34 Beav. 105 (affg. s. c. as Turney v. Bay- ley, 4 D. J. & S. 332), - 314, 922 V. Bissell, 14 Pick. 192, 16, 39, 43, 59, 1094 V. Burkinshaw, L. R. 2 Ch. App. 488, - - - 786 V. Evans, 2 E. & B. 512 (2 D. M. G. 740), - - - 677 V. Jaycox, 40 N. Y. 470 (explained in Berkshire Wool Co. V. Juillard, § 452), 452, 453, 504, 564 V. McIIhany, 8 Cal. 575, - 1155, 1158 V. Mayor, 8 Giff. 442, 660, 794 V. Otis, 80 Kan. 1, - 788, 9(54 V. Reyuell, 14 C. B. N. S. 328, 110 V. Ross, 1 R. I. 88, - 703, 705 V. Smith, 1 Abb. Pr. N. S. 304, 1109 Turney, Ex parte, 3 M. D. & D. 576, 843 V. Bayley, 4 De G. J. & Sm. 332, - - - 314, 922, Turnipseed v. Goodwin, 9 Ala. 372, - 181, 182, 781, 785, 917 Tuiquand, Ex parte, 2 M. D. & D. 339, ... 87, 808 Tustin V. Cameron, 5 Whart. 379, 1080 Tuten V. Ryan, 1 Spears (S. Ca.), 240, .... 454 Tutt V. Adams, 24 Mo. 186, - 360 V. Cloney, 62 Mo. 116, - 68;) V. Land, 50 Ga. 339, 255, 702, 781, 819 Tuttle V. Cooper, 5 Pick. 414, 1152 V. Cooper, 10 Pick. 281, 148, 1094 V. Eskridge, 2 Munf. (Va.) 330, - . - 421, 438 Tweed v, Lowe, 1 Arizona, 488, 1137 Twibill V. Perkins, 8 La. Ann. 132. 328 Twiss V. Massey, 1 Atk. 67, . 825 Twogood V. Swanston, 6 Ves. 485, 964 Twyford v. Trail, 7 Sim. 92, - 482 Tylei- V. Scott, 45 Vt. 261, 28, 33, 325, 411 Tynberg v. Cohen (Tex), 2 S. W. Rep. 734, - - - 1053 Tynerv. Stoops, 11 Ind. 22, - 524 Tyng V. Thayer, 8 Allen, 391, 681, 692, 795, 937 Tyree v. Lyon, 67 Ala. 1, 362, 367 Tyrrell v. Washburn, 6 Allen, 4(J6, 73 Tyson v. Pollock, 1 Pa. (Pen- rose & Watts) 375, - 384, 524 u. Uberoth v. Union Nat'I Bk. 9 Phila. 83, - - - - 715 Uhl V. Bingaman, 28 Ind. 365, 631 clxxvi Uhl.] TABLE OF CASES. [Van. Uhl V. Harvey, 78 Ind. 26, 619, 1147, 1155, 1157 XThler v. Browning, 28 N. J. L. 79, 201,205,439,443,451,701,1152 V. Semple, 20 N. J. 288, 290, 304, 544, 820, 821, 1101 Ulcry V. Ginrich, 57 111. 531, 329, 343, 371 Umbarger v. Plume, 26 Barb. 461, Union Bk. v. Eaton, 5 Humph. 501, V. Hall, Harper (S. Ca, ), 245, V. Hodges, 11 Rich. (S. Ca.) L. 480, - - - . V. Underbill, 21 Hun, 178, Union Nat'l Bk. v. Underbill, 102 N. Y. 336, Union & Planters' Bank v. Day, 12 Heisk. 413, Union Hotel Co. v. Hersee, 79 N. Y. 454, .... United States v. Am. Bell Tele- phone Co. 29 Fed. Rep. 17, - V. Athens Armory, 35 Ga. 344, V. Aslley, 3 Wash. C. C. 508, 205, 368, 415, 416, 420, 422, 438 V. Duncan, 4 McLean, 607, 545, 831 V. Fish, 24 Fed. Rep. 585, 488 V. Glab, 99 U. S. 225, 178, 269 V. Hack, 8 Pet. 271, 831, 832 V. Hallock, U. S. Supreme Ct. Book 17, Lawy. Coop. Ass'n, p. 568, ... V. Lewis, 92 U. S. 618 (affg. 13 Bankr. Reg. 33), - V. McGiunis, 1 Abb, U. S. 534 448 680 585 353 1152 446 316 1086 721 114 831 120, — V. — V. V. V. 236, Sbelton, 1 Brock. 517, Thomasson, 4 Biss. 99, Thompson, Gilpin, 614, "Williams, 4 McLean, 1105, 1106, 1111 488 831 4G8 385 U. S. Bank v. Binney, 5 Mason, 176, 150, 156, 216, 317, 373, 443, 608, 922, 978, 979 University of Cambridge v. Baldwin, 5 M. & W. 580, - 653 Updike V. Doyle, 7 R. I. 446, - 510, 511, 512, 935 Upham V. Hewitt, 42 Wis. 85, 33 V. Naylor, 9 Mass. 490, - 1103 Upson V. Arnold, 19 Ga. 190(63 Am. Dec. 302), - - 559, 560 Urqubart v. Powell, 54 Ga. 29, 61, 323 Usher v. Dauncey, 4 Camp. 97, 199, 691 Usry V. Rainwater, 40 Ga. 328, 541 Utley V. Smith, 24 Conn. 290, 557, 569 V. Vaccaro v. Toof, 9 Heisk. (Tenn.) 194, - - - 525, 608 Valentine v. Farnsworth, 21 Pick. 176, - 610, 644, 713, 737 v. Hickle, 39 Oh. St. 19, 80, 446 Valett v. Parker, 6 Wend. 615, 361, 1063 Van V. Hussey, 1 Jones, L. 381, 1105 Van Alstyne v. Bertrand, 15 Tex. 177, - - 347, 348, 1073 Van Amringe v. EUmaker, 4 Pa. St. 281, - - - 858, 861 Van Brunt v. Applegate, 44 N. Y. 544, 291 v. Mather, 48 Iowa, 503, - 328 Vance v. Blair, 18 Oh, 532 (51 Am. Dec. 467), - 78. 870, 871, 872 v. Campbell, 8 Humph. 524, 410 v. Cowing, 13 Ind. 460, 747, 750 Vanderburgh v. Bassett, 4 Minn. 242, . . 381, 383, 466 V. Hull, 20 Wend. 70, - 43 Vandervoort v. Palmer, 4 Duer, 677, 679, ... 1086 clxxvii Van.] TABLE OF CASES. [Via Vanderwyck v. Summerl, 2 Wash. C. C. 41, - - - 486 Van Deusen v. Blum, 18 Pick. 229 (29 Am. Dec. 583), - 418, 420 Vandike v. Rosskam, 67 Pa. St. 330, - - - . 1101, 1106 Van Doren v. Horton, 19 Hun, 7, 687 Vanduzer v. McMillan, 37 Ga. 299, 773 Van Dyke v. Jackson, 1 E. D. Smith, 419, - - - - 663 Van Eps v. Dillaye, 6 Barb. 244, 612 Van Gilder v. Jack, 61 Iowa, 756, 595 Van Keuren v. Parmelee, 2 N. Y. 523 (51 Am. Dec. 322), - 703 Van Kirk v. Wilds, 11 Barb. 520, .... 1118, 1119 Van Kuren v. Trenton Locom, & Mach. Mfg. Co. 13 N. J. Eq. 302, - - 17, 33, 133, 577, 991 Vanness v, Dubois, 04 Ind. 338, 634, 635, 647 Van Ness v. Fisher, 5 Lans. 236, 593 V. Forrest, 8 Cranch, 30, 878. 880 V. Van Ness, 32 N. J. Eq. 669, 983 750 998 569 Van Reimsdyk v. Kane, 1 Gall. 371 : id. 630, - - - - Van Rensselaer v. Emery, 9 How. Pr. 135, Van Rossum v. Walker, 11 Barb. 237, .... Van Sandan v. Moore, 1 Rusa. 464, - - - - 574, 1011 Van Scoter v. Lefferts, 1 1 Barb. 140, 629 Van Staden v. Kline, 04 Iowa, 180, - - - SOO, 705, 706 Vansyckle v. Rorback, 6 N. J. Eq. 234, . ... 147 Van Tine v. Crane, 1 Wend. 524, 346 Van Valen v. Russell, 13 Barb, 590, - - - 155, 840, 1053 Van Valkenburg v. Bradley, 14Iowa, 108, - - - 695,698 Van Wagner v. Chapman, 29 Ala. 173, - - - 825, 833 Vanzant v. Kay, 2 Humph. 106, - - . 694, 1168, 1169 Varnum v. Campbell, 1 McLean, 313, - - - 1067 Vassar v. Camp, 14 Barb. 341 (affd. 11 N. Y. 441), - -33,82 Veale v. Hassan, 3 McCord, L. 278, .... 693, 705 Venable v. Levick, 2 Head (Tenn.), 351, 317, 348, 373, 440, 447 Venning v. Deckie, 13 East, 7, 874, 875 Verderwater v. Blills, 19 How. 82 (affg. McAll. 9), - - 908 Vera v. Ash by, 10 B. & C. 288, 64, 221, 445, 503 Vermillion v. Bailey, 27 111. 230, 313 Vernon v. Hallam, 34 Ch. D. 748, - - 6G4, 660, 676, 677 V. Jeffrys, Str. 1140, - 1016 V. Manhattan Co. 22 Wend. 183 (aff. s. c. 17 id. 524), - 536, 606, 613, 617, 618 — V. Upson, CO Wis. 418, - 566 — V. Vundry, 2 Atk. 119, - 964 — V. Vernon, 7 Lans. 492 (modified 53 N. Y. 351), ■ - 603 Vetter v. Lentzinger, 31 Iowa, 182, 265 Vetterlein, In Matter of, 5 Ben. C. C. 311, .... 195 V. Barnes, 6 Fed. Rep. 693, - - - - 717, 755 Vice V. Fleming, 1 Tounge & J. 227, 619 V. Lady Anson, 7 B. «& C. 409, more fully reported in 3 C. & P. 19, - - - - 91, 94 Vickers v. Vickers, L. R. 4 Eq. 529, .... 247, 1012 clxxviii 'Vie.] TABLE OF CASES. [Wal. Vienne v. Harris, 14 La. Ann. 383, - - - ' - - 1069 V. McCarty, 1 Ball. 154, 720, 924 Vilas V. Farwell, 9 Wis. 460, 580. 884 Viles V. Bangs, 36 Wis. 131, - 383, 1024, 1038 Villa, V. Jonte, 17 La. Ann. 9, V)nal V. Burrill, 16 Pick. 401, 457 701, 864 V. West Va. Oil, etc. Co. 110 U. S. 215, - - - 1018 Vincent v. Martin, 79 Ala. 540, 59S, 601, 742, 908 Vinsen v. Lockard, 7 Bush, 458, 142 Vinson v. Beveridge, 3 Mac Ar- thur (Distr. Col.), 597, - 23, 91, 99 Von Pheel v. Connally, 9 Por- ter (Ala.), 453. - - - 1081 Von Phul V. New Orleans, 24 La. Ann. 261. - - - 176 Voorlioes v. Jones, 29 N. J. L. 270, - - 33,33,37,43,344 Voorhis V. Baxter, 18 Barb. 593, 750 V. Childs, 17 N. Y. 354, - 747, 748, 750 Vose V. Singer, 4 Allen, 226, - 69 Vosper V. Kramer, 31 N. J. Eq. 420, - - - 551, 560, 732 Vredenburg v. Behan, 33 La. Ann. 027, . - - . 5 V. Lagan, 28 La. Ann. 941, 349 Vulliamy v. Noble, 4 My. & Cr. l09;3Mer. 619, - 610, 747 Vyse V. Foster, L. R. 8 Ch. App. 309, and L. 7 H. L. 318, 481. 485, 797 w. VVaddell V. Cook, 3 Hill, 47, - 1108 Wade V. Jenkins, 3 Giff. 509, - 661 V. Metcalf, 16 Fed. Rep. 130, 206 V. Rusher, 4 Bosw. 537, - 932 Wadley v. Jones, 55 Ga. 329, 885, 910, 916 Wadsworth v. Manning, 4 Md. 59, - - 40, 264, 873, 876, 1013 Waggoner t. Gray, 3 Hen. & M. (Va.)603, - - - 786,930 V. Minter, 7 J. J. Mar. 173, 959 Wagner v. Freschl, 56 N. H. 495. - - - 832. 324, 348 V. Simmons, 61 Ala. 143, 328, 341, 370 V. Wagner, 50 Cal. 76, - 551 Wagnon v. Clay, 1 A. K. Mar. (Ky.) 257, - - 319, 365, 373 Waiuvvright v. Waterman, 1 Ves. Sr. 311, - - - - 249 Wait, Re, 1 Jac. & W. 605, - 755 V. Brewster, 31 Vt. 516, - 100 V, Thayer, 118 Mass. 473, 353 Waite, In re, 1 Low. 207; 1 Bankr. Reg. 373, - - 443, 563 V. Dodge, 34 Vt. 181, 152, 153 609, 1022, 1023 V. Foster, 33 Me. 424, - 690 V. Mathews, 50 Mich. 393, 1131 V. Merrill, 4 Me. 103, - 13 Walcott V. Canfield, 3 Conn. 194, 331 Waldeck v. Brande, 61 Wis. 579 (21 N. W. Rep. 533), 518, 709 Walden v. Sherburne, 15 Johns. 409, 12, 56, 317, 420, 423, 437, 438, 447, 451, 700 Waldo Bank v. Greely, 16 Me. 419. 301 V. Lumbert, 16 Me. 416, 352, 415 Waldron, In re. 98 N. Y. 671, - V. Simmons, 28 Ala. 639, 453 747, 750 Wales V. Chamberlin, 19 Mo. 500, v\ alkenshaw v. Perzel, 4 Robt. 426 ; 32 How. Pr. 233, - Walker, Ex parte, 4 De G. F. & J. 509, .... , Re, 6 Ontario App. 169, - 825, 833 V. Bean (Minn. 1886), 26 N. W. Rep. 233, - - - 336 1073 931 563 563, cixxix Wal.] TABLE OF CASES. [Wan. Walker v. Clark, 8 Iowa, 474, lOSG V. Consett, Forrest, 157, - 954 V. Duberry, 1 A. K. Mar. (Ky.)189, .... 700 V. Harris, 1 Anstr. 245, - 869 V. Hirsch, 27 Ch. D. 460, 28, 29 V. House, 4 Md. Ch. 39, - 998 V. Kee, 14 S. Ca. 142, 854, 859, 401, 1040 V. Kee, 16 S. Ca. 76, - 1040 V. McCuUoch, 4 Me. 431, - 385 V. Marine Natl. Bank of Erie, 98 Pa. St. 574, - 566, 567 V. Mattliews, 58 111. 193, - li:J7 V, Mottram, 19 Ch. D. 355, 667 V. Sharpe. 103 Mass. 154, - 389 V. Steel, 9 Col. 388, - - 1024 V. Trott, 4 Edw. Ch. 38, - 554, 999 V. Wait, 50 Vt. 668, - 72, 173, 197, 580, 882, 884 V. Whipple, 58 Mich. 476, 571, 572 Wall V. Balcom, 9 Gray, 92, - 47 V. Boisregard, 11 Sm. & M. (19 Miss.) 574, - - - 1028 Wallace's Appeal, 104 Pa. St. 559, .... 548, 927 Wallace v. Berger, 14 Iowa, 183, 983 V. Finberg, 46 Tex. 35, - 139 V. Fitzsimmons, 1 Dall. 248, - - - - 716, 722 V. Freeman, 25 Tex. Sup. 91, 510 V. Hull, 28 Ga. 68. - - 1103 V. Jaaies, 5 Grant's Ch. 163, .... 479, 486 V. Kelsalls, 7 M. & W. 264, .... 383, 1037 V. Milligan, 110 Ind. 498, 753, 935, 971 V. Patterson, 2 H. & McH. 463, 1103 Waller v. Davis, 59 Iowa, 103, 347» 507, 509, 570, 585 V. Keyes, 6 Vt. 257, 317, 319, 322, 343, 362, 439 Wallingford v. Burr, 17 Net. 137, 657 Wallis V. Carpenter, 13 Allen, 19, 234 V. Wallace, 6 How. (Miss.) 254, 1121 Walhvorth v. Holt, 4 M. & Cr. 619, 914 Walrasley v. Cooper, 11 A. «fc E. 216 ; 3 Per. & Dav. 149, 383, 385 V. Mendelsohn, 31 La. Ann. 152, - - - - 738 V. Walmsley, 3 Jones & Latouche, 556, - - 983, 983 Wain V. Hewes, 5 S. & R. 467, 723 Walpole V. Ren f roe, 16 La. Ann. 92, .... 761 Wahath v. Viley, 2 Bush, 478, 91 Walsh V. Adams, 3 Den. 125, 1108 V. Lennon, 98 III. 27 (38 Am. Rep. 75), 328. 341, 370, 418, 420 V. Cane, 4 La. Ann. 533, 703 V. Kelly, 42 Barb. 98 ; 27 How. Pr. 359,- - - 566, 1153 V. Moser, 38 Tex. 290, - 452 V. Yeager, 4 Pliila. 251, - 403 Wallenstein v. Selizman, 7 Bush, 175, .... 1084 Walstrom v. Hopkins, 103 Pa. St. 118, - - - - 505,519 Walton V. Butler, 29 Beav. 428, 266, 838 V. Dodson, 3 C. & P. 162, 1019 V. Payne, 18 Tex. 60, - 1071 V. Robinson, 5 Ired. (N. Ca.) L. 341, .... 705 V. Tomlin, 1 Ired. L. 593, 012, 618 Walworth v. Henderson, 9 La. Ann. 339, - - - 353, 361 Warnsley v. Lindenberger, 2 Rand. (Va.) 478, - - - 148 Waiin V. Kelly, 5 Fed. Rep. 584; 2 McCrary, 628, 113, 127, 865 clxxx Wan.] TABLE OF CASES. [Wat. Wann v. McNulty, 7 111. 355 (43 Am. Dec. 58), - - - 535 Want V. Reece, 1 Bing. 18, - 879 Ward's Appeal, 8H Pa. St. 270, , . . - nil, 1113 Ward, Re (U. S. D. C. Tenn., 1879), 8 Reporter, 136, - - 23, 47 V. Apprice, 6 Mod. 264, 314, 978 V. Barber, 1 E. D. Smith, 423, .... 681, 692 V, Bodeman, 1 Mo. App. 272, 45, 70 V. Brigham, 127 Mass. 24, 4 V. Chase, 35 Me. 515, - 1162 V. Coulter, 4 N. J. L. 208, 1104 V. Dow, 44 N. H. 45, - 1008 V. Gore, 37 How. Pr. 119, 965 V. Johnson, 13 Mass. 148, 535 V. Motter, 2 Rob. (Va.) 536, - . - . 420, 525 V. Newell, 37 Tex. 261, - 1079 V. Pine, 50 Mo. 38, - - 1065 . V. Smith, 6 Bing. 749, - 1031 V. Thompson, 22 How. 330 (affg. Newb. 95), - 32, 908 V. Wood burn, 27 Barb. 846, 534 954 Warden v. Marcus, 45 Cal. 594, Warder v. Newdigate, 11 B. Mod. 174 (52 Am. Dec. 567), 282, 363, 411, 1079 V. Stilwell, 3 Jur. N. S. 9. 243 Wardlaw v. Gray, Dudley (S. Ca.), Eq. 85, 747, 749, 750, 825, 848 Wardwell v. Haight, 2 Barb. 549, 613 Ware v. Owens, 42 Ala. 412, - 286 Warfield v. Booth, 33 Md. 63, 676 Waring v. Crow, 11 Cal. 366, 589 V. Robinson, Hoffm. (N, Y.) Ch. 524, - - - 380, 1006 V. Waring, 1 Redf. 205, - 715 Warner, Re, 7 Bankr. Reg. 47, 150 V. Griswold, 8 Wend. 665, 111, 1019 1127 Warner v. Smith, 1 De G. J. & S. 337, 172, 183 Warren, Re, 2 Ware, C. C. 323, 26, 200, 279, 302, 444,, 415, 453, 825 V. Able, 91 Ind. 107, - 825 V. Ball, 37 111. 76, - 152, 609 V. Chambers, 12 111. 124, 1074 V. Chapman. 105 Mass. 87, 114, 128 510 832 348 531 1125 304, 810 184, 821 - 1105 - 1109 - 931 - 735, 849, 852, 854 Warring v. Grady, 49 Ala. 465, 318 V. Hill, 89 Ind. 497, - V. Dickson, 30 111. 363, - V. Farmer, 100 Ind. 593, - V. French, 6 Allen, 317, - V. Hayzlett, 45 Iowa, 235, V. Perkins, 8 Cuah. 518, - V. Schainwald, 63 Cal. 56, ■ V.Taylor, 60 Ala. 218, • V. Wallis, 38 Tex. 225, • V. Wallis, 42 Tex. 473, V. Warren, 56 Me. 360, V. Wheelock, 21 Vt. 323, 891 1126 V. Perkins, 8 Cush. 518, Wart V. Mann, 124 Mass. 586, Wartelie v. Hudson, 8 La. Ann. 486, - - - - 194 WarLh V. Radde, 18 Abb. Pr. 396, 1038 Warthen v. Brantley, 5 Ga. 571, 934 Warwick v. Richardson, 10 M. & W. 284, - . - 638, 640 Washburn v. Bank of Bellows Falls, 19 Vt. 278, - 454, 824, 825. 929, 1109, 1115 V. Goodman, 17 Pick. 519, 580, 707, 744, 769, 772, 774, 782, 788, 795, 797, 935 V. Walworth, 133 Mass. 499, - - - 175, 626, 627 V. Washburn, 23 Vt. 576, 305 Washing v. Wright, 8 Ired. L. 1, 1168 Wass V. Atwater, 33 Minn. 83, 60 Waterer v. Waterer, L. R, 15 Eq. 403, - - - - 287 clxxxi Wat.] TABLE OF CASES. [Wek, Waterman v. Hunt, 2 R. I. 298, 543, 559, 5G0, 882, 884 V. Johnson, 49 Mo. 410, - 597 V. Lipman, 67 Cal. 26, - 10G6 Waters v. Taylor, 15 Ves. 10, 233 993, 999 V. Taylor, 2 V. & B. 299, - 581 V. Tompkins, 2 C. M. & R. 723, 489 Wat kins v. Fakes, 5 Heisk. 185, - 726, 739, 740, 923, 935 V. Terre Haute, etc. R. R. 8 Mo. App. 569, ... 66 Watkinson v. Bank of Penn. 4 Whart. 482 (34 Am. Dec. 521), .... 617, 618 Watney v. Wells, L. R. 2 Ch. App. 250, .... 783 V. Wells, 30 Beav. 56, - 504 Watson, Ex parte, 19 Ves. 459, 16, 155, 840 V. Fletcher, 7 Gratt. 1, 1 12, 1 16, 119, 127 V, Gabby, 18 B. Mon. 658, 1105, 1109 V. Lovelace, 49 Iowa, 558, 1137 V. Miller, 55 Tex. 289, - 722 V. Murray, 23 N. J. Eq. 257, .... 112, 119 V. Owens, 1 Rich. (S. Ca.) L. Ill, - - - 525, 535, 538 V. Wells, 5 Conn. 468, - 392 V. Woodman, L. R. 20 Eq. 721, 704 Watt V. Kirby, 15 111. 200, 446, 507, 508 Watterson v. Patrick (Pa. 1885), 1 Atl. Rep. 602, - 603, 610 Wattles V. Moss, 46 Mich. 52, - 1158 Watts V. Rice, 75 Ala. 289, - 1064 V. Robinson, 32 U. C. Q. B. 362, 520 V. Say re, 76 Ala. 397, - 1079, 1084 Waugh V, Cariger, 1 Yerg. 31, 420 V. Mitchell, 1 Dev. & Bat. Eq. 510, .... 977 Waugh V. Carver, 2 H. BI. 235 ; 1 Sm. Lead. Cas. 908, 16, 90, 92, 157 Way V. Fravel, 61 lud. 162, - 504 V. Stebbins, 47 Mich. 296, 281, 284, 294, 976 Waydell v. Luer, 3 Den, 410, - 523 Wayland v. Elkins, 1 Stark. 272; Holt, N. P. 227, - - 67 Wayne v. Clay, 1 A. K. Mar. 257, 317 Wayt V. Peck, 9 Leigh, 434, - 740 Weatherly v. Hard man, 68 Ga. 592, 647 Weaver, Re, 9 Bankr. Reg. 132, 694 V. Ashcroft, 50 Tex. 427, 561, 562, 1105 V. Carpenter, 42 Iowa, 343, 10s5, 1080 V. Rogers, 44 N. H. 112, - 1037 V. Tapscott, 9 Leigh (Va. ), 424, - - 205, 422, 440, 451 ^ — V. Weaver, 46 N. H. 188, 825, 832. 843, 847 Webb, Re, 2 J. B. Moore, 500, 761 V. Fordyce, 55 Iowa, 11, - 765, 982, 984 V. Helion, 3 Robt. (N. Y.) 625, 932 V. Liggett, 6 Mo. App. 345, 80 Webber v. Williams, 36 Me. 512, - - - . 178, 269 Weber v. Defor, 8 How. Pr. 502, 551 Webster v. Bray, 7 Hare, 159, 181, 770 v. Stearns, 44 N. H. 498, 331, 332 V. Webster, 3 S wanst. 490, 6 1 0, 673 Wedderburn v. Weddtrburn, 2 Keen, 722 ; 4 M. & Cr. 41 ; 22 Beav. 84, 658, 744, 745, 794, 797, 798 Weed v. Kellogg, 6 McLean, 44, .... - 833 V. Peterson, 12 Abb. Pr. N. S. 178, - - - - 670 clxxxii Wee.] TABLE OF CASES. [Wes. Weed V. Richardson, 2 Dev. & Bat. L. 535, - - - 347, 363 Weeks v. Mascoma Rake Co, 58N. H. 101, - - - 299,431 Weems V. Stalliugs, 3 Har. & J. 865, 43 Weil V. Guerin, 42 Oh. St. 299, 303, 454 V. Jones, 70 Mo. 560, 718, 733, 1079 Weinrich v. Koelling, 21 Mo. App. 133, ... - 1133 Weisman v. Smith, 6 Jones (N. Ca.), Eq. 124, - - - 942 Weissenborn v. Seighortner, 21 N. J. Eq. 483, - Welboru v. Coon, 57 Ind. 270, 992 717, 723 403 Weld V. Peters, 1 La. Ann. 433, Weldon v. Beckel, 10 Daly, 473, 761 Welker v. Wallace, 31 Ga. 362, 483 Welland v. Huber, 8 Nev. 203, 961 Welles V. March, 30 N. Y. 344, 338, 340, 583 WellesforJ v. Watson, L. R. 8 Ch. App. 473, - - - 233 Well man v. Barker, 3 Oreg. 253, ... - 990, 999 V, Southard, 80 Me. 425, - 453 Wellover v, Soule, 30 Mich. 481, 1125 Wells V. Babcock, 56 Mich. 276, 782, 788, 788, 917, 919, 1136 V. Carpenter, 65 111. 447, 893 V. Collins. 11 Lea. 213, - 907 V. Ellis, 68 Cal. 243 (9 Pac. Rep. 80). - 544, 588. 587, 1131 V, Erstein, 24 La. Ann. 817, 958 V. Evans. 20 Wend. 251 (reversed in part in Evans v. Wells, Lockw. Rev. Cas. 890; 22 id. 324), - - - 353,415 v. Masterman, 3 Esp. 731, 441 v. Mitchell, 1 Ired. (N. Ca.) L. 484, - - - . 1037 Wells V. Ross, 7 Taunt. 403, - 707 V. Simmons, 66 Mo. 617, 620, 138 V. Strange, 5 Ga, 23, 930, 932 V. Turner, 16 Md. 133, 317, 333 V. Wells, 1 Ventr. 40, - 893 Wells, Fargo & Co. v. Clark- son, 5 Montana, 330, - - 1094 Welsh V. Canfield, CO Md. 469, 230 V, Speakman, 8 Watts & S. 357, ... - 1147, 1154 Wendall v. Osborne, 03 Iowa, 99, 1005 Wentworth v. Raiguel, 9Phila. 275 (s. c. as Raiguel's Appeal, 80 Pa. St. 234), - 455. 645, 761 Werner v. Leisen, 31 Wis. 169, 73, 591, 910. 939 Wesson v. Newton, 10 Cush. 114, 337 West v. Chasten, 13 Fla. 315, - 533, 532, 551 v. Citizens' Ins. Co. 37 Oh. St. 1 (22 Am. Rep. 294), 272. 1024 v. Kendrick, 46 Ga. 526, 1081 V. Randall. 2 Mason, 181, 7J0 V. Skip, 1 Ves. Sr. 239, - 184, 544, 810 V. Valley Bank, 6 Oh. St. 168, ... - 172, 195 West Branch Bank v. Fulmer, 3 Pa. St. 399, - - 399, 400 West of England, etc. Bk. v. Murch, L. R. 23 Ch. D. 138, 394 West Hickory Min. Ass'n v. Reed, 80 Pa. St. 38, - 290, 298 West Point Foundry Ass'n v. Brown, 3 Edw. Ch. 384, - 89 Westbay v. Williams, 5 111. App. 531, - - - - 833 Westcott, Ex parte, L. R. 9 Ch. App. 626, - - 836, 844 V. Nickerson, 120 Mass. 410, COS V. Price, Wright (O.), 330, 78, 883 clxxxiii Wes.] TABLE OF CASES. [Wm. Westerlo v. Evertson.lWend. 632, - . - - 852, 861 Western Assur. Co. v. Towle, 65 Wis. 247, - - - 331, 332 Western Stage Co. v. Walker, 2 Iowa, 504, 431, 432, 433, 686, 707 Weston, Ex parte, 12 Met. 1, 452, 453, 829 V. Barton, 4 Taunt. 673, 649, 651 V. Kftcham, 39 N. Y. Su- perior Ct. 54, - - 305, 428 Westphal v. lleunoy, 49 Iowa, 542, .... 930, 932 Wetherbee v. Potter, 99 Mass. 854, 875 Wetherwax v. Paine, 2 Mich. 555, 1125 Wetraore v. Baker, 9 Johns. 307, .... 06, 861 V. Woodbridge, Kirby (Conn.), 104, .... 849 Wetter v. Schheper, 4 E. D. Smith, 707 ; 15 How. Pr. 208, 338, 340, 403 Weyer v. Thorn burgli, 15 Ind. 124, - - 824, 825, 828, 832 Whaley v. Moody, 2 Iluniph. (Tenn.)^95, .... 349 Wharton v. Douglass, 76 Pa. St. 273, 850 V. May, 5 Ves. 27, - - 904 V. Woodburn, 4 Dev. & Bat. L. 507, - 348, 418. 422, 423 Wheat V. Hamilton, 53 Ind. 256, - - 175, 507, 511, 640 Wheatcroft v. Hickman, 9 C. B. N. S. 47 (s. c. on appeal as Cox V, Hickman), - - 19 Wheatley v. Calhoun, 12 Leigh (Va.), 204 (37 Am. Dec. 054), 282, 287, 839 V. Tutt, 4 Kan. 240, - 334, 1088 V. Wheeler, 34 Md. 02, 978, 979 Wheeler, Ex parte. Buck. 25, 541 V. Arnold, 30 Mich. 304, - 864 V. Farmer, 38 CaL 203. 59. 69, " fc94 clxx Wheeler v. McEldowney, CO 111. 358, 94 V. Page, 1 Wall. 518, - 306 V. Rice, 8 Cush. 205, - 365 V. Van Wart, 9 Sim. 193, 574 V. Wheeler, 111 Mass. 247, 864 Wheelock v. Doolittle, 18 Vt. 440(40 Am. Dec. 103), - 703, 705 Whelen v. Watraough, 15 S. & R. 153, .... 274 Whetham v. Davey, 30 Ch. D. 574, 185 Wlietstone v. Shaw, 70 Mo. 575, .... 860, 862 Whigbam's Appeal, 63 Pa. St. 194, . . . 548, 1101, 1108 Whincup V. Hughes, L. R. 6 C. P. 78, 807 Whipple V. Parker, 29 Mich. 309, - - . 0, 8, 72, 208 Whitaker v. Bledsoe, 34 Tex. 401, 881 V. Brown, 16 Vvend. 505 (overrules s. c. 11 id. 705), 348, 361, 370, 481 V. Salisbury, 15 Pick. 534, 530 Whitcher v. Morey, 39 Vt. 459, .... 115, 117 Whitcomb v. Converse, 119 Mass. 38 (20 Am. Rep. 311), - 181, 231, 813, 816, 819 V. Whiting, Dougl. 052, - 705 White, Ex parte, L. R. 6 Ch. 397, 481 , In re, 4 Ont. App. 410, - 634 V. Ansdell, Tyr. & Gra. 785, 879 V. Barton, 18 Beav. 192, - 972 v. Bullock, 18 Mo. 16, - 817 V. Chapin, 134 Mass. 230, - 716 V. Conway, GO Cal. 383, - 970 V. Cox, 3 Hay. (Tenn.) 79, 309 V. Davidson, 8 Md. 169, - 350 v. Dougherty, Mart. & Yer. (Tenn.) 309, 184, 820, 842, 848 V. Fitzgerald, 19 Wis. 480, 64 V. Gardner, 37 Tex. 407, 598, 742 xiv Whl] TABLE OF CASES. [Wm. White V. Gibson, 11 Ired. L. 283, 1153 V. Hale, 3 Pick. 291, - 705 V. Harlow, 5 Gray, 463, - 852 V. Jones, 38 111. 159, 1105, 1111 V. Joues, 14 La. Ann. 681, 381, 692 V. Jones, 1 Robt. 321; 1 Abb. Pr. (N. S.) 328. - 664, 669 V. Kearney, 2 La. Ann. 639, .... 322, 707 V. Lea\itt, 20 Tex. 703, - 1094 V. Magann, 65 Wis. 80, 644, 983 V. Murphy, 3 Rich. L. 369, 612 V. Parish, 20 Tex. 088, 551, 560, 713, 824 V. Russell, 79 111. 155, 735, 730 V. Savery, 50 Iowa, 515, - 1024 V. Schuebly, 10 Watts, 217, 1119 V. Smith, 12 Rich. (S. Ca.) L. 595. .... 463, 471 V. Thielens, 106 Pa. St. 173, .... 510,511 V. Toles, 7 Ala. 509, - - 411 V. Tudor. 24 Tex. 639 (T. V. W. 27 id. 584), - 618, 690, 695, 1171 V. Union Ins. Co. 1 Nott & McC. 556 (9 Am. Dec. 726), 723, 732 V. Waide, Walk. (]\Iiss.) 263, .... 735, 849 V. White, 5 Gill, 359, 570, 934 V. White, 4 Md. Ch. 418, - 931 V. Williams, Willm. Woll. & Hod. 52, .... 437 V. Woodward, 8 B. Mon. 484, 1101, 1105, 1109, 1111, 1112 Whiteliead v. Bank of Pitts- burg, 2 Watts & S. 172, 695, 1105 V. Chadwell, 2 Duvall, 432, 827 V. Hughes, 2 Cr. & M. 318; 4 Tyiwh. 92, - - - 1020 Whitehill v. Shickle, 43 Mo. 637, .... 56. 879 Wliite Mountain Bank v. West, 46 Me. 15, - - - 259, 262 Whitesides v. Collier, 7 Dana, 283. .... 274, 275 V. Lafferty, 3 Humph. 150. 795 V. Lee, 2 111. 548, - 627, 1073 Whiting V. Farrand, 1 Conn. 00, 707 V. Leakiu, 66 Md. 255, 43, 571, 948, 1142, 1147 V. Withington, 3 Gush. 413, 1094 181 Whitis V. Polk, 36 Tex. C03, - Whitley v. Lowe, 25 Beav. 421 ; 2 DeG. & J. 704. - - - 705 Whitlock V. McKechnie, 1 Bosw. 427. - - - 191, 1025 Whitman v. Boston & Me. R. R. 3 Allen, 133, - - - 293 V. Keith, 18 Oh. St. 134, - 173, 1059, lOai, 10a2, 1091), 1128 V. Leonard, 3 Pick. 177, - 341, 589, 626 V. Porter, 107 Ma.ss. 522, 72, 73 458, ",(50 V. Robinson, 21 Md. 30, - 574, 594, 597, 998 V. Wood, 6 Wis. [G70J. Co2, 1073 Whitmore, Ex parte, 3 M. & A. 627 ; 3 Deac. 365 iS. C. on appeal as Ex parte Jackson, 2 M. D. & D. 146), - 512, 516 V. Adams, 17 Iowa, 507, - 349 V. Mason, 2 Johns. & Hem. 204, - - - . — V. Parks, 3 Humph. 95, 246 561. 569 V. Shiverick, 3 Nev. 238. 184, 186, 1086, 1129 Whitney v. Burr, 115 111. 289, - 788 V. Cook, 5 Mass. 139, 336, 337, 714 V. Gotten, 53 Miss. 689, - 283, 290, 291, 293, 294, 822, 931, 940 V. Dean. 5 N. II. 249. 505, 568 V. Dutcli. 14 M It; •.. 457 (7 Am. Dec. 22D). - - 142, 145 clxxxv Wm.] TABLE OF CASES. IWiu Whitney v. Farrand, 1 Conn. (50, 707 V. LacUI, 10 Vt. 165, - - 1105 V. Ludiiigton, 17 Wis. 140, 35, 88 V. Punington, 59 Cal. 36, 862 V. Reese, 11 Minn. 138 (overruled). - - - 703, 1094 V. Sterling, 14 Johns. 215, 1145, 1151, 1155 Whittier v. Gould, 8 Watts, 485, 534 Whittaker v. Howe, 3 Beav. 3S3, - - - - 314, 678 Wliittemore v. Elliott, 7 Hun, 518, - . - 147, 149, 1099 Whittenton Mills v. Upton, 10 Gray, 583, - - - - 133 Whittle V. McFarlane, 1 Knapp, 311. - - - - 770 V. Skinner, 23 Vt. 531, - 548 Whitton V. Smith, 1 Freem. (Miss.) Ch. 172, - - 403, 587 V, State, 37 Miss. 379, - 488 Whitwell V. Arthur, 35 Beav. 140, 581 V. Warner, 20 Vt. 425, - 498 Whitworth v. Ballard, 56 lud. 279, 690 V. Benbow, 56 Ind. 194, - 551 V. Harris, 40 Miss. 483, - 1014 V. Patterson, 6 Lea, 119, - 43, 105, 155, 338, 608 Wickham v. Davis, 24 Minn. 167, - . . . 930, 1109 v. Wickham, 2 K. & J. 478, 330, 331 Wickliflfe v. Eve, 17 How. 468, 739, 923 Wicks V. Lippman, 13 Nev. 499, - - - 858, 887, 893 Widdifield V. Widdifield, 2 Bin. 245, - - - - 1145 Wiegand v. Copeland, 14 Fed. Rep. 118; 7 Sawy. 442, 281, 970, 974, 977 Wiesenfeld v. Byrd, 17 S. Ca. 106, - - 454, 494, 727, 749 clxx Wiesenfeld v. Stevens, 15 S. Ca. 554, 561 Wiggin V. Cumings, 8 AUen, 353, 864 V. Goodwin, 63 Me. 389, - 585, 629, 630 V. Lewi.s. 12 Cush. 48G, 349, 1094 Wiggins V. Graham, 51 Mo. 17, 43 V. Hammond, 1 Mo. 121, 446 Wightman v. Tovvnroe, 1 M. & S. 412, ... - 51 Wilby V. Phiuney, 15 Mass. 116, - 735, 772, b58, 864, 886 V. Sledge, 8 Ga. 532, - 1049 Wilcox V. Dodge, 12 III. App. 517, 416 V. Jackson, 7 Colorado, 521, - . 325, 338, 403, 406 560 1150 336 722 297 106/ V. Kellogg, 11 Oil. 394, - V. Matthews, 44 Mich. 192, V. Singletary, Wright (O.), 420, V. Soper, 13 B. Mon. 411, V. Wilcox, 13 Allen, 252, V. Woods, 4 111. 51, - Wilcoxsou V. Burton, 27 Cal. 228, .... 377, 378 Wild V. Davenport, 48 N. J. L. 129. . - 23. 51, 52. 53, 601 V. Dean, 3 Allen, 579, 502, 503, 505, 832 V. Milne, 26 Beav. 504, 974, 977 Wilde, Succession of, 21 La. Ann. 371, .... 764 V. Jenkins, 4 Paige, 481, - 261, 205, 534, 962 Wilder v. Keeler, 3 Paige, 107. 747, 750, 825, 832, 842, 848 V. Morris, 7 Bush, 420, - 764 V. Savannah, 70 Ga. 700 (48 Am. Rep. 598), - - 175 Wildes V. Chapman, 4 Edw. Ch. (N. Y.)C09, - - 552,554 V. Fessenden, 4 Met. 12, 505, 519 Wiles V. Maddox, 26 Mo. 77. 1101. 1105, 1106, 1109, 1111 V. March, 30 N. Y. 344, - 33'J XVI WIL.] TABLE OF CASES. [WiL. Wiley's Appeal, 8 Watts & S. 244, 668 Wiley. Re, 4 Biss. 214, - - 560 V. Bamngnrdner, 97 Ind. 66 (49 Am. Rep. 427), - 664, 676 V. Giiswoli'l, 41 Iowa, 375, 331 V. Logan, 95 N. Ca, 358, - 1019 V. Sledge, 8 Ga. 533, 454, 746, 1117 Wilgus V. Lewis, 8 Mo. App. 336. 507, 508 Wilhelni v. Caylor, 32 Md. 151, 899. 943. 943, 946 Wilkea v. Clark, 1 Dev. (N. Ca.) L. 173, - ~ - - - 33, 1022 Wilkins v. Boyce, 3 Watts, 39, 490 V. Davis, 2 Lowell. 511 ; 15 Baakr. Reg. 60, 583, 753, 754, 1020 V. Earl, 44 N. Y. 173, - 1159 530 V. Fitzhugh, 48 Mich. 78, V. Pearce, 5 Den. 541 (affd. in 2 N. Y. 469), - - 326, 348 V. Wardens, etc. of St. Mark's Cliurch. 52 Ga. 351, - 75 Wilkinson v. Frasier, 4 Esp. 182, 16, 59 V. Gilchrist, 5 Ired. L. 228,' ----- 1057 V, Henderson, 1 M. & K. 582, - - - -, - 748 V. Jett, 7 Leigh (Va.), 115 (30 Am. Dec. 493), - - 41, 43 V. Page, 1 Hare, 226, 234 V. Tilden, 9 Fed. Rep. 683, 990 V. Yale, 6 McLean, 16, 561, 562 Willet V. Brown, 65 Mo. 138 (27 Am. Rep. 2G5), - 281, 290 V. Chambers, Cowp. 814, 199, 475 Willett V. Blanford, 1 Hare, 253, 797 - — V. Stringer, 17 Abb. Pr. 152, - - - 403, 406, 481 Willey V, Carter, 4 La. Ann. 56, 299 V. Thompson, 9 Met. 329, 531, 611. 737 William Bagaley, The, 5 Wall. 377, - - - 70. 401, 582 Williams, Ex parte, U Ves. 3, 551, 559, 679 , Ex parte, 3 M. D, & D. 433, 837 , Ex parte. Buck. 13. 503, 1016 , Re, 3 Woods, C. C. 493, 195 , Re, 5 Boston Law Rep. 402, 825 V. Adams, 16 111. App. 564, 560 V. Bariiett, 10 Kan. 455, - 323, 403, 545, 1044 V. Barton, 3 Bing. 139 (affg. 5 B. & Aid. 395), - 278 V. Beaumont, 10 Bing. 260, 1031 V. Bingley, 2 Vern. 278, - 990 V. Bowers, 15 Cal. 321, - 612, 613 V. Boyd, 75 Ind. 286, - 534 V. BrimhalJ, 13 Gray, 462, 383, 411, 1046, 1079, 1084 V. Butler, 35 111. 544, - 105 V. Connor, 14 S. Ca. 621, 1 IJ, 117, 631, 113". V. Donaghe, 1 Rand. (Va.) 300, 104:j V. Frost, 27 ]\Iinn. 253, - 340 V. Gage, 49 Miss. 777, 824, 1103, nil V. Gilchrist, 11 N. H. 535, 347 V. Gillies, 75 N. Y. 197 (rev. 13 Hun, 423), 205, 303, 438, 443, 445 V. Hamilton, 4 N. J. L. 250, 1081 V. Hayes, 20 N. Y. 58, - 91 1 V. Henshaw, 11 Pick. 79 (23 Am. Dec. 366), 858, 864, 875. 876, 877 — V. Henshaw, 13 Pick. 378 (23 Am. Dec. 614), - - 864 — V. Hitchings, 10 Lea, 326, 386 — V. Hodgson, 2 Har. & J. 474. - - - 331,430,421 clxxxvii WlL.] TABLE OF CASES. [Wiu Williams v. Jones, 5 B. & C. 108, . - - 85, 208, 221 V. Lawrence, 47 N. Y. 463, 70 V. Lawrence, 53 Barb. 320, 184 V. Love, 2 Head, 80, 184, 290. 295, 739, 822 V. Mathews, 14 La. Ann. 11, 610 V. Manning. 41 How. Pr. 454 (Ct. App. 1870, not else- where reported), - - - 700 V. Moore, Pliila. (N. Ca.) Eq. 211, - - - - 735. 1003 V. More, G3 Cal. 50, - 381, 437 V. Muthersbaugh, 29 Kan. 730, - - - 456, 1117, 1119 V. Roberts, 6 Cold. 403, - 335, 338, 403 V. Rogers, 14 Bash, 776, - 54, 822, 323, 454, 456, 459, 533, 537, 610, 638. 1094, 1147 V. Saginaw. 51 Jlich. 120. 176 V. Smith, 4 Bush, 510, 1109. 1111 V. Sommerville, 8 Leigh, 415, 403 V. Soutter, 7 Iowa, 435, 23, 47, 88, 1135. 1143, 1158 V. Thomas, 6 Esp. 18, 345, 439 V. Walbridge, 3 Wend. 415, 347, 363 V. Whedon, 39 Hun, 98, 720, 733 V. Whitmore, 9 Lea, 263, 709 V. Williams, L. R. 3 Ch. App. 294, - ... 209 V. Wilson, 4 Sandf. Ch. 379, .... 058, 607 Williamson v. Adams, 16 Hi. App. 564, - . . 551, 554 V. Fontain, 7 Baxter (Tenn.), 212, - - - 290, 297 V. Haycock, 11 Iowa, 40, 849, 863 V. Johnson, 1 B. & C. 146; 2 D. «& R. 281 (explained in Faith V. Richmond), - . 203 Williamson v. McGinnis, 11 B. Mon. 74, .... 385 V. Wilson, 1 Bland (Md. Ch.),418, - - - 593,994 Willings V. Consequa, Pet. C. C. 301-307, .... 885 Willis V. Bremner, 60 Wis. 633, - . . 446,449,566 V. De Castro, 3 C. B. N. S. 216, 386 V. Dyson, 1 Stark. 164, - 325 V. Freeman, 35 Vt. 44, 180, 281, 1111 V. Henderson, 43 Ga. 324, 1113 V. Hill, 2 Dev. & Bat. (N. Ca.) L. 231, - 438, 446, 700, 705 V. Jernegan, 2 Atk. 251, 954 V. Morrison, 44 Tex. 27, - 1094 Wills V. Cutler, 61 N. H. 407, 334 V. Simmonds', 8 Hun, 189 (affg. 51 How. Pr. 48), 42, 874, 889 Willson V. Nicholson, 61 Ind. 241, - - - 715, 723, 731 V. Owen, 30 Mich. 474, 73, 1 15, 137 Wiln\er v. Currey, 3 De G. & Sm. 347, - - 239, 455, 643 Wilson, Ex parte, L. R. 7 Ch. App. 490. .... 841 V. Albright, 2 G. Greene (Iowa), 125, •- - . - 1125 V. Bailey, 9 Dowl. P. C. 18 (s. c. as Wilson v; Lewis, 2 M. & G. 197), - - 847, 509 V. Bell, 17 Minn., 61, . 311 V. Brown, 6 Ont. App. 411, - - 329. 349, 371, 430 V. Campbell, 10 ill. 38;J, 78, 870 V. Clarke, 27 Miss. 270, - 1163 V. Cobb, 28 N. J. Eq. 177, 3 V. Col man, 1 Cranch, C. C. 408, .... 1147, 1155 V. Conine, 2 Johns. 280, . 1111, 1112 V. Cutting, 10 Bing. 436, 87!) V. Dargan, 4 Rich. L. 544, 424 clxxxviii WlL.] TABLE OF CASES. [Win. Wilson V. Davis, 1 Montana, 183, - - 544, 587, 591, 820 V. Dosier, 58 Ga. 603, 3G5, 510, 515 V. Elliott, 57 N. H. 31G, 876, 408 V. Forder, 20 Oh. St. 89 (5 Am. Rep. 627), - - - 698 V. Genesee Mut. Ins. Co. 16 Barb. 511, - - - 273 V. Greenwood, 1 Swanst. 471, 246, 563, 583. 591, 679, 995, 996, 997, 1003 V. Home, 37 Miss. 477, - 456 V. Hunter, 14 Wis. [683], 744, - - - 293, 416, 417 V. Jennings, 4 Dev. L. 90, 524 V. Johnstone, L. R. 16 Eq. 605, - - 805, 806, 809 V. Keedy, 8 Gill, 195, - 1081 • V. King, Morris (Iowa), 105. ... - 1059, 1065 V. Lewis, 2 M. & O. 197 (S. C. as Wilson v. Bailey, 9 Dowl. P. C. 18), - - 317, 509 ■ V. Linoberger, 83 N. Ca. 524, - - - 217, 766, 775 V. Lloyd, L. R. 16 Eq. 60, 533 V. Loomis, 55 111. 353, 139, 140 V. McCarty, 25 Grant's Ch. (Up. Can.) 153, 781, 783, 788 V. McConnell, 9 Rich. Eq. 600, 825 V. Mower, 5 Mass. 411, - 383 V. Niles, 2 Hall (N. Y.), 358, 1089 V. Richards, 28 Minn. 337, 323, 341, 351 V. Robertson, 21 N. Y. 587, 566 V. Runkel, 38 Wis. 526, - 1081 V. Simpson, 89 N. Y. 619, 218, 593 V. Soper, 13 B. Mon. 411 (56 Am. Dec. 573), 550, 559, 560, 629, 715, 718, 726, 731, 733, 739, 7-13, 851 V. Stanhope, 2 Coll. 629, 914 Wilson V. Stilwell, 9 Oh. St. 467, 637 V. Stilwell, 14 Oh. St. 464, 532 V. Strobach, 59 Ala. 488, 928, 1109, 1111, 1113 V. Torbert, 3 Stew. (Ala.) 206 (21 Am. Dec. 632). - 701 V. Turnman, Q M. & G. 236, 469 V. Wallace, 8 Serg. & R. 53. 1019,1023 V. Waugh, 101 Fa. St. 233, 704 V. Whitehead, 10 M. & W. 503, 374 V. Williams, 14 Wend. 146 (28 Am. Dec. 518), - 349, 358. 363, 363 Wilt V. Bird, 7 Blackf. 258, - 850 Wirapee v. Mitchell, 29 Ga. ^6, 839 1153 868 Winchester v. Whitney, 138 Mass. 549, - . - - Windham v. Patterson, 1 Stark. 144, - Windham Co. Bk. v. Kendall, 7 R. L 77, - 348, 399, 401, 480 Winship v. Bank of United States, 5 Pet. 529 (5 Mason, 176), 150, 156, 157, 193, 203, 321, 333, 337, 341, 348, 351, 370, 443, 459, 1153 Winslow V. ChifTelle, Harp. (S. Ca.) Eq. 25, - - 282,286 V. Newlan, 45 111. 145, 383, 700 Winsor v. Savage, 9 Met. 346, 788 Winston v. Ewing, 1 Ala. 129 (34 Am. Dec. 76S), - - 1103 V. Taylor, 28 Mo. 83, - 508 Winter v. lunes, 4 My. & Cr. 101, .... 748,750 V. Wheeler, 7 B. Mon. 25, 962 Winters, Estate of, 1 Myrick (Cal.), Prob. Rep. 131, - Wintersmith v. Pointer, 2 Met. (Ky.)457, - - - Winile V. Crowther, 1 Cr. & J, 313; 9 L. J. Ex. 65, clxxxix - 1111 445 Wm.] TABLE OF CASES. [Woo. Wirthman v. Miles, 1 Stark. 181, 286 Wise V. Copley, 36 Ga. 508, - 430, 1083 V. Frey, 7 Neb. 134 (29 Am. Rep. 380), - - - 1131 V. Patterson, 3 G. Greene (Iowa), 471, ... - 1162 Wish V. Small, 1 Camp. 331, - 45 Wisham v. Lippincott, 9 N. J. Eq. 353, 847 Wiswall V. Ayres, 51 Mich. 324, 984 Wit Cher v. Brewer, 49 Ala, 119, 463 Witherhead v. Allen, 28 Barb. 661, 1094 Withers v. Withers, 8 Pet. 3 '5, - - 237, 766, 978, 979 Withington v. Herring, 3 Moo. & P. 30, 44 Witraer v, Schlatter, 2 Ravvie, 359, ..-.'. 8 Witt V. Corcoran, cited in notes to Wellesford v. Wat- son, L. R. 8 Ch. A pp. on p. -<7(3. and further explained in Pl*^ws V. Baker, L. R. 16 Eq. 564, 571, - - - - 233 Witter V. McNeil, 4 111. 433, - 419 V. Richards, 10 Conn. 37, 155, 385, 928, 1099 Wittner v. Schlatter, 15 S. & R. 150, 1160 Wittowsky V. Reid, 83 N. Ca. 116, 489 Wittram v. Van Wormer, 44 111. 525, ... - 347, 446 Woddrop V. Price, 3 Desaus. (S. Ca.) 203, - - - - 825 Wolbert v. Harris, 19 Grant's Cli. (Up, Can.) 141, - - 996 V. Harris, 7 N. J. Eq. 605, 991 Wolcott V. Gibson, 51 111. 69, 111 Wolf V. Mills, 56 111. 360, - 472 Wolfe V. Gilmer, 7 La. Ann. 583, ISl Wolle V. Brown, 4Whart. 365, 1145 Wood's Estate, 1 Ashm. (Pa.) 514, 739 Wood, Ex parte, 2 M. D. & D. 283, 835 , Ex parte, 10 Ch. D. 554, 541, 553 V. Barber, 90 N. Ca. 76, 703, 705 V. Beath, 23 Wis. 254, 32, 228, 591 V. Braddick, 1 Taunt. 104, 331, 699 V. Connell, 1 Whart. 381, 429 V. Connell, 2 Whart. 542. 156, 161 V. Cullen, 13 Minn. 394, - 86, 854, 1057 V. Dodgson, 2 M. & S. 195 ; 2 Rose, 47, - - - - 846 V. Duke of Argyle, 6 Man. & Gr. 926, - - - 89, 98 V. Dutchman, 80 Ind. 524, 8.")9 V. Erie R. R. Co. 72 N. Y. 190 (affg. 9 Hun, 648), - - 198 V. Fox, 1 A. K. Mar. (Ky.) 451, 575 V. Gault, 2 Md. Ch. 433, 575, 954 V. Johnson, 13 Vt. 191, - 899 V. Luscomb, 23 Wis. 287, 463, 471 V. Merrow, 25 Vt. 340, - 899 V. Montgomery, 00 Ala. 500, 285 V. O'Kelley, 8 Gush. 406, 1022 V. Pennell, 51 Me. 53, 91, 93, 94, 90, 97, 1157 V. Scoles, L. R. 1 Cli. App. 369, - - 251, 785, 813, 816 V. Shepherd, 2 Patt. & H. (Va.) 442, - - - 336, 544 V. Vallette, 7 Oh. St. 173, 49 V. Wilson, 3 Cr. M. & R. 241, 234 V. Witiierow, 8 Phila. 517. (Reversed b}' Meily v. Wood, 71 Pa. St. 488, q. v.) cxc Woo.] TABLE OF CASES. [Wri. Wood V. Woad, L. R. 9 Ex. 190, - - - - 241, 243 V, Wood, 26 Barb. 356, - 775 Woodbridge v. Swann, 4 B. & Ad. 633, .... 755 Woodburn v. Winship, 12 Pick. 430, 426 Woodbury v. Sackrider, 2 Abb. Pr. 402, .... 400 Woodford v. Dorwin, 3 Vt. 83 (21 Am. Dec. 573), - - 691 Woodling V. Knickerbocker, 31 Minn. 268, - - 466, 467 Woodmansie v. Holcomb, 34 Kan. 35, .... 568. Woodruff V. King, 47 Wis. 261, - - - 407, 418, 607 Woods V. Quarles, 10 Mo. 170, 1139, 1143 V. Wilder, 43 N. Y. 164 (3 Am. Rep. 684), - - - 582 Woodward v. Clark, 30 Kan. 78, 101 V. Cowing, 41 Me. 9, - 37, 75 V. Francis, 19 Vt. 434, V. Horst, 10 Iowa, 120, V. Lazar, 21 CaL 448, V. Newhall, 1 Pick. 500, 629 565 674 148, 1094 V. Schatzell, 3 Johns. Ch. 412, 995 V. Winfrey, 1 Cold. 478, - 629 V. Winship, 12 Pick. 430, 320, 321, 367 Woodworth v. Bennett, 43 N. Y. 273, 113, 119, 120, 121, 127, 128 V. Downer, 13 Vt 522 (37 Am. Dec 611), - - 694, 701 V. Fuller, 24 111. 109, - 1067 V. Spafford, 2 McLean, 168, .... 454, 535 Woody V. Pickard, 8 Blackf. 55, 336 Woolans v. Vansickle, 17 Grant's Ch. (Up. Can.) 451, - 986 Wooldridge v. Irving, 23 Fed. Rep. 676, - - - 338, 1131 N cxci Wooldridge v.Wilkins, 3 How. (Miss.) 360, - - - 285, 290 Worcester Corn Exchange Co., Re, 3 DeG. M. & G. 180, 371 Workman v. McKinstry, 21 Up. Can. Q. B. 623, - 329, 364 Woiman v. Giddey, 30 Mich. 151, .... 560, 1133 Woimser v. Meyer, 54 How. Pr. 189, 302 Worth V. Bloss, 30 N. Y. 374, 151 251 930 380, Worthington v. Macdonnell, 9 Duval (Canada), 327, - V. White, 42 Mo. 462, Worthy v. Brower, 93 N. Ca. 344, .... 181, 923 Wotherspoon v. Wotherspoon, 49 N. Y. Superior Ct. 152, - 1154 Wray v. Milestone, 5 M. & W. 21, 858 Wrenshall v. Cook, 7 Watts, 464, - - - 1079, 1080, 1034 Wrexham v. Huddleston, 1 Swanst. 504, n., - - - 581 Wright V. Ames, 3 Keyes, 231 ; 4 Abb. App. Dec. 644, - 333, 1041 V. Boynton, 37 N. H. 9, 97, 1086 V. Brosseau, 73 III. 381, 352, 363, 507, 509 V. Cobleigh, 21 N. H. 339, 849, 856, 861 V. Condict (Supr. Ct. U. S. 1881), 26 Coop. 562, - 753, 1026 ■ V. Court, 2 C. & P. 233, - 331 V. Cumpsty, 41 Pa. St. 103, 865 V. Curtis. 37 111. 514, - 1067 V. Davidson, 13 Minn. 449, 35 V. Delaware & Hudson Ca- nal Co. 40 Hun, 343, - - 43 V. Funck. 94 Pa. St. 26, - 1165 V. Herrick, 125 Mass. 154, 1032, 1053, 1053 V. Hooker, 10 N. Y. 51, 195, 441 V. Hunter, 1 East, 20, 70, 457, 845 V. Hunter, 5 Ves. 792, - 759 Wri.] TABLE OF CASES. [You. Wright T. Jacobs, 61 Mo. 19, - 850, 853, 858 V. Michie, 6 Gratt. 354. - 876 V. Powell, 8 Ala. 560, - 91 V. Russell, 2 W. Bl. 934; 3 Wils. 530, .... 650 V. Storrs, 6 Bosw. 600, 609 (affd. 31 N, Y. 691), - 713 V. Swayne, 5 B. Men. 441, 456, 458 V. Troop, 70 Me. 346, 639, 630, 854 V. Ward, 65 Cal. 525, 907, 931, 933, 1105, 1111, 1113 Wycoff V. Purnell, 10 Iowa, 333, .... 858, 862 Wylie V, Wylie, 4 Grant's Ch. Up. Can. 278, - - 290, 297 Wyman v. Chicago & Alton R. R. 4 Mo. App. 35, - - 67 V. Stewart, 42 Ala. 163, - 1062, 1064 Wynne t. Millers, 61 Ga. 343 1071 Y. Yale V. Eames, 1 Met, 486, 685, 690, 698 V. Yale, 13 Conn. 185 (33 Am. Dec. 393), - 184, 186, 1044 Yandes v. Lefavour, 2 Blackf. 371, - - 381, 681, 700, 704 Yarbrough v. Bush, 69 Ala. 170, .... 137, 1064 Yarnell v. Anderson, 14 Mo. 619, .... 536, 537 Yates V. Finn, 13 Ch. D. 839, 216, 794, 797 V. Lyon, 61 N. Y. 344, - 147 Yeager v. Wallace, 57 Pa. St. 305, 325 Yeakle v. George, 12 Rich, L. 153, 1163 Yeatman v. Yeatman, 7 Ch. D, ■ 210, .... 743, 926 Yeoman v. Lasley, 40 Oh. St. 190, - - - - 32, 304 Yocum V. Benson, 45 111, 435, 1071, 1094, 1147 Yohe V. Barnet, 3 Watts & S. 81, ... 816, 858, 860 Yoho V. McGovem, 42 Oh. St. 11, 537 Yonge, Ex parte, 3 Ves. & B. 31, - - - 313, 838, 839, 845 York V. Clemens, 41 Iowa, 95, 301, 303 V. Orton, 65 Wis. 6, - - 503 York Bank's Appeal, 36 Pa. St. 458, - - - 377, 379, 1064 Yorkshire Banking Co. v. Beatson, 4 C. P. D. 209; s. C. 5 id. 109, - - - 192, 443 Youmans v. Heartt, 34 Mich. 397, 491 Young, Ex parte, 2 Ves. & Bea. 343, .... 70 , Ex parte, 19 Ch. D. 134, 1059 , Re, 3 Bankr. Reg. Ill, - 1131 V. Allen, 52 Cal. 466, - 930 V. Axtell, 2 H. Bl. 242, - 93 V. Brick, 3 N. J. L. 241, 70, 849 V. Brick, 3 N. J. L, 663, - 856 V. Buckett, 51 L. J. Ch. 504, .... 660, 1001 V. Clute, 13 Nev. 31, 643, 769 V. Davidson, 31 Tex. 153, 1096 V. Frier, 9 N. J. Eq. 465, 824, 929, 1109 V. Hunter, 4 Taunt. 583, 80, 446 V. Jones, 3 Hughes, C. C. 274, - - - 663, 669, 675 V. Keighly, 15 Ves. 557, - 184, 1111 V. Pearson, 1 Cal. 448, 208, 936 V. Read, 25 Tex. Sup, 113, .363, 1046, 1169 V. Smith, 25 Mo. 341, 109, 1143 V. Tibbitts, 33 Wis, 79, - 620 Younglove v. Liebhart, 13 Neb. 557, - 770, 852, 854, 1075 cxcii Zab.] TABLE OF CASES. [ZUE. z. Z. V. X. 3K. & J. 441, - - 581 Zabriskie v. Hackensack & N. Y. R. K. 18 N. J. Eq. 178, 433, 434 Zimmerman v. Erhard, 8 Duly, 311; 58 How. Pr. 11 (atfd. 83 N. Y. 74), - - - 189, 198 - — V, Erhard, 83 N. Y. 74, 139, 198 Zimmerman v. Huber, 29 Ala. 379, - 303, 766, 767, 770, 968 Zink V. Attenburg, 18 How. Pr. 108, .... 1094, 1095 ZoUar V. Janvrin, 47 N. H. 324, 617, 621, 1155 Zuel V. Bowen, 78 DI. 334, - 1073 CZCIU THE LAW OF PARTNERSHIP. PART I. NATUHE AND FOMATION. CHAPTER I. PARTNERS AND PARTNERSHIP DEFINED. § 1. Defluition. — A partnership is the contract relation subsisting between persons who have combined their prop- erty, labor or skill in an enterprise or business as principals for the purpose of joint profit. A great number of definitions have been collected by Sir N. Lindley in his admirable work.^ He refuses to recom- mend any, but says that most of them are open to the criti- cism that defining a partnership as an agreement to combine property, work or labor is broad enough to include a corpora- tion. This, however, is not quite correct, for an agreement never constitutes a corporation, but rather the action of the state operating upon the agreement and erecting it into a dis- tinct body. All the definitions, including my own, would be open.to criticism unless the word " persons" be interpreted to include conventional and artificial persons as well as natural, for a firm may be a member of another firm and a corpora- tion also; for while a corporation does not generally have capacity, as we shall see, to become a partner, the reason is not in the nature of partnership, but in want of power in the corporation, and power being granted in the charter, it 1 Partnership, vol. 1, p. 1. Vol. I — 1 1 § 2, NATURE AND FORMATION. may enter a partnership with an individual or another cor- poration. Jessel, M. R,, in Pooley v. Driver/ has also criti- cised Chancellor Kent's definition as not including the case of an annuitant or an executor, who contributes neither property, labor or skill, and yet draws a share of the profits; but these persons are not partners, nor are they now liable as such unless they interfere in the management, in which case they do contribute skill or labor. He also criticises the definition of the New York code as not specifying that "carrying on business" means an honest business, since it might include a partnership between highwaymen, and he prefers Pothier's definition because containing the word honest. This, again, is erroneous. A partnership is no less one because illegal and therefore not enforcible by the courts. The definition of the Indian contract act, adopted also by Pollock (Digest of the Law of Partnership) as "the relation which subsists between persons who have agreed to com- bine," etc., is defective as including an inchoate partnership as well as an actual one. Should it be determined in the future that a partnership is an entity distinct from the persons composing it, my defi- nition should not describe it as a relation but as a union or body formed by persons who, etc. The Institutes and Pandects have nowhere given a defini- tion of partnership, but the modern law upon the subject is undoubtedly based upon the Roman societas, which was either societas universorum honorum, or communion of all property; universormm quce ex qucestu veniunt, or trade partnership, the usual kind, and which was presumed to be intended in the absence of contrary proof; negotiation is alicujus, for a particular transaction; vectigalis, for the collection of taxes, or rei unius, the joint ownership of a single thing. §2. Is a contract relation. — Partnership is a contract relation and not a status; for example, a decree finding its 1 5 Ch. D. 458. 3 PARTNERS AND PARTNERSHIP DEFINED. § 3. existence or non-existence binds the parties to the case only, and not third persons.^ An agreement of partnership, Hke any other contract, must be founded on a consideration either of mutual prom- ises or contributions. A mere promise by one person that another shall share in the profits of his enterprises, where the other furnishes no capital or labor, or otherwise pro- motes the common enterprise, is void.^ So where Reynolds & Lee purported to be a firm, but Lee was to pay all the losses and have all the profits, it was said that they were^ not partners inter se, but only such to those who trusted them asa. firm.' A sum is frequently paid for an admittance into a firm or- for a share in a business by an incoming partner, called the- premium. The questions arising upon this subject are in- volved in the right to a return of the premium in cases o£' premature dissolution, and belong to the subject of account- ing. But any contribution, or promise to contribute, or act which may create a liability to third persons, is sufficient;* or mutual promises;^ or subscriptions to capital.^ But the inequality of the contributions goes only to the quantum of the consideration, and the courts cannot measure it.^ §3. Not created by implication of law. — Hence, also, a partnership is never created between parties by implication or operation of law, apart from an expressed or implied in- tention and agreement to constitute the relation. This doc- trine must not be confused with holding persons liable as partners by estoppel, or, in a few states, by sharing profits, for these are not true partnerships, but mere cases of liabil- ity to certain persons. Thus, two persons owning bonds and uniting in litigation to es- tablish their validity, are not made partners by operation of law so 1 McDonald v. Matney, 82 Mo. 358, ^The Herkimer, Stewart's Adm. 23. 364. 5 Coleman v. Ej^re, 45 N. Y. 38; 2 Mitchell V. O'Neale, 4 Nev. 504; Breslin v. Brown, 24 Ohio St. 565; Heyhoe v. Burge, 9 C. B. 431. Belcher v. Conner, 1 S. Ca. 88. 3 Alabama Fertilizer Co. v. Rey- <> Kimmins v. Wilson, 8 W. Va. 584. nolds & Lee, 79 Ala. 497. ' Dale v. Hamilton, 5 Hare, 393. 3 g 4. NATURE AND FORMATION. that a purchase of other bonds by one will inure to the benefit of both.' So, if a man, having a wife living, marries a woman and they accumulate property, and he dies and the former wife claims the inheritance, the second wife cannot claim the property as surviv- ing partner, for no partnership was ever contemplated between them.* So where sons worked for a father without salary or wages, un- der a sort of patriarchal system, and their business grew to large proportions, but there was no agreement between them, nor any- thing but a mere expectancy of succession, the law cannot create a partnership by implication Avithout the assent of all.^ So false declarations and acts to get another credit in order to share in the property so obtained does not create a partnership. As where a father, in order that his son might get goods on credit for their joint benefit, held out to the world that the son would receive his property, though he would be liable, it is not as part- ner.* § 4. Defective corporations. — The most important ap- plication of this principle occurs where persons have at- tempted to form a corporation, but by failure to comply with the statutes or otherwise have never perfected a corpo- rate organization and thus entitled themselves to the im- munities of one, but have nevertheless proceeded to trans- act business and incur debts, or have continued to act as a corporation after their charter has expired. The weight of authority sustains the doctrine that the corporators are not liable as partners when their acts were bona fide on the sup- position that they were incorporated and were assuming only the limited liability of stockholders and did not intend to be liable as partners. The authority against this is, how- ever, very formidable, and is based on general public policy rather than on any principle of partnership law. The authorities holding that such persons are not liable as part- ners are: Fay v. Noble, 7 Cush. 188, where the organization was 1 Wilson V. Cobb, 28 N. J. Eq. 177. 3 Phillips v. Phillips, 49 III 437. 2 Estate of Winters, 1 My rick (Cal.) < Farr v. Wheeler, 20 N. H. 569. Prob. Rep. 131. 4 PARTNERS AND PARTNERSHIP DEFINED. § 4. defective. Trowbridge v. Scudder, 11 Cusli. 83, where the contract sued on was ultra vires. First Nat'l Bank v. Almy, 117 Mass. 476, where business was transacted before the whole stock was paid in, contrary to the statute; and s. P. Bank v. Hall, 35 Ohio St. 158. Ward V. Brighani, 127 Mass. 21, where officers were elected who transacted business before the organization was completed. Cen- tral City Sav. Bk. v. Walter, 66 N. Y. 424 (aflf. 5 Hun, 34), where, after expiration of the charter, but in ignorance thereof, the busi- ness was continued. Contra, Nat'l Bk. of Watertown v. Landon, 45 N. Y. 410, where thej' continued business, knowing the charter had expired. So in New York Iron Mine v. Negaunee, 39 Mich. 644, where no meeting of stockholders or directors had been had for several years, and two persons who made the notes sued on owned all the stock; and Merchants' and Manuf. Bank v. Stone, 38 Mich. 779, where a bank which had discounted paper of the supposed corporation alleged that it was improperly organized, had conducted an unauthorized business, and that the corporate name was indeterminate. In State v. How, 1 Mich. 512, members of a bank organized under an unconstitutional law Avere held not liable for its bills because they are nuda pacta and unlawful. This, then, is not an authority on our doctrine. Rowland v. Meader Furniture Co. 38 Ohio St. 269, held that judgment of ouster does not make members liable as partners on the prior contracts; and in Bank v. Hall, 35 Ohio St. 158, 166, it was said that non-compliance with the statute in organizing, or exceeding the charter powers, does create the liability as partners; and Medill v. Collier, 16 Ohio St. 599, stockholders who did not participate in acts not merely ultra vires but positively forbidden by statute are not liable as partners. McClinch V. Sturgis, 72 Me. 288, on the ground that the omitted acts are directory, and if the state raises no objection no one else can. Stout v. Zulick (N. J.), 7 Atl. Rep. 362; and so, also, Tarbell V. Page, 24 111. 46, that the state alone can complain of a failure to file the certificate of incorporation with the secretary of state, and an employee cannot sue the stockholders for his salary. In Hum- phreys V. Mooney, 5 Colorado, 282, the defect was failure to file the certificate with the secretary of state; and so in Harrod v. Hamer, 32 Wis. 162, on the ground that this was not a condition precedent. Gartside Coal Co. v. Maxwell, 22 Fed. Rep. 197, where the defect is not stated, but it is held that if the acts are bona fide and without the knowledge of the defect in organization, the parties having 5 § 5. NATURE AND FORMATION. done business for several years supposing they were incorporated, are not liable as partners to one who dealt with them as a corpora- tion. In Planters' and Miners' Bank v. Padgett, 69 Ga. 159, the corporation was created by a court having no authority to do so, but a creditor who had contracted with it as such, both parties be- lieving the corporation to exist, cannot sue the members as part- ners. Stafford Bank v. Palmer, 47 Conn. 443, that stockholders who did not participate in a defective organization cannot be held as partners; and see dictum in Blanchard v. Kaull, 44 Cal. 440. A judgment against the corporation estops the creditor from claim- ing the stockholders to be partners. Pochelu v. Kemper, 14 La. An. 308; Cresswell v. Oberly, 17 III. App. 281. § 5. Contrary cases. — On the other hand, the following author- ities distinctly hold that the associates are liable as partners: Jes- sup V. Carnegi, 12 J. & Sp. 260; 80 N. Y. 441, that neither the intention of the parties nor the belief of others that they are deal- ing with a corporation makes any difference; they are liable as partners if they undertake to act as a corporation without legal or- ganization. In re Mendenhall, 9 Baukr. Reg. 497, and National Bank of Watertown v. Landon, 45 N. Y. 410 {^^ Barb. 189), where stockholders continued business after the expiration of the charter, and each was held liable m solldo for the acts of their managing agent. Bigelow v. Gregory, 73 111. 197, on the ground that publi- cation and filing the certificate was a condition precedent under the Wisconsin statute. Coleman v. Coleman, 78 Ind. 344, a similar omission was held to make not only directors, but also subscribers, liable as partners. Kaiser v. Lawrence Sav, Bank, 56 Iowa, 104, where the defect was the same. Abbott v. Omaha Smelting Co. 4 Neb. 416, the same. Also the following cases: Garnett v. Rich- ardson, 35 Ark. 144, where the certificate was not filed, and the court say the parties are liable as partners; yet from the statement of facts it would seem that the goods sued were bought in the part- nership name. Martin v. Fewell, 79 Mo. 401, announces the doc- trine broadly, and says it results from Richardson v. Pitts, 71 Mo. 128, but the defendants seem to have been aware that the business was being done before the organization was completed, the court saying that, if not liable as partners, they might run on indefinitely with the privileges of a corporation. But in Hurt v. Salisbury, 55 Mo. 310, the doctrine was squarely announced. In Field v. Cooks, 16 La. An. 153, the certificate of the district judge was omitted; 6 PARTNERS AND PARTNERSHIP DEFINED. § 6. held liable as partners. So in Chaffe v. Ludeling, 27 La. An. 607, there was no pretense of any charter, the parties having bonglit out a railroad corporation and then contracted in its corporate name. In Vredenburg v. Behan, 33 La. An. 627, a rifle club was organized under a law for incorporating literary and scientific as- sociations, and the officers were lield liable in tort for injury done by a bear kept on the premises. See, also, the dissenting opinion of Morton, J., in Merchants' & Manufacturers' Bank v. Stone, 38 Mich. 770, as to corporation for unauthorized purpose. In Harris v. McGregor, 29 Cal. 124, the defendants were sued personally for in- juries from their diversion of a water-course, their certificate of cor- poration being defective; but this is inconsistent with the dictum in the later case cited in § 5. In Shorb v. Beaudry, 56 Cal. 4:-iQ; Fuller V. Rowe, 57 N. Y. 193 (rev. s. c. 59 Barb. 341); Cambridge Water Works v. Somerville Dyeing, etc. Co. 14 Gray, 193; Hol- brook V. St. Paul F. & M. Ins. Co. 25 Minn. 229; and London Assur. Co. V. Drennen, 116 U. S. 461, the point was raised but not decided. In Flagg v. Stowe, 85 111. 164, persons agreeing to be- come incorporated and to furnish respectively a factory, machinery and money, not having, by failure to comply with the statute, be- come incorporated, are so far partners infer se, that an accounting and sharing of losses can be had, including a reasonable rent for the property. And see § 6. § 6. inteiitioual yiolation of cliarter powers. — If the parties, even though organized as a corporation, knowingly conduct business wholly outside of the charter powers, or make use of the statutory organization to act in fraud of the laws of the state for the sake of profit, their relation is that of partners. Thus, where a statute permits the incorporation of savings so- cieties upon a mutual plan only, the depositors being members and sharing the earnings, and the corporators conduct the business as a trading and not mutual concern, doing a general banking busi- ness for their own profit, here, there being not even an attempted or imperfect execution of their powers, but a total diversion of it, they are liable as partners to depositors.^ Hill V. Beach, 12 N. J. Eq. 31, holds, where persons go to an- other state to be incorporated for the purpose of doing business in 1 Ridenour v. Mayo, 40 Oh. "St. 9. § 8. NATURE AND FORMATION. tlie state where they live, presumably to escape liability, they com- mit a fraud on the laws of the latter state and will be treated as partners. Contra, that such act is not a fraud, Bank v. Hall, 35 Oh. St. 158. The parties under an intended but fatally defective incorporation proceedings have the rights of partners in the property of the con- cern; ' but not if not so intended.* § 7. Participants in tlie illegal acts. — But even where innocent stockholders of an imperfect corporate organization are not held personally liable, it may be that officers or par- ticipating stockholders who contract with knowledge of the want of the omission of statutory steps, or engage in an un- authorized business, would be liable.* But there is no liabiUty to a participant, for example, to the solicitor who helped to organize knowing there were more than the statutory number of meuibers;^ nor on contracts before the defend- ant became a member. Thus, where one Sweet, acting as president of a supposed corporation, employed Fuller as superintendent, at a salary, and afterwards Rowe, supposing the company was a legal corporation, joined it and was elected president, and notified Ful- ler to report to him, he is not liable with Sweet and others for the salary." §8. firm Tbecoming incorporated. — Where a firm actually engaged in business becomes incorporated, but con- tinues to do all its business in the partnership name, they are liable as partners on contracts so made.® So where an 1 Conner v. Abbott, 35 Ark. 365; Coal Co. v. Maxwell, 22 Fed. Rep. Whipple V. Parker, 29 Mich. 3G9 ; 197. Tiiat the liability is in tort for and see Holbrooku. St. Paul F. & M. acting as agents without authority, Ins. Co. 25 Minn. 229, and Shorb v. and cannot be iu contract, since they Beaudry, 56 Cal. 446; Flagg v. did not promise as partners, Trow- Stowe, 85 111. 164. bridge v. Scudder, 11 Cush. 83. See, ^ London Assur. Co. v. Drennen, also, Sullivan v. Sullivan, 20 S. Ca. 116 U. S. 461. 79. SMedill V. Collier, 16 Oh. St. 599; iBe South Wales Atl. Steamsh. Bank v. Hall, 35 Oh. St. 158, 166 ; Staf- Co. 2 Ch. D. 763. ford Bank v. Palmer, 47 Conu. 443, 5 Fuller v. Rowe, 57 N. Y. 23 (rev. 448-9 ; National Bank of Watertown 59 Barb. 344). V. Landon, 45 N. Y. 410. See, also, 6 Bank v. Smith, 26 W. Va. 541, 553, Blanchard v. KauU, 44 Cal. 440, the court saying the incorporation and language of court in Gartside was a transparent fraud. See, also, 8 PARTNERS AND PARTNERSHIP DEFINED. § 10. existing partnership attempts to become incorporated, but the proceedings are irregular, they are still a partnership. So on contracts made before they attempt to become a cor- poration.^ So where stockholders represent themselves as personally liable for debts; ^ and no doubt notice of dissolu- tion of the partnership is as necessary in the case of con- version of a firm into a corporation as in any other case, for the change of name might be notice only on written contracts; and it would be wise to have the corporate name distinctly different from the partnership name, lest the part- ners be held to a personal liability in solido, as partners by a holding out. A corporation formed out of a firm without difference of membership is not liable for the debts of the partnership.* KINDS OF PARTNERS AND PARTNERSHIPS. Leaving out of view the classes of partners in limited partnerships, wdiich are the general and special partners, members of ordinary partnerships may be divided generally into (1) Active and ostensible; (2) Secret or dormant; and (3) Nominal. § 9. Active and ostensiMe partners. — An ostensible part- ner is one who is known and declared to be such whether his name be in the firm style or not; for the firm name may be a purely fanciful one. He has also occasionally been called a public partner. An active partner is generally the same as an ostensible one, but not necessarily so; for a member whose connection with the firm is intentionally concealed ma}'' be neverthe- less an active partner, though not an ostensible one. § 10. Secret or dormant partner. — These terms are gen- erally used as synonymous. A dormant partner must be a secret one or he ceases to be dormant, but many dormant Garuett v. Richardson, 35 Ark. 144; SReid v. Eatanton Mfg. Co. 40 Ga. Witmer v. Schlatter, 2 Rawle, 359. 98. 1 Whipple u. Parker, 29 Mich. 369; SMcLellan v. Detroit File Works, Haslett V. Wotherspoon, 2 Rich. 56 Mich. 579. (S. Ca.) Eq. 395. § 12. NATURE AND FORMATION. partners are not only secret, but by tbe partnership articles are excluded from participating in the management of the business; while others do not participate, and yet are not by contract excluded from exercising the usual powers of a partner and from terminating their condition of dormancy at will; and yet other secret partners may be active partici- pants in the conduct of the concern. Partnership nomenclat- ure does not furnish any terms to distinguish between these classes of dormant or secret partners. Even the word silent, which is apt to be confined to those who are both secret and inactive, has no such generally recognized limitation of meaning. § 11. Nominal partner. — A nominal partner literally would be one whose name is openly used as one of the part- ners whether he be an active partner or not; but the term is always understood to mean a person who is not a partner at all, but allows the use of his name in the firm, generally to give it additional credit or to attract custom, thus incurring all the liabilities while deriving none of the benefits of the association. He is also called a partner by holding out or by estoppel, for he is a partner only to those who trust the firm wholly or in part on the faith of his appearance as a mem- ber of it. This subject will be treated more fully under Holding Out. § 1 2. Kinds of partnerships. — Partnerships may be divided into the ordinary partnership, the limited partnership and the joint stock company. The limited partnership is one formed under statutes per- mitting a limited liability on the part of some of the mem- bers, which the common law utterly discountenances, and which have, therefore, been treated in this country with some unnecessary degree of strictness by the courts. Such members hazard only the amount of capital they have em- barked and incur no further liability. They have formed the subject of a separate treatise by the author.^ 1 The Law of Limited Partnership, by Clement Bates, Boston, 1886, Little, Brown & Co. 10 PARTNERS AND PARTNERSHIP DEFINED. § 13. The ordinary partnership includes the joint stock com- pany as a pecuhar class, owing to the nature of the partners' shares and the mode of government of the association. Ordinary partnerships may be divided into particular, general and universal. These divisions are of no great im- portance and may be multiplied according to the fancy of the reader. Another is made between trading and non- trading partnerships, or those in which a primary element is buying and selling, and those in which it is not, the latter class including such partnerships as those for farming, min- ing and practicing in the professions. This division is of very great importance in determining the implied powers of individual partners, and will be treated of with that sub- ject. A PARTICULAR PARTNERSHIP is ouo where the parties have united to share the benefit of a single individual transaction or enterprise. A GENERAL PARTNERSHIP is One where they have united for the general purposes of some kind of business. All part- nershij)s may be said to be more or less limited,^ and vice versa, those restricted to one venture may have as to it the incidents of a general partnership; ^ but this class represents the great majority of associations, whether for the prosecu- tion of commercial, mechanical, manufacturing or profes- sional avocations, and whether for a fixed period of time or at will. § 13. TTiiiversal partnership. — A universal partnership is one in which all property ov/ned by the parties is contrib- uted, and all profits, however made, are for joint benefit. Some of the cases I have placed under this head can hardly be considered partnerships at all, but are rather commu- nistic arrangements or tenancies in common. The civil law recognized two kinds of universal partnership, the societas universonim bonorum, comprising a union of all property, real or personal, present or to be acquired, even by gift or inhent- 1 Livingston v. Roosevelt, 4 Johns. 2 Horsey v. Heath, 5 Oh. 353, 251, 277 (4 Am. Dec. 273) ; Walden v. 356. Sherburne, 15 id. 409, 422. 11 § 13. NATURE AND FORMATION. ance; aud the sociefas wiiversorum quce ex qucestu veniunt, differing from the former iu that real estate aud subsequent acquisitions, by gift or descent, were not included, nor were past debts a charge. And in Louisiana the universal partnerships are recognized by the Code, §§ 2800-2805; but if part of the property of the partners is not included it is not a universal partnership/ In the other American states partnerships have occasionally oc- curred approximating closely to aimlversal partnership. Such was Lyman v. Lyman, 2 Paine, C. C. 11, where two brothers for some thirty years included all their property and engaged in nearly every kind of enterprise, and it was held (p. 28) that even legacies to each partner, aud to the Avife of one, were included. Gaselys v. Separatists' Soc. 13 Oh. St. Ill, if a partnership at all was a universal one, there was a renouncing of separate interests and a perpetual devotion of all property to a religious society, the mem- bers participating in the use of the fund so long only as they con- tinued members.^ In Gray v. Palmer, 9 Cal. 616, one of two persons contributed to the joint fund all he possessed, and the other all he might be- come possessed of for two years for the purpose of accumulation, debts to be paid from the joint fund. The court said that there Avas nothing impracticable or against morality or public policy in a universal partnership. Rice V. Barnard, 20 Vt. 479 (50 Am. Dec. 54), was a partnership so universal as to include everything except furniture and wearing apparel. The court said they would regard it rather as a tenancy in common than a partnership, and that partnership creditors could not have a priority over the separate creditors of each partner on distribution. Quine V. Quine, 9 Sm. & Mar. 155, was a planting partnership between a person and his sister-in-law, which included all prop- erty, real or personal, bought by either, whether in their individual or joint names, holding, however, that a right of survivorship can- not be proved by mere conversations.' iMurrell v. Murrcll, 33 La. An. Williite, 3 Dana, 170. Of the Har- 1233. raony Society. Baker v. Nachtrieb, 2 See flirt lu^r as to this society Goe- 19 How. 126; Schriber v. Rapp, 5 sele V. Biin^ler, 14 How. 589, aff'g 5 Watts, 351. !McLean, 223. So of the Shakers. ^s. P. Houston v. Stanton, 11 Ala, Waile V. Merrill, 4 Me. 102; Gass v. 413. 12 PARTNERS AND PARTNERSHIP DEFINED. § 14. But the court will not liold that a universal partnership is de- signed unless the intention is very clearly expressed.' There are also certain general partnerships differing from the foregoing in that all property is not contributed, but separate ownership remains, except of the capital contributed, but the scope of the partnership is to trade in anything and everything in which the parties can make money." § 14. Mining partnerships also, in many respects, form a class by themselves, being a cross between tenancies in com- mon and partnerships proper. Their peculiarities, of which the chief one is the absence of the delectus persoJiarum, and hence, that death or transfer of a share does not dis- solve them, will be incidentally noticed as we progress. 1 Gray v. Palmer, 9 Cal. 616 ; Mitch- Turnpike Co. v. Gulick, 16 N. J. L. ell r. O'Neale, 4 Nev. 504, 514. 161; Goldsmith v. Sachs, 17 Fed. 2 Such were Catlin v. Gilders, 3 Rep. 726 ; 8 Sawy. 110. Ala. 536; Princeton & Kingston 13 CHAPTER 11. TESTS OF A PARTNERSHIP. § 15. Inter se and as to third persons. — The very great importance of this, the most perplexed and difficult part of partnership law, the ascertainment of what constitutes a partnership, and in connection therewith the examination of the influence which the English case of Cox v. Hickman is having upon our jurisprudence, renders necessary a some- what extended summary of the modern decisions. As the law existed up to less than thirty years ago, it was necessary to make a difference between a true partnership and partnerships as to third persons. Persons having such interests in a partnership as to be entitled to a share in the profits were, with certain exceptions, as where a share of profits was the measure of a compensation, liable to cred- itors as if actual partners, on the assumption tliat they re- ceived part of the fund upon which creditors depended for payment, and this whether such person intended to be a l^artner or not or knew that he incurred a liability. The injustice of this doctrine of partnership as to third persons has been more or less deplored by text-writers. Moreover the illogical and untruthful foundation upon which the doctrine rests is now pretty well understood. Persons held liable as partners to third persons did not take part of the fund upon which creditors relied any more than did a salaried agent, and in fact less so; for when a partnership was unable to pay its debts, it was because there were no profits, and in that case such person took nothing; whereas, had his compensation been definite, the fund would have been dimin- ished. But the doctrine of partnership as to third persons is now ex- ploded in England, and by all the later American authorities, and nothing is left of it except in cases of partnership by estoppel, that is by holding out. It is still true that in many American states, where the only decisions are their earlier ones, the law is not yet 14 TESTS OF A PARTNERSHIP. g 16. annonncecl to have reacbecl tlie modern point; for in all the Ameri- can states the early decisions, Avhile not going to the length of the older English law, were, of course, deep in its shadow, merely in- creasing the exceptions and somewhat profiting by the light of growing modern criticism. This subject will appear more defi- nitely as we proceed. It is true that tbe later decisions, English and American, do not generally profess to overrule the former ones; nevertheless the starting point or basis of reasoning is quite differ- ent, and is no longer participation in profits, independent of inten- tion, but is now to ascertain the intention of the parties, to determine which a sharing of profits is but a. factor in the evidence and not conclusive. It is to be remembered that persons who are partners iyiter se are always liable as partners to third persons, and that persons who are found not to be partners as to third persons cannot be partners inter se; hence, in determining what is a true partnership, author- ities as to what does not constitute persons partners inter se are applicable. § 16. Earlier English law. — The rule so long in vogue, that a sharing of profits made the sharer liable as a partner to third persons, was first announced in Grace v. Smith, 2 W. Bl. 998 (1775). There Smith & Robinson dissolved partnership, duly advertising the fact, on terms by which Robinson was to take the business and assume the debts and pay Smith back his original capital and £1,000 for profits, and Smith was to let £4,000 remain in the busi- ness for seven years at five per cent. In an action by a creditor, charging Smith as a secret partner, De Grey, J., said: "Every man who has a share of the profits of a trade ought also to bear his share of the loss. If any one takes part of the profit, he takes a part of the fund which the creditor relies on for payment." ..." I think the true criterion is to inquire whether Smith agreed to share the profits of the trade with Robinson, or whether he only relied on those profits as a fund for payment." The jury found the loan was on general personal security only, found for Smith, and a new trial was refused. Hence the case was rightly decided, but these state- ments of law have had a wide influence. In an earlier similar case, Bloxham v. Pell, cited in 2 W. Bl. 999, Lord Mansfield had, on facts similar to those in Grace v. Smith, ruled that the arrangement was a device to obtain more than legal 15 § 16. NATURE AND FORMATION. interest, and lieiice was either a crime or a partnership, and sus- tained it as being the latter.' Waugh V. Carver, 2 H. Bl. 235 (1793); 1 Smith's Lead. Cas. 968. Carver & Son, ship agents at one place, and Giesler, a ship agent at another place, agreed to throw business into each other's hands and divide commissions and profits, neither to be affected by the other's losses or liable for his acts. Eyre, L. C. J., said that it was plain the parties were not and never meant to be partners, but as they took part of the fund on which creditors rely, they were liable as parties under Grace v. Smith. This case was followed in 1821 by Cheap v. Cramond, 4 B. & Aid. 663, where merchants divided profits on business recommended or influenced b}^ one to the other, and were in consequence held to be partners as to third persons.* But a share of gross returns in lieu of compensation was early held not to constitute a liability as partners.^ It had previously been decided that sharing gross receipts did not create a partner' ship inter se.* Then a distinction was made between an agreement to receive as compensation a part of the profits and an agreement to receive a sum equal to or in proportion to a part of the profits, the latter not constituting a partnership." 1 This same kind of reasoning was ^Wilkinson v. Frasier, 4 Esp. 183, subsequently adopted in Gilpin v. of seamen sharing the oil of a whal- Enderbey, 5 B. & Aid. 954, in which ing voyage as wages. the question was of a partnership in- ^ Ex jjcirte Hamper, 17 Ves. 403, terse; Fereday v. Ilordern, Jac. 144; 412; Ex x>^^'te Langdale, 18 id. 300; and see Jestons v. Brooke, Cowp. 793. Ex parte Watson, 19 id. 459, 401 ; Ex 2 And by Heyhoe v. Burge, 9 C. B. par^e Rowlandson, 1 Rose, 89; Brock- 431. See, also, Hesketh v. Blanchard, way v. Burnap, 16 Barb. 309; Pierson 4 East, 144 ; Smith v. Watson, 2 B. & v. Steinmyer, 4 Ricli. L. 309 ; Loomis C. 401, of a broker paid by a share of v. Marshall, 12 Conn. 69; Turner v. profits in lieu of commission; Barry Bissell, 14 Pick. 193; Miller v. Bart- V. Neshara, 3 C. B. 641, a seller of a let, 15 S. & R. 137; Lord v. Proctor, business guarantying certain profits 7 Phila. 630; Irwin v. Bid well, 72 Pa. to the buyer, but to have all above St. 344. The fullest examination of that himself ;£'a;par/eGellar, 1 Rose, the old cases will be found in East- 297. For the modern law, see § 00. man v. Clark, 53 N. H. 276. A very 3 Dry V. Boswell, 1 Camp. 329, of a neat resuvii of their effect is given boatman receiving half the boat's by Sir N. Lindley, Partnership, voL gross earnings in lieu of wages. 1, p. 34 et seq. 16 TESTS OF A PARTNERSHIP. § 17. §17. Intention. — To determine whether the relation be- tween persons constitutes a partnership their intention in forming it governs. When the facts are given, this question is one of law. The fact that the contract may be denominated by the parties a partnership, or that they declare in it that they do not design becoming partners, is controlled by the nature of the contract. If it constitutes a partnership it is one; and if not, not, independent of the language of the parties. The declarations of the parties themselves upon the sub- ject, if not inconsistent with the other terms of the contract, will control. If they have agreed not to be partners they are not, whatever may be their responsibilities otherwise.^ The word partnership is not necessary to be used to con- stitute a partnership, nor are the words manager, servant, agent, superintendent, and the like, necessary to show that an employment was intended.^ The intention of the parties will be determined from the effect of the whole contract, regardless of special expressions. And if the actual relation which the parties have assumed towards each other, and the rights and obligations which have been created by them, are those of partners, the act- ual intention of the parties or their declared purpose can- not suspend the consequences.^ And so if the parties have 1 Pollard V. Stanton, 7 Ala. 761; see Couch r. Woodruff, 63 Ala. 4665. Marks v. Stein, 11 La. Ann. 509; Tayloe u Bush, 75 id. 433. Kerru. Potter, 6 Gill, 401; Redding- spooley v. Driver, 5 Ch. D. 458; ton V. Lanahan, 59 Md. 429; Gill u. Ex parte Delhasse, 7 id. 511; Moore Kuhn, 6 S. & R. 383. v. Davis, 11 id. 261 ; Cooley v. Broad, 2 See, for example, Van Kuren v. 29 La. Ann. 345 ; Mulhall v. Cheat- Trenton Locomotive & Mach. Mfg. ham, 1 Mo. App. 476; Beecher v. Co. 13 N. J. Eq. 302; Bloomfield v. Bush, 45 Midi. 188, 194 (40 Am. Rep. Buchanan, 13 Oregon, 108; Ryder v. 465); Manhattan Brass & Mfg. Co. v. Wilcox, 103 Mass. 24, 27; Greenham Sears, 45 N. Y., 797 (0 Am. Rep. V. Gray, 4 Irish Com. L. 501. The 177); rev. s. C. 1 Sweeny, 426; Coth- contract where third persons' claims ran v. Marmaduke, 60 Tex. 370, 372 ; are not in question will be liberally Stevens v. Gainesville Nat'l Bank, 62 construed in reference to the actual Tex. 499, 503 ; Duryea v. Whitcomb, understanding of the parties and the 31 Vt. o9.j; Rosentield v. Haight, 53 purposes they had in view. Hitch- Wis. 260. ings V. Ellis, 12 Gray, 449, 452 ; and Vol. 1 — 2 17 g 18. NATURE AND FORMATION. used the word partnership in their contract and called them- selves partners, this will not make them such if the contract is not consistent with such relation.^ § 18. Mutual agency as a test of iutentioii. — It is impos- sible to lay down any absolute rule to .-ascertain the presence of an intention to create a partnership. The earliest of the modern English cases, Cox v. Hickman, sugf^ests agency as a test; that is, if a person is connected with a firm as a principal, as one trading on his own behalf as well as in be- half of the others, he is a partner. And the same idea may be otherwise expressed; thus, if the party is a constituent part of the conventional being created by the parties in forming a partnership, he is a partner.^ In later cases this use of the word agency has been criticised; thus, Jessel, M. R., in Pooley v. Driver,^ regrets it as not helping in the slightest degree, because only stating in other words that he must be a partner; and Baron Cleasby, in Holme v. Hammond/ saj's: "My view is that agency is in such cases deduced from part- nership rather than partnership from agency." But the critics offer nothing as satisfactory in its place. As consequences rather than as tests, if he is a partner, he has a lien to compel the application of the assets to the payment of the debts, and the debts must be paid before a court will permit him to share; and he obtains his share of the profits, not as a personal creditor of his associate, but out of the assets prior to the separate creditors of the copartners, and independent of the latter s con- 1 Oliver u Gray, 4 Ark. 425 ; Dwi- gestcd by Cleasby, B., Holme v. nel V. Stone, 30 Me. 384; Sailors v. Hammond, L. R. 7 Ex. 218, 233: — if Nixon-Jones Printing Co. 20 111. A. puts in tlie capital, and B. and C. App. 509; McDonald v. Matney. 83 are to carry on the business in their Mo., 358, 3%; Livingston v. Lynch, own names, A. not to appear at all, 4 Johns. Ch. 573, 592. or interfere, or buy or sell, or sign ^Agency was also adopted as the negotiable paper, here there is no test in Kdsliaw v. Jukes, 3 Best &Sm. agency, although a person becoming 847; Bulleri v. Sharp, L. R. 1 C. P. 86; aware of tlie dormant partner, but In re English and Irish Church, etc. not of the limitation upon his au- Assur. Soc. 1 Plen & M. 85. Agency thority, could bind the firm by deal is not a perfect test, for parties may ing with him. bo partners inter se because they so * 5 Ch. Div. 458. intend, although one is deprived of * L. R. 7 Ex. 218. all authority, as in the case sug- • 18 TESTS OF A PARTNERSHIP. § 19. sent, bankruptcy, insolvency, death or assignment; and conversely, if lie can share with the creditors, yet the existence of such a lien would show an intention to be partners, and the existence of a power of disposition arising from the relation of the parties would show the same intention. § 19. Modern law; English. — It now becomes necessary to examine seriatim the principal modern English decisions repudiating the distinction between partnerships inter se, and those which are such only as to third persons in conse- quence of a sharing of profits, and then to see the influence these decisions have had upon the American law. In Cox V. Hickman./ a firm of B. Smith & Son, carrying on busi- ness at the Stanton Iron Works, becoming embarrassed surren- dered the control of their property to trustees appointed by their creditors, who numbered over one hundred, under a deed by which trustees for creditors were to carry on the business under the name of The Stanton Iron Co., with power to do whatever was necessary for that purpose, and to divide the net income, which was always to be deemed the property of the Smiths, among the creditors, and when the debts were all paid then to hold for the Smiths. In fact, of the trustees, one refused to act and the other shortly resigned, and the business was conducted by three others of the creditors; but this forms no part of the opinions rendered, though it might have done so. Hickman supplied goods to the Stanton Iron Co. and drew bills on them, which were accepted in the name of the company by one of the three managers, and action was brought upon one of the bills against the defendants, who were among the creditors, as partners. The question then was, were the creditors liar- ble as partners ? The judges in the exchequer chamber were equally divided. Of the lords, composed of the Chancellor (Cami)bell), Cran worth and Wensleydale, who rendered opinions. Brougham and Chelmsford concurring, all agreed that the defendants were not lia- ble, for they were not partners inter se, and never intended to be liable as partners. Lord Cranworth, Avho delivered the principal opinion, says: " The liability of one partner for the acts of his co- partner is, in truth, the liability of a principal for the acts of his agent." . . . ''A right to participate in profits affords cogent, often couclusive, evidence that the trade in which the profits have >8H. of L. Cas. 268 (1860). 19 § 20. NATURE AND FORMATION. been made was carried on in part for or on behalf of the person setting up such a claim. But the real ground of liability is that the trade has been carried on b}^ persons acting on his behalf; . . . that he stood in the relation of principal towards the per- sons acting ostensibly as the traders." " The debtor is still the person solely interested in the profits, save only that he has mort- gaged them to the creditors. He receives the benefit of the profits as they accrue, though he has precluded himself from applying them to any other purpose than the discharge of his debts. The trade is not carried on by or on account of the creditors, though their consent is necessary in such a case, for without it all the prop- erty might be seized by them in execution; . . . the debtor or the trustees are the persons by or on behalf of whom it is carried on." He further said that the provision that the creditors might order a discontinuance of the business is only to qualify their con- sent to it; that the reservation of such a power in a third person would not make the creditors partners if they were not so already, and it makes no difference that the power was reserved to them- selves. Lord Wensletdale also said: " The law as to partnership is undoubtedly a branch of the law as to principal and agent." " Hence it becomes a test of the liability of one for the contract of another, that he is to receive the whole or a part of the profits aris- ing from the contract by virtue of the agreement made at the time of" the employment." " I think it is impossible to say that the agreement to receive this debt so secured, partly out of the existing assets, partly out of the trade, is such a participation in profits as to constitute the relation of principal and agent between the cred- itors and trustees." It is to be noticed that the lords expressed their intention of not overruling the previous cases.' § 20. independent contractors dividing profits of a job.— In Kilshaw v. Jukes, 3 Best & Smith, 847 (Q. B. 1863), Kil- shaw had sold timber to the defendants. Till & Wynn, and now claims that Jukes was their dormant partner and liable for the debt. The three defendants had jointly agreed to purchase a piece of land and to complete buildings upon it, the vendors agreeing to advance money for the buildings, and the conveyance to be to the three on Js. C. as Wheatcroft v. Hickman, Scac, which afHrmed the Common 9 C. B. N. S. 47 ; reversing Hickman Pleas in 18 C. B. 617. V. Cox, 3 C. B. N. S. 533, in the Cam. 20 TESTS OF A PARTNERSHIP. § 21. completion of the buildings, and all were liable to the vendors for the purchase money. The timber bought of plaintiif was for the erection of the buildings. Inter se the agreement was that Till & Wynn should erect the buildings themselves and Jukes should have an interest only to the extent of an old debt owed him by them and for such iron as he should supply for the buildings; any surplus was to be Till & Wyun's, and if the proceeds should be in- sufficient to repay Jukes he was to be a loser, and he gave no authority to Till & Wynn to order timber on bis account. Black- BUiiH, J., analyzed the question thus: All three are of course liable to the vendor to pay for the land and to procure the erection of buildings, but this is quite consistent with Jukes being no party to the contracts for material or labor for the buildings, as all three might have had a contractor erect the buildings for their benefit without being liable for the material or labor obtained by the con- tractor; and if Jukes bona fide and not as a clerk made a similar arrangement with Till & Wynn, by which he put them in the position of a contractor, there is nothing to prevent him; and the only question is whether the interest he reserved to himself made him liable as a partner; and held that under Cox v. Hickman the interest on the profits did not make Jukes a partner. Wightman, J., dissenting on the ground that Cox v. Hickman was upon cir- cumstances so peculiar as not to be of general application. § 21. loan on profits as interest; annuity creditor. — In Bullen v. Sharp, L. R. 1 C. P. 86 (Cam. Scac. 1865), the defend- ant's son became an underwriter, and in consideration of Sharp, the elder, guarantying the son to the extent of £5,000 in such busi- ness, the son promised to pay the father an annuity of £500 per annum, to be increased in case one-fourth of the son's average an- nual net profits during the first three years exceeded £500. The average annual profits exceeded £2,000. By a subsequent deed of settlement, the son, when about to marry, made his father and another trustees; the trustees to receive the proceeds of the business from its manager and hold them in trust to pay the annuity and an allowance to the son, and accumulate the surplus for the benefit of the business and the son's family. The son became bankrupt, and a policy-holder sued the father as partner. The father had expressly stipulated with the son that he was not a partner, but this was not known to the plaintiff and therefore did not affect the question. Blackbukx, J., says that the trustees taking the profits 21 § 22. NATURE AND FORMATION. as a reserve fund to meet the emergencies o-f the business, and not causing the business to be carried on for them, does not constitute the trustees principals, which according to Cox v. Hickman is the true question. And that the first arrangement with the father constituted him an annuity creditor, and went no further than did that in Cox v. Hickman, and the trade is not carried on by or on ac- count of the annuitant creditor. Bramwell, B., said: "Partnership means a certain relation between two parties. How then can it be correct to say that A. and B. are not in partnership as between themselves; they have not held themselves out as being so, and yet a third person has a right to say they are so as relates to him? " " If A. agrees with B. to share profits and losses, but not to inter- fere with the business, nor buy nor sell, and C, knowing this, deals with B., he would have no claim on A. Why should he if he does not know of it? Why, upon finding out something between A. and B. which has in no way affected or influenced him, should he who has dealt with B. have a claim on A. ? " The whole of Baron Bramwell's opinion is a powerful expose of the illogical and untrue basis of the old law. Shee, J., and Pigott, B., dissented.' §22. Same, with large powers of control. — In Mollwo, March & Co. v. The Court of Wards, L. R. 4 P. C. 419 (1872), two partners as W. N. Watson & Co. were deeply indebted to the rajah for large advances in their business, and the rajah, to have security for his debt and for future advances, and wishing also to obtain some control over the business, by which he might check what he considered the. excessive trading of the Watsons, entered into a contract with them by which they agreed to carry on their business subject to his control, in that he could take possession of consignments, and the Watsons could not sell or make shipments without his consent or draw money without his sanction, and he might direct a reduction or enlargement of the establishment, and agreed that their stock in trade should be answerable to him, and that he should receive twenty per cent, of the net profits until the debt due him should be i)aid off, and should also pay him twelve per cent, interest on the debt. In fact the rajiih never received any property, proceeds or interest and exercised but little control ; but the question was on the effect of the agreement to make him liable as a partner to the plaintiffs for a debt contracted by the Watsons. iThis case was followed in Ex j^'frte Tennant, G Ch. D. 303. 22 TESTS OF A PARTNERSHIP. § 22. Sir Montague Smith, rendering the decision of tlie court, after criticising the test of liability as partner laid down in Grace v. Smith and Waugh v. Carver as based on unsound reasons, says " the judgment in Cox v. Hickman had certainly the effect of dis- solving the rule of law which had been supposed to exist, and laid down principles of decision by which the determination of cases of this kind is made to depend, not on arbitrary presumptions of law, but on the real contracts and relations of the parties. . . . Whether that relation does or does not exist must depend on the real intention and contract of the parties." To the argument that the large powers of control constituted the rajah, in fact, the man- aging partner, he says that the rajah had no initiative power; he could not direct what shipments should be made or require the Watsons to continue to trade; his powers, however large, were powers of control only. It was held that the parties did not in- tend to create a partnership; that their true relation was that of creditor and debtors; that the trade was not carried on for the com- mon benefit of the Watsons and the rajah so as to create a partner- ship, nor carried on for the rajah as principal in any other character; that he was not in any sense the owner of the business. In Dean v. Harris, 33 L. T. N. S. 639, A., by written agreement, lent B. £2,000 as capital to develop mines, A. having a lien on the mines to secure repayment, and to receive Zd. per ton on the product as commission; B. to receive a salary, which was not to commence until A. had been repaid, and A. was to have three- fourths and B. one-fourth of the net profits. A. advanced in all £11,000 and died. He was held not to be liable as a partner for the debts. In Kelly v. Scotto, 49 L. J. Ch. 383; 42 L. T. N. S. 827, S. hav- ing a building contract to erect eight houses and needing funds, H. made advances to him, taking his contract as security'' for repay- ment, S. agreeing to finish two of the houses, keeping accounts of the cost open to H.'s inspection, to procure leases of the houses to nominees of H. and sell the leases at prices fixed by H. and apply the proceeds to repay H.'s advances; H. also to have half the dif- ference between the cost and the proceeds, and, in case of deficiency to pay his advances and share of the proceeds, were not to have a lien upon the other houses. H. was held not liable as a partner for the timber used in building.' iFor cases where a pretended loan is a mere device, see infra, § 50. 23 § 23. NATURE AND FORMATION. § 23. Influence of Cox v. Hickman in America. — The most prominent feature of the modern English law may be summed up as follows: A person is not liable as a partner to third persons unless he is an actual partner inter se, the case of holding out of course apart. This doctrine is announced as the law in the followino- cases, which will be examined seriatim^ with a simplified statement of the facts of each; for in some of them the court has seized the opportunity to express an emphatic ap- proval and adoption of the doctrine where the facts of the case did not strictly involve it.^ In Meehan v. Valentine, 29 Fed. Rep. 276, A. lent $10,000 to partners, who were at the end of a year to pay him one-tenth of the profits over $10,000, and if the profits did not exceed $10,000, then merely interest on the sum loaned. In an action on notes made by the firm it was held that A. was not a partner; that par- ticipation in profits did not constitute a partnership, though suffi- cient proof of it in the absence of other evidence. The court approves Cox V. Hickman, and says that Berthold v. Goldsmith, 24 How. 536, 13 not contrary to the modern law. In re Francis, 2 Sawy. 286; s. c. 7 Bankr. Reg. 359, while hold- ing the loan in that case to be a device, and therefore a contract of partnership, approves the doctrines of Cox v. Hickman. Deady, J., rules that if the evidence is consistent with a partnership or a mere employment, the burden of proof is upon the participants in the profits to show that he is not a partner when sued by third persons. Be Ward, 8 Reporter, 136 (U. S. D. C. Tenn. 1879), holds that a loan with interest in a proportion of profits or share of profits does not 'per se import a partnership, though strong evidence of it, and approves Cox v, Hickman.* In Culley v. Edwards, 44 Ark. 423, an agreement as follows: Re- ceived $9,491.77 which I invested in merchandise in 1866, which moneys I promise to keep invested in merchandise or other business ■which may be agreed upon until May 1, 1886, at which time I prom- 1 Many earlier American cases had Marshall, 12 Conn. 69 ; 30 Am. Dec. recognized that to constitute one a 596 ; Polk v. Buchanan, 5 Sneed partner even as to third persons he (Tenn.), 721. must be a principal. Berthold v. '^ See, also, Moore v. Walton, 9 Goldsmith, 24 How. 536; Loomis v. Bankr. Reg. 403. 24 TESTS OF A PARTNERSHIP. §23. ise to pay it back with one-half the net earnings, was held not to show a partnership because the party was bound to refund the prin- cipal in any event. The court say further that participation in profits as a test of partnership is abandoned in England and in this country, and that the test is whether the business is carried on on behalf of the person claimed to be charged; that is, was he a prin- cipal towards the ostensible traders? And they approve and adopt the doctrines of Cox v. Hickman and the other later English cases, th 3ugh the question in the case was inter se and not as to third persons. In Le Levre v. Castagnio, 5 Colorado, 564, M. owned a mine, and having no money to work it, L. furnished him with $2,000, in con- sideration of which M. agreed to give him one-fifth of the profits, and, in order to secure him in the advances, to deliver to him all the ore untij repayments. This was held not to be a partnership inter se or as to third persons. In Vinson v. Beveridge, 3 MacArthur (D. C), 597, it was held that a person receiving a share of the profits, but without being a partner, is not liable as one in the absence of a holding out. In Smith v. Knight, 71 111. 148; 22 Am. Rep. 94, a firm agreed to advance money to H. to enable him to do a commission busi- ness, for which he was to pay legal interest and divide commis- sions, less office expenses, the firm not to be liable for losses. This was held not to render the firm liable as his partners to third per- sons for losses, because the intention of the parties is to be consid- ered, and that was that losses were not to be shared.' In Macy v. Combs, 15 Ind. 469 (1860), it was held that the in- tention of the parties is often necessary in case of doubt, even to ascertain if a partnership exists as to third persons. In Williams v. Soutter, 7 Iowa, 435 (1858), in an action against S. and D. for the price of goods sold, an agreement was admitted in evidence whereby D. agreed to lend S. $2,000, to be employed in business, for twelve months, to be repaid with thirty per cent, in- terest or one-third the profits, less business expenses, if desired, but D. not to be expected to take an active pai't in the business. lln Niehoff v. Dudley, 40 111. 406, an intention expressed not to be a loan on a share of profits in lieu of partners, they are not such even as interest, though evidence of a part- to third persons. For tlie facts of nership, held not absolute; the inten- this case see § 48. tion governs; and here there being 25 § 23. NATURE AND FORMATION. This, with other evidence, was deemed to show a partnership; but as the judgment was reversed because some of tlie other evidence of a partnership was hearsay, it follows that the court did not con- sider the above agreement to amount to a partnership, for other- wise the incompetent evidence would have been immaterial. In Chaffraix v. Lalitte, 30 La. An. Part I, 031 (1878), a bank made an agreement with two firms, one firm in the sugar business to buy molasses and ship in the name of the other, a cotton firm, deliver to the latter the bills of lading, the latter to pay for it with the money of the bank; the two firms to receive part of the profits for services and share the losses. This was held not a partnership between the three, even as to third persons, they not having in- tended to form a partnership, nor held themselves out as such. In Beecher v. Bush, 45 Mich. 188 (10 Am. Rep. 465), it was held that where a person hires a hotel from another and runs it, paying the owner from day to day a sum equal to one-third of the gross receipts, this is not a partnership; and there is no such thing as a partnership as to third persons when there is none inter se, in the ab- sence of concealment or deception. The court (Cooley, J., pp. 200- 202) approve the late English decisions to the full extent, and say that the elements of partnership are communit}'^ of interest in the business, for the conduct of which the parties are mutually prin- cipals and agents for each other, with general powers within the scope of the business, though these powers may inter se be re- stricted, even to making one partner the sole agent; yet if there is no agency there is no partnership, and the agency must be intended by the parties.' In Kellogg Newspaper Co. v. Farrell, 88 Mo. 504 (1888), by an agreement between F. and L., F. turns over his newspaper to L. for one year, L. agreeing to run it in every respect as if he were the owner, in his own name, pay all expenses and give F. one-half the net profits quarterly, F. reserves the right to indicate the general and political policy of the paper and to sell the one-half interest at any time, and will then lease to L. the other half at $1,500 per annum. The plaintiff sold materials to L. and now sues F. for the price. It was held that F. was not liable as a partner; that shar- ing of profit and loss does not necessarily constitute a partnership, but it is a question of intent, and L. was to conduct the paper as 1 Followed in Colvvell v. Brittou (Mich.), 26 N. W. Rep. 538. 26 TESTS OF A PARTNERSHIP. § 23. owner and not as partner and pay all expenses. F.'s reservation of a control of the policy of the paper was not a control over its business affairs, and the one- half the proceeds to be paid him was merely compensation.' In Parchen v. Anderson, 5 Montana, 438 (1885), N. let two parfc- D:'rs, A. & S., have $500 on the following agreement: "In con- sideration of $500 we sell one-fourth of the net profits of the Centennial mill to X." It was held not sufficient to constitute N. a partner, he not intending to be one. The court approve the modern English and American cases, and while saying that the agreement is strong evidence that N. was a partner, but that shtir- ing profits alone is not an arbitrary test, add (pp. 447 and 457) that if there is no partnership inter se there can be none as to third persons, except by holding out. They notice, however, that net profits may mean the results of business already transacted and concluded. In the court of appeals of New York, in Leggett v. Hyde, 58 N. Y. 272, 281 (17 Am. Rep. 244), (aff'g 1 N. Y. Supreme Ct. 418), it was said that the doctrines of Cox v. Hickman had not been adopted in that state," and accordingly a loan on a share of profits in lieu of interest, the principal to be repaid regardless of the suc- cess of the business, was held to constitute the parties partners as to third persons, contrary to the lender's intention. It was justly observed in the supreme court of Michigan in Beecher v. Bush, 45 Mich. 188, 195-6, that in New York the doctrine that participation in profits created the liability of partners had been closely adhered to, and that the courts were hampered by their own early decisions and had not followed Cox v. Hickman to the full extent. But the later New York cases do not sustain these rulings and statements. In Central City Sav. Bk. v. Walker, 6Q N. Y. 424, 1 See, also, Kelly v. Gaines, 24 Mo. made in Burnett v. Snyder, 81 N. Y. App. 506. In Campbell v. Dent, 54 550 (37 Am. Rep. 527), with the Mo. 325, 332, it was said that com- further statement that the sharing munion of profits would not consti- profit and loss must be as a proprie- tute a partnership unless each party tor with a right to an account and a had an interest in the profits as prin- lien, and that therefore a sub-part- cipal trader, and the old case of ner is not liable as partner to third Waugh V. Carver (§ 16) was said to persons. Thus the opinion denies be bad law, both in England and this Cox v. Hickman and ailoptsit in full country. immediately afterwards. 2 The same statement was again 27 § 23. NATURE AND FORMATION. •430, Allen, J., said that to constitute a partnership as to tliird persons there must be an assent of the individuals to the creation of that relation, or an estoppel or ratification, and cites the New Hampshire case of Eastman v. Clark, which approves the modern decisions to the full extent. And a sharing of profits in lieu of in- terest on a loan has since been held not to create a partnership.* In Eastman v. Clark, 53 N. H. 276 (16 Am. Rep. 192), two per- sons, each owning a coach and horses, agreed to run a line of coaches between two points and divide the gross receipts, and this was held not to constitute a partnership inter se or as to third per- sons. The opinion in this case is several hundred pages long and very minute in its examination of authorities. It attacks the rule that participating in the net profits creates the liability of partner as to third persons with great severity. It strongly approves and adopts the law as laid down in Cox v. Hickman and cognate cases, and holds that agency is the true test, and that the interest in the profits must be as a principal trader. This case necessarily overrules doctrines such as those laid down in the earlier case of Bromley v. Elliot, 38 N. H. 287, 306. In Wild V. Davenport, 18 N. J. L. 129, where an executor was receiving part of the profits under the will of a deceased partner, the court said that participation in profits was not an invariable test of partnership, and that if a party is not actually in business as a principal trader he is not liable as a dormant partner except by virtue of a contract making him actually a partner. In Brundred v. Muzzy, 25 N. J. L. 268, a contract recited that Brundred & Son owed Bell & Son, and to secure the debt, and for further advances, authorized Bell & Son to have the entire manage- ment and control of their business until the debt was reduced to $10,000, giving them until then sole power to collect all money's due and pay all present and future indebtedness, and assigning them all the property of Brundred & Son, who would draw a stated sum for support. This was held not to make Bell & Son partners, and, therefore, not liable on a subsequent note made by Brundred iln Richardson v. Ilughitt, 76 N. Fowler, 87 id. 33 (41 Am. Rep. 343), Y. 55 (33 Am. Rep. 267), where tlie (aff'g 14 J. & Sp. 195), where the product was to be put into the lend- lender was to receive interest and er's hands as security, and an ac- half the profits. See. also, Cassidy count of sales made to him. Eager v. Hall. 97 N. Y. 159; Magovern v V. Crawford, 76 id. 97; Curry v. Robertaon, 40 Hun, 166. 28 TESTS OF A PARTNERSHIP. § 23. & Son. For even if Bell & Son are to take all the profits, they take as creditors and not as participators, and such profits inure to the benefit of Bruudred & Son. In Harvey v. Childs, 28 Oh. St. 319 (23 Am. Rep. 387), P. had contracted for two car loads of hogs and agreed that if C. would lend him money enough to pay for them and others, enough to make up two car loads, C, could take possession as securit}', sell them and keep one-third of the net profits, but the money was to be repaid in full in case the proceeds were insufiicieut, so that C. should have no loss. There was a loss, but P. repaid C. in full, but had not paid for the hogs, aad the vendor sued C. for the price, and the arrangement was held not to be a partnership but a loan and a pledge; the hogs were P.'s and not C.'s. Cox v. Hickman and sim- ilar cases are approved and announced to be the law, and the rela- tion of each as principal and agent to be the true test of partnership, and liability to rest on the ground that it was incurred on the ex- press or implied authority of the party sought to be charged, and profits must be shared as principals in a joint business where each has express or implied authority to bind the others. In Hart v. Kelley, 83 Pa. St. 286, A. agreed to loan B. sufficient to enable him to carry on a saloon business in a specified house, the lender to receive three-fourths of the net profits as compensation for the use of the money. In an action against him for work and labor on the property he was held not a partner, and Cox v. Hickman was approved. It is statutory in Pennsylvania, however, that a lender of money on a share of profits in lieu of interest is not a partner.* In Boston, etc. Smelting Co. v. Smith, 13 R. I. 27 (43 Am. Rep. 3), a contract by which M. is to loan S. $5,000 for one year and in- dorse for him, for which S. is to pay him ten per cent, of his net business profits and two per cent, of his net profits for every $1,000 indorsed for him over said $5,000, S. agreeing to conduct his business to the best advantage, keep accurate accounts open at all times to M.'s inspection, was held not to constitute a partnership but to be a mere contract of loan; there being no reason to suspect a latent design to form a partnership, under the disguise of a loan; and the Is. p. also Irwin v. Bidwell, 72 Pa. ceive a share of profits and a sum St. 244, and Lord v. Proctor, 7 Fliila. equal to a share of profits seems to be 630; but iu Pennsylvania the old dif- recognized. Lord v. Proctor, 7 Phila. fereuce between an agreement to re- 630 ; Irwin v, Bidwell, 72 Pa. St. 244. 29 § 23. • NATURE AND FORMATION. agreement as to the conduct of the business being merely a require- ment to observe good faith. The court say that the later English cases are the truest exposition of the common law. In Polk V. Buchanan, 5 Sneed (Tenn.), 721, one who has loaned money to a mining concern, and as a security has taken a convey- ance of one-half of their mines, and was to receive one-fourth of the profits in consideration of the loan, but without intention of being a partner, does not become one as to third persons, and was there- fore held not liable for the hire of slaves. In Bnzard v. First Nat. Bank (Tex. 1886), 2 S. W. Rep. 54, Buz- ard, who had employed Pennington as his agent on a salary to buy and sell cattle, by a new agreement advanced to him §16,500 to be used in buying cattle; Pennington to buy, keep and sell them, use the proceeds to repay the advance, and divide the net pro- ceeds equally. If the proceeds were not sufficient, Buzard was to get back his money and Pennington to receive nothing, but was to have no loss except of his labor, his share of profits being in lieu of his former salary. The cattle were to bear Buzard's brand, but Pen- nington was to use his discretion in the business, excepting that Buzard fixed certain limitations of prif^es in buying and selling. In an action on a note given by Pennington in his own name for money advanced by plaintiff and put into cattle, it was held that Buzard was not liable, as he did not intend or believe himself to be a partner. The court approve the rule of Cox v. Hickman and at- tempt to distinguish Cothran v. Marmaduke, 60 Tex. 370. In Chapline v. Conant, 3 W. Va. 507, C. and W., the latter as trustee of Mrs. E., bought and equipped a hotel; then C. and E., the husband of Mrs. E., went into partnership as C. & E. to run it, under an agreement by wJiich C. and the trustee, Vv^., were to pay the losses and divide the profits equally. E. was not to be liable for losses, or be entitled to any profits. C. was to pay half the profits to W. as trustee, C. and W. paying the losses and dividing the profits equally. It was held that the profits pa3^ableto VV. were in the nature of rent; that as the evidence showed he did not intend to be a partner with C. and E., nor did they intend he should, nor did he act as such, he was not liable as one to a third person upon a negotiable draft made by C. and E.; that a right secured to W. to inspect the books and require an account does not make him one. Cox v. Plickman is approved as being the law. The test was said to be whether the supposed partners acquire any property in or con- 30 TESTS OF A PARTNERSHIP. § 24. trol over or specific lien to the profits while they remain undivided in preference to other creditors. In In re Randolph, 1 Ontario A pp. 315, R., by an agreement with P. and H., was to consign lumber to t'^t^m, they to guaranty sales and receive one-half the net profits instead of the commissions which they had been in the habit of receiving under a former ar- rangement between the parties. This was held not to constitute a partnership, none being intended, although P. and H. on one oc- casion shared a loss, and therefore P. and H. could claim as cred- itors against R.'s estate with other creditors. Cox v. Hickman is approved and followed in this case. In Darling v. Bellhouse, 19 Up. Can. Q. B. 268, an agreement by which a creditor of a firm was to be paid his debt in instalments and meantime to have access to the books and act as purchasing agent on a salary, aud as soon as the shares of the partners should equal his debt he was to have the right to become a partner or draw out his debt with a bonus as compensation for the right to be a partner^ was held not to constitute a partnership.' § 24. Proximate tests of intention. — The intention of the parties being the sole criterion of partnership, certain prin- ciples may be laid down as approximate guides to ascertain it. No really absolute tests can be given; for even if the vast mass of cases were harmonious, it rarely happens that a single one of the following principles controls; on the con- trary, each case generally involves several, some of which point towards partnership and others to a contrary inten- tion; hence each case stands somewhat upon its own cir- cumstances, much as in the cases of the construction of wills, and must be taken by the four corners. The cases will be considered in the following principal classes: I. Where the agreement is to share both profit and loss. 1 To tlie same effect, see Hill v. having power to replenish the stock Bellhouse. 10 Up. Can. C. P. 133. from time to time to facilitate sales of These cases wert- decided while Cox old stock, this was held not to make V. Hickman was pending in the assenting creditors partners therein, house of lords. the power to purchase being only as In MuuLson ?;. Peck, 18 Up. Can. absolutely necessary aud not to make Q. B. 113, tru.stees under an assign- money, ment for the benefit of creditors, 31 g 26. NATURE AND FORMATION. II. Where the agreement is to share profits and saying nothing as to losses. III. Where the agreement is to share profits but not losses. rV. Where the agreement is to share gross returns. I. SHARING BOTH PROFIT AND LOSS. § 25. An agreement to share in the profit and loss of a business or adventure shows an intention to create a part- nership unless such evidence of intention is controlled by stipulations or interpreted by conduct inconsistent with it. §26. Witlr a common stock. — Where the goods or ma- terial, or the money wherewith to buy them, are contributed by all, and are joined in a common stock, and are to be used or disposed of for joint benefit, with an agreement for a di- vision of profit and loss, this constitutes a partnership.^ Thus, where four persons agreed that one of their number should buy potatoes in New Hampshire and Vermont, send them to mar- ket, each to be accountable for liis own sales, the cost of purchasing and the profit and loss to be in specified proportions, it was held a partnership, for the purchases were for sale again for joint benefits, negativing the idea of separate interests, and the division of profit and loss shows that it is not a mere joint ownership of property, but with right of separate disposition, ^. ?., without joint profits. Nor is it a division of profits as compensation for services, for each put in part of the capital and neither was the servant of the others, Nor was it a division of profits as compensation for the use of capi- tal, for they owned the property jointly, without agreement for I See Mooie v. Davis, 11 Ch, D. 201 ; v. Buutiii. 118 Mass. 279; Bohrer v. In re Warren, 2 Ware, C. C. 322; Drake, 33 Minn. 408; Priest u. Chou- Felichy v. Hamilton, 1 Wash. C. C. teau, 13 Mo. App. 253 (aff. 85 Mo. 491; Scott V. Campbell, 30 Ala, 728; 398); Cumpston v. McNair, 1 Wend. Meaheru. Cox, 37 Ala. 201; Autrey 457; Smith v. Small, 54 Barb. 223; V. Frieze, 59 id. 587 ; Laffau v. Naglee, Arguimbo v. Hillier, 17 Jones & Sp. 9 Cal. 663; Solomon v. Solomon, 2 253; Jones v. Call, 93 N. Ca, 170; Ga, 18; Morse v. Richmond, 97 111, Choteau v. Raitt, 20 Oh. 133; Burn- 303 (aff. 6 111, App, 16«); Aultnian v. ley v. Rice, 18 Tex. 481, 496; Duryea Fuller, 53 Iowa, 60 (in effect revera- v. Whitcomb, 31 Vt, 395; Chapman ing Iliff V. Braz.ll, 27 id, 131); Star- V. Wilson, 1 Rob, (Va.) 267. buck V. Shaw, 10 Gray, 492 ; ^ cm i by 33 TESTS OF A PARTNERSHIP. §27. severance until final accounting, and they relied on the proceeds and property for reimbursement aud not on individual credit." That a certain class of losses is not to be divided makes no differ- ence; thus, where two steamboat owners agreed each to furnish a certain number of boats in which the respective owners should retain the property and assume the risk, and be liable for losses by accident and negligence, but the compensation of joint agents, and damages or losses on cotton should be a joint charge, and the profits, less running expenses, should be divided, this is a partner- ship inter se."^ So if, on dissolution of a partnership, one partner agrees to take all the assets, pay all the debts, give the other one-third of the prof- its arising from sales of goods, and the other agrees to share one- third the losses and act as clerk, this constitutes a partnership inter se.^ Persons who purchase land on speculation, contributing equally to the cost and the expenses of platting and improving it, the proceeds after paying expenses to be equally divided, are partners and all liable on a note made by one of their number in whose name the title was taken, he being authorized to make loans, although the lender was not aware of the source of his power/ Where it was agreed that T. should make a note and four others should indorse it; that the note should be discounted and the pro- ceeds used by T. to buy and sell brooms in his own name, and the proceeds of sale, after paying the note, should be divided and profits and losses shared, and T. sold brooms and received in payment for some of them a note which he indorsed in his own name to the plaintiff, the other four persons are liable on the note as partners doing business under the name of T.* § 27. Same; services. — Similar to this class of cases is the class w^here the dealing is not in goods or manufactures, but is in rendering services requiring the use of a capi tal and the possibility of a loss; here a joint contribution of capital and agreement to share profit and loss creates a partnership. iDuryea v. Whitcomb, 31 Vt. strong presumptive evidence of a 395. partnership, but conclusive of it. 2 Mealier v. Cox, 37 Ala. 201. * Morse v. Richmond, 97 111. 303 3 Scott V. Campbell, 30 Ala. 738. (affirming 6 III. App. 166). The case seems also to hold that ^ Mohawk Nat. Bank v. Van Slyck, sharing profit and loss is not merely 29 Hun. 188. Vol. 1 — 3 33 § 28. NATURE AND FORllATION. Thus, where M., owning a contract to carry the mails, sold half of it to C. and they agreed to carry together, sharing profit and loss, it is a partnership and not an emplo3'ment.' So of two contractors to build a railroad, sharing profit and loss, they are partners; hence one alone can swear to a chattel mortgage for both.* So of a con- tract between two parties to share profits and losses on their contracts with towns to furnish recruits.* So of a contract to prosecute a voyage, each giving his time and services, sharing the freights earned and dividing profits and losses; therefore the freight earned cannot be garnished in an action against one alone.* Where two firms agree to pack pork on joint account for one season, shar- ing profit and loss, it was held to be a partnership inter se, though one firm alone had control of and could sell the product; hence each firm can require the assets to be applied to the debts.* Where one party agreed to furnish a horse and mail-cart and the other pay him a stipulated annual sum for them, but expenses for repairing and losses of packages and receipts are to be divided, it is a partner- ship.* § 28. When one contributes whole capital. — If one person is to furnish the property, or the money with which to pro- cure it, and the other is to give his services in disposing of it under an agreement by which they are to divide profit and loss, it is a partnership inter se, for a sharing of loss is generally inconsistent with a mere employment. '^ Thus a contract by which K. was to furnish a stock of goods and keep it up, it to remain his property, and N. was to sell them, pay- ing over all cash each day, and drawing $50 per month, and at the iCole V. Moxley, 12 W. Va. 730. 'Pawsey v. Armstrong, 18 Ch. D. 2 Belknap v. Wendell, 1 Foster (21 698 (doubted in Walker v. Hirsch, 27 N. H.), 175. id. 460); Emanuel v. Draugliu, 14 3 Marsh v. Russell, 66 N. Y. 288. Ala. 303; Couch v. Woodruff, 03 Ala. ^Bulfinchu.Winchenbach, 3Allen, 466; Clark v. Gridley, 49 Cal. 105; 161. Pierce v. Shippee, 90 111. 371 ; Kuhn 5 Meador v. Hughes, 14 Bush, 652, v. Newman, 49 Iowa, 424 ; Getchell and Brett v. Beckwith, 3 Jur. N. S. v. Foster, 106 Mass. 42; Brownlee v. 31, of two underwriters agreeing to Allen, 21 Mo. 123; Mulhall r. Cheat- share profit and loss of their busi- ham, 1 Mo. App. 476 ; Tyler v. Scott, nesses; s. P. Shubrick v. Fisher, 2 45 Vt.. 261; Sprout v. Crowley, 30 Desaus. 148. Wis. 187. 6 Green v. Beesley, 2 Bing. N. Gas. 108. 84 TESTS OF A Partnership. § 2j>. end of the term N. is stand half the losses and take half the profits in merchandise on hand, was held a partnership as being the usual case of one furnishing the goods, the other his time, and dividing profit and loss, except that the goods remain K/s property, which means only that they shall belong to him until N. acquires an in- terest. Hence, K. cannot replevy from N., nor can he show exclu- sive title by proving that there were no profits, for such evidence would require an accounting in a law case.' So if P. furnishes S. money to buy corn, S, to pay all expenses of shipment and sale, reimburse to P. the cost, gain and loss to be equally divided, S. buying in his own name, this is a partnership;' or where A. furnishes B. money to buy tobacco on joint account, B. to buy, prize and sell the tobacco, profit and loss to be divided. This is a partnership.^ § 2\). Sharing profit and loss when not a partnership. — But an agree nieiifc to share profit and. loss does not abso- lutely constitute a partnership as a conclusion of law. If other circumstances show that no partnership was intended or created they will control.^ A conspicuous example of this is whqre a partner agrees to divide the profit and loss or profit of his share with a third person, thus forming a subordinate partnership. The sub-partner, although he gains or loses as the principal firm does, is neither their partner nor liable to their creditors as such. This will be treated hereafter under Sub-partnerships. An arrangement by which one person buys and ships goods for a firm in another city, with their funds, profit and loss to be divided, and each shipment to be a distinct venture, was held not a part- nership inter se, and therefore the firm could sue on a policy with- out prejudice from the acts or order of the other, who had attempted 1 Kuhn V. Newman, 49 Iowa, 424 ; v. Hirsch, 27 Ch. D. 460 ; Noakes v. S. P. Getchell v. Foster, 106 Mass. 42. Barlow, 26 L. T. N. S. 36 ; Chaffraix 2Pierce V. Shippee, 90 111. 371. v. Lafitte, 30 La. An. Part I, 631, 3 Clarke v. Ware, 8 Ky. Law Rep. supra; Dwinel v. Stone, 30 Me. 384; 438. , Smith v. Wright, 5 Sandf. 113, but 4 Bullen V. Sliarp, L. R. 1 C. P. 86 this point was shaken on the affirm- {supra, ^ 21) ; Kilshaw v. Jukes, 3 Best ance of the case in 4 Abb. App. Dec. & Smith, 847 [supra, § 20) ; Ex parte 274. Delhasse, 7 Ch. D. 511, 521 ; Walker 85 § 20. NATURE AND FORMATION. to cancel the policy.' So where A. furnished hides to B., to be made into leather and returned to A., B. to receive a certain sura per pound, and profit and loss to be divided, this is not a partnership, and hence B.'s sale of the leather to a third person gave him no title as against A.' So where two firms, A. & B. and C. & D., agree with each other to furnish S. with a certain amount of wool in certain proportions, agreeing among themselves to divide profit and loss, the}' were held not to be partners, and therefore could not join in action against S. for the proceeds.' Where W. agreed with M., B. & Co. to buy timber land, cut the timber and put it on the cars, M., B. & Co. to sell the lumber, and after paying W. the cost and $4.50 per thousand feet, the net proceeds, deducting further ex- penses, were to be divided and losses^ were to be divided, it was held that the parties are not taxable as a firm on the lumber. M,, B. & Co. had no control of it before shipment and W. none after.* Where plaintiff was to cultivate defendant's farm, each to pay half the expenses and divide the profits equally, a charge to the jury that they were partners was held erroneous. They are not necessarily partners, but were probably mere tenants in common in the crop." A. and B., buyers of cattle each on his own account, for ship- ment, to avoid conflict and rivalry agree to buy each for himself as before, but that each should have half the profits and pay half the losses on every shipment of the other. This is not a partner- ship.* Where plaintiff by contract was-to share in profits and losses of defendant's business for three years in the proportion of seventeen 1 Marsh v. Northwestern Natl. Ins. agreed to give H. one-third of his net Co. 3 Biss. 351. profits for a year, A. to bear one- 2Fawcett v. Osborn, 33 111. 411. It third the losses, and to attend to the is not certain whether tlie court business, but B. to have entire con- ruled there was no partnership, the trol. The object of this contract question being as to the title of the does not appear. The court say that goods. See the earlier case of the mere participation in profit and same partnership. Stevens v. Fau- loss does not necessarily constitute a cet, 24 111. 4S3. partnership inter se, but that it is a 3Snell V. De Land, 43 III. 323. question of intention, each case to * Monroe V. Greenhoe, 54 Mich. 9. be determined on its own facts, and 5 Donnell v. Harshe, 67 Mo. 170 ; s. that the above contract is not conclu- P. Musser V. Brink, 68 Mo. 242 ; 80 id. sive, McDonald v. Matuey, 82 Mo. 350; Ashby v. Shaw, 82 Mo. 76. la 358. one case B,, the owner of a bank, 6 Clifton v. Howard, 89 Mo. 193. 36 TESTS OF A PARTNERSHIP. § 29. and one-lialf per cent., and to act as salesman, but not to have the right of partnership in the firm, and the capital then standing to his credit on the books was to remain in at seven per cent., but he could draw an annual amount for support, it was held that the parties were not partners inter se, and therefore that plaintiff was not chargeable with interest on losses of the first year, but that his percentage related to the result of the entire term and not of each year.' Where E. sold goods to T. B. & Co. and sues them, and also Y. and X., claiming the latter to be partners of T. B. & Co., the relation between the defendants being created by a writing, whereby V. and X., who lived elsewhere, were to pay half the rent of a store to be hired by T. B. & Co., the latter to sell goods sent them by V. and X., paying all expenses and to sell no other goods, and to receive a coDimission equal to one-half the net profits on sales, and pay one- half of any loss that might occur, V. and X. are not partners of T. B. & Co. A commission measured by a share of the profits does not create a partnership, and sharing losses does not mean a loss by fall of prices, which would probably make them partners, but a loss which might arise in the sale and disposition of the goods; as a factor might agree to be liable for losses by robbery, fire or bad debts.' A contract to buy certain land, erect a mill on it, put in ma- chinery and hold the property jointly, sharing the expense equally and also the profits, whether arising from sale or lease, and if either paid more than his share he was to have a lien for repayment, constitutes not a partnership but a tenancy in common, for there 1 Osbrey v. Reimer, 51 N. Y. 630 fendant, that they were to share (affirming s. c. 49 Barb. 265.) equally in profits and losses, but 2 Ed wards t). Tracy, 62 Pa. St. 374. whether they were partners inter se It is further said on p. 380, that con- does not appear. The court said ceding T. B. & Co. would be liable " sharing the profits and loss of the as partners for purchases by V. and business is not decisive as between X., the correlative proposition would the parties, as there may have been hold good, that V. and X. would be merely an arrangement with a view liable for purchases by T. B. & Co. to compensation for services," and In Morgan v. Stearns, 41 Vt. 398, the the referee's rejection of a claim facts are not given ; the referee had for a share of certain expenses was reported that a ' '• sort of partnership " affirmed. existed between the plaintiff and de- 37 § 30. NATURE AND FORMATION. was no agreement for partnersliip, or name, or capital, or business contemplated, or right to sell.' In one case A. furnished cigars to B. to sell, and a horse and wagon, each to bear half the expenses and each half the losses on sales, the profits to be divided equally. The court held that an action at law between the parties lay because there was no partner- ship, but an arrangement analogous to a case of merchant and factor. The decision was put on the ground that had A. died there was no community of interest in the horse and wagon and cigars which would have survived to B., nor power in B. to incur liability, make contracts, manage the business or disoose of the whole stock at once.' n. SHARING PROFITS, NOTHING BEING SAID AS TO LOSSES. § 30. It will be remembered that our definition of part- nership, unlike that of the Roman law, is silent as to losses. A contract to share profits, nothing being said about losses, furnishes by far the largest and most perplexing class of cases, and may or may not constitute a partnership. Many authorities have ruled that as net profits ex vi termini import deduction for losses, this class of cases belongs to the class just considered, and therefore constitutes a part- nership. But in this connection, at least, there is no differ- ence between profits and net profits, and the confusion of the two classes is productive of error. If there is a community of profits, a partnership follows. Community of profits means a proprietorship in them as dis- tinguished from a personal claim upon the other associate; in other words, a property right in them from the start in one associate as much as in the other. But the saying that one who takes part of the profits as profits is a partner has now gone out of vogue, having been found to be unservice- able as a test, and amounting merely to a change of expres- 1 Farrand v. Gleason, 5G Vt. 633. was a sharing of profit and loss but In Chapline v. Conant, 3 W. Va. no partnership. 507, abstracted above (§ 23), there 2 Newberger v. Fields, 23 Mo. App. 631. , 38 TESTS OF A PARTNERSHIP. § 31. sion.^ So a former difference between taking a share of the profits and an amount measured by a share of profits is no longer regarded. The latter expression may show an intention not to be a partner, but the former does not show the contrary, as will be seen in numerous instances hereafter cited. So an old verbal difference between gross and net profits must now be considered as unsubstantial, as there are numerous cases where sharing net profits does not constitute partnership. The cases on this subject are like cases on the construction of wills, as various as the facts of each vary; and in deter- mining the intention or the nature of the relation, considera- tion is to be had, among other things, to the objects and purposes of the parties; the powers granted to or withheld from each; the extent of their interests; their former rela- tions or occupations; the extent and nature of their interest in the capital stock. And though the cases are not all rec- oncilable, they may be classified so as to assist in the determi- nation of future questions. § 31. With joint capital. — In this class of cases, if there is a joint ownership in the capital stock, the conclusion is irresistible that there is a communion of interest in the profits, and not a portion of them, as compensation, for each has as much right as the other, and hence that a part- nership results; but even here care must be taken not to confuse a contribution to capital with a contribution of the use of property on a share of profits or income as rent, which may take place although the parties both own the • property as tenants in common; as, for example, where two persons bought a circus and one contracted with the other to run it and divide the income. In the case from which this example is taken there was held to be no partnershij"), on the ground that dividing an income does not make a partnership, but the same would have been true had half the profits been payable as rent.^ 1 Bromley v. Elliot, 38 N. H. 287, Beecher v. Bush, 45 Mich. 188, 195 304; and see Parker v, Canfield, 37 (40 Am. Rep. 465). Conn. 250, 267 (9 Am. Rep. 317) ; 2 Quackenbush v. Sawyer, 54 CaL 39 § 32. NATURE AND FORMATION. § 32. Illnstrations of true partnerships. — W. contributed a steamboat to T., to be pat into line, and T. contributed the good ■will of an established line and his care, skill and expenses, T. to have the management and the selection of the officers and crew; but W. was to appoint the clerk and -disbursing officer, and the re- ceipts were to be applied in the following order: Expenses, insur- ance $6,000, to W.; $300 to T.; balance to be equally divided. This was held to be a true partnership and not a charter-party, for each contributed to the enterprise and there is a communion of profits.^ Persons who by agreement jointly buy a tract of land in order to jointly sell it and share the profits were held to be purchasers inter se for the transaction and to owe to each other the duties of that relation.* There is considerable difficulty in reconciling some of the cases under this section and those which the court decided under § 63. Where parties bu,y land jointly to farm it and sell again, plaint- iff to farm it, defendant to ship and sell the produce, expenses to be shared equally and net profits divided, it is a partnership iiiter se, and one cannot sue the other at law for his share.' Where two persons put in $3,000 each and one his personal services, and they are to divide the net profits, it was said to be a partnership, at least as to third persons.'' So if each contribute a stock of merchandise and are to share equally the expenses and profits, though one is to pass for proprietor and the other for salesman. ° Where one is to furnish a mill and the other the hands to work it, the latter to be superintendent, the profits to be divided, it was held to be a partnership on the ground that the latter in furnishing the hands furnished part of the capital stock, for that consists of the mill and the hands.* One who receives money from another to in- 439 ; and see Chapman v. Eames, 67 ^ Perry v. Butt, 14 Ga. G99. Me. 452, 5 Marks v. Stein, 11 La. Ann. 509; 1 Ward V. Thompson, 22 How. 330, and see Everitt v. Cliapmau, G Conn, aff'g Newb. 95. 347. - Yeoman v. Lasley, 40 Oh. St. 190 ; g Sankey v. Columbus Iron Works, Hulett V. Fairbanks, 40 id. 233; Can- 44 Ga. 238, So if one furnishes the ada i;. Barksdalo, 76 Va. 899; Brink- mill and the other the timber; for ley u. Harkins, 48 Tex. 225; Russell there is a community of interest V. Grocn, 10 Conn. 269, of lumber in the sawed lumber. Jones v. so bought. McMichael, 12 Rich, L, 176. 3 Fisher v. Sweet, 67 Cal, 228. 40 TESTS OF A PARTNERSHIP. g 32. vest on real estate in joint account was called a partner, since the land is held for both.' And so where G. represented that he knew where a railroad was to run, but had no money, and R. furnished the money, G. to buy land to be held by a third person in trust for both, and both to have an equal interest in them, this is a part- nership in the lands, so that a loss by depreciation, the railroad not having been made there, must be equally borne," Where proprietors of a factory associate themselves to manufact- ure a commodity, assigning to each specific departments of duty ^nd providing that each shall receive a stated salary, but saying noth- ing about either profit or loss, it is a partnership inter se.^ An a2:reement between A. and B. that B. should furnish a vessel and cargo, and A. should take charge and prosecute avoyage at monthly wages of ^50 and one-fifth interest in the voyage and should furnish $1,000, A. acting on letters of instruction from B., which stated " for your services you are to receive $50 per month and one-fifth interest in the cargo," was held to be a partnership and not an employment, for there was a joint interest in the capital invested in a common enterprise. There was also additional evi- dence that B. kept the accounts of all the voyages in a continuous partnership account, which A. knew, which tended to show that the interest in the profits was a common interest. Hence, it was held that A. could not sue B. at law.* So an agreement to cut and store ice for sale and divide the prof- its, deducting expenses, constitutes a partnership inter se, so that a sale by some of the partners is valid.' And agents of a company paid by a percentage on its sales, who agree to divide the percent- age between them and make purchases in their joint names, and who paid bills rendered them in the joint name, are partners infer se, so that a suit for an accounting by one against the other will lie.» By an agreement between W. and R., W. was to carry on a business in the name of the X. company, furnish a certain capital and let the company have the use of his coal land, paying him a certain rate per ton for coal mined and interest on the capital of iMillu. Sheibly, 68 Ga. 556. firmed in Barrett v. Swanu, 17 id. 2 Richards v. Grinnell, 63 Iowa, 180 (32 Am. Dec. 223). 44; 50 Am. Rep. 727. •» Julio v. Ingalls, 1 Allen, 41. 3Doak V. Swarin, 8 Me. 170; af- 5Staplesu Sprague, 75 Me. 458. 6Heise v. Bartli, 40 Md. 259. 41 § 32. NATURE AND FORMATION. the company, and R. was to manage the business and " in payment for his services " receive a certain annual sum and half the net profits and Jet to the company his apparatus, trade-marks and pat- ents. Annual settlements were to be made and all sums due R. paid or credited to him on interest. This was held to be a partner- ship infer se and not an agency, and therefore R. could not sue W. at law for excluding him from the management and refusal to make settlements on business continued by W. with R.'s tools, ap- paratus, etc' An oral agreement between A. and B. that A. should contribute his inchoate interest in an unpatented machine, and B. money to obtain a patent, and both their services to make it remunerative, is an agreement of partnership and not for the sale of goods under the statute of frauds, and the patent when obtained is partnership property, being the result of joint contribution, in whosesoever name it is taken out.' Where B. was to furnish marble and A. to pay him half the cost of it, B. to board A., and both to contribute skill and labor in manufacturing it, and the proceeds and avails to be equally divided, they are partners inter se and as to third persons, and both liable for a purchase by one of them from a seller not aware of the ex- istence of the firm.^ M. and H. were to purchase pork on joint account and in their joint names, and M. is to furnish all money necessary in excess of advances obtainable on the pork and is to receive back his advances with interest, the balance to be divided; this is a partnership inter se and not a loan; hence M. has a priority in the assets over H.'a individual creditors.* Under a contract between W. and B., by which W. leased to B. his factory with tools and machinery, and B. agreed to use it so as to afford the greatest profit to the parties, manufacture, give all his time to it, furnish all necessary capital and labor and keep books open to W.'s inspection, take an account at stated periods and divide profits after payment of expenses, B. to have also a salary and interest on any capital over $20,000, the court held a suit for an accounting and dissolution was maintainable, the parties being 1 Ryder v. Wilcox, 103 Mass. 24. s Griffith v. Buffum, 23 Vt. 181 ; 54 2Someiby v. Buutin, 118 Mass. Am. Dec. 64. 279. < Miller v. Price, 20 Wis. 117. 42 TESTS OF A PARTNERSHIP. § 33. partners because there was a common interest in the capital and profits.' An agreement to buy an interest in a business with a view to carry it on together, sharing profits, is an agreement of partner- ship.' § 33. illustrations of partiiersliip as to third persons.' A. & B. having a contract to build a railroad sold an interest in it to C. & D., the latter to be equally interested in the profits, bene- fits and advantages of the contract, it being the intention to make them in all respects equal with A. & B., the business to be in the name of A. & B. This is a partnership inter se and as to third persons, because it conveys an interest in the business itself and not in the profits, as compensation or as interest on a loan, and C. & D. are liable on a note for supplies signed A. & B.^ Tyler, owning a tin shop, agreed with D., a plumber, to work together, Tyler to have ten per cent, of the profits on his stock and the balance of profits to be equally divided, the concern being continued in Tyler's name; annual balances being struck and D.'s share being carried to his credit; both giving their entire time. This was held to be a partnership, as being an agreement to share profit and loss. It was certainly a joint business, and, hence, in- ferentially an agreement to share profit and loss.' Where D. & Co. were to furnish a stock of goods and shop fixtures valued at $4,000, and B. was to manage the business, pay interest on half the valuation and pay rent for the store, and divide the profits equally, this was held to constitute a partnership as to third persons, although there was a prior understanding that B.'s share of profits was in lieu of a salary." Where L. was owner and publisher of the " Commercial Cata- logue," and being about to begin the canvass for its third number, A., a tailor, agreed to pay and paid to the business $iOO, L. to give A. the orders he received, and the profits, deducting all expenses, to be shared equally. They are partners as to third persons.'' 1 "Wood V. Beath. 23 Wis. 254. ^ Many of these are undoubtedly 2Goddard v. Pratt, 16 Pick. 413, true partnerships, but I classify them 426; Pinkerton v. Ross, 33 Up. Can. according to the facts. Q. B. 508; Botham v. Keefer, 2 Ont. * Voorhees v. Jones, 29 N. J. L. 270. App. 595; PJumer v. Lord, 7 Allen, 5 Tyler v. Scott, 45 Vt. 201. 481 ; Tyler v. Scott, 45 Vt. 261 ; Voor- 6 Brigham v. Clark, lOO Mass. 430. hees V. Jones, 29 N. J. L. 270. '^Peltee v. Appleton, 114 Mass. 114. 43 § 33. NATURE AND FORMATION, H. & L., a ruannfacturing firm, agreed with A. & B. to form a joint stock company of the establishment and divide the capital among the four; and, as A. & B. advanced money for immediate use, it was agreed, in consideration thereof, that they should share in the profits from that date. The joint stock company Avas not organized for nine months, the business in the meantime being in the name of H. & L.; A. & B., who were non-residents, not inter- fering. A. & B. were held to be partners, and liable for debts in- curred thereafter, for they shared the profits as profits. Here A. & B. each put in $1,000.' A. and B. each agreed to contribute distinct stocks of goods, B. to carry on business with them in his store and the net income to be divided. This is a partnership as to third persons and not an employment, because B. furnishes the store and adds to the stock; hence A. is liable as partner for the price of goods purchased by B., although the secret agreement avoided common ownership in the stock and personal liability for engagements.' A. contributed a foundry at a rental and furnished the capital; B. contributed his services and the use of his patents, agreeing that at the close an account should be taken of the "joint stock and joint liabilities," and an equal division of profits should be made. This shows an intention to create a partnership inter se, although the word partnership was nowhere used; but no word denoting an employment, as superintendent, foreman, etc., was used.^ Three partners agreed with four others to convey a half interest in the business to the latter and one-half the net profits, the profits to be applied to pajnng for the latter's shares of capital, and at the end of five years the sellers were to convey to the buyers an eighth each, that is, one-half of the property of the firm, the property to remain in the former in the meantime. This creates a present partnership, being a right to share profits and to use the capital with an inchoate title in it.^ Where one hands money to another to buy corn, not as a loan but for half the corn, the other to sell it all in his own name and return the money and half the profits, it was held to be a partner- ship." 1 Citizens' Bank v. Hine, 49 Conn. . Ladd, 5 Oh. 514; 115; 30 Am. Dec. 493. 57 g 42. NATURE AND FORJtIATION. tioii to become partners existed. Their relation becomes analogous to that of employer and employee, or lender and borrower, or landlord and tenant, by which one is to bear all the loss, and it is not that of joint principals and agents.* Thus, mill-owners indebted to J., in order to pay the debt made an agreement with him whereby J. was to furnish Avheat. The mill-owners were to make it into flour, and all flour, except a part sold at the mill in order to carry it on, was to be sold to pay J. the cost of the wheat and two and one-half per cent,, and the balance to liquidate the debt, and the surplus to the mill-owners. This is not a partnership, but a compensation for the use of the mill, and a levy of execution upon the wheat by creditors of the mill-owners is null as against J." D. owned a mill and was indebted to B, B. agreed to assist in running the mill, furnish the stock and support D.'s family; D. and his sons to operate the mill, B. to sell the lumber, and after deduct- ing the means furnished by him and his compensation, to apply the surplus to the debt. This was held not to be a partnership inter se.^ Parties to whom B. was indebted were to furnish him with funds to buy lumber, ship it to them and pay him a compensation for his services, and apply the rest of the profits to the debt. This is not a partnership, for there is no community of profit and loss, and B.'s creditors cannot levy upon the lumber.* So where by the articles of partnership the share of profits of one partner was to be paid to his creditor, who had sold him the goods constituting his contribution to the business, this does not make the creditor a partner and he can sue the firm at law.* If, however, the creditors agree to advance money to continue the debtor's business for their own profit and to bear losses equally, they are partners as to each other.* And where one creditor, with the concurrence of another, obtains from their common debtor all 1 Cox V. Hickman, 8 H. L. 2G8 lake, 23 Minn. 383, where one part* {supra, 55 19). ner agreed to pay out of pi-ofits the 2 Johnson v. Miller, 16 Oh. 431. deht owed by a tliird person to the 3 Dils V. Bridge, 23 W. Va. 20. firm. Such person is not made a < Clark V. McKellar, 12 Up. Can. C partner as sharing profits. P. 563. 6 Wills V. Simmonda, 51 How. Pr. 8 Drake v. Ramey, 3 Rich. L. (S. 48 ; S. C. 8 Hun, 189. Ca.) 37 ; and see Delaney v. Timber- 58 TESTS OF A PARTNERSHIP. §43. his stock of goods by making a payment thereon, for the purpose of selling again to reimburse themselves their debt, a loss by decline of prices must be shared by both. This, however, should not be called a partnership between the creditors.^ §43. Profits as compensation for services. — A person who is to receive a share of the profits as compensation for services as servant, clerk, manager, broker, or any other agent, is not a partner. The only difference between him and any other employee is that his salary or wages is contingent. His connection with the firm is inconsist- ent with a partnership, for it precludes the rights, duties, powers and liabilities of that relation. In most of the cases cited in the notes, the contract of the parties ex- pressly stated that the share of profits was for services; in others that conclusion was inferred. But whether expressed or inferred, it is clear that the parties are not partners.^ i Stettauer v. Carney, 20 Kan. 474. 2Regina v. McDonald, 7 Jur. N. S. 1127 ; 31 L. J. M. C. 67 ; Geddes v. Wallace, 2 Bligh, 270 ; Pott v. Eyton, 3 C. B. 33; Rawlinson v. Clark, 15 M. & W. 292; Stocker v. Brockelbank, 3 Mac. & G. 250 ; Ross v. Parkyns, L. R. 20 Eq. 331 ; Berthold v. Goldsmith, 24 How. 536 ; Seymour v. Freer, 8 Wall. 202, 215; Be Blumenthal, 18 Bankr. Reg. 555 ; Hazard v. Hazard, 1 Story, 371; Einstein v. Gourdin, 4 Wood's C. C. 415; Brown v. Hicks, 24 Fed. Rep. 811 ; Shropshire v. Shep- perd, 3 Ala. 733 ; Hodges v. Dawes, 6 Ala. 215; Moore v. Smith, 19 Ala. 774; Dillard v. Scruggs, 36 Ala. 670; Randle v. State, 49 id. 14 ; Tayloe v. Bush, 75 id. 432 ; Olmstead v. Hill, 3 Ark. 346; Christian v. Crocker, 25 Ark. 327; Hanna v. Flint, 14 Cal. 73; Darrow v. St. George, 8 Colo- rado, 592; Pond v. Cummins, 50 Conn. 372 ; Sankey v. Columbus Iron Works, 44 Ga. 228 ; Stevens v. Fau- cet, 24 111. 483 ; Porter v. Ewing, 24 id. 617; Fawcett v. Osborn, 32 id. 411 ; Burton v. Goodspeed, 69 id. 237; Macy V. Combs, 15 Ind. 469; Ells- worth V. Pomeroy, 26 id. 158; Em- mons V. Newman, 38 id. 372 ; Keiser V. State, 58 id. 379; Heshion v. Ju- lian, 82 Ind. 576; Price v. Alexan- der, 2 G. Greene (Iowa), 427; 52 Am. Dec. 526 ; Reed v. Murphy, 2 G, Greene (Iowa), 574; Ruddick v. Otis, 33 Iowa, 402 ; Holbrook v. Oberne, 56 Iowa, 324; Shepard v. Pratt, 16 Kan. 209; Heran v. Hall, 1 B. Mon. 159; Bulloc V. Pailhos, 20 Mart. 172 ; Cline V. Caldwell, 4 La. 137; Taylor v. Sotolinger, 6 La. Ann. 154; Hallet v. Desban, 14 id. 529 ; St. Victor v. Dau- bert, 9 La. 314; Miller v. Chandler, 29 La. Ann. 88; Chaff raix v. Price, id. 176; Maunsell v. Willett, 36 id. 322; Halliday v. Bridewell, 36 id. 238; Dwinel v. Stone, 30 Me. 384; Weems v. Stalliugs, 2 Har. & J. 365 ; Kerr v. Potter, 6 Gill, 4U4 ; Bull v. Schuberth, 2 Md. 38; Benson v. Ketchum, 14 id. 331 ; Crawford v. 59 §43. NATURE AND FORMATION. !N"or are such persons liable as partners to third parties by reason of sharing the profits of the business.^ Austin, 34 id. 49; Sangston v. Hack, 52 id. 173, 192-3; Reddington v. Lan- ahan. 59 id. 429 ; Whiting v. Leakin, 66 id. 255; Blanchard v. Coolidge, 23 Piclc. 151 ; Judson v. Adams, 8 Cush. 556; Baxter v. Rodman, 3 Pick. 435; Bradley v. White, 10 Met. 303; 43 Am. Dec. 435 ; Denny v. Cabot, 6 Met. 82; Buck v. Dowiey, 16 Gray, 555; Hohnes v. Old Colony R. R. 5 Gray, 58, GO; Emmons v. Westfield Bank, 97 Mass. 230; Haskinsu War- ren, 115 id. 514; Commonwealth v. Bennett, 118 id. 443; Partridge v. Kingman, 130 id. 476: Morrison v. Cole, 30 Mich. 102 ; Wiggins v. Gra- ham, 51 Mo. 17; State 7). Donnelly, 9 Mo. App. 519; Gill v. Ferris, 82 Mo. 15G, 167; Mason v. Hackett, 4 Nev, 420; Clement v. Hadlock, 13 N. H. 185; Newman v. Bean, 21 id. 93; Atherton v. Tilton, 44 id. 452; Nut- ting v. Colt, 7 N. J. Eq. 539; Har- grave v. Conroy, 19 id. 281 ; McMa- hon u. O'Donnell, 20 id. 306 ; Smith V. Perry, 29 N. J. L. 74 ; Voorliees V. Jones, 29 id. 270; Muzzy v. Whitney, 10 Johns. 22G; Vanderburgh v. Hull, 20 Wend. 70; Chase v. Barrett, 4 Paige, 148; Burckle v. Ec-kart, 1 Den. 337 (aff'd 3 Den. 279; 3 N. Y. 132); Ross v. Drinker, 2 Hall, 415; Mohawk R. R. v. Niles. 3 Hill, 162; Hodgmnn v. Smith, 13 Barb. 302; Brorkway v. Burnap, 16 id. 309 (12 id. 347); Clark v. Gilbert. 32 id. 576; Conklin v. Barton, 43 id. 435; Lamb V. Grover, 47 id. 317; Merwin v. Play- ford, 3 Robt. 702; Strong v. Place, 4 id. 3'^5 '51 N. Y. 627) ; Leonard v. New York Tel. Co. 41 N. Y. 544; Lewis v. Greider, 51 id. 231 (aflf. 49 Barb. 605); Osbrey v. Reimer, 51 N. Y. 630 (aflf. 49 Barb. 265); Prouty v. Swift, 51 N. Y. 594; Smith v. Bodine, 74 id. 30; Moore v. Huntington, 7 Hun, 425; Butler V. Finck, 21 id. 210; Beudel V. Hettrick, 45 How. Pr. 198; 3 Jones & Sp. 405; McArthur v. Ladd, 5 Oh. 514; Johnson v. Miller, 16 id. 431; Ditsohe v. Becker, 6 Phila. 170; Blight V. Ewing, 1 Pittsb. 275; Miller V. Bartlet, 15 S. & R. 137; Raiguel'3 Appeal. 80 Pa. St. 234 ; Dale v. Pierce, 85 id. 474; Potter v. Moses, 1 R. L 430; Bentley v. Harris, 10 id. 434; Simpson v. Feltz, 1 McCord, Ch. 213; Dowry u. Brooks, 2 McCord, L. 421; Bartlett v. Jones, 2 Strob. L. 471 (47 Am. Dec. 606); Norment v. Hull, 1 Humph. 320; Bell v. Hare, 12 Heisk. 615; Whitworth v. Patterson, 6 Lea, 119, 124; Goodey. McCartney, lOTex. 193 ; Bradshaw v. Apperson, 3G id. 133; Cothran v. Marmaduke, 60 id. 370; Grabenheimer v, Rindskoff, 64 id. 49; Boardman v. Keeler, 2 Vt. 65; Ambler v^ Bradley, 6 id. 119; Kel- logg V. Griswold, 12 id, 291; Stearns v. Haven, 16 id. 87; Mason V. Potter, 26 id. 722; Bruce v. Has- tings, 41 id. S80, 384; Clark v. Smith, 53 id. 529; Hawkins v. Mclntire, 45 id. 496; Wilkinson v. Jett, 7 Leigh (Va.), 115; 30 Am. Dec. 493; Dils v. Bridge, 33 W. Va. 20; Sod;ker v. Ap- plegate, 24 id. 411 ; 49 Am. Rep. 252; Ford V. Smith, 27 Wis. 261 ; Nicholaus V. Thielges, 50 id. 491 ; Northern R'y Co. V. Patton, 15 Up. Can. C. P. 332. 1 Hazard v. Hazard, 1 Story, 371; Shaw V. Gait, 16 Irish Com. L. 357; Berthold v. Goldsmith, 24 How. 536; Re Francis, 3 Sawy. 286; 7 Bank. Reg. 359; Marsh v. Dawes, 3 Biss. 351 ; Oppenheimer v. Clemmons, 18 Fed. Rep. 886; Hodges v. Dawes, 6 60 TESTS OF A PARTNERSHIP. §45. § 44. Contrary cases. — There are, however, a few decisions holding that one who participates in the profits, though as com- pensation merely, is liable as a partner to third persons.' § 45. Profits as rent. — On the same principles as the fore- going, an indefinite compensation out of profits for the use of property, real or personal, and dependent on the success of the business, is in lieu of rent and does not constitute the owner a partner inter se.' Nor liable as partner to third Ala. 215; Loomis v. Marshall, 12 Conn. 69; Parker v. Fergus, 43 111. 437; Burton v. Goodspeed, G9 id. 237; Macy V. Combs, 15 Ind. 469; Shepard V. Pratt, 16 Kan. 209 ; Hallet v. Des- ban, 14 La. An. 529; Chaffraix v. Lafitte. 30 La. An. 631 ; Turner v. Bissell, 14 Pick. 192; Blanchard v. Coolidge, 22 id. 151; Denny v. Cabot, 6 Met. 82; Bradley v. White, 10 id. 303; 43 Am. Dec. 435; Meserve v. Andrews, 104 Mass. 360; Partridge v. Kingman, 130 id. 476; Hall v. Edson, 40 Mich. 651; Wiggins v. Graham, 51 Mo. 17, 20; Voorhees V. Jones, 29 N. J. Eq. 270; Burckle v. Eckhart, 1 Deu. 337 (aff'd. 3 N. Y. 132); Fitch V. Hall, 25 Barb. 13; Hotchkiss v. English, 4 Hun, 369 ; Butler v. Finch, 21 id. 210; Wright v. Delaware & Hudson Canal Co. 40 id. 343; Miller V. Bartlet, 15 S. & R., 137; Dunham V. Rogers, 1 Barr, 255; Edwards v. Tracy, 62 Pa. St. 374; Polk v. Bu- chanan, 5 Sneed, 721; Goode v. McCartney, 10 Tex. 193; Buzard v. First Nat'l B'k (Tex. 1886), 2 S. W. Rep. 54; Bowman v. Bailey, 10 Vt. 170. ^ Ex parte Rowlandson, 1 Rose, 92; ExjMvteDighj, 1 Deac. 341; W'ith- ington V. Herring, 3 Moo. & P. 30; Miller v. Hughes, 1 A. K. Mar. (Ky.) 181; Taylor v. Terme, 3 Har. & J. 505 ; Rowland v. Long, 45 Md. 439 ; Strader v. AVhite, 2 Neb. 348, where the arrangement was a device; Mot- ley r. Jones, 3 Ired. Eq. 144; Pur- viance v. McClintee, 6 S. & R. 259; Ditsche v. Becker, 6 Phila. 176. 1 omit overruled American cases in states where the principles of Cox V. Heck man have since been adopted. 2 Wish V. Small, 1 Camp. 331 ; Lyon V. Knowles, 3 Best & Sm. 556; McDonnell v. Battle House Co. 67 Ala. 90; 42 Am. Rep. 99; Quacken- bush V. Sawyer, 54 Cal. 439; Beck- with V. Talbot, 2 Colorado, 639; Parker v. Fergus, 43 111. 437 ; Smith V. Vanderburg, 46 111. 34; Keiser v. State, 58 Ind. 379; Reed v. Murphy, 2 G. Greene (Iowa), 574; Price v. Alexander, 3 id. 427; 52 Am. Dec, 526 ; Thompson v. Snow, 4 Me. 264 ; 16 Am. Dec. 263; Bridges v. Sprague, 57 id. 543; Reynolds v. Tappan. 15 Mass. 370 ; Cutler v. Winsor, 6 Pick. 335; 17 Am. Dec. 385; Holmes v. Old Colony R. R. 5 Gray, 58 ; Beecher V. Bush, 45 Mich. 1S8; 40 Am. Rep. 465; Thayer v. Augustine, 55 id. 187; Ward V. Bodeman, 1 Mo. App. 272, 281 ; Campbell v. Dent, 54 Mo. 325 ; Kellogg Newspaper Co. v. Farrell. 88 id. 594; Perrine v. Hankissou, 11 N. J. L. 181 ; Heimstreet v. How- land, 5 Den. 68; Piuckney u Keyler, 4 E. D. Smith, 469 ; Johnson v. Mil- ler, 16 01). 431 ; Dunham v. Rogers, 1 Barr, 255 ; Irwin v. Bidwell, 72 Pa. St. 244, 251 ; Brown v. Jaquette, 94 61 § iG. NATURE AND FORMATION. persons, because of sharing the profits, for exactly the same reasons that protect an employee so paid.^ § 4:6. illustrations. — F. sued P. and X. as partners in an opera house for work done in printing bills. P. denied lie was partner. P. owned the building, and by a contract with X. leased part of it to X. for an opera house, P. to act as treasurer at a sal- ary, and for the use of the building was to receive daily one-half of the proceeds, deducting expenses and salary. P. is not liable; he has no control in the management, furnishes none of the means, and shares none of the losses.' The defendant leased his building to one who had a license to sell liquors, the lessee to furnish the stock and employ the defend- ant as his clerk; defendant to conduct the business in the licensee's name, and receive all the profits for services and rent, except a cer- tain sum per diem to the licensee. It was held that the defendant was not a partner but an agent, and therefore protected by the license. This case involves their relations inter se rather than as to third persons, since the third persons referred to in this connection are only creditors of the business.^ A railroad company leased to an individual a house for a certain sum and "half the net profits arising from keeping said house as a hotel," keeping an account open for their inspection, the lessee hav- ing a free pass over the railroad for supplies. Held, the railroad corn- id. 113; 89 Am. Rep. 770; England 188; 40 Am. Rep. 465 (^ 23); Ward V. England, 1 Baxter, 108; Tobias v. v. Boderaan, 1 Mo. App. 272, 281; Blin, 21 Vt. 5U; Felton v. Deall, 22 Campbell v. Dent, 54 Mo. 325; Kel- id. 170; Bowyer v. Anderson, 2 logg Newspaper Co. v. Farrell, 88 Leigh (Va.), 550; Cbaplineu Conant, Mo. 594 (§ 23); Heimstreet v. How- 3 AV. Va. 507; Haydon v. Crawford, land, 5 Den. 68; Dunham v. Rogers, 3Up. Can. Q. B. (oldser.)5S3;Hawley 1 Barr, 255; England v. England, 1 V. Dixon, 7 Up. Can. Q. B. 218; Great Baxter, 108; Felton v. Deall, 22 Vt. Western R'y v. Preston & Berlin 170; Bowyer v. Anderson, 2 Leigh R'y, 17 id. 477. (Va.), 550; Chapline v. Conant, 3 W. 1 McDonnell v. Battle House Co., Va. 507 (§ 23). Contra, that a lia- 67 Ala. 90; 42 Am. Rep. 99; Parker bilityas partners to third persons is V. Fergus, 43 111. 437: Smith v. Van- thereby created. Buckner v. Lee, derburg, 46 111. 34; Bridges v. 8 Ga. 2S5 ; Dalton City Co. u Dalton SpraguG, 57 Me. 543 ; Reynolds v. Mfg. Co. 33 id. 243 ; Dalton City Co. Toppan, 15 Mass. 370; Cutler v. r. Hawes, 37 id. 115. Wiusor, 6 Pick. 335 ; 17 Am. Dec. 2 Parker v. Fergus, 43 111. 437. 385; Holmes v. Old Colony R. R. 5 3Keiserv. State, 58 Ind. 379. Gray, 58; Beecher v. Bush, 45 Mich. 62 TESTS OF A PARTNERSHIP. § 47. pany does not become a partner thereby even as to third persons, for the lessee pays all the bills, owns the supplies bought aad the money taken in.* The owner of a ferry leased it to F. for two years for $1,000 cash paid, and if the net profits do not produce to F. §2,000 in the two years, he to have the right to hold over until he gets $2,000, and if over 82,000 is produced in two years the surplus to be divided. This was held not a partnership, and the lessor therefore not liable for a loss by F.'s negligence in operating the ferry.* § 47. Profits as interest on loans. — The English courts prior to Cox v. Hickman, while recognizing that the payment of salary or wages or compensation for the use of property in 'an amount measured by a proportion of profits did not create a partnership, did not extend the principle to com- pensation for the loan of money. ^ It would seem that there is no difference between paying for the use of money at a rate determinable by results and the use of services or prop- erty, yet the fact that such compensation produced in the fi.rst cases an interest in excess of the usury laws, seems to to have been the cause of the disallowance of it. This is altered now in England, not onl}'- by the later decisions,* 1 Holmes v. Old Colony R. R. 5 Del. Ch. 198; Slade u Paschal, 67 Ga. Gray, 58. 541; Niehoff v. Dudley, 40 111. 406; ^Bowyer v. Anderson, 2 Leigh Smith v. Vanderburg, 46 id. 34; (Va.), 550. Lintner v. Millikin, 47 id. 178 ; Adams 3 Grace v. Smith, 2 Wm. Bl. 998; v. Funk, 53 id. 219; Hefner v. Palmer, Gilpin V. Enderbey, 5B. & Aid. 954; 67 id. 161; Smith v. Knight, 71 id. Fereday V. Hordern, Jac. 144; Blox- 148; 22 Am. Rep. 94; Williams v. ham V. Pell, 2 Wm. Blacks. 999. Soutter, 7 Iowa, 435; Bailey v. Clark, * Pennsylvania also has such a stat- 6 Pick. 372 ; Gallop v. Newman, 7 id. ute. Moore u. Walton, 9 Bankr. Reg. 282; Wall v. Balcom, 9 Gray, 92; 402; Be Francis, 2 Sawy. 286; 7 Buck v. Dowley, 16 id. 555; Rice v. Bankr. Reg. 359 ; Re Ward (U. S. D. Austin, 17 Mass. 197 ; Emmons v. C. Tenn. 1879), 8 Reporter, 136; Westfield Bank, 97 id. 230; Parchen Swann v. Sanborn, 4 Woods, C. C. v. Anderson, 5 Montana, 438 ; Muzzy 625 ; Meehan v. Valentine, 29 Fed. v. Whitney, 10 Johns. 226 ; Osbrey v. Rep. 276; Smiths. Garth, 32 Ala. 368; Reimer, 49 Barb. 265; Manhattan Culley V. Edwards, 44 id. 423; Le Brass Mfg. Co. v. Sears, 1 Sweeny, Levre v. Castagnio, 5 Colorado, 564; 426 ; Salter v. Ham, 31 N. Y. 321 ; Ar- Parker v. Canfield, 37 Conn. 250; 9 nold u. Angell, 62 id. 508; Richard- Am. Rep. 317 ; Plunkett v. Dillon, 4 son v. Hughitt, 76 id. 55 ; Eager v. 63 §18. NATURE AND FORIMATION. but by a statute called Bovill's act. Nor are they partners as to third persons.^ § 48. illustrations. — M. furnislied P. with money to carry on business, and as compensation P. was to let M. have goods at cost prices, nothing being said as to interest or profits and losses. This was held not to constitute them jpartners as to third persons, but to be a mere loan." N. & Co. rented part of their business to C. & Co., and paid part of the expense of keeping their of&ce and agreed to loan them not to exceed $5,000, and to receive one-third of their profits weekly as interest, with a clause in the contract that they were not part- Crawford, id. 97; Curry v. Fowler, 87 id. 33 ; 41 Am. Rep. 343 (aff' g, 14 J. & Sp. 195) ; Cassidy v. Hall, 97 N. Y. 159; Harvey v. Childs, 28 Ohio St. 319; 23 Am. Rep. 387; Lord v. Proc- tor, 7 Phila. 630; Irwin v. Bidwell, 72 Pa. St. 244 ; Hart v. Kelley, 83 id. 286; Eshlemau v. Harnish, 76 id. 97; Boston, etc. Smelting Co. v. Smith, 13 R. I. 27; 43 Am. Rep. 3; Polk v. Buchanan, 5 Sneed (Teuu.), 721; Cooper V. Tappan, 9 Wis. 361 ; Mun- sou /•. Hall,10GranfsCh.(Up.Cau.)61. 1 Bullen V. Sharp, L. R. 1 C. P. 80 ; Ex parte Teunant, 6 Ch. D. 303; Mollvvo, March & Co. v. Court of Wards, L. R. 4 P. C. 419; Dean v. Harris, 33 L. T. N. S. 639 ; Kelly v. Scotto, 49 L. J. Ch. 383; 42 L. T. N. S. 827; Cully u. Edwards, 44 Ark. 423, this was inter se, but the principles laid down make it applicable to third persons by abolishing the distinction between partnerships inter se and as to third persons. Le Levi-e v. Cas- tagnio, 5 Colorado, 564. In Smith v. Knight, 71 111. 148 (22 Am. Rep. 94), it was held that a loan on interest and share of profits does not consti- tute a partnership as to third per- sons, and a dictum to the same effect occurs in Hefner v. Palmer, 67 111. 161. Williams v. Soutter, 7 Iowa, 433; Parchen v. Anderson, 5 Mon- tana, 438; Richardson v. Hughitt, 76 N. y. 55 (32 Am. Rep. 267); Eager u. Crawford, 76 id. 97 ; Curry v. Fowler, 87 id. 33 (41 Am. Rep. 343), affirming 14 Jones & Sp. 195 ; Cassidy v. Hall, 97 id. 159; Magovern v. Robertson, 40 Hun, 166; Harvey v, Childs, 28 Oh. St. 319; 22 Am. Rep. 387; Bos- ton, etc. Smelting Co. v. Smith, 13 R. I. 27; 43 Am. Rep. 3; Polk v. Bu- chanan, 5 Sneed, 721. — (The earlier New York cases to the contrary are the following, holding such lender to be a partner as to third persons: Cushman v. Bailey, 1 Hill, 526; Everett v. Coe, 5 Den, 180; Manhat- tan Co. V. Sears, 45 N. Y. 797; Haas V. Roat, 16 Hun, 526, aff'd 26 id. 632; Leggett V. Hyde, 58 N. Y. 272 ; 17 Am. Rep. 244, aU'g 1 N. Y. Supreme Ct. 418. These New York cases must be deemed overruled by the later ones given above in so far as incon- sistent.)— Bailey V. Clark, 6 Pick. 372 (dictum); Pettee v. Appleton, 114 Mass. 114; Sheridan v. Medara, ION. J. Eq. 469; Pierson v. Steinmeyer, 4 Rich. L. 309 ; Cothran v. Marmaduke, CO Tex. 370, 373 ; but query, repudi- ated in Buzard v. Fii-st Nat'I Bank, 2 S. W. Rep. 54, in full above. 2 Slade V. Paschal, 67 Ga. 541. 64 TESTS OF A PARTNERSHIP. § 4s. ners; aud the execution of tliis agreement was held not to make them partners, and therefore not liable on a note of C. & Co/ A. B. of one part, and C, D., E. and F. of the other, made a contract whereby A. B. sold to C. the exclusive right to manufact- ure a patented article, and also the stock and fixtures then on hand used for the purpose, in consideration that thirty-seven and one- half per cent, of the net profits be paid them. D., E. and F. agreed, in order that profits might be made, to put in $15,000 as capital; to employ C. as superintendent, he to be paid a certain compensation out of the business for superintendence; D., E. and F. also covenant that A. and B. shall have thirty-seven and one- half per cent, of the profits after deducting expenses and twenty per cent, to them on their capital. In an action against them all on a note made by C, D. claiming that he was not a partner, it was held that A. and B. are mere creditors, as being vendors and having no community of interest; that D., E. and F. were lenders; they had not furnished the capital on joint account and had no share of the profits.^ E. and K. agreed to furnish B. with money not exceeding $10,000, to enable him to make horse-rakes, B. to sell theoi and all proceeds to be paid to E. and K. until the advances were refunded. This does not make them partners as to third persons, for B. was to hand over the proceeds only in payment. That the plaintiff, who had been furnishing the material to B., on seeing the agreement thereafter charged material to B. & Co., supposing E. and K. had become partners, makes no difference.^ B. and P., on September 2, 1867, loaned T. 810,000, T. agreeing to pay it back on January 1, 1870, and to pay them thirty cents per barrel on oil refined by him, and to keep accurate accounts, and to open new books, and not to sell or incumber his refinery, nor pursue a speculative business, nor to agree to sell refined oil with- out having first secured the crude material from which to make it, and to keep his refinery insured. B. and P. were held not to be liable as partners to T.'s creditors, for B. and P. had no lien and must come in iwo rata with other creditors, and the fact that they had a mortgage from T. so as to get a priority, and that the loan was usurious, does not change their relation from creditors to part- ners. And so, although had the plaintiff known of the agreement 1 Niehoff V. Dudley, 40 111. 406. 3 Eshleinau v. Harnish, 76 Pa. St. 97. 2 Smith V. Vauderburg, 4G 111. 34. See, also, Hart v. Ivelley, S3 Pa. St. 286, Vol. 1 — 5 65 §50. NATURE AND FORMATION. and trusted tliem as partners on the faith of it, it mip^ht have con- stituted them such by hoklinj^ out.' § 40. What is a loan.— The facfc, however, that the in- terest expected or received is disproportionate and ths con- tract usurions will not affect its construction."'^ To constitute a loan, the money advanced must be return- able in any event independently of the success or non- success of the business or the making of profits. If the repayment is contingent upon profits it is not a loan, for it is then made, not upon the personal responsibility of the borrower, but upon the security of the business, and the above principles do not apply. ^ § 50. when a device. — And if it appears that the transaction is a device to obtain the benefits of a partnership without its responsibilities, as where the powers are incon- sistent with the lending of money, the contract is one of partnership, whatever the parties may call it.* 1 Irwin V. Bidwell, 72 Pa. St. 244. 2 Pluukett V. Dillon, 4 Del. Ch. 198; Richardson v. Hughitt, 76 N. Y. 55; 32 Am. Rep. 267 ; Cuiry v. Fowler, 87 id. 33 ; 41 Am. Rep. 343 (aflf. 14 J. & Sp. 195); Irwin v. Bidwell, 72 Pa. St. 244. Contra, Hargrave v. Conroy, 19 N. J. Eq. 28L 283; Oppenheimer V. Clemmons, 18 Fed. Rep. 886. See Brigham v. Dana, 29 Vt. 1, 8; Be Francis, 2 Sawy. 286 ; 7 Bankr. Reg. 359 (§23); Parker v. Canfield, 37 Conn. 250 (9 Am. Rep. 317); in this case C. and H. each agreed to put $5,000 into Andrews' business and receive each one-sixth of the net profits, the business to be in the name and under the sole manage- ment of Andrews. After the money had been advanced and the business conducted for a time, C. and H. learned that they were partners. Thereupon a writing was drawn up declaring the money to be a loan to Andrews and was to be j^aid back in tliree years, and six per cent, interest was to be paid annually, and in con- sideration of the trouble and expense of getting the money, C. and H. were each to have a sum equal to one-sixth of the profits, but only as compensation. It was held that the one-sixth of the profits to each was for services already performed, and was wholly disproportionate to the insignificant trouble of getting the loan ; that the arrangement was a mere sham, and C. and H. were liable as partnei's. This decision was doubted in Rich- ardson V. Hughitt, 76 N. Y. 55 ; 33 Am. Rep. 267. ^Ex parte Delhasse, 7 Ch. D. 511 ; Pooley V. Driver, 5 Ch. D. 458; Har- ris V. Hillegass, 54 Cal. 463; Wood V. Vallette, 7 Oh. St. 172 ; Brigham V. Dana, 29 Vt. 1, 7; Rosenfeld r. Haight, 53 Wis. 260; 40 Am. Rep. 770. *Ex parte Mills, 8 Ch. D. 569, TESTS OF A PARTNERSHIP. § 5'J. The firm of Charles Barrett & Co. was formed for a term of four- teen years between B. and H., who were to contribute certain shares of capital and carry on the business; the rest of the capital was to be contributed by other persons by way of loan in shares of £500 each, which was to be paid back preferentially on dissolu- tion, but any excess of profits received during the terra by the contributors over the total profits realized was to be refunded, not exceeding, however, the original contributions. The contributors were parties to the deed of partnership, a clause of which was that the capita] should be employed in the business and should not be drawn out during the continuance of the partnership, thus en- titling the contributors to control its employment by preventing a diversion of it from the business, which is not consistent with the ordinary position of lenders or with a personal demand. To this partnership the defendants loaned £2,500, reciting that the loan was made under an act of parliament providing that lenders of money payable in profits in lieu of interest should not be considered partners.^ The loan was to last for the term of the partnership. The defendants were to receive a proportion of profits in lieu of interest, with an obligation to refund if profits annually received exceeded their share of the total profits, thus compelling a person assuming to be a lender to pay back a part ot his interest because the borrowers subsequently incur losses. The arrangement was held to be an elaborate device, an ingenious con- trivance, for giving the contributors the whole advantages of a partnership without subjecting them to any of the liabilities, and they were held to be partners and liable for the debts.'' H. agreed to loan to N. Bros. $5,000 not less than one nor more than five years, at his option, in consideration whereof N. Bros, agreed to give their whole time to the business, keep accurate and detailed accounts, open at all times to H.'s inspection, and pay H. three-fifths of the profits every six months, guarantying that this should amount to at least S3,000 per annum. As security for the loan, H. was to have a lien upon all the property of the firm. N. 574-6 ; Bacleley V. Consolidated Bank, lender. Such lenders would not be 34 Ch. D. 536. partners independent of the act, 1 This act really seems to add noth- where the loan is not a device, as it iug to the law of partnership except was in tlie above case, to provide that on distribution the 2pooley u Driver, 5 Ch. D, 453. creditors must be paid before the 67 § 52 NATURE AND FORIMATION. Bros, agreed to contract no debts outside of the business and to use no funds except for their support. Any violation was to end the loan, and thereupon H. could take possession and sell to repay all sums due hira. H. was Jield to be a partner and liable upon a note made by N. Bros., on the ground that he had an interest in the profits as profits, for he could claim three-fifths specifically and could insist on an accounting and division of profits, and N. Bros, could not use the funds except for support, showing they were not sole proprietors, and there was no provision for repaying the ad- vance except on violating the agreement. The court cite Leggett V. Hyde, 58 N. Y. 272, as being analogous.' § 51. Executors or trustees as partuers. — Under the older English law an executor or trustee who received part of the profits in his representative capacity, and without personal interest, but in pursuance to instructions of the will, and without active participation in the business, was liable as a partner to third persons.^ This rule was so great a hardship upon the executor that he could not be compelled to come into the partnership in the testator's place, although the decedent and his copart- ners had covenanted that death should not dissolve the firm, and although the estate might be liable for breach of cove- nant by reason of the executor's withdrawal, and the exec- utor is entitled to a decree for dissolution.' § 52. without active participation. — If the executor merely leaves the assets in the business, but does not person- ally engage in it, he is not a partner, dormant or otherwise, nor responsible to creditors, for he is not a principal, and the surviving partners are not his agents, and the principles of Cox V. Hickman apply,* even though he intentionally leaves iRosenfeld v. Haight, 53 AVis. 260 sPigott v. Bayley, McCl. &Y. 569; (40 Am. Rep. 770). Madgvvick v. Wimble, 6 Beav. 495; 2 Barker v. Parker, 1 T. R. 287; Downs u Collins, 6 Hare, 418; Page Wightmanr.Townroe, IM. &S. 412; v. Cox, 10 id. 163; Edgar v. Cook, 4 Labouchere v. Tupper, 11 Moo. P. C. Ala. 588; Phillips v. Blatchford, 137 198; Ex parte Garland, 10 Ves. 110; Mass. 510; Berry v. Folkes, CO Miss. In re Leeds Banking Co. L. R. 1 Cli. 57G, G13; Jacquinu. Buisson, 11 How. App. 231 ; Wild v. Davenport, 48 N. Pr. 385. J. L. 129. < Holme v. Hammond, L. R. 7 Ex. 68 TESTS OF A PARTNERSHIP. § 53. them in as a more or less permanent investment under in- structions in the will,^ This doctrine was apphed, altliougli an executor entered into written articles of partnership with the surviving partners and a third person who was taken in as partner, but the executor was not by the agreement to take any part or exercise any control in the business, and never did so, and was held not liable as a partner. In construing the articles of partnership the court look to the will to ascertain if he is acting under its powers and not of his own motion.' Some authorities use language implying that involuntarily leav- ing the assets in the business, not permissively as by mere failure to compel a winding-up, but by contract with the surviving part- ners, in compliance with the will, differs from voluntarily leaving them in as an investment, and that in the latter case the executor is personally liable to subsequent business creditors, the estate not being liable,^ But in fact so much of the estate as is embarked in the business would be liable, whether rightly or wrongly there, and no other part of it would be; hence this distinction does not exist. The executor's liability for such unauthorized use of the assets is to the distributees of the individual estate who have suf- fered the loss, but his authority or want of authority cannot, on principle, affect his relation to business creditors. The subject of continuance of partnership after death by will or contract is con- sidered further on (§§ 598-605). § 53. participation ill the business. — But if the exec- utor engages personally in the husiness, though acting in conformity to the will or to the partnership articles, which provide for his admittance into the firm in the decedent's place, he is then a principal and personally liable for debts thereafter incurred.* 218; Wild V. Davenport, 48 N. J. L. 373; 9 Abb. Pr. (N. S.) 263; 39 How. 129; Avery v. Myers, 60 Miss. 367; Pr. 82; Phillips v. Blatchford, 137 and see Brower v. Creditors, 11 La. Mass. 510, 514. Ann. 117. 2 Owens v. Mackall, 33 Md. 382, 1 Holme V. Hammond, L. R. 7 Ex. 3 Citizens' Mut. Ins. Co. v. Ligon, 218; Price v. Groom, 2 Ex. 512; 59 Miss. 305, 314; Richter u Poppen- Wild V. Davenport, 48 N. J. L. hausen, 42 N. Y. 373; Avery r. My- 129: Owens v. Mackall, 33 Md. 382; ers, CO Miss. 367; Owens v. Mackall, Brastield v. French, 59 Miss. 032 ; 33 Md. 382. Richter v. Poppenhausen, 42 N. Y. ■* Alsop v. Mather, 8 Conn. 584; 21 69 § 54. NATUEE AND FORMATION. A mere request to a dealer with tlie firm to contiune the fulfill- ment of a contract for which the estate is already chargeable is not taking part in the business. Thus, where a contract for goods has been but partially filled at the time a partner died, the request by his executor to the seller to continue delivery under the contract to the surviving partner, and a promise to pay as soon as the estate is settled, and stating that the business is going on, does not make the executor jointly lial)le or show that he is a partner, but is a mere promise to pay the amount chargeable to the estate.' If the widow and next of kin advance further capital and make a new agreement with the surviving partner as to the proportion of profits for each, this is not a continuance of the old concern, but a new partnership, and all are liable to third persons.* A direction in a will that one of the executors carry on the tes- tator's business in his own name, and when the heir comes of age deliver him the business and half the profits, does not make the ex- ecutor a partner. He is trustee, and if he continues business after the majority of the heir under a power of attorney from him, he is agent or trustee still and not partner.' § 54. Otlier representatives. — A parent may bona fide put money into a concern as his infant son's share of capital, un- der an agreement that the son's share of the profits during minority shall be accounted for to the father; and if it was not the intention of the parties that the father shall be a partner, he will not be liable as such.* On the other hand, if the father in fact puts in his own money and reserves the same control of the business that the son would have had if present and of age, and appropriates the profits to his own use, he may be held as the actual part- ner, although he signs the articles for his son as his guard- ian, but without authority.^ Am. Dec. 703 ; Wild v. Davenport, 3 Gibson v. Stevens, 7 N. H. 352. 48 N. J. L. 129; Citizens' Mut. Ins. 4 Barklie v. Scott, 1 Huds. & Br. Co, V. Ligon, 59 Miss. 305; Gibson v. 83. This case was approved in Owens Stevens, 7 N. H. 352, 356. See Kreis v. Mackali, 53 Md. 382. V. Gorton, 23 Oh. St. 468. » Miles v. Wann, 27 Minn. 56. Or if 1 Richter v. Poppenhausen, 42 N. he appears as the partner to the Y. 373; 9 Abb. Pr. (N. S.) 263. world, Williams u. Rogers, 14 Bush, 2 Delanej v. Dutcher, 23 Minn. 373. 776. 70 TESTS OF A PARTNERSHIP, § 55. And if a person buys an interest in a firm for the benefit of another, but the contract between them is such that the second person is to buy from the other instead of taking the original purchase, the other must be deemed the partner. Thus, where the property of the Phoenix Metre Co., a partner- ship, Avas represented by four shares, of which Slaney held two and T. the other two, and T. agreed to sell his two shares to Slaney, wlio, not having the money, procured Starr to buy them in his, Slaney's, name, agreeing to repurchase from him at an agreed ad- vance within a certain time, to secure which agreement he exe- cuted a mortgage to Starr, here it was held that the beneficial interest and ownership of the shares bought in Slaney's name passed to Starr, for the mortgage was not to pay a debt but to se- cure a contract of purchase, and partnership creditors must be paid on distribution before Starr/ § 55. Annuitants. — Under the old law a person receiving an annuity out of profit of a business was liable as a partner merely because sharing part of the profits, although not one inter se.^ All this is of course contrary to the modern doctrine in Cox V. Hickman, besides being the subject of act of parlia- ment. (See § 21.) And now where a testator desires his assets to continue in business, and that dividends of profits be paid to beneficiaries of his will, the beneficiaries of the dividends are not part- ners, but receive them in lieu of interest on their money. ^ And upon the subsequent bankruptcy of the firm such bona fide dividends cannot be recovered back.* 1 Starr v. Dugan, 22 Md. 58. instead. Goddard v. Hughes, 1 Cr. 2 Bloxham v. Pell, cited in 2 W. BI. & M. 33. 999; £'a;parie Chuck, 8 Bing. 469; Jji 3 Jones ij. Walker, 103 U. S. 444; reColbeck, Buck, 48; Exj^arteJIam- Pitkin v. Pitkin, 7 Conn. 307; 18 Am. *: per, 17 Ves. 403, 412; Bond v. Pit- Dec. Ill; Heighe v. Littig, 63 Md. tard, 3 M. & W. 357. And where 301 ; Philips v. Samuel, 76 Mo. 657. an executor was held to be a partner Contra, Naveu. Sturges, 5 Mo. App. it was said that his cestuis que trust- 557. ent could have been held as such < Jones v. "Walker, supra; Pitkin V, Pitkin, supi^a. 71 § 56. NATURE AND FORMATION. m. SHARING PROFITS ^VITH STIPULATION AGAINST LOSSES. § 5G. The fact that in a contract for sharing profits a stipulation is added that losses shall not be divided does not change the presumptive character of the contract as one of partnership. Such a stipulation is, of course, perfectly legal. ^ Inasmuch as partners may agree that some of their num- ber shall be indemnified or guarantied against loss, such a stipulation between parties does not prevent their contraoi; being one of partnership if it would otherwise be such.^ A writing, " Received of Gr. & Co. $2,000 to invest in wool. Said Gr. & Co. to receive two-thirds of t]^e net profits on the sale, and 0. S. one-third," signed 0. S., was held, in an action to compel 0. S. to share a loss, not to establish a partnership infer se, because there was no sharing of loss intended.' A person receiving a fixed salary without share of profits was held to be a partner, such being the intention. In that case A. de- sired a partner, so that there would be some one to close up in case 1 Gilpin V. Enderbey, 5 B. & A. selling filters invented by S., W. to 954; Bond v. Pittard, 3 M. & "W. 357; furnish all the money, conduct the Fereday v. Hordern, Jac. 144; Haz- business in his own name, keep books ard V. Hazard, 1 Story, C. C. 371, 374. open to S.'s inspection, and to have 2 Bond V. Pittard, 3 M. & W. 357; one-third of the net profits, S. agree- Geddes v. Wallace, 2 Bligh, 270; ing to inder^nify W. against loss for Brown v. Tapscott, 6 M. & W. 119; four months, and at the end of a year Pollard V. Stanton, 7 Ala. 7G1 ; Camp S. was to assign to "W. one-third of V. Montgomery, 74 Ga. (1886); Con- the patent. At the end of the four solidated Bank v. State, 5 La. Ann. 44; montiis W. gave up business and Bobbins v. Laswell, 27 111. 365 (§ 35) ; sued S. for losses. S. contended that Rowland v. Long, 45 Md. 439; Bank there was a partnership, and there- of Rochester v. Monteath, 1 Den. fore an accounting must be had. It 402; 43 Am. Dec. 681; Walden v. was held as above; but there being Sherburne, 15 Johns. 409. Contra, clauses consistent only with the that if one guaranties the other theory of a partnership, that contract against loss, there cannot be a part- was said to be at most one wliich nership, and that sharing of losses would ripen into a partnership at is necessary to constitute a partner- the end of the four months if S. did ship, Whitehill v. Shickle, 43 Mo. not then cense business. 537. In this case W, agreed with S. siiuddick v. Otis, 33 Iowa, 403; to give his whole time to making and Marstou v. Gould, 69 N. Y. 220. 73 ' TESTS OF A PARTNERSHIP. § 57. » of liis deatli, and agreed to take in B. as a partner on a salary for the first year, and a share of profits thereafter. Their written agree- ment recited a partnership formed that day, and they acted and contracted as partners. On A.'s death, within the year, B. was held to have the rights of surviving partner.' A person who has notice that no personal responsibility is to be incurred by one of the parties cannot hold him liable as a partner.* § 57. Sharing losses only. — Arrangements between par- ties are sometimes made for sharing of losses only. These are not partnerships inter se, and are only such to third per- sons if there is a holding out. If the arrangement is merely to share an expense of keeping property, as where two joint owners of a horse agree in writing that one shall keep him for a certaiil time, the expense to be divided, they are not partners inter se, though they call themselves such, and an action at law lies for contribution of outlays.' If the arrangement is in relation to an enterprise for profit, the agreed exclusion of some of the parties from sharing the benefit, though they share losses, makes it a, societas leonina, and it is not a proper partnership.* An agreement between two railroad corporations that any loss to persons or goods, not traceable to either road, each should pay in proportion to its share of the freight, does not constitute them part- ners nor give third persons new rights, but merely furnishes a rule for settlements between themselves.^ On the other hand, however, where Gr. in writing allowed L. to use their joint names as a firm name and to purchase and sell goods, G. not claiming any of the profits, but seven per cent, was to be 1 Adams Bank v. Rice, 3 Allen, < £owry u Brooks, 2 McCord. 421 ; 480. Bailej' v. Clark, 6 Pick. 372 ; Moss v. 2Burritt v. Dickson, 8 Cal. 113; Jerome, 10 Bosw. 220; Ala. Fertil- Bailey v. Clark, 6 Pick. 372 ; Edgerly izer Co. v. Reynolds & Lee, 79 Ala. V. Gardner, 9 Neb. 130; Beudel v. 497. Hence nominal partners are Hettrick, 35 N. Y. Superior Ct. 405; not partners tnferse, Jones v. How- Jordan V. Wilkins, 3 Wash. C. C. ard, 53 Miss. 707. 110. SAJgen v. Boston & Maine R. R. 3 Oliver v. Gray, 4 Ark. 425; Ala. 132 Mass. 423; and see Irvin v. Nash- Fertilizer Co. v. Reynolds & Lee, 79 ville, Cliat. & St. L. R'y Co. 92 lU. 103 .Via. 497. (34 Am. Rep. 116). 73 § u9. NATURE AND FORMx\TION. paid on his advances to tlie firm, it was lield on the death of L. that G-. could sue as surviving partner for debts due to the firm.* IV. SHARING GROSS RECEIPTS. § 58. An agreement to share the gross receipts does not constitute a partnership where there is no common stock or joint capital. If all the partners have united their separate stocks of goods for the convenience or benefit of a joint sale, and the proceeds of sale leave a deficiency over the original outlay, there may be a loss to each, or, if a surplus, there is a gain to each; but there is a mere tenancy in common and not a partnership. On the other hand, if there is a joint business, or a capital or common stock, the division of the product in kind is as much a sharing of profits as if they had sold and divided the proceeds.^ But where there is no common stock or joint capital a division of the gross receipts, either arising from joint labor or labor upon property of another, does not constitute a partnership, for it does not in- volve the division of profit or loss, and the benefit is not dependent on the success of the enterprise. The rule has been stated now for about one hundred and fifty years, that sharing gross profits does not constitute a partnership; yet in truth the proper explanation of this class of cases seems not that, but they rather should be grounded upon the fact that no idea or possibility of joint profit is implicated. § 59. Working- or letting on shares. — Laborers or culti- vators who farm land for the owner, or rent it on shares, for a share of the crops, are not partners.' So of persons agreeing to divide the fish in a joint haul;* or parties agree- ing to divide a reward when obtained;^ or coach owners 1 Hendrick v. Gunn, 35 Ga. 234. merlin, 48 id. 43o; Giirr v. Martin, 73 2Everiltu Cliapman, 6 Conn. 347; id. 528; Blue v. Leathers, 15 III. 31; Brady v. Colhouu, 1 Pa. 140; Jones Front v. Hardin, 56 Ind. 1C5; McLau- V. McMichael, 12 Rich. (S. Ca.) L. 176. rin v. McColl, 3 Strob. L. 21; Mann 3 Courts V. Happle, 49 Ala. 254; r. Taylor, 5 Heisk. 267 ; Albee v. Fair- Tayloer. Bush, 75 Ala. 432; Christian banks, 10 Vt. 314; Haydon v. Ci-aw- V. Crocker, 25 Ark. 327; Gardenhire ford, 3 Up. Can. Q. B. (old ser.) 583. V. Smith, 39 id. 280; Hollo way v. 4 Hii-Jey y. Walton, 63 III. 260. Brinkley, 42 Ga. 226; Smith v. Sum- 5 Dawson v. Guriey, 22 Ark. 381. 74 TESTS OF A PARTNERSHIP. dividing the gross receipts of a line of coaches;^ or seamen to be paid in proportion to the fish caught;- or a collector of wharfage paid by a share of gross receipts;^ or a person agreeing to make tunnels for a mine in consideration of a part interest in the mine, and he can sue at law for non- payment;^ or two workmen agreeing to divide their wages.' So of one who lets property for a proportion of gross re- ceipts as a hotel;" or the machinery in a steamboat;^ or a ferry ;^ or a vessel;^ or the right to make and sell a patented device.^*' So of the owners of a ditch dividing profits on sales of water;" or the proprietor and manager of a theater divid- ing gross receipts, the manager alone finding the actors and the proprietor providing the general service and expenses; ^^ or the owner of a lighter giving one who worked her half the gross proceeds. ^^ So of sailors paid a proportion of the oil secured on a whaling voyage; ^^ or a person taking out a cargo belonging 1 Eastman v. Clark, 53 N. H. 276; 16 Am. Rep. 192. 2 Holden v. French, 68 Me. 241. 3 Mauusell v. Willett, 36 La. Ann. 323. 4 Barber v. Cazalis, 30 Cal. 92. 5 Fiuckle v. Stacey, Sel. Cas. in Ch. 9; Hawkins v. Mclntyre, 45 Vt. 496, where they were to finish a church together, dividing receipts, less ex- pense of help and material ; and see Smith V. Moynihan, 44 Cal. 53, where a boiler-maker and a builder of steam- engines jointly agreed with the owner of a boat to put in an engine. 9 Bowman v. Bailey, 10 Vt. 170; Tobias v. Blin, 21 id. 544; Cutler v. Winsor, 6 Pick. 335; 17 Am. Dec. 3S5, 10 Wheeler v. Farmer, 38 Cal. 203 ; Gillies V. Colton, 22 Grant's Ch. (Up. Can.) 123. 11 Bradley v. Harkness, 26 Cal. 69 ; but see Abel v. Love, 17 Cal. 233. 12 Lyon V. Knowles, 3 B. & S. 556. 13 Dry V. Boswell, 1 Camp. 329. i^Mair v. Glennie, 4 M. & S. 240; Wilkinson v. Frasier, 4 Esp. 182. See Perrott v. Bryant, 2 Young & C. Ex. 61; The Frederick, 5 Rob. Adm. 8; Reed v. Hussey, Blatchf. & H. not specifying what part each was to Adm. 525 ; Duryee v. Elkins, 1 Abb. do or defining their relations. The employee of one sued both ; presum- ably they are not partners. 8 O'Donnell v. Battle House Co. 67 Ala. 90; 43 Am. Rep. 99; Beecher v. Bush, 45 Mich. 188 ; 40 Am. Rep. 465 ; Fa-rrand v. Gleason, 5G Vt. 633. 7Knowlton v. Reed, 38 Me. 246. 8 Heimstreet v. Howland, 5 Den. 68. Adm. 529; Coffin i;. Jenkins, 3 Story, C. C. 108; Baxter v. Rodman, 3 Pick. 435; Grozier v. At wood, 4 id. 234; Turnery. Bissell, 14 id. 192; Rice v. Austin, 17 Mass. 197, 205. See Bridges v. Sprague, 57 Me. 543; Holden v. French, 68 id. 241 ; Moore V. Curry, 106 Mass. 409; Joy v. Allen, 2 Woodb. & M. 303. T*; § GO. NATURE AND FORMATION. to another to sell and -bring back a return load and receive half the proceeds.^ § 60. brokers. — A broker who sells on a commission proportioned to the proceeds of sales is not a partner, but an employee.^ And though his reward is a share of net profits, as where a broker buys commodities with the funds of an- other, he to sell again and divide profits, he is not a partner, '" for the nature of his occupation shows that he has no ownership in the commodities and the power to sell may be revoked, subject only to a claim for breach of contract.* And where brokers or commission merchants agree to divide commissions with each other they are not made partners thereby. Thus, where A., a real estate agent, was employed to sell defend- ant's land and took in B. to help him, agreeing to give B. half the commission, and B. sold the land and received payment from the defendant and attempted to release A.'s claim upon the defendant, it was held that he could not do so, being a mere agent of A., without interest in specie in the commission, and not his partner.* So an an-angement between commission merchants in one city and their coi-respondents in another, that, on all sales of produce shipped by the former to the latter, part of the hitter's commis- sions should he paid to the former, is not a partnership.* Where the broker has an interest in the capital, as where he agrees to share in the speculation, which is thereafter spoken of by parties as a joint purchase, joint concern, etc., he will be deemed a partner inter se.^ 1 Lowry v. Brooks, 3 McCord (S. ments to be partnerships as to third Ca.), "L. 421. persons, see § 16. In TInving v. 2 For example, see Dillard v. Clifford, 136 Mass. 483, an agreement Scruggs, 3G Ala. G70; and see the by a broker employed to sell a horse, cases cited under § 43. So of an ex- to sliare' commissions witli another partner receiving a percentage on broker if he will procure a buyer, gross sales for his influence, Gibson was said to constitute tiieni partners V. Stone, 48 Barb. 385; 38 How. Pr. in the transaction. So that a fraud 468. by the latter upon the owner, where- 3Hanna v. Flint, 14 Cal. 73. by the owner was induced to name * Wass V. Atwater, 83 Minn. 83. a price on a false basis and a sale 5 Pomeroj' v. Sigerson, 23 Mo. 177. was effected, bars the innocent For the English cases prior to Cox broker's action for commissions. V. Hickman, holding such arrange- ^ Reid v. Hollinshead, 4 B. & C. 867. 76 TESTS OF A PARTNERSHIP. § 01. ,§ 61. though l)oth fiiriiisli expenses or outlay. — Tlie fact that the recipient of part of the gross receipts is to furnish part of the expenses or tools or material, as well as labor, does not alter the result. Thus in cultivating land, where an overseer or cultivator is to furnish part of the teams or pay part of the labor, and the crop is to be divided, it is not a partnership, but is a leasing, or an employment, or a tenancy in common of the crop, according to the nature of the en- terprise.^ But the joint cultivation of land, with an agreement to divide profits, is a partnership.^ If the owner of land agrees with a person that he shall cut the timber, each pajang certain of the expenses and divide the profits;' or, if B. is to build houses on A.'s land, the proceeds, deducting the cost of the houses and the agreed value of the land, to be di- vided, they are not partners.* So if the owner of a mill furnishes the mill, and another con- tracts to keep a supply of logs and the lumber is to be divided.* So if the owner is to furnish a brick-yard and another the labor and materials, and they are to divide the brick they make,' it is not a partnership.® Yet in Farmers' Ins. Co. v. Ross,' although the bricks were to be divided, there was a power in each by the con- tract to sell them. The question arose on an action against both 1 Moore V. Smith, 19 Ala. 774; Blue Rep. 607; Brown v. Higginbotham, V. Leathers, 15 111. 31 ; Donuell u. 5 Leigh (Va.), 583; 27 Am. Dec. 618. Harshe, 67 Mo. 170 ; Musser v. Brink, Contra, Donnell v. Harsche, 67 Mo. (38 Mo. 242; 80 id. 350; Putnam v. 170. Wise, 1 Hill, 234 ; Day v. Stevens, 88 s st. Denis v. Saunders, 36 Mich. N. Ca. 83; 43 Am. Rep. 732 (limit- 369. ing Curtis v. Cash, 84 id. 41); Brown ^Bisbee v. Taft, 11 R. L 307. See V. Jaquette, 94 Pa. St. 113; 39 Am. Kilshaw v. Jukes, § 20. Rep. 770; Murray v. Stevens, Rich. SHobinsonu Bullock, 58 Ala. 618; Eq. Cas. (S. Ca.) 205. See, also, Stoallings v. Baker, 15 Mo. 481; Kelly Clark u. Smith, 52 Vt., 529; and Her- v. Gaines, 24 Mo. App. 506; Ambler manos v. Duvigneaud, 10 La. Ann. v. Bradley, 6 Vt. 119. But see 114. Contra, Allen v. Davis, 13 Ark. Jones iJ. McMichael, 12 Rich. L. 170. S8; Holifield v. White, 52 Ga. 567; 6 Laraont u Fullam, 133 Mass. 583 ; Adams v. Carter, 53 Ga. 160. Chapman v. Lipscomb, 18 S. Ca. 222. 2Urquhart v. Powell, 54 Ga. 29; ^ogoh. St. 429. The case is criti- Plummer v. Trost, 81 Mo. 425; Rey- cised in Beecher v. Bush, 45 Mich. Holds V. Pool, 84 N. Ca. 37 ; 37 Am. 188, 197-8. 77 § 63. NATURE AND FORMATION. for breach of contract of sale made by one of them. Tlie court held there was a partnership, because a joint sale, and not a separate sale of his share by each, was contemplated, and that a division of arti- cles made is a division of profit and loss.' And where two agi*eed to buru lime on shares, one to fill the kiln with stones and the other to furnish the wood and burn the kiln, the lime to be equally divided, they were held to be partners.'' § 62. liertliiig. — A contract by which a person or per- sons are to herd the cattle of another for a certain number of years, and then return the original number and divide the in-- crease, or pay the valuation originally placed uf)on the herd and divide the excess, is held not to be a partnership between the owner and herders.^ Thus, three persons made a contract with B., the owner of cattle, to herd them for a certain time. A valuation of the cattle was agreed upon, and at the end of the period B. was to sell the cattle, retain the amount of the valuation, and divide the excess in speci- fied proportions between the three persons. Each of the three sup- ported himself and hired his own assistants. It was held that the three herders were not partners, and the contract was one of em- ployment, under which each could bring a separate action for serv- ices, though the language was joint.* But if they are jointly engaged in the business they are partners. Thus, two persons who agreed to keep the sheep of another, keeping up the flock and paying the owner part of the wool and dividing the profits, were held to be partners inter se, so far that the settlement by one in the name of both, of a claim due them for breach of warranty of soundness, bound both.* § 63. tenants in common dividing returns. — The same principle applies where tenants in common of property, real iln Aubroyu Frieze, 59 Ala. 587, ^Beckwith v. Talbot, 95 U. S. 289 crops jointly produced at joint ex- (s. C. 2 Colorado, G39). pense were to be divided, but the 5 Stapleton v. King, 33 Iowa, 28; fact of an unqualified power of dispo- 11 Am. Rep. 109. And see Brown v. sition in each was held to show a Robbins, 3 N. H. 64, where they were partnership. held jointly liable to the owner for 2Musieru, Trumpbour, 5Wend.274. the price obtained for the cattle 3 Robinson v. Haas, 40 Cal. 474; which they were jointly taking to a Asliby V. Shaw, 82 Mo. 76. market. 78 TESTS OF A PARTNERSHIP. § G3. or personal, agree to divide the returns from it, or where property, labor or materials are united to produce certain goods which are to be divided in specie; this does not con- stitute a partnership. In the leading case on this principle two persons having a race horse in common agreed that one should keep, train and manage him on a specified weekly allowance for expenses, the other to pay for his transportation to races and entrance money, and the win- nings to be divided, and this was held, in an action between the two for his keep, though perhaps it was not necessary to pass on the question, not to be a partnership inter se.^ Two persons bought a circus, and one contracted with the other to run it and divide the income. They are not partners, for only one was in the business. A mere joint ownership does not make a partnership, nor does dividing an income." So an agreement that A. should buy the undivided half of B.'s land at half the cost of the land, and of improvements made and to be made, and divide and sell it, sharing profits, and dividing unsold lots, is not a partnership inter se.^ In Bruce v. Hastings, 41 Vt. 380, Hastings had agreed to buy a farm from one N. ; he then agreed with Bruce that they together would carry out the contract and would sell the property and divide profits equally. Hastings took no deed from N., but had N. make deeds direct to the persons to whom they sold lots. Bruce sued Hastings in assumpsit for half the profits; and the defense that they were partners, and hence the action must be for an accounting, was overruled, and the contract was held not to be one of partnership, but of compensation for assistance in carr3'ing out a single specific purpose or enterprise, or a tenancy in common, except that they did not have the legal title.'* The leasing of ground by two, under an agreement with the lessor to erect a building upon it, and the construction of a hotel which is 1 French v. Styring, 2 C. B. N. S. 4 it will be hereafter seen that an 357. action at law is frequently allowed 2 Quackenbush v. Sawyer, 54 Cal. to settle partnerships in a single en- 439. See, also. Chapman v. Eames, terprise; hence this case was rightly 67 Me. 453. decided, either on the principles of 'Munson v. Sears, 13 Iowa, 163; this section or of § 33. Sears v. Munson, 28 id. 380. 79 § 04. NATURE AND FORMATION. afterwards rented and tlie rents divided, does not make them part- ners in the property.' So a contract to buy certain hxnd, erect a mill upon it, sharing the expenses, and to divide the profits arising from selling or leasing it, does not create a partnership, hut is a mere tenancy in coramoa, for there is name, capital, business con- templated, or right to sell, or agreement for a partnership.^ So if two persons buy a horse to resell at a profit, they are tenants in common and not partners, and one has no lien on the other's share and can sue him at law.^ And if tenants in common of land as^ree to cut the timber and share equally in the expenses and proceeds, it is not a partnership inter se;* or if the owner sells the standing timber, paying in part of the gross proceeds.* If the article alleged to be owned in common was procm^ed as subsidiary to the carrying on of a business with it, there is a partnership; as where A. and B. agree to buy C.'s ice machine and to make and sell ice for ten years. This is not a tenancy in common, for the machine was bought for the business, and if it were destroyed another could be substi- tuted.^ § 64. Joint enterprise not for profit. — If a joint or com- mon enterprise is not entered into for the purpose of earning profits while together there is no partnership. Thus an arrangement between B. and C. for keeping house together, to lessen expenses, C. to pay rent and butcher bills, and B. all other bills, is no partnership, and 0. cannot bind B. for the rent.'^ An agreement to buy or , hold land in common does not create a partnership;^ nor iTreibcr v. Lanahan, 23 Md. 116. cer, 4 Cow. 108, whei'e one attempted 2 Farraud v. Gleason, 56 Vt. 633. to sign for both on the purchase SGoell -y. Morse, 126 Mass. 480; notes; Brady v. Colhoun, 1 Pa. 140; Oliver v. Gray, 4 Ark. 425. White v. Fitzgerald, 19 Wis. 480, 4 Millett V. Holt, CO Me. 169. holding that a writing by F., iu 5 Fail u. McRee, 36 Ala. 61. whose name tlie title stood, stating 6 Leiden v. Lawrence, 2 N. R. 283 the following is the property ovs'ned (Exch.). jointly by G. F. and J. W.: one hun- ■- Austin v. Thomson, 45 N. H. 113. dred acres bought of O. and since 8Huckabee v. Nelson, 54 Ala. 12; sold for $7,500 to S., $2,100 paid, out Gilmore v. Black, 11 Me. 485; Trei- of which W. received $1,000; two •ber V. Lanahan, 23 Md. 116; Sikes v. «icres each had half in full, sold to Work, 6 Gray, 433; Ballou v. Spcn- F. for $3,600, no part of which has 80 TESTS OF A PARTNERSHIP. § 64. a purchase of stock. ^ An agreement to buy and freight a vessel in common is not a partnership inter se} So where persons are jointly concerned in building a mill, they are not thereby made partners, but each is alone liable on his own conti-acts for material.' A joint interest in a patent does not make the parties partners.^ After a partnership had ceased active operations two per- sons purchased the interest of one partner in the profits; these two, though recognized as members of the firm, are not partners, and, therefore, can sue each other at law, for there is no participation in profit and loss.' § 65. A joint purchase, with the intention of dividing the property or making separate sales, each on his own account, does not constitute a partnership, for no joint profits are designed to be made.*' Thus, where A. and B. talked of buying lands, and A. told B. to go and buy and he " would go halves with him," and A, bought in his own name and employed the plaintiff to make certain needed improvements, and gave him a note signed in the name of both A. and B., there was held to be no partnership, and B. is not liable on the note.'' So where been given W., etc., etc., is not suffi- ris v. Litchfield, 14 111. App. 83, cient to show a partnership in buy- whei'e a person agreed to pay half iug and selling land, but is rather a the cost of fitting up a space in the declaration of trust; Stannard v. steam vessel for carrying his goods; Smith, 40 Vt. 513, that the mere fact be is not liable on the contracts of that others were co-owners with de- the owners of the vessel for work, fendant in land does not make them * Section 69. partners in his scheme to develop a ^Cowles v. Garrett, 30 Ala. 841; mine upon it, and bis employee can Goddard v. Pratt, 16 Pick. 412, 425 ; sne him alone for services. Vere v. Asbby, 10 B. & C. 288; Par- 1 Humphries u. McCraw, 5 Ark. 61, chen v. Anderson, 5 Montana, 438, where each contributed money to 457. Contra inter se, if already buy a drove of hogs, and afterwards partners in the succeeding business, one took out his share by consent. McGill v. Dowdle, 33 Ark. 311. The rest can sue without joining him. ^ Hoare v. Dawes, 1 Doug. 371 ; Gib- 2 De Wolf ^;. Howland, 2 Paine, C. son v. Lupton, 9 Bing. 287; Coope C. 356. V. Eyre, 1 PI. Bl. 37; Reid r. Hollius- 3 Porter v. McClure, 15 Wend. 187; head, 4 B. & C. 867. Noyes v. Gush man, 25 Vt. 390; Mor- '^Huckabee v. Nelson, 54 Ala. 12. Vol. 1 — 6 81 § 6G. NATURE AND FORIklATION. five parties raised $90,000 in fixed proportions, and employed one of their number to purchase a large quantity of cotton for them and to prepare it for market, they to own it in such proportions, but the subject of selling was left for future arrangement, they are tenants in common and not partners. The fact of an original intention to sell and di- vide profits is not sufficient without an agreement to tliat effect, since either could change his mind and one could not bind another. Hence if the party who had prepared the cotton for market shipped it for sale and received advances on it from the consignee, which he divided among his asso- ciates, tliis is a conversion by him, waived by them, and they are not liable to the consignee, the cotton not having realized the advances.^ § 66. pooling arrangements. — An arrangement is frequently made by which the owners of separate businesses, which each conducts at his own expense and under his own control, divide the net earnings or the gross proceeds of cer- tain parts of the business to which each has contributed. Thus the owners of connecting lines of railroads or other carriers associating on terms of each giving through bills or tickets, and dividing proceeds in proportion to the freight earned by each, but without agreement to share the pro- ceeds of business on all the lines, are not partners. These are mere running arrangements.^ 1 Baldwin v. Burrows, 47 N, Y. R. R. 114 Mass. 44; Algen u Boston 199. & Maine R. R. 133 id. 423 (6 Am. 2 Croft u. B. &0. R. R. 1 MacArthur & Eug. R. R. Cas. 562); Watkins v. (D. C), 492; Ellsworth -y. Tar tt, 26 Terre Haute, etc. R. R. 8 Mo. Ala. 733 (62 Am. Dec. 749); Hot App. 569; Wetmore v. Baker, 9 Springs R. R. v. Trippe, 42 Ark. 465 Johns. 807; Pattison v. Blauchard, 5 (48 Am. Rep. 65) ; Irvin v. Nashville, N. Y. 186 ; Merrick u Gordon, 30 C. & St. L. Co. 93 111. 103 (34 Am. id. 93; Briggs u Vanderbilt, 19 Barb. Rep. 116); Atchison. Topeka & Santa 222; Mohawk & Hudson R. R. v. Fe R. R. V. Roach, 35 Kan. 740; Dar- Nilcs, 8 Hill (N. Y.), 162; Railroad v. ling v. Boston & C. R. R. 11 Allen, Sprayberry, 8 Bax. 841; Nashville 295; Gass v. N. Y, Providence & & Chat. R. R. v. Sprayberry, 9 Heisk. Boston R. R. 99 Mass. 220 ; Pratt v. 853. And see St. Louis Ins. Co. v. S( . Ogdensburg& Lake Champlain R. R. Louis, Vandalia, etc. R. R. 104 U. S. 103 id. 557, 567 ; Hartan v. Eastern 146 (3 Am. & Eng. R. R. Cas. 563). Br. I 82 TESTS OF A PARTNERSHIP. § 67. If two firms agree to divide equally profits, on compressing and shipping cotton, of the business after excluding a certain amount, viz., the first fifty thousand hales, to cover expenses, each business, however, to be conducted separately, and neither contributing to the expenses or losses of the other, they are not partners inter se} Where two firms agreed each to make contracts with third per- sons in their separate names for the sale and delivery of flour and other produce with a view to realize an anticipated rise in the prices, the contracts to be for joint benefit, and profits to be equally divided and losses shared equally, the partners of both firms were sued for non-performance of a contract made by one of the firms in its own name, the arrangement was held not to be a part- nership in Smith v. Wright, 5 Sandf. 113, but in 4 Abb. App. Dec. 271, affirming the judgment for Avant of allegation of offer to per- form, the arrangement was said to be a partnership as to third per- sons.'' So where R. owned one boat and D. another, and they agreed that at the end of the season, if the earnings of one boat, deduct- ing expenses, exceeded that of the other, the excess should be divided, but neither had control or voice in the management of the other's boat, the claim of each is not on the earnings in specie, but a personal claim against the owner; hence they are not part- ners; and a passenger injured on one boat by boiler explosion can- not hold the owner of the other liable as a partner.* But if in such case the ownership in the earnings is a vested interest in them as such and before division, and not a personal debt of the owner, it is held that the owners are partners, and the passenger injured by the boiler explosion could recover from both.* §67. common fund. — Where the earnings are put into a common fund it has been held that the associates are partners. contracting in a joint name repre- was held not to be a partnership mier senting them all makes them jointly se. An agreement that they should and severally liable for a loss, Block work against each other A-aj by day V. Fitchburg R, R. 139 Mass. 308. means merely that if one worked 1 Mayraut v. Marston, G7 Ala. 453; when the other did not he should be Jordan v. Wilkins, 3 Wash. C. C. 110. allowed for it. Hawkins v. Mcln- 2 Where M., having a contract to tyre, 45 Vt. 496. finish a church, agreed with H. to 3 Fay v. Davidson, 13 Minn. 523. work it together, dividing receipts, < Connolly v. Davidson, 15 Minn, less expense of material and help, this 519. 83 § G7. NATURE AND FORMATION. A stage route consisted of sections. The occupants of each section provided his own coaches and horses, employed his own drivers and paid the expenses of his own section, except tolls. The fares, less tolls, were to be divided in proportion to the length of each section. A person was injured by being run into by a coach on one section and sued all the owners as partners. The fact that each pays the expenses of his own section tends to show that there was no partnership; but as the passage money was to constitute a common fund, this was held to distinguish the case from one where each retained the passage money of his own line and was merely agent of the others in collecting their money as in the cases above cited, and there was held to be a partner- ship here and a liability for the injury.^ If such stage managers unite in having a joint capital and divide profits, they are of course partners as to third persons.^ So, if they hold themselves out as a joint concern, third persons may hold them as such.' And if their drivers or agents are jointly employed, and hence are the servants of all, all are jointly liable for their defaults.* 1 Champion v. Bostwick, 18 Wend. v. I. & St. L. R. R. 9 Mo. App. 226; 175 (31 Am. Dec. 376). See Wayland Fairchild v. Slocum, 19 Wend. 329 V, Elkins, 1 Stark. 272; Holt, N. P. (aff'd, 7 Hill, 292). One railway com- 227 ; Fromont V. Coupland, 2 Bing. pany working the lines of another 170, and Connolly v. Davidson, su- company in connection with its own, 2Jra; The Stbt. Swallow, Olcott, 334; on a division of net receipts, was held Meaher v. Cox, 37 Ala. 201 ; Bowas v. not to form a partnership though Pioneer Tow Line, 2 Sawy. 21. And under a joint committee selected this is the explanation of such cases from the directors of each. McCal- as Musier v. Trumpbour, 5 Wend, lum v. Buffalo & Lake Huron R'y 274. cited supro, §61. See, also. Green Co. 19 Up. Can. C. P. 117. On this V. Beesley, 2 Bing. N. C. 108, where, principle of mixing in a joint fund, liowever, losses were also to be di- Sims v. Willing, 8 S. & R. 103, was vided. decided, where A. chartered a vessel 2Cooley V. Broad, 29 La. Ann. 345 by B.'s direction to carry a cargo of (29 Am. Rep. 832); Dow v. Say ward, flour belonging in part to A., part to 12 N. H. 271 (aff'd, 14 id. 9). B., and part to C, the whole to be 3 Paris, etc. Road Co. v. Weeks, 11 sold to the consignee. The vessel Up. Can. Q. B. 56 ; Wyman v. Chi- was captured by British cruisers and cago & Alton R. R. 4 Mo. App. 35. A., B. and C. were held partners and ^Cobb V. Abbot, 14 Pick. 289; individually liable for the amount of Dwight V. Brewster, 1 id. 50 ; Barrett a general average. 84 TESTS OF A PARTNERSHIP. § 70. § G8. Cheese factory. — The patrons of a cheese factory, that is, persons who send milk to the estabhshment founded by tlieni, and receive in return, at their option, cheese or the proceeds of its sale, in proportion to the delivery of milk, are not partners, but either part owners or creditors, that is, they are either bailors or vendors.^ § 69. Patents. — A contract by which an inventor agrees that a person shall have the exclusive right to make and sell his device, paying part of the proceeds or profits, is not a partnership.^ Nor where the owner of a device agrees with another to get a patent in their joint names and sell the right to use it, payable in royalties, and divide profits.' Co-ownership in a copyright is not a partnership; there- fore, if one uses the plates and prints and sells copies, the remedies as between partners are not applicable; ^ nor a joint interest in a patent.* § 70. Sliip-owiiers. — On the same principle that co-owner- ship or joint ownership does not constitute the owners part- ners, part owners of ships, steamboats or other craft are, in absence of some other element in this relation, uniformly treated as not partners, ever since Doddington v. Hallet, 1 Ves. Sr. 497, was overruled by Lord Eldon in Ex parte Young, 2 Ves. & Bea. 342, and Ex parte Harrison, 2 Rose, 7G.» iButterfield v. Lathrop, 71 Pa. St. 488; Pitts v. Hall, 3 id. 201; Penni- 225 ; Sargent v. Downey, 45 Wis. 498 ; man v. Munson, 26 Vt. 164 ; Carter v. Gill V. Morrison, 26 Up. Can. C. P. Bailey, 64 Me. 458. 124; Hawley v. Keeler, 62 Barb. 231 ^ Ex parte Young, 2 V. & B. 242; (aff'd, 53 N. Y. 114), Ex parte Harrison, 2 Rose, 76 ; Helme 2 Wheeler u. Farmer, 38 Cal. 203; v. Smith, 7 Bing. 709; Green v. Vose V. Singer, 4 Allen, 226 ; Math- Briggs, 6 Hare, 395 ; Berthold v. ers V. Green, L. R. 1 Ch. App. 29; Goldsmith, 24 How. 536; The Will- Gillies V. Colton, 22 Grant's Ch. Up. iara Bagaley, 5 Wall. 377; Macy v. Can. 123. DeWolf, 3 Woodb. & M. 193; Jack- 3Hermanos v. Duvigneaud, 10 La. son v. Robinson, 3 Mason, 138; Don- Ann. 114. aid V. Hewitt, 33 Ala. 534; Bacoa 4 Carter v. Bailey, 64 Me. 458. As v. Cannon, 2 Houst. 47 ; Loubat v. to trade-mark, Dent v. Turpin, 2 J. & Nourse, 5 Fla. 350 ; Allen v. Hawley, H. 139. 6 id. 142 (63 Am. Dec. 198) ; Patterson sParkhurst v. Kinsman, 1 Blatchf, v. Chalmers, 7 B. Mon. 595; Owens^ 85 §71. NATURE AND FORMATION. A ship or steamboat ma}^, hovv^ever, be the subject of partnership as well as any other property.^ And if she is owned by a partnership as part of their assets, she is held the same as other property and hence may be sold by one partner.^ And in other respects the rules governing ordi- nary partnerships apply. ^ And part owners of a ship may be partners in the earnings or freight.^ § 71. Joint cargo. — Persons not connected in trade who contribute specified portions of a cargo, or ship-owners who unite in taking an interest in the proceeds of a cargo sent out by them to be sold, without agreement as to profit and loss, are not partners, the only joint act being that of sell- mg.* V. Davis, 15 La. Ann. 22; Theriot v. Michel, 28 La. Ann. 107; Harding ^;. Foxcroft, 6 Me. 7G; Knowlton v. Reed, 38 id. 246; Little v. Merrill, 62 id. 328; Merrill v. Bartlett, 6 Pick. 46. And see Thorndike v. DeWolf, 6 id. 120; Moore u Curry, 106 Mass. 409 ; Cinnamond v. Greenlee, 10 Mo. 578; Ward v. Bodeman, 1 Mo. App. 272; Muniford v. Nicoll, 20 Johns. 611 (reversing 4 Johns. Ch. 522): Stedman v. Feidler, 20 N. Y. 437; Williams v. Lawrence, 47 N. Y. 462 ; Scottin V. Stanley, 1 Dall. 129; Coe V. Cook, 3 Whart. 569; Hopkins v. Forsyth, 14 Pa. St. 34; Coursin's Ap- peal, 79 Pa. St. 220 ; Baker v. Casey, 19 Grant's Ch. (Up. Can.) 537. Contra, Story on Partnership, § 344; Hinton V. Law, 10 Mo. 701. See Seabrook v. Rose, 2 Hill (S. Ca.). Ch. 553. 1 Campbell v. Muliett, 2 Swanst. 551 ; Nugent v. Locke, 4 Cal. 318; Loubat V. Nourse, 5 Fla. 350 ; Allen V. Havvley, 6 id. 142 (63 Am. Dec. 198) ; Hewitt v. Sturdevant, 4 B. Men. 453, 459; Phillips v. Purington, 15 Me. 425; Lamb v. Durant, 12 Mass. 54 (7 Am. Dec. 31) ; Miimford v. Nicoll, 20 Johns. 611, 628 (rev. S. C. 4 Johns. Ch. 52); Williams v. Lawrence, 47 N. Y. 462; Lape v. Parviu, 2 Disney, 560 ; and cases in the next notes. 2 The William Bagaley. 5 Wall. 377, 406 ; Lamb v. Durant, 12 Mass. 54 (7 Am. Dec. 31). And see Hewitt v. Sturdevant, 4 B. Mon. 453; Ex parte Howden, 2 M. D. & D. 574. 3 Loubat V. Nourse, 5 Fla. 350; Allen V. Hawley, 6 id. 142 (63 Am. Dec. 198) ; Williams v. Lawrence, 47 N. Y. 462; Wright V. Hunter, 1 East, 20. ••Phillips V. Penny wit, 1 Ark. 59; Starbucks. Shaw, 10 Gray, 492; Rus- sell V. Minnesota Outfit, 1 Minn. 162; Young u. Brick, 3 N. J. L., 241, 490, 664 ; Reeves v. Goff, 3 id. 194, 454, C09 ; Mumford v. Nicoll, 20 Johns. 611 (re- versing 4 Johns. Ch. 522); Merritt u Walsh, 82 N. Y. 685, 6^9; Will- iams V. Lawrence, 47 id. 462 ; Coe v. Cook, 3 Whart. 569 ; Baker v. Casey, 19 Grant's Ch. (Up. Can.) 537. 5 Saville v. Robertson, 4 T. R. 720 ; Hoare v.- Dawes, 1 Dougl. 371 ; Coope V. Eyre, 1 H. Bl. 37; Harding v. Foxcroft, 6 Me. 76; Holmes ij. United F. Ins. Co. 2 Johns. Cas. 329 ; Post v. Kimberly, 9 Johns. 470; French v. Price, 24 Pick. 13, 19; Jackson v. 86 TESTS OF A PARTNERSHIP. § 71. This principle was held to apply where A. sold to B. two thousand boxes of candles on joint account, B. to receive a commission on sales, and for one-half the sales B. is to pass over the purchase notes to A. The sale by A. to B. make them tenants in common of the candles, and the agreement to consign them to B. for sale on joint account, though simultaneous with the sale, and perhaps constituting one motive for it, is distinct from it.^ Robinson, 3 Mason, 138 ; De Wolf v. ^ Hawea v, Tillinghast, 1 Gray, Rowland, 2 Paine, C. C. 356; Coe v. 289. Cook, 3 Whart. 569. 87 CHAPTER III. JOINT STOCK COMPANIES, CLUBS AND GRANGES. § 72. Joint stock company. — There is nothing illegal in a partnership with transferable shares, and that is all that a joint stock company is. There is no intermediate associa- tion or form of organization between a corporation and a partnership known to the common law, and, unless other- wise provided by statute, as is the case in England and New York, a joint stock company is treated and has the attri- butes of a common partnership.^ Yet the fact of transfer- able shares makes such an association different, not merely in magnitude but in kind, from ordinary partnerships, be- cause not based upon mutual trust and confidence in the 1 That it is a partnership, Perring 55 Am. Dec. 53;Butterfield v. Beards- V. Hone, 4 Bing. 28; Fox v. Clifton, 6 id. 776; Clagett v. Kilbourne, 1 Black, 346; Montgomery v. Elliott, 6 Ala. 701 ; Gi'ady v. Robinson, 28 Ala. 289; Smith v. Fagan, 17 Cal. 178; McConnell v. Denver, 35 id. 365; Pettis V. Atkins, 60 111. 454; Pipe v. Bateman, 1 Iowa, 369; Greenup v. Barbee, 1 Bibb, 320; Frost u. Walker, 60 Me. 468 ; Alvord v. Smith, 5 Pick. 232; Haskell v. Adams, 7 id. 59; Kingman v. Spurr, id. 235 ; Tyrrell V. Washburn, Allen, 466; Taft v. Ward, 106 Mass. 518; Bod well v. Eastman, id. 525 ; Whitman v. Porter, 107 id. 522; Gott v. Dinsmore, 111 id. 45; Taft V. Warde, 111 id. 518; ^Machinists' Nat'l Bank v. Dean, 124 id. 81 ; Boston & Albany R. R. v. Pearson, 128 id. 445; Phillips v. Blatchford, 137 id. 510; Ricker v. American Loan & Trust Co. 140 id. 346; Burgan v. Lyell, 2 Mich. 102; ley, 28 Mich. 412; Whipple v. Parker, 29 id. 369; Willson v. Owen, 30 id. 474; Boisgerard v. Wall, 1 Sm. & Mar. Ch. 404 ; Atkins v. Hunt, 14 N. H. 205; Niven v. Spickerman, 12 Johns. 401; Skinner v. Dayton, 19 id. 513 (10 Am. Dec. 286) : rev. 5 Johns. Ch. 351 ; Moore v. Brink, 4 Hun, 402; 6 N. Y. Supreme Ct. 22; Riauhard v. Hovey, 13 Oh. 300; Cochran v. Perry, 8 W. & S, 262; Pledge & Horn's Ap- peal, 63 Pa. St. 273; Thomson's Es- tate, 12 Phila. 36; Shamburg v. Abbott, 112 Pa. St. 6; Cutler v. Thomas, 25 Vt. 73; Chapman v, Dev- ereux, 32 Vt. 616 (9 Am. Law Reg. O. S. 419); Walker v. Wait, 50 Vt. 668 ; McNeish v. Hulless Oat Co. 57 Vt. 316; Hardy v. Norfolk Mfg. Co. 80 Va. 404; Kimmins v. Wilson, 8 W. Va. 584; First Nat'l Bank v. Goff, 31 Wis. 77; Werner v, Leisen, 31 Wis. 169. 88 JOINT STOCK COMPANIES. § 73. ekill, knowledge and integrity of every other partner.^ Hence, a sale of his shares by a member, the shares being transferable, is not a dissolution.'^ Death of a member is not a dissolution, if such was the intent; and the character of the association, in tliat the shares are transferable and it is governed by officers, and is in the form of a corporation, is evidence of such intent.^ It is obvious that much less evidence is required to show such intent than in the case of the purchase of an interest in an ordinary partnership.* And the fact of such purpose is a question of fact for the jury.* If the concern is composed of numerous members and is governed by managers, there is no implied power in the other members to act.'' And if the managers are to act as a board, the individual assent of each is, as in the case of directors of a corporation, not equivalent to an act of the board. ^ § 73. liability, and liow enforced. — Although by the law of the state in which the association was organized, actions against it must be in the name of the president or treasurer, and that no action shall be brought against the members until execution against the company is returned unsatisfied, it is nevertheless a mere partnership.^ These provisions relate to the remedy and are local, and outside such state the personal liability of the members may bo enforced in the first instance.^ iPer James, L. J., Baird's Case, 7 skinner v. Dayton, 5 Johns. Ch. L. R. 5 Ch. App. 725, 733. 351. 2Cothrau v. Perry, 8 W. & S. 262. STaft v. Warde, 106 Mass. 518; Bos- 3 Baird's Case, L. R. 5 Ch. App. ton & Albany R. R. v. Peaison, 128 725; Machinists' Nat'l B'k v. Dean, Mass. 445; and cases cited, all of 124 Mass. 81; Tenney v. New Engl, them being upon the New England Protec. Un. 37 Vt. 64; Walker v. Express Co., organized under the Wait, 50 id. 668 ; McNeish v. HuUess laws of New York. Contra, Fargo Oat Co. 57 id. 316. v. Louisv. New Alb. & C. R'y, 10 i Machinists' Nat'l B'k v. Dean, 124 Biss. 273. Mass. 81, 84. STaft v. Warde, 106 Mass. 518; 5 McNeish v. Hulless Oat Co. 57 Gott u. Dinamore, 111 id. 45; Boston Vt. 316. & Albany R. R. v. Pearson. 128 id. 6 Greenwood's Case, 3 DeG. M. & 445. See Cutler v. Thomas, 25 Vt. G. 459, 477. 73. 89 § 74. NxlTURE AND FORMATION. The members are individually liable in solldo for the debts as in an ordinary partnership;^ although the articles have not been complied with as between the partners, in that but a small part of the contemplated capital had been subscribed.^ Purchasers of shares become partners and are liable as such;^ and liable for notes issued after they become mem- bers for prior debts.* In contributing inter se, those who are insolvent or removed from the jurisdiction are not counted.* § 7 1. what constitutes memlbership. — A subscriber to whom shares have been delivered is a partner, though he never signed the deed or articles.^ And even though certifi- cates of stock have not been delivered to him, and he has signed only the subscription paper and paid the executive committee.® And though a share was assigned to one not present at the meeting, but who agreed to take it, although he has not paid or performed other conditions subsequent.^ But a mere signing the subscription paper and paying is not sufficient until the company is organized, for otherwise the first signer would be at once a member.' Signature of the name to the subscription and payment of assessments is sufficient proof of membership, without showing by whom the names were signed.^'' And proof that the party was a iCarlewu, Drury, 1 Ves. &B. 157; mcConnell v. Denver, 35 Cal. Keasley v. Codd, 2 0. & P. 403, n. ; 365. R. V. Dodd, 9 East, 516; Robinson's 5 Whitman v. Porter, 107 Mass. Case, 6 DeG. M. & G. 572; Hodgson 522. As to the personal liability of V. Baldwin, 65 111, 532; Greenup v. purchasers of shares for antecedent Barbee, 1 Bibb, 320; Frost V.Walker, liabilities for which their assignors 60 Me. 468; Whitman v. Portei', 107 were chargeable, see § 187, Mass. 522, 524; Gott v. Dinsmore, ^Perring t\ Hone, 4 Bing. 28; But- Ill Mass. 45; Skinner v. Dayton, 19 terfield v. Bt-ardsley, 28 Mich, 412, Johns. 537 ; Hess v, Werts, 4 S. & R. 7 Boston & Albany R. R. v. Pear- 361; Cutler v. Thomas, 25 Vt. 73; son, 128 Mass. 445; Frost v. Walker, First Nai'l Bank v. Goff, 31 Wis. 77. 60 Me. 408. 2 Bodwell V. Eastman, 106 Mass. s Grady v. Robinson, 28 Ala. 289, S25. 9 Hedge & Horn's Appeal, 63 Pa. 3 Machinists' Nat'l B'k v. Dean, 124 St. 273; Fox v. Clifton, 6 Bing. 77G. Mass. 81. 10 Frost v. Walker, 60 Me. 468. 90 JOINT STOCK COMPANIES. § 76 member of the executive committee is sufficient without proving ownership of shares.^ If the shares are not transferable without the consent of the directors, the assignee is not a partner until such consent is had, and cannot maintain suit for an account.^ But a mere affirmative provision that shares are assignable by cer- tificate, which when filed enable the assignee to be a partner, is for the convenience of the company, and does not pre- vent a sale without that ceremony.* § 75. Clubs. — A club or unincorporated association not formed for purposes of gain or pecuniary profit is not a partnership.* The fact that they have common property or a joint fund does not make them partners. As where a club for moral and social objects sublets surplus room and thus accumulates a fund.^ Or a musical club owns the instru- ments, and requires resigning members to leave them as common property.^ This category includes unincorporated associations for various purposes, as social or pleasure clubs, political clubs, associations for mutual benefit, church as- sociations, library associations, secret societies, lodges, and tlie like. As these associations are not formed for profit and loss, if a contract is made in their society name, the associates are not bound by it, unless it was authorized by them; but all the officers or members who joined in making or author- izing the contract are represented by the joint name, and they are liable upon it, on the ground of principal and agent and not of partnership. iBoclwell V. Eastman, 106 Mass. H. 113, and the cases cited through 525, 52C. And see Taf t v. Warde, HI this section. The contrary expres- Mass. 518; Pettis u. Atkins, 60111. 454; sion in Babb v. Reed, 5 Rawle, 151 Doubleday v. Muskett, 7 Bing. 110. (28 Am. Dec. 650), has been limited 2 Kingman v. Spurr, 7 Pick. 235; in Ash v. Guie, 97 Pa. St. 493. For Perrino- v. Hone, 4 Bing. 28. promoters of corporations, see §89, SAlvord V. Smith. 5 Pick. 232. ^Lafond v. Deems, 81 N, Y. 507. Brink v. New Amsterdam F. Ins. 418. And in Reboul v. Chalker, 27 Co. 5 Robt. (N. Y.) 104. Conn. 114, where A. and B. bought 2 "Wilson V. Campbell, 10 111. 383; a stock of goods, and made a con- Vance V. Blair, 18 Oh. 532; 51 Am, tract which recited an equal owner- Dec. 467. ship in the goods, and their intention 3 Powell V. Maguire, 43 Cal. 11. to form a partnership to continue See, also, Jletzner v. Baldwin, 11 for three years from May 1, and pro- Minn. 150; Doyle v. Bailey, 75 111. vided for the business, but A. re- 94 INCHOATE PARTNERSHIPS. § 78. of partnersliip, without change in the business or money paid or property turned over, is not conclusive of the formation of a firm.' Where a person contracts for a lease of land and a growing crop, for which he pays a certain sum, getting part of it from a third person, under an agreement that the latter shall become his part- ner, if the lessee acquires possession, this is no partnership, pos- session never having been obtained, and the lessee can sue alone for breach of contract by the lessor. ** So, where C. and W., in 186S, agreed to form a partnership, to farm the property of W. for the ensuing year, and W. died before the beginning of the year, C. is not entitled to the possession of the farm as surviving partner.* This, doubtless, would have been the ruling, even had the contract stipulated for a partnership in pre- smti, if nothing had been done under it, for a surviving partner takes the partnership assets to wind up the business and not to carry it on. So, an agreement made in August, 1873, between D. and H., that fused to perform the contract and proceeded to purchase more goods in his own name and for his individual benefit, in an action to hold B. lia- ble as a partner for the price of the latter goods, it was held that there had not been a partnership and a dissolution ; but the partnership term was not to begin until May 1. and the remedy inter se for refusal to perform would be an action for breach of contract, and that B. could not be held. The fact that they had purchased goods does not advance the beginning of the term, for they could buy books, rent a store, etc., without beginning the partnership. And in Metcalf v. Redmon, 43 111. 264, R. wrote to M., offering to go into partnership in the purchase of twenty horses, to be shipped to and sold by R.. and M. accepted the offer, bought twenty-se'fen horses and opened books in the name of M. and R. ; but sold the horses elsewhere, without R.'s knowledge, and there being a loss sued R. for an account- ing. As the field of profit was R.'s state, M. had not complied with the terms, the partnership was not launched, and the bill, therefore, was not maintainable. 1 Hutchins v. Buckner, 3 Mo. App. 594. And see Gray v. Gibson, 6 Mich. 300. 2Snodgrass v. Reynolds, 79 Ala. 453. Where M. paid to the firm of Schacher Bros. £3,000, to be invested in a steamer, to be used in trade ; M. to have five per cent, on his money, and a one-eighth share in earnings of the steamer, and M. also agreed within a year to pay £4,000 more, and thereupon was to have a three- sixteentlis interest in all Schacher Bros, business, including the steamer, this agreement does not constitute M. their partner in the steamer, the £4,000 never having been fully paid. Meyer v. Schacher, 38 L. T. N. S. 37. 3 Cline V, Wilson, 26 Ark. 154. 95 § 80. NATURE AND FORMATION. D. would cut timber from II.'s land in partnership witli liim, was said not to make them partners before the job was begun, so as to render H. liable for goods sold to D. in October, 1873.' But pur- chases before the partnership is formed may be ratified by the others by disposing of the goods for their own purposes after learn- ing that they were purchased on the credit of the supposed firm." § 7y. intention to form a i)Jirtnersliii). — A mere in- tention to form a partnership does not constitute one until an actual agreement is made.^ As where several persons contributed a fund and employed one of their number to buy a quantity of cotton, leaving the subject of sale for future arrangement, they are merely tenants in common, and the fact that they originally intended to sell and divide profits does not make them partners.'' So, the fact that several persons associated themselves to run a line of stage-coaches and had a general meeting, and debts were contracted oa account of the company, does not prove a partnership inter fip; hence one who paid the debts can sue the rest at law for contribution."^ § 80. Pnrcliases in contemplation of a partnership. — So, contracts made and liabilities incurred by individuals upon their separate credit and on their own account, under an iHall V. Edson, 40 Mich. 651. An Thebens, 19 La. Ann. 51G. See Lowe agreement by a firm of sf)ice dealers v. Dixou, 16 Q. B. D. 405, where all with a person to admit him to a share were held liable, in an investment, if his secret infor- spike v. Douglass, 3S Ark. 59; mation of changes in the tariff ob- Fleshmanu. Collier, 47 Ga. 253; West- tained from a congressional commit- cott v. Price, Wriglit (O.), 320. An tee prove true, is not a partnersliip. assumption of specified portions of Strong V. Place, 51 N. Y. 627; 4 Robt. the debt by the members is not an 385. For other examples of agree- assumption by tlie partnership, ments between parties to form part- Mousseau v. Thebens, 19 La. Ann. nerships to begin at a future date, 516. before which time one of them makes 3 Lycoming Ins. Co. r. Barringer, purchases in the name of all without 73 111. 230; Bourne v. Freeth, 9 B. «fc the knowledge of the others, for C. 632; Reynell v. Lewis, 15 M. & W. which they were held not liable be- 517. cause the purchasing party had not < Baldwin v. Burrows, 47 N, Y. 199, yet authority to bind them, see 207. Davis V. Evans, 39 Vt. 182 ; Gaus v. » Chandler v. Brainard, 14 Pick. Hobbs, 18 Kan. 500; Mousseau v. 285. 96 INCHOATE PARTNERSHIPS. § 80. agreement by whicli money or property so obtained shall, when procured, be contributed to a partnership to be formed between them, followed by the formation of the partnership and putting the money or goods into it, does not make the firm liable on these contracts, for the power of each to bind the others does not begin until the firm is created; the agreement being that each shall do certain things at his own expense and then become partners.' In Saville v. Robertson, 4 T. R. 720, several persons agreed to share the profit and loss of an adventure, but no one was to be re- sponsible for aDytliing ordered except by himself. The rest are not responsible for the goods ordered by one, for the partnership does not begin until the stocks are united. In McGar v. Drake (Tenn. 1877), 5 Reporter, 347, an agreement between Parker and Drake that Parker should buy McGar's hogs and Drake should buy those of another person, and put them to- gether in partnership when purchased, does not make Drake liable on the purchase to McG-ar. So, also, Webb v. Liggett, 6 Mo. App. 845, where L. and D. were to furnish' animals, tools and money to cultivate hemp, and G. was to furnish the land, superintend the crop as agent of L. and D., ship it to L. and D.'s commission mer- chant, who was to pay him one-tbird the profits. L. and D. are not liable for the rent of land leased by G. in his own name for the pur- pose. And in Valentine v. Hickle, 39 Ohio St. 19, each of three persons was to buy cattle on his own account, and upon each lot of cattle reaching the place of shipment the others could take an interest in it or not, as they saw fit; if they did, the cattle were to become part- nership property and to be shipped and sold on joint account; here neither became liable on the other's purchases, although the cattle < were accepted. In Coope V. Eyre, 1 H. Bl. 37, A., B., C. and D. agree that A. shall buy and they shall have aliquot parts of the purchase. This is iHeapu. Dobson, 15 0. B. N. S. 460; Baxter v. Plunkett, 4 Houst. 450; Smith V. Craven. 1 Or. & J. 500; Brooke v. Evans, 5 Watts, 196; Webb Coope V. Eyre, 1 H. Bl. 37; SaA'ille v. v. Liggett, (5 Mo. App. 345 ; Valentine Robertson. 4 T. R. 720; Young v. v. Hickle, 39 Ohio St. 19; Heckert u. Hunter, 4 Taunt. 582; Huttonv. Bui- Fegely, 6 W. & S. 139; McGar v, lock, L. R. 8 Q. B. 331; 9 id. 572; Drake (Tenn. 1877), 5 Reporter, 347. Vol. 1 — 7 97 § 81. NATURE AND FORMATION. not a partnership, for tlicre is no agreement to join in a sale; it is a sub-sale only. In Hutton v. Bullock, L. R. 8 Q. B. 331, affirmed in 9 id. 572, H., F. & Co., a London firm, were to "purchase" goods and send them out on "joint account" of themselves and H.,'B. & Co., a firm at Rangoon, each firm to charge a commission, one for buying and the other for selling. Plaintiff, who sold the goods to H., F. & Co., had no knowledge of the interest of H., B. & Co., and it was held could not charge them as undisclosed principals, the agreement not being to purchase on joint account, but to ship on joint account. In Gouthwaite v. Duckworth, 2 East, 421, B. & P., partners, being indebted to D., all three agreed to join in buying and selling goods, B. & P. to buy, pay for and sell them and remit the proceeds to D., who should deduct the amount of his debt and share profit with B. & P. All three were held liable to pay for goods bought by B., on the ground that the purchase was for the adventure and the adventure began with the purchase.' And in Saufley v. How- ard, 7 Dana, 367, H. and A. agreed to share profits of sales of goods to be bought by A. on his own credit, and A. bought, paying by a note in the firm name, and H. received the goods in boxes marked in the firm name, and both were held liable; and the provision that A. was to buy on his own credit was regarded as a secret restriction on liability. § 81. WliJit are not in futuro. — If, however, the contract of partnership either expresses an existing association, as distinguished from an executory agreement, or contemplates continuous proceedings to be begun immediately for the joint benefit, the intention is to create a partnership in pre- senti and not one in futuro. Thus, a recital that the parties " have entered " into a partnership, and fixing no time for its commencement, has been i«»)garded as in- tending an existing partnership. The facts in the case, however, showed that the parties actually acted as partners." In Aspinwall v. Williams, 1 Oh. 84, by the articles of partner- ship to operate a distillery, each partner was assigned the perform- ance of certain duties, at joint cost, in order to put the partnership 1 This case is very close. See, also, 2iQgraham u. Foster, 31 Ala, 123, Everitt V. Chapman, 6 Conn. 347. 98 INCHOATE PARTNERSHIPS. § 81. into operation. Thus, one was to build the distillery at joint cost, and the rest to furnish stills, worms and goods; there was no agreement as to the cost of any part, but that each was to be owner of the whole equally. They were held to be partners at once and not from the commencement of business, and all liable on a note made by one in the firm name.' In Lucas v. Cole, 57 Mo. 143, where both parties who had agreed to become partners were held liable for the purchase of goods by one on behalf of both for the purpose of conducting the partner- ship, the court, without saying as in the above case that the part- nership had already begun, placed their ruling on the ground that business preparatory to the business of the partnership binds both the partners. So in Atkins v. Hunt, 14 N. H. 205, subscribing at a meeting articles of association for trading called The Farmers' and Mechan- ics' Store, which articles prescribed that the business should be done by a majority of those present, constituted a present partner- ship or actual existing reality, and not a proposition to form one. The statute, however, provided that each subscriber should be a partner." In Adams Bank v. Rice, 2 Allen, 480, A. said to B. that he needed a partner so that in case of his death there should be some one to close up the business, and proposed to take B. in, paying him $1,500 the first year and a share of profits thereafter, and an agreement was executed accordingly, stating that the parties had this day formed a partnership as A. & Co., and sales were made and drafts drawn in the firm name, and each acted as a full partner; A. having died within the year, B. was held to be his surviving part- ner, although receiving a fixed sum. In Beauregard v. Case, 91 U. S. 134, B. was to lease a railroad, and he and M. & G. were to put in not to exceed $150,000 each, and run it until the profits repaid M. & G. their contributions, after which the profits would be divided. It was held that the post- ponement of division of profits did not prevent its being a present partnership, and liable for B.'s overdrafts on a bank to raise money to operate the railroad. In Drennen v. London Assur. Co. 113 U. S. 51, A. was to be ad- 1 See, also, Noyes v. Cushman, 25 Mich. 167, analyzed under the next Vt. 390, wiiich is very similar to section, this; aud Kerrick v. Stevens, 55 99 § 82. NATURE AND FORMATION. mitted into a business on the terms that the company would be incorporated and he should pay into the firm $5,000 for its use, which was to be put into the corporation, but no change in the name or character of the firm should be made until the corpora- tion was formed. This was held to mean that A. was not to act for or have an interest in the property until the corporation was formed. In Haskins v. Burr, 106 Mass. 48, defendant, desiring to secure plaintiff's services in his factory business, and plaintiff, desiring to secure an interest therein, made an agreement reciting these facts, and agreeing that plaintiff should be employed at a certain salary and should give his notes for a certain sum; that if certain mort- gages on the property were paid out of the profits, and if the notes were paid, the defendant would convey one-half of the business to the plaintiff. Before the notes or mortgages were paid, the de- fendant sold the property and thus incapacitated himself from ful- filling the contract; plaintiff thereupon claimed an accounting as partner from the beginning. It was held that his remedy was at law, for breach of contract, for the agreement was wholly execu- tory and he had no joint property in the capital or lien on the profits. § 82. same. — And the fact that the present tense or future tense is used in the articles will not be allowed to control a manifest purpose. Thus, in Kerrick v. Stevens^ 55 Mich. 167, the defendant was by the articles to furnish money and the others to do work in putting up a factory in which to manufacture a patented device, con- tributed by one as his capital, and when the factory was completed all were to be equal partners; and in an action before its completion, for the price of machinery furnished for the factory, where some of the defendants denied the partnership, it was held that to determine when the partnership began " the purpose must be derived from the nature of the agreement and not from the technical meaning of words as present or future, standing alone." It is quite proper to use future words as to the interest to be held in future property. It would be an " anomaly to have capital paid in and expended without any partnership existing." And in Goddard v. Pratt, 16 Pick. 412, a member of P. & Co. having died, several persons agreed to buy out his interest in P. & Co. and to be interested in the profits, the surviving members of P. 100 INCHOATE PARTNERSHIPS. g 83. & Co. to get the concern incorporated and then a copartnership to be formed; but it was held that the parties became partners, at least from the time of payment, and that the agreement was not executory. In Vassar v. Camp, 14 Barb, 341,' three partners agreed to convey to four other persons a half interest in the firm, and give them half the net profits, such profits to be applied to paying for the latter's shares of the business, and at the end of five years to con- vey the half interest, one-eighth to each, profit and loss to be shared. Here was a right to share profits and to use the capital, and an inchoate interest in the capital, and it was held to be a pres- ent partnership. § 83. Conditions precedent. — If the performance of certain things are conditions precedent to the existence of the part- nership, the parties are not partners until these are per- formed.^ In James v. Stratton, 32 111. 202, W. and S. were to buy cattle on joint account, and W. failed to furnish his share of funds, and S. borrowed the money, paid for all the cattle and shipped them in his own name, and a creditor of W. levied on his supposed interest in them; but it was held there never had been a partnership, and W. had no interest.' In Napoleon v. State, 3 Tex. App. 522, N. and R. agreed to be- come partners, with equal capital, in selling confectionery at a picnic, N. to buy the stock and manage the business; R. paid his share of the capital to N., who abandoned the enterprise and ^^ kept the money, and it was held that no partnership was consum- , mated, and, therefore, N. was liable for embezzlement. In Hobart v. Ballard, 31 Iowa, 521, plaintiff agreed to buy an in- terest in a business for Si, 500, of which he paid $1,295; but the terms were that he was not to share profits or be an acting partner until fall payment; and defendant having refused to let him be- come a partner, he applied for a receiver, and it was held that these facts were not sufficient to show a present partnership. In Jolmston v. Eichelberger, 13 Fla. 230, where A. sold to B. one-half his stock of goods, B. agreeing to pay half the cost and 1 Affirmed on other points in 11 N. 128, 142; Metcalf v. Redmon, 43 111. Y. 441. 204, noticed fully (§ 78, note). 2 Dickinsoa v. Valpy, 10 B. & C. * See, also, Stevenson v, Mathers, 67 111. 123. 101 § 84. NATURE AND FORMATION. charges to be incurred, not yet ascertained, in getting the goods, and they were then to sell the goods as partners, it was held that the property must pass before there is a partnership, and that the vendor could insist on payment first, and that slight circumstances, attributable to courtesy and confidence, would not be deemed a waiver of this condition. In Fox V. Clifton, 6 Bing. 776, an advertisement inviting sub- scriptions to shares in a company with a capital of £600,000, or twelve thousand shares, on terms to be settled in a deed, was re- garded only as an offer to form a partnership, and defendants subscribing and paying the first instalment as an assent to the terms. But as only seven thousand five hundred shares in all were taken, and of those only two thousand three hundred paid the first instalment, the defendants, who had never attended any of the meetings or in any way interfered as partners, were held not bound by the act of the directors in purchasing goods and employing labor, for they had assented to be partners in a concern raising £600,000 capital and governed by a deed never executed. The directors, therefore, acted before they had any authority to bind the defendants. See, also. Hedge & Horn's Appeal, 63 Pa. St. 273. § 84. Same. — But it seems that terms will not be treated as conditions precedent unless so expressed, or in their nature such aa to raise a presumption that they are so. Thus, in Durant v. Rhener, 26 Minn. 362, a contract between the firm of D. W. & Co., the plaintiffs, and R,, the defendant, that R. should put up ice for the southern market and plaintiffs should furnish the money, and plaintiffs were, on getting south, to look over the market and determine whether it was safe to put up ice, and they wrote to defendant to put up ice but never furnished any money, though ready and willing to do so had they been called upon; and defendant sold the ice at a profit of $2,500, in an ac- tion for an accounting of profits it was called a partnership in pre- sently and not one to begin when plaintiffs sent notice to the defendant to put up the ice, but, being contracted on Sunday, was held void. So where B. and H. wrote to B, and S. proposing that the latter should consider a shipment of three hundred bales of cotton \s on joint account, and B. and S. wrote, consenting, and requested B. and II. to designate and mark the cotton on joint account and ad- vise them when it was shipped, this constitutes a contract, and the 102 INCHOATE TARTNERSHIPS. g SO. request to designate and mark. is not a condition imposed in the acceptance, but a direction.^ In Guice v. Thornton, 76 Ala. 466, on an agreement to form a partnership, each to contribute $2,000, a charge to the jury that no partnership arises until the shares are brought together into a common venture, and until then one party cannot bind the rest by a note in the firm name, was held erroneous on the ground that a partnership is deemed to he in pref^entiiYova. the time of signing the agreement, unless the terms of the instrument rebut this presumption. The conditions may be subsequent ones by the terms of the agreement, as in Grady v. Robinson, 28 Ala. 289, where a partner- ship to speculate in Indian lands was agreed on at a meeting of the company, the number of shares were fixed, the interest of each member was allotted, and a specified sum required to be paid on each share, and each member was to relinquish to the company all interest then held by him in the lauds, and, on failure to comply, his interest was to be forfeited. A p3rson who had agreed to take the shares assigned to him was held to be a partner as to third per- sons who had purchased tracts from the company and now seek to divest the title, although he had not paid his instalment or relin- quished the interest held by him in the land. § 85. Oral conditions. — Whether oral evidence is admissible to show that a contract of present partnership was not to go into operation except upon a contingency depends upon the rules of evidence. That an oral condition cannot be engrafted upon them has been held,''and such is doubtless the law. On the other hand, parol evidence has been admitted to show that the articles were to be held by one of the signers until certain debts were paid.^ The cases are not inconsistent, for delivery being part of the execution of an instrument, the latter evidence went to show incomplete ex- ecution and not to contradict. § 86. Waiving conditions by launching. — Inasmuch as acting together as partners may constitute a partnership, though no written articles by agreement be entered into, so actually beginning the joint business or launching it to- iBrisban v. Boyd, 4 Paige, 17, 20. 2Dix v. Otis, 5 Pick. 38; Williama See Saufley v. Howard, 7 Dana, v. Jones, 5 B. & C. 108. 367. s Beall v. Poole, 27 Md. 645. 103 g 86, NATURE AND FORMATION. gether, although something remains to bo done or condi- tions to be performed by one or all, will constitute an immediate partnership inter se and as to third persons. This is, as it were, converting a condition precedent into a condi- tion subsequent. Thus, if partners agree to act together as such without waiting for the signature of an absent one to the articles, although they would not form a partnership without him, they become partners inter se thereby.^ So if a partner has not done all that he agreed to do, as where he fails to contribute all he had agreed to put in, but they go on, it becomes a partnership in presenti.^ In Cook V. Carpenter, 31 Vt. 121, B., of A. & B., partners in cat- tle dealing, proposed to take C. into the firm, to which A. agreed, provided B. and C. would furnish all the money necessary, and A. agreeing to do the selling and guaranty sales. C. accepted this proposition, but B. did not tell him that he and B. were to furnish all the funds. Stock was bought and all three signed the note, and A. having had to pay it sued B. andC. claiming that there was no partnership for want of a meeting of minds, and that he was surety only. But it was held that as both A. and C. agreed to be partners, and both understood that they were acting as such, and actually proceeded in the business, neither ought to claim the con- tract as he and not the other understood it, and in this dilemma the rule must be applied that persons who agree to become part- ners and actually act, are so, although they did not understand the conditions of partnership alike. In Gullich v. Alford, 61 Miss. 221, where Gr., who owned a mill and owed A., agreed with A. to convey half the mill to A., the debt being part payment, A. to repair the mill and G. and A. to form a partnership, and pursuant to this they ran the mill together for a time, dividing profits each day until A., being unable to pro- 1 Ontario Salt Co. v. Merchants' 2 stein v. Robertson, 30 Ala. 286, Salt Co. 18 Grant's Ch. (Up. Can.) 293; ILutman t;. Woehr, 18 N. J. Eq. 551; McStea v. Matthews, 50 N. Y. 383; Pitlmer u. Tyler, 15 Minn. 106; 166, and on the same instrument, Coggsvvell y. Wilson, 11 Oregon, 371; Hubbard v. Matthews, 54 N. Y. 43 ; Boyd v. Mynutt, 4 Ala. 79 ; Camp- 13 Am. Rep. 562. And see Wood v. bell v. Whitley, 39 id. 172; Jackson CuUen, 13 Minn. 394, where one v. Sedgwick, 1 Swanst. 460, See Per- partner had notsigned the articles but kins u Perkins, 3 Gratt. 3C4. •was held liable on a partnership note. 104 INCHOATE PARTNERSHIPS. § 88. cure a conveyance from G., abandoned the partnership and sued G. as for services, it was held that, having acted as partners and enjoyed the fruits of the enterprise in part as such, a conveyance could not now be claimed to be a condition precedent to full exe- cution, and A.'s remedy was in equity for an accounting. In Phillips V. Nash, 47 Ga. 218, a person purchased an interest in an existing firm, the agreement reciting a present and not a future conveyance of the interest, although it was also agreed that an ac- count of stock should be taken, and he should pay more if it exceeded an estimated amount. They were held to be partners from the time of conveyance, the law of sales governing the transaction. In Thurston v. Perkins, 7 Mo. 29, partnership articles were exe- cuted and the partners began to act as such, but gave it up after six weeks, finding that they could not buy goods on credit. The attempt to purchase was held an act of partnership, for the world cannot look to see if they actually traded, and notice of dissolution was held necessary to relieve one from liability on subsequent contracts. §87. payment for future partnersbip. — Bat mere payment of money in anticipation of a future partnership does not make the parties partners.^ So negotiations to admit E. as a partner were had, he to pay £2,000 to the partners as premium and " & Co." to be added to the old firm's name, and he paid the £2,000 and " & Co." was added to the name, but E. did nothing else and refused to be a partner. This is not sufficient to make him one, and he can prove in bankruptcy as creditor for his advance.'^ If all the acts proved are equally consistent with an intention to become a partner in a business to be afterwards carried on as with that of an existing partnership, it is difficult to say that there is evidence of authority in the rest to bind him.* § 88. Options to become partner. — Articles of partner- ship or agreements are frequently made stipulating that an employee or others of the firm may, after a certain time, become a partner, or may have an option to be a partner iHubbpll V. "Woolf, 15 Ind. 204; 3per Parke, J., in Dickinson v. Hoile V. York, 27 Wis. 209. Valpy, 10 B. & C. 128, 141 ; and tliia 2 Ex parte Turquand, 2 M. D. & D, was quoted and held to be the law in 339. Atkins v. Hunt, 14 N. H. 205. 105 § 88. NATURE AND FOR^IATION. from a prior period; or that one who loans money for the business may on or before a certain date elect to be consid- ered a partner from the beginning, letting the loan stand as capital. In all such cases there is no partnership either inter se or as to third persons until the election has been made.^ But the agreement must be bona fide, and not for purposes of concealment.^ Ill Sailors v. Nixon-Jones Printing Co. 20 111. App. 509, three persons, each owning a third interest in a business, made a con- tract called " partnership," by which two of them were to carr}' on the business at their own profit and loss and the other was bound to become a partner in two years. This was held not to be a partnership, because there was no community of profit and loss, and the third owner is not liable for debts incurred during the two years.* Where A, advances money to B. to be used in his business and takes notes for it, both agreeing that he might become an equal partner and the money become his capital if he desired, and B. carried on the business, taking more than half the .profits and crediting A. with interest, and A. expostulated, saying he was a partner and should liave profits and not interest, but B. continued to credit interest, upon A.'s bringing suit upon the notes, the court can hold that there is no partnership and the action lies.'' If, however, among actual partners there is a stipulation that one might at the end of a year or other period elect to be an em- ployee from the beginning, at a salaiy in lieu of profits, the exer- cise of such election is not a dissolution and a new" partnership, but inter se the other partners are regarded as a firm fiom the be- ginning." 1 Ex parte Davis, 4 DeG. J. & Sm. 2 See Courteuay v. Wagstaff, 16 C. 523; Gabriell v. Evill, 9 M. & W. B. N. S. 110. 297, and Car. & Marsh. 353; Price v. 3 A partnership may be contracted Groom, 2 Ex. 542 ; Howell v. Brodie, to take effect in the future or on 6 Bing. N. C. 44; Adams v. Pugh, 7 conditions. Avery v. Lauve, 1 La, Cal. 150; Williams v. Soutter, 7 Ann. 457. And this is an enforcible Iowa, 435; Moore v. Walton, 9 right. Handlin v. Davis, 81 Ky Bankr. Reg. 403; Irwin v. Bidwell, 34. 72 Pa. St. 244; Darling v. Bellhouse, ^ Morrill v. Spurr, 143 Mass. 257. 19 Up. Can. Q. B. 268; Hill v. Bell- 6 Bidwell v. Madison, 10 Minn. 13 house, 10 Up. Can. C. P. 123. 106 INCHOATE PARTNERSHIPS. § 85). § 89. Promoters of corporations. — Associates joining to form a future company, or the promoters of a corporation, are not partners while engaged in taking the necessary pi-e- Hminary steps; provided, of course, they do not begin the business, or contract or otherwise act as partners. They never have agreed to be partners at all;' and if one lends money or performs services^on a contract with the rest, he can recover from them at law.^ And if the board of whicli he is a member orders work done, he may be liable on the principle stated in §75;^ but unless the contract was by himself or an authorized agent, he is not liable merely from the fact of membership in the committee.'' 1 See, for example, Reynell v. been ruled in Holmes r. Higgins, 1 Lewis, 15 M. & W. 517; 1 Sim. N. B. & C. 74, but this is clearly not so. S. 178- Hamilton t'. Smith, 5 Jur. N. SDoubleday v. Muskett, 7 Bing. S. 32; West Point Foundry Ass'u v. 110. Brown, 3 Edw. Ch. 284; Sylvester 4 Bailey v. Macaulay, 19 L. J. Q. V. McCuaig, 28 Up. Cau. C. P. 448. B. 73; Wood v. Duke of Argyll, 6 2 Hamilton v. Smith, 5 Jur. N. S. Man. «& Gr. 926. As to the liability 32; Sylvester v. McCuaig, 28 Up. of stockholders in an abortive cor- Can. C. P. 443. The contrary had poration, see §§ 4-6. 107 CHAPTER V. BY HOLDING OUT OR ESTOPPEL, § 90. In general. — A person not actually a partner may- render himself liable as one by inducing people to act upon the faith of representations by him that he is a partner. Not being a partner, he is not liable generally, but only to those whom he has misled, the principle applicable being that of ordinary estoppel. These representations may be to a particular person, whose condact alone is influenced by them; or they may be assertions intended to be repeated and acted upon by third persons, as where defendant in- forms A. that he is a partner, and A. informs plaintiff, who supplies goods in reliance on the statement,^ as where he gives the information to a mercantile agency; or the repre- sentation may be still more general, as where he lends his name generally by permitting it to appear in the firm style, in which case he represents to the whole world that he is a partner.^ The representations need not be by himself, nor be abso- lute assertions. If he knowingly permits others to hold him out as a partner, or to convey the impression that he is one,^ or where appearances are held out justifying the be- lief, or there is a failure to contradict an impression or un- deceive a party, under circumstances calling upon the defendant not to remain silent. But while it is very difficult to distinguish between evi- dence that goes to show a person to be in fact a partner and that which proves a holding out, yet liability on the latter ground proceeds solely on the ground of estoppel, and the 1 Per Williams, J., in Martyn v. *Qui facit per alium, must face Gray, 14 C. B. N. S. 824, 841. it liimself. Punch. 2EYBE. C. J., Wuugh V. Carver, 2 H. Bl. 235. 108 BY HOLDING OUT OR ESTOPPEL. § 01. plaintiff, therefore, must have rehed upon the appearances, and therefore have known them at the time of contracting, which is not true of evidence tending to prove actual part- nership. Furthermore, to constitute an estoppel, the de- fendant must have been in fault by being a participant in the misrepresentation; the rights of dormancy of a secret partner may be destroyed by an unauthorized or accidental divulging of his membership by others, but a person not an actual partner cannot be made such by representations of others of which he was not aware. §91. Plaintiff's knowledge necessary. — A person being liable as a partner by holding out on the ground of estoppel solely, is therefore not liable to one who did not know of such holding out at the time of contracting. The holding out must antedate the contract, and the plaintiff's knowl- edge of and reliance on his alleged connection must be proved as of that time, for otherwise the plaintiff was not misled.' Thus, where T.'s name was signed to partnership articles, with- out his knowledge, by another, and he immediately withdrew it, but all the cards, letter-heads and circulars with his name on them were used until used up, and then his name was dropped, and it was in controversy whether he knew and consented or not; but as the plaintiff did not know of these representations, T. was held not liable as a partner.' iDe Berkom v. Smith, 1 Esp. 29; v. Jones, 7 B. Mon. 456; "VValrath v. Vice V. Lady Anson, 7 B. & C. 409, Viley, 3 Bush. 478 ; Grieff v. Bou- more fully reported in 3 C. «& P. 19; dousquie, 18 La. Ann. 631 ; Allen v. Dickinson v. Valpy, 10 B. & C. 128, Dunn, 15 Me. 292 (33 Am. Dec. 614); 140, per Parke, J. ; Baird v. Planque, Palmer v. Piukham, 37 id. 252 ; Wood 1 F. & F. 344; Pott v. Eyton, 3 C. B. v. Pennell, 51 id. 52; Fitch v. Har- 32; Martyn v. Gray, 14 C. B. N. S. rington, 13 Gray, 468; 8 Am. Law 824; Edmundson v. Thompson, 2 F. Reg. (N. S.) (388; Rimel v. Hayes, 83 & F. 504; Benedict v. Davis, 2 Mo. 200; Irvin u. Conklin, 36 Barb. McLean, 347; Thompson v. First 64; Cassidy v. Hall, 97 N. Y. 159; Nat'l Bank, 111 U. S. 530; Wright v. Cook v. Slate Co. 36 Oh. St. 135. 139; Powell, 8 Ala. 560; Vinson v. Bever- Kirk v. Hartman, 63 Pa. St. 97. idge, 3 MacArthur (D. C), 597, 601; 2 Thompson v. First Nat'l Bank, Bowie V. Maddox, 29 Ga. 2^5; Hef- 111 U. S. 530. ner r. Palmer, 67 III, 161 ; Maikhara 109 § 92. NATURE AND FORMATION. J. conducted a shop for E., paying hini a percentage on sales. J/s bank account was in his own name, and he overdrew and the bank sued E. as a partner of J. The licenses to sell were in E.'s name and his name was over the door; but the bank did not know this and had never treated J. as being a partner of E. A verdict for E. was held justified.' The plaintift" may have known of the holding out from third persons who have repeated to him the defendant's declarations to them or related his acts.* And even if there was a holding out, but plaintiff knew the terms on which the defendant was employed, there is no estoppel, for he was not misled.' § 92. doctrine of a holding out to the world is errone- ous. — There is a statement attributed to Lord Mansfield, that if the holding consists in permitting the use of one's name in the firm, this being a holding out to the whole world, there is a liability to the whole world, even to those who may not have known the fact.'' This is entirely inconsistent with the doctrine of the foregoing section, and rests pn no principle, and must be con- sidered as exploded. Nevertheless it had, for a time at least, some influence upon the law, and there are some decisions (see the next section) which may seem to incline that way. It was these decisions that led Mr. Parsons, in his admirable work upon partnership," to frame a most ingenious rule that a person held out by his own negligence merely is liable only to those who knew and trusted the appearance, but that a person held out by his own consent and connivance is conclusively presumed to be a part- ner to all customers; and this rule was approved and adopted from Mr. Parsons' work by the court of appeals of New York.* 1 Pott V. Eyton, 3 C. B. 33. Lord Mansfield seems to have ruled 2Maityn v. Gray, 14 C. B. N. S. that Mrs. Axtell was liable be- 824, 841 ; Shott V. Streatfield, Moo. & cause she permitted her name to be Rob. 9. used as a member of the firm on bills SAlderson v. Pope, 1 Camp. 404; sent to customers and in the business. Pratt V. Laiigdon, 97 Mass. 97, 100; altbougli the plaintilT did not know but see Stearns v. Haven, 14 Vt. 540, of it. See the criticism of Mr. Smith, 546; and proof of subsequent acts in Waugli u. Carver, 1 Smith's Lead, and declarations to third persons Cas. 507, and Wood v. Pennell, 5l were admitted in Poole v. Fisiier, G3 Me. 52. 111.181. 5 Pars. Part. p. 119. < In Young v. Axtell 2 H. Bl. 242. ePoiilon v. Secor, 61 N. Y. 456. In 110 BY HOLDING OUT OR ESTOPPEL. g 93. § 93. Criticism and suggestion. — If there is anything left of Lord Mmsfield's rule, it cannot be as broad as that adopted by the New York court. The rule there attempted to be laid down might have been more plausibly stated, thus: The permitted use of a person's name in the firm style is proof of an actual and not nominal partnership. This renders such person liable independent of knowledge of the dealer, and yet does away with the groundless and harsh conclusive presumption attending every kind of inten- tional holding out, and with the mischievous vagueness of adistinc tion between holding out by consent and by negligence. Ever. this suggested proposition is probably not the law, but it is not easy to settle it conclusively, because, where a person's name is in the firm, the plaintiff is sure of being aware of the holding out at the time of the contracting, and hence the point would not be pre- sented to the court for decision, and the dicta are against it.* The rule, however, in Poillon v. Secor is objectionable. Acts and declarations of the alleged partner before third persons and unknown to plaintiff may be proved by him if they are evidence of an actual partnership, but if insufficient to prove an actual part- nership he must show a knowledge of and a justifiable reliance upon them on his part, at the time of giving credit to the firm, in order to charge the person as partner. '^ Moreover, the rule as stated in that case seems to confuse evidence of an actual partnership, and evidence of a holding out. The holding out may be inten- tional as to the one or two persons without extending to others, which the rule does not recognize; and if negligence can constitute the estoppel, a holding out by negligence may be to the whole world as well as to a few. this case Secor allowed his name to 90, 94. The supreme court of the be used in a smelting business with United States in Thompson v. First Swan, a well known worker of ores, Natl. Bank, 111 U.S. 529, criticises as Secor, Swan & Co., and it appeared Poillon r. Secor as the only Ameri- on bill-lieads. aiU^ertisenients, etc. can case sustaining the doctrine, and The plaintiff gave credit to the firm says the notion arose from a state- without knowing of the holding out ment attributed to Lord Mansfield, or trusting it upon Secor's account, doubtless referring to the one in the and Secor was iield liable for the text, above reasons, adopting Mr. Parsons' i See § 102 and § 1147. rule. Tlie same ruling was made in 2Fitch v. Harrington, 13 Gray, Pringle v. Leverich, 16 Jones & Sp. 468; 8 Am. Law Reg. (N, S.)688. Ill § 94. NATURE AND FORMATION. § 04. Probable explanation of the cases.— Tlie proper explanation of the cases given below lies rather in the re- garding representations to the world generally of the fact of partnership, sach as using the name in the firm style or per- mitting it to be over the door, and statements to or author- izing commercial agencies to announce it, as evidence for the jury of the fact of partnership; and if it falls short of proving that fact, the degree of publicity is evidence cor- roborating plaintiff's probable knowledge of it at the time he gave credit, ^ and with knowledge the usual principle ap- plies, that in trusting the firm he is presumed to trust every member of it.^ In Wheeler v. McEldowney, 60 111. 358, plaintiff sued A. and B. on a note for work done by him signed by A. in the name of A. & Co., and on proof that a title bond for the purchase of the mill had been given, made to A. and B., "composing the firm of A. & Co.," with the knowledge of B., who made most of the payments and frequently visite.l the mill, the plaintiff was allowed to hold B., although it was testified that he never had been a partner, on the ground that he had held himself out as such to the public and for reasons of public policy. In Poole V. Fisher, 62 111. 181, M. had told a mercantile agency that he was a partner, and F. at the time of purchasing the goods had said the same, as had also M., and he was held liable on the debt; the court say that he is liable to third persons generally. In Thompson v. First Nat'l Bank, 111 U. S. 530, 537, it was said that there might be cases where the holding out was so public and so long continued that the jury could infer that the plaintiff knew of it; and in Bowen v. Rutherford, 60 III. 41 (14 Am. Hep. 25), it was said that there must be such publicity to the holding out as to afford a presumption that the creditor knew of it, otherwise he must prove credit given on the faith of it.^ 1 Dickinson v. Valpy, 10 B. & C. Wood v. Pounell, 51 Me. 53. And see 128, 140, where Parke, J., says, "if hereafter under Evidence, it could be proved that the defendant -! Booe v. Caldwell, 12 lad. 12; held himself out — not to the world, Rizur v. James, 38 Kan, 221. And ■for that is a loose expression, but to see Contract with one partner, the plaintiff himself, or under such 3 And see Hefner v. Palmer, 67 111. circumstances of publicity that the IGI; Benedict u. Davis, 2 McLean, plaintiff knew it and believed him to 317, 350. be a partner, he would be liable." 112 BY HOLDING OUT OR ESTOPPEL. § 90. A person representing himself to a few third persons as a part- ner is not such a hokling out to the worhl as to render him liable to one who did not know of the representations.' In Casco Bank v. Hills, 16 Me. 155, a notice by surviving part- ners that the business of the late firm would for the present be carried on in the same name by a designated one of their number, who is duly authorized to settle all matters, was held to make them all partners by holding out to the would, and liable on a note in the firm name made by such designated partner, § i)5. Defendant's knowletV^'e. — To estop a person to deny that he is a partner, the act of holding out must be volun- tary on his part. Merely being held out as partner by an- other, without knowledge of it, creates no liability; for no estoppel arises where he is not in fault. The unauthorized use of one's nauie by another, who does not know of it, or not under such circumstances as to be called upon to con- tradict the false appearances, is not a holding out by himself and creates no estoppel to deny partnership. A holding out must be by his own admissions, assent or acts. Thus, that directors placed the defendants' n^mes on the list of partners, without their knowledge, and the plaintiffs trusted to those named on the list, does not make the defendants in any way liable. "-^ § 96. Acqniescence. — But no particular mode of holding out is necessary. If he knowingly consents to being repre- sented as a partner, no matter how, he is liable; and his knowledge and consent may be inferred from circumstances.' And if he is held out with his consent, or in his presence, or after his culpable silence, he is liable to those misled thereby.* What constitutes culpability in remaining silent, 1 Markbam v. Jones, 7 B. Mon. 4r)6 ; ler, 24 Mo. App. 76 ; Bishop v. George- Vice V. Lady Anson, 7 B. & C. 4p9; son. 60 111. 484; Campbell u Hastings, 5 C. & P. 19; Benedict v. Davis, 3 29 Ark. 512; Cassidj' v. Hall, 97 N. McLean, 347. Y. 159; Denithorne v. Hook, 112 Pa. 2 Fox V. Clifton, 6 Bing. 776; 4 M. St. 240; Benjaraiu v. Covert, 47 Wis. 6 P. 718 ; Hastings v. Hopkinson, 28 375, 384. And see Gay v. Fretwell, 9 Vt. 108, 114; Swanu v. Sanborn, 4 Wis. 186; Pott v. Eyton, 3 C. B. 32. Woods, C. C. 625; Re Jewett, 7 Biss. 3 Holland v. Long, 57 Ga. 36. 528; 15 Bankr. Reg. 126 ; Cole z?. But- 4 Nicholson v. Moog, 65 Ala. 471; Vol. 1 — 8 113 § 97. NATURE AND FOR^IATION. SO as to justify an inference of acquiescence, must depend on the facts of each case. g 1)7. illustrations. — In Potter v. Greene, 9 Gray, 309, a paragraph appeared in a newspaper, to which Greene was a sub- scriber, stating that a company of gentlemen had bought the Saga- more Thread Co. 's property, and that Greene was one of them, and was to be in charge. The paragraph did not purport to be inserted by the partnership, and it was held not admissible as evidence of a holding out, though Greene never requested a retraction. It was doubtful whether he ever knew it; but the court said that if he did see it, they were of opinion that he was under no obligation, legal or moral, to give it a contradiction. In Newsome v. Coles, 2 Camp. 617, three brothers had been part- ners, after their father's death, as Thomas Coles & Sons, and dis- solved; two of them going into a new business, and one continuing the old business in the old name; due notice of dissolution was published. A person who had never dealt with them gave credit to the single brother, and on seeking to hold the other two as partners, it was held that the latter were not bound to take any steps to prevent the use of the old name. (See § 100, infra.) In Polk V. Oliver, 56 Miss. 566, 570, it is suggested that a person knowing he is held out as a partner by another is not bound to interfere; but that if he was once a partner, and his notice of with- drawal was not very extensive, he cannot allow the world at large to be ignorant of the unauthorized use of his name.* In Wright v. Boynton, 37 N. H. 9, a person appointed as agent to transact all business for the defendant, added a person as part- ner of the principal without authority, and it being sought to hold the principal for the acts of such person, it was held that the principal was not exonerated by mere silence; that he must dissent or give notice in a reasonable time, or assent will be presumed; and that a person knowing he is held out as a partner must publicly disclaim it. Craig V. Alverson, G J. J. Mar. 609 ; this comes to the plaintiff's knowl- Wood V. Pennell, 51 Me. 52; Kritzer edge, before selling, although the V. Sweet, 57 Mich. 617. plaintiff had not previously heard 1 And see Wood v. Pennell, 51 Me. that he was a partner, but there had 52. And so if a retired partner been no notice of dissolution. Ben- knowingly allows a reputation to ex- jam in v. Covert, 47 Wis. 375, 384. ist that he is still in the firm, and 114 BY HOLDING OUT OR ESTOPPEL. § 98. In Tlirasen v. Lathrop, 104 Pa. St. 3G5, the city directory gave Domenec Ilimseii as a partner, whereas he was only manager, and his son Domenec 0. Ihmsen was the partner; and the court said this coiikl not be received without evidence that he had seen it and made no effort to have it changed; but that if he did object and re- fused to pay for the directory until corrected, and a promise was given to correct it the next year, the jury could give no weight to the evidence. In Rittenhouse v. Leigh, 57 Miss. 697, the defendant, on hearing she was held out as a partner, remonstrated, and the firm promised to withdraw her name; they broke the promise; but she was not shown to have been aware of this, and the court said she was not compelled to do more than make the request. In Bowie v. Maddox, 29 Ga. 285, it was held that the fact that defendant manifested surprise when told that he was regarded as a partner is not competent evidence, for it is a mere declaration, by acting, in his own favor. § 98. Prior iiiiknowii acts of liolding out. — Estoppel being the sole ground upon which a person c?ai be charged as a partner by holding out, and not the doctrine of a general liability by a holding out to the world, independent of the plaintiff's knowledge, it would follow that acts of holding out, of which the plaintiff was unaware, cannot be admitted even to corroborate the acts known and relied upon. The plaintiff cannot show all the acts of the defendant and prove afterwards what came to his knowledge.^ 1 Rimel v. Hayes, 83 Mo. 200, 209. occasion Harrington made a similar Nevertheless several of the few cases note, and Hill remonstrated and in which this apparently obvious made Harrington promise not to use principle was brought directly to the ^^'^ name so as to hurt him ; and this attention of the court seem to have ^as construed to mean not to use disregarded it. In Smith v. Hill, 45 ^^^ °ame beyond an ability to indem- Vt. 90 (12 Am. Rep. 189), Harrington nifj !"•». a risk that Hill ran and gave a note signed Hill & Co. with- not those who received the paper, out Hill's authority, Hill not being See, also, Slader. Pasciial, 67 Ga. 541. his partner, and the payee took the In Conklin v. Barton, 43 Barb. 435, note on the credit of Hill's name, plaintiff sued the defendants as part- and it was held that he could prove ners for liquor sold by him to one of prior acts of holding out by Hill of them. He failed to prove a partner- which he was not aware at the time ship between the defendants, but he took the note; as that on a prior proved acts of holding out prior to 115 § 99. NATURE AND FORMATION. § 99. What constitutes a holding out.— Owing to the fact that the question of holding out is for the jury, there must, be conflicting findings upon very similar facts; and Mr. Justice Lindley' has given an excellent example of this in Wood V. Duke of Argyll, 6 M. & Gr. 928, and Lake v. Duke of Argyll, 6 Q. B. 477. Nevertheless, the courts have fre- quently passed upon the sufficiency and even relevancy of evidence, and from these may be gathered some principles as well as illustrations. If a person is authorized by a firm to hold himself out as their partner, and does so, this is a holding out by the part- ners of themselves as his partner.* The acts or language must reasonably import member- ship in the firm and not merely an interest, for a person may have an interest in the firm without being a partner and have a right to announce that fact; the question is, what does the language used import, and not what inter- pretation the creditor placed upon it. Thus, the name of a firm over a store, and used by a person man- aging the store, may be evidence that he is their agent, but is not the slightest that they are his partners.^ So where partners are trying to bolster up the credit of a corporation and invite persons to trust it by saying '' we are the company," and that the firm backed the company, and by other assurances of an interest in it, whatever be the liability of the partners as guarantors or promis- ors, this is no holding out of a partnership with the corporation.* So in an action against two persons as partners in an opera house to collect the amount of printing bills, neither the statements of one of the defendants that he was going into the business, nor the fact that he did an auction business in the same building and sold tickets for the opera and was its treasurer, and announced as treas- urer on the bills, are calculated in any degree to give the impres- sion that he was a partner.' So advertising thus, "from the first the sale. Evidence that both the de- i Partnership, vol. 1, p. 53. fendants gave the bond to obtain a 2Hinnian v. Littcll, 23 Mich, 484. tavern-keeper s license was admitted 3 Gilbraith v. Lineberger, G9 N. Ca. as corroborative of the acts of holding 145. out, although unknown to the plaint- < McLewer v. Hall, 103 N. Y. 639, iff at the time of making the sales, » Parker v. Fergus, 43 111, 437. 116 BY HOLDING OUT OR ESTOPPEL. § 100. instant B. has an interest in our establishment; we trust with his additional aid we shall be able to offer further inducements," etc., signed F. & Co., was held not to be a declaration of partnership, because not implying that B. was a member of the firm; in fact, the use of "we" and "our" and "his" seems to repel the implica- tion.' But the person need not be designated by name; a pertinent de- scription, sufficiently identifying him, given by his authority, is sufficient." The expression of an intention or willingness to become a part- ner is not a representation that he is one.^ § 1 00. retaining tlie old name. — Where, after a duly- published dissolution, the continuing partner retains the old name with the acquiescence of the retired partner, with or without the fact that the latter remains in the store, this is sufficient evidence of a holding out to any person misled.* It is to be remembered here, however, that when a firm is dissolved by the death of a partner, this act of nature must be taken notice of by the whole world, and no notice of dis- solution is necessary to release his estate, from liability on subsequent contracts, nor does the continued use of the old nam^ by the surviving partners charge it or the executor with liability. The doctrine of holding out has no appli- cation; it is like the case of a person held out without his knowledge. Nor if the executor continue business under 1 Vinson v. Beveridge, 3 MacAr- Dorn, 34 Ga. 213, Especially where thur (D. C), 597. it is the principal part of tlie firm 2Martyn v. Gray, 14 C. B. N. S. name and is retained by consent, 824, 841. Speer v. Bishop, 24 Oh. St. 598. That 3 Bourne v. Freeth, 9 B. & C. 632; merely keeping the old name over Reynell v. Lewis, 15 M. & W. 517. the door is not sufficient of itself to And see § 79, supra. render the retired partner liable, 4 And see Notice of Dissolution. Boyd v. McCann, 10 Md. 118. See Re Krueger, 2 Low. 66; 5 Bankr. Newsome r. Coles, §97, sitpra. And Rrg. 439; State v. Wiggin, 20 Me. the fact that persons dealing with 449, Tregerthen v. Lohrum, 6 Mo. business houses pay very little atten- App. 576; Jordan v. Smith, 17 Up. tion to their letter-heads was re- Can. Q. B. 590, with a change of marked upon by Campbell, J., in name from S. & P. to S. & Co. ; Wait Hastings Natl. Bank v. Hibbard, 48 V. Brewster, 31 Vt. 516; Fleming u. Mich. 452, 456. 117 § 101. NATURE AND FORMATION. the old name, for he cannot pledge the general estate unless explicitly authorized so to do. § 101. language amounting to holding out. — So the employment by the owner of a business of a person on a share of the profits, and using " & Co." after the owner's name, was held a hold- ing out as to the landlord, who believed the clerk to be a partner; ' but the clerk's use of ''& Co." after his employer's name may not be a holding out of himself as partner.'' Taking part in the transaction of business in such a way or by the use of such language as to lead one trusting the firm to believe the defendant was a principal;' or silence when introduced or re- ferred to as a partner,** or as one who would be a partner after a certain date, and goods were then sold to the new firm to be paid for after that date; ^ or using the word we, or speaking of the busi- ness as his;* but such expressions alone are manifestly very weak evidence, for they may naturally refer to the party's actual interest as clerk or employee.'' In Ihmsen v. Lathrop, 104 Pa. St. 365, Domeneck 0. Ihmsen was a partner and his father, Domeneck Ihmsen, was employed in the firm as its manager, with power to sign the firm name to checks, notes, etc., and this fact of his using the firm name with the nearly identical name was held to render him liable by holding out on a note signed by him in the firm name, without other evi- dence, although the exercise of a power to sign the firm name does not ordinarily require the statement that the signer is not a part- ner. In Cassidy v. Hall, 97 N. Y. 159, the facts that employees re- ceive a share of the profits as compensation, have large powers, and are exceptionally active in their efforts to place the concern on a 1 Brown v. Pickard (Utah), 9 Pac. < Barcrof t v. Haworth, 29 Iowa, Rep. 573; French v. Barrow, 49 Vt. 462; Manson, Town of, v. Ware, 63 471. Iowa, 345; Burgan v. Gaboon, 1 Pen- 2 Edmundson v. Thompson, 2 F. & nypacker (Pa.), 320 ; Lewis v. Alex- 'f. 564. ander, 51 Tex. 578. 3 Sun Ins. Co. v. Kountz Line, 122 SBHss v. Swartz, 7 Lans. 187; 64 U. S. 583; Bruginan v. McGuire, 32 Barb. 215. Ark. 733; Sherrod v. Langdon, 21 ewooilward v. Clark, 30 Kan. 78: Iowa, 518; Parsliall v. Fisher, 43 Thomas v. Green, SO Md. 1; Ri(pey Mich. 529; Smith v. Smith, 7 Foster v. Evans, 22 Mo. 157; Gates v. Wat- (N. II.), 244; Shafer v. Randolph, 99 son, 54 Mo. 585. Pa. St. 250. 7 See Cassidy v. Hall, 97 N. Y. 159. 118 BY HOLDING OUT OR ESTOPPEL. § 103. good basis with a view of ultimately buying it out, were held not to be so inconsistent with their relation as employees as to constitute them partners, though accompanied by declarations as to its finan- cial responsibility, sufficient to constitute a guaranty. In Town v. Hendee, 27 Vt. 258, employing one as agent to sell only and not to buy, and writing to plaintiff that " whatever goods were sold to such agent to be sold in the store with our goods he can pay for out of the avails of the goods," does not hold out the agent as authorized to buy in the employers' names, but merely agrees that the proceeds of their own goods may go to pay for the agent's purchases for himself. In Saufley v. Howard, 7 Dana, 367, the fact of receiving the goods, for the price of which the note in suit was given, in boxes marked with a firm name composed of defendants' names, was held sufiicieut evidence of a holding out. In Humes v. O'Bryan, 7-i Ala. 64, 83, it was said that the fact that two persons were actually partners in a planting or farming business was a link in the evidence to prove that one of them was held out as the other's partner in a store. § 102. In tort. — Liability arising from holding out is not confined to actions on contract, but may arise in torts, as for deceit and false warranty in a sale of sheep, in which sale defendant participated,^ or for damages to a horse and buggy let to the supposed firm.^ In Stables v. Eley, 1 C. & P. 614, a retired partner's name was used by the continuing partners, and remained upon a wagon used by them, and one of their drivers negligently ran over the plaint- iff. The retired partner was held liable. Where is the estoppel in such a case? Can the plaintiff show that he would not have been run over but for the name? That he was induced to sue a wrong party does not seem sufficient, for it would apply to a holding out after the accident.* § 103, Confers no rights inter se. — Nor does a holding - out confer any rights between the partners as against each 1 SheiTod V. Langdon, 21 Iowa, the doctrine that a name in the firm 518. style is proof of actual and not nom- 2 Maxwell u. Gibbs, 33 Iowa, 32. inal partnership, if such were the ^ The case might be sustained on law. See § 98. 119 g 104. NATURE AND FORMATION. other in relation to the property in the absence of liabihty inter se for misconduct. The nominal partner, who has paid some of the debts, is a mere simple contract creditor of the person or firm whose debts he discharged and has no lien upon the assets, but must pursue his remedy at law like any other creditor.^ Hence, an employee who knows he is not a partner, but is being extensively held out and trusted as such, is not enti- tled to an injunction and receiver to prevent misapplication of the funds, and for an adjustment of the affairs of the firm, though he is liable for debts, for he has no lien." Hence a partner, by holding out, has no lien, and therefore the joint creditors obtain through him no priority in the distri- bution of the supposed joint assets over individual creditors, for there are no joint assets.^ § 104. Strangers, how affected. — From the fact that the liability is only to those who gave credit, it follows that persons who give no credit cannot take advantage of the acts, nor are bound by them. Thus, a creditor of one held out as a partner, but not really such, cannot sustain an attachment on the goods of the supposed firm against the debtor who has no interest in them.* In Barrett v. Smith, 17 111. 565, S., a banker, under the name of S. & Co., employed a teller, who gave bond for fidelity in his office with defendants as his sureties. S. afterwards held out one W. as his partner, and it was held that the defendants had a right to sup- pose that a new firm had been formed and that they were no longer answerable on the bond, and may therefore have relaxed their vig- ilance over the teller's conduct, and were not liable. The force 1 Stone V. Manning, 3 111. 530; from the reach of creditors, an in- Glenn v. Gill, 2 Md. 1. junction and receiver would be 2 Kerr v. Potter, 6 Gill, 404; Nut- granted. tingu Colt, 7 N. J. Eq. 539. In the 3 Glenn v. Gill, 2 Md. 1; Kerry, latter case, however, p. 543, it was Potter, G Gill, 404, on the same part- said that if there were evidence that nership. the other partner had betrayed the ■* Allen v. Dunn, 15 Me. 292; 33 complainant's conhdence and showed Am. Dec. 614; Partridge V. King- a disposition to withdraw the assets man, 130 Mass. 476. 120 ' BY HOLDING OUT OR ESTOPPEL. § 105. of the case as an authority is, however, dimiuished by the fact that W. was an actual partner.* § 105. Creditors, how affected — Reputed ownership. — A doctrine called that of reputed ownership arose under a pro- vision of the English bankrupt law requiring property in the possession, ordei* or disposition of a person as the re- puted owner, with the consent of the real owner, to be treated as the property of such possessor. Under this doc- trine, if an owner of property holds out others as his part- ners, the creditors of the supposed firm can demand a distribution of the property as if there were an actual part- nership, and thus retain the priority on distribution which they may have relied upon. We have seen that the osten- sible partner may be regarded as the sole owner of the joint property, but not on distribution in bankruptcy under this clause, for the possession of one partner is not inconsistent with ownership in his firm, each partner being himself an owner; but a sole owner who holds the goods out as belong- ing to his firm makes a reputed ownership inconsistent with the actual, and is held to the appearance he has cre- ated. In Be Rowland, L. R. 1 Ch. App. 421, C. contracted to employ R. on a salary and share of profits, they to become partners in the future, and the business to be in the name of C. & Co. Both be- came bankrupts. The property which belonged to C. was applied to the joint creditors. The court say that reputed ownership has nothing to do with the case; but in Ex parte Hay man, 8 Ch. D. 11, it is said that reputed ownership is the real reason for that decision. ila Somerset Potter Works v. have rights and are therefore sub- Minot, 19 Gush. 592, 595-6, where ject to the correlative right of pri- creditors of a firm desiriug to share ority of separate creditors in the imri passu with the individual cred- separate estate. The contrary, how- itors of one partner in his separate ever, was ruled in a case equally property, which would yield more strong on the facts as to the cred- than the firm assets, offered to prove itors, though the person held out that the firm was nominal merely; knew he was no partner. Kerr v. but the court said that as the parties Potter, 6 Gill, 404, and Glenn v. Gill, had assumed to be partners and dealt 2 Md. 1. as such, persons dealing with the firm 121 § 105. NATURE AND FORMATION. Where partners, by secret arrangement or by their articles, each own a specific part of the stock, and there is no joint ownership, the doctrine of reputed ownership applies, and, as to creditors without notice, the assets will be regarded as joint. Hence a mortgage by one of his interest, to secure an individual debt to his partner, will be postponed to claims of joint creditors on distribu- tion; ' and so if the partners divide up the assets but continue to hold and deal with them as joint property, subsequent joint debts will be held superior on distribution to rights derived from the in- dividuals.'' But apart from this provision of the bankrupt law, the doctrine of estoppel which applies to the partnership does not apply to change the title to its property, and if the part- ners are estopped, the individual creditors of the actual owner are not estopped to obtain a lien upon the assets as against the creditors of the business establishment or sup- posed firm. Again, the creditors' priority arises out of and 1 Elliot V. Stevens, 38 N. H. 311. 2 Molina Wagon Co. v. Rummell, 2 McCrary, 307 ; 12 Fed. Rep. 658 ; 14 id. 155. And see Birksu. French, 21 Kan. 238; Hamill v. Willett, 6 Bosw. 533; Grasswitt v. Connalij'-, 27 Gratt. 19; Ee Tomes, 19 Bankr. Reg. 36. This doctrine has also been placed upon the ground of estoppel ; creditors having relied not merely upon the personal responsibility of tiie nominal partners, but upon an expected priority in the partnership pro[)erty, and on this ground the actual partner and those claiming under him, as his assignee for the benefit of creditors, have been lield estopped as against such creditors to deny the partnership and the conse- quent preference in the distribution of its assets of those who trusted the supposed firm. Kelly -y. Scott, 49 N. Y. 595. And see Hillman v. Moore, 3 Tenn. Ch. 454. In Williams v. Butler, 35 111. 544, Mrs. A., living in Massachusetts, gave her son general power of attor- ney to manage and invest for her in Chicago. He made a partnership be- tween her and W. as W. & Co., which was carried on for two yeara without her knowledge, she merely taking such sums or profits as were sent to her. X., an individual cred- itor of W., having levied upon the effects, W. and Mrs. A. confessed judgments in favor of one R. and others, and R. filed a bill asking to have the proceeds of X.'s execution applied to their judgments, Mrs. A. filing an answer admitting the part- nership and concurring in the prayer. The prayer was granted, on the ground that ratification of the agent's act established a partnership, and, tliough generally ratification will not relate back to cut off intervening rights, yet for the protection of a clearly superior equity it would do so. 122 BY HOLDING OUT OR ESTOPPEL. § 107. through the equity of each partuer to have the debts paid with the assets, and as a nominal partner has no such equity, it follows that the business creditors have no prefer- ence over the avowedly individual creditors of the actual owner of the business independent of the provisions of the bankrupt law.* In Hillman v. Moore, 3 Tenn. Ch. 454, a separate creditor had obtained a legal right by levy on and sale of the property under a judgment against the actual owner, and his title was held superior to that of the reputed partnership's creditors. Kelly v. Scott, cited in the previous section, is distinguished on the ground that the es- toppel upon the partners reached those who claimed through them, to wit, the assignee for creditors. § 106. Individual using a firm name. — Where a person carries on business in a firm name without having a part- ner, the same reason applies as in case of a nominal part- ner, and creditors of the supposed firm have no priority over his other creditors on distribution.^ And a partner may make himself severally liable by holding himself out as the only member of a firm.' § 107. Two firms using same name. — There is another species of holding out which occasionally occurs, as where there are two firms of the same name and in the same kind or a similar kind of business in the same locality. If the two houses are composed of the same individuals, they are in law 1 Swan V. Sanborn, 4 Woods, C. C. iDartner, and the mortgaged property 625 ; Glenn v. Gill, 2 Md. 1 ; Hillman as partnership property, from show- V. Moore, 3 Tenn. Ch. 454; Graben- ing, as against subsequent attaching heimer v. Rindskoff, 64Tex. 49. And partnership creditors, that the mort- see Kerr v. Potter, 6 Gill, 404. And gagor was not really a partner, and for this reason an assignment for the that the mortgage is therefore the benefit of creditors, preferring sepa- prior lien. Taylor v. Wilson, 58 N. rate to business creditors, has been H. 465. upheld by the actual owner incase sgcuU's Appeal (Pa. 1886), 7 Atl. of a nominal partnership. Whit- Rep. 588; Miller u Creditors, 37 La. worth V. Patterson, 6 Lea, 119. And Ann. G04; 2 Bell's Com. on Law of a mortgagee of a person is not pre- Scotland, 625. vented by the fact that the mort- ^Bonfield v. Smith, 12 M. & "W. gagor holds himself out to others as a 405 123 § 107. NATURE AND FORMATION. but one firm; but if there is a partner in one who is not in the otlier, they are distinct firms. In the latter case it may be difficult to tell which is liable.^ The intent when the difference is known will govern, if ascertainable; or if the controversy grows out of a transac- tion in the scope of the business of one firm and not of the other, or a purchase suitable to one and not to the other, or if the avowed purpose of the contract points to one firm, these facts will be final; - or if one of the firms has gone out of business, that identifies the other as the debtor.' If two persons have two kinds of business with a dormant part- ner in one of them, a note in the firm name has been held presum- ably to be by the firm not containing the dormant partner.* But it sometimes happens that a person is deceived by the name and circumstances into beUeving he is dealing with the firm he ia not dealing with, and in such cases he can hold the other firm.* Where a father sold out his busine&s to his son, of the same name, and advertised the fact, and a person who had never dealt with the concern before, came to the store and sold, he cannot hold the father; the old signs and letter-heads were used, but as he did not know their significance, he was not misled by them, nor even if he knew the father had once owned the store.^ But to a former dealer without notice of the dissolution, the father is liable.'' 1 Lord Kenyon in the last century, 452 ; Mechanics' & Farmers' Bk. v. in Baker v. Charlton, Peake, 80, de- Dakin, 24 Wend. 411; Re Munn, 3 c-ided tliat if several firms had the Biss. 442. same name, a partner in one could » Jones v. Parker, CO N. H. 31. not show that a bill in the firm name * Fosdick v. Van Horn, 40 Oh. St. Avas drawn on account of the part- 459. nersiiip in which he was not a 5 gpencer u. Billing, 16 Oli. St. 75; member. In McNair v. Fleming, Gushing v. Smith, 43 Tex. 261 ; Beall cited in Davison r. Robertson, 3 Dow. v. Lowndes, 4 S. Ca. 258; Hastings 218, 229, half a dozen firms did busi- Nat. Bk. v. Hibbard, 48 Mich. 452, ness in the same name, and it was 458 {dictum); Spencer v. Billing. 3 held that unless the liolder of a bill Camp. 310; Swan v. Steele, 7 East, can be shown to have knowledge of 210; 3 Smith, 199. And see Tarns v. which firm drew it, he can sue them Hitner, 9 Pa. St. 441. all. *> Preston v. Foellinger, 24 Fed. 2Elkin V. Green, 13 Bush, 612; Rep. 680. Gushing v. Smith. 43 Tex. 261 ; Hast- ^ Elverson v. Leeds, 97 Ind. 336 ; 49 ings Nat. Bk. v. Hibbard, 48 Midi. Am. Rep. 458. 124 BY HOLDING OUT OR ESTOPPEL. § 109. § 108. Deceptive similarity of names. — So, also, if the firms have designedly adopted names closely similar for the purpose of misleading the puhlic, the act of a common agent of one may bind the other in favor of a person thus de- ceived. Thus where the individuals composing Adams & Co., widely and favorably known as an express company, formed an additional partnership, composed mainly of the same in- dividuals, in the name of Adams & Co.'s Western Express, the similarity of names being with the design of obtaining patronage, both firms employing a common agent, who con- tracted in the name of the latter to transport gold for the plaintiff, she supposing herself to be dealing with the former, it was held she could recover for the loss of her gold from the former.^ § 109. Actions by and against nominal partners. — As the nominal partner has no real interest in a claim belonging to the firm, it follows that the actual owners recover in their own names and should not join the nominal partner. In other words, the theory of a partnership by holding out is one of liabilities and not of rights. In bringing an action against the apparent partners, they are sued as if actual members of the firm. The plaintiff generally does not know whether they are really such or not. The issue is, are they such towards him? Hence it is not necessary to plead specially that there is an estoppel or holding out, but the plaintiff can sue the defendants as partners and prove they are such by estoppel, and it is not a variance.^ Hence, of course, such defendant cannot put in evidence the written contract by which he acted to show he was not 1 Adams & Co. v. Brown, 16 Oh. trager, 60 Iowa, 374; Campbell v. St. 75. See, also, S. P. Cushing v. Hood, 6 Mo. 211; Eippey v. Evans, Smith, 43 Tex. 261 ; Beall v. Lown- 22 id. 157 ; Young v. Smith, 25 id. 311 ; des, 4 S. Ca. 258. Eimel v. Hayes, 83 id. 200; Reber v. 2 Nichols V. James, 130 Mass. 589; Columbus Mach. Mfg. Co. 12 Oli. St. Rice V. Barrett, 116 Mass. 312 ; Fisher 175 ; Reed v. Kremer, 111 Pa. St. 482 ; V. Bowles, 20 111. 396; Brugman v. Hicks u. Cram, 17 Vt.449; Sherman McGuire, 32 Ark. 783; Maxwell v. v. Kreul, 42 Wis. 33, 40. Gibbs, 32 Iowa, 32; Hancock v. Hin- 125 § 109. NATURE AND FORMATION. a partner; ^ certainly unless he also show plaintiff knew of it. 2 A creditor cannot hold both a retired partner, who is liable by holding out, and an incoming partner on a contract with the new firm. If the new firm retained the old name and he had no notice of dissolution, he can hold the old partners or the new, but not both; he must elect. ^ 1 Rimel v. Hayes, 83 Mo. 200. credit of the actual partners. Rimel 2 Plaintiff can testify on whose u Hayes, 83 Mo. 200. credit he did the work, hut not that 3 Scarfe v. Jardine, L. B. 7 App. he would not have done it on the Gas. 345, 126 CHAPTER VI. ILLEGAL PARTNERSHIPS. § 110. As to persons. — A partnership may be illegal by- reason of disqualification of certain persons to engage in a traffic permitted to the public generally. Thus, antago- nists in time of war cannot become partners; that is, an alien enemy cannot form a partnership with a citizen,^ un- less domiciled here;^ nor a subject of this country, residing in a country at w^ar with this, even bring an action, for the fruits of the action might be remitted and so furnish re- sources against this country; ^ nor a neutral in such country, for the same reason.* So, if a sheriff is forbidden to buy county scrip, he cannot do it indirectly by forming a part- nership, and the partnership is illegal.^ Where a statute forbids a lawyer or doctor, not licensed, to prac- tice, the partnership between him and a licensed practitioner is not illegal, if the former's share of the profits is not in considera- tion of his practicing.' And a partnership between a lawyer and clerk, or physician and apothecary, is presumably legal and can recover for services; for non constat that the disqualified member will try cases or prescribe.' 1 Evans v. Richardson, 3 Mer. 469. B. 434. But see Dunne v. O'Reilly, And see Brandon v. Nesbitt, 6 T. R. 11 Up. Can. C. P. 404, of Attorney 23; McAdams v. Hawes, 9 Bush, 15. and Clerk. But see Candler v. Can- 2 Per RooKE, J., in McConnell v. dier. Jac. 225; 6 Madd. 141, of an or- Hector, 3 B. & P. 113. dinary partnership, not excluding 3 McConnell v. Hector, supra. the disqualified person from practic- * O'Mealey v. Wilson, 1 Camp. 482; Ing. Even receiving part of the Albretcht v. Sussmann, 2 Ves. & B. profits as salary was called illegal, 323. See § 582. as an evasion of the statutes, in 5 Read v. Smith, 60 Tex. 379. Tench v. Roberts, 6 Madd. 145; Re 6 Scott V. Miller, H. V. Johns. 220. Jackson, 1 B. & C. 270; Ee Clark, 3 T Turner v. Reynell, 14 C. B. N. S. D. & R. 260 ; Hopkinson v. Smith, 1 328; Harland v. Lilienthal, 53 N. Y. Bing. 13; 7 Moo. 243. In the last 438; Swan v. Scott, 23 Up. Can. Q. three cases the clerk practiced; but 127 § 112. NATURE AND FOLIATION. § 11 1. ill pulilic office. — An occupation may be legal when carried on by an individual, but illegal for a partner- ship on grounds of public policy; as where the. duty is a personal one. Thus, there can be no partnership in a public oflBce. As in the office of sheriff,' or of a district attoruej'';^ nor in the office of ad- ministrator or executor, for he must retain exclusive control over the assets, and such a contract invites misappropriation and abuse.' If two executors traffic in the estate for joint benefit, no accounting v^ill be granted between them; ^ nor in the profits of a licensed Indian trader.^ Attorneys at law are not officers, and a partner- ship betweeu them is legal. ^ Tlie law that one sutler shall be ap- pointed for each regiment, who shall be the sole sutler and shall not farm out or underlet his privileges, was held not to prevent his taking a partner, the object being to provide a sole responsi- bility.' Nor does a statute forbidding a contractor with the gov- ernment assigning his claim, prevent a partnership, for there is no claim then to assign; nor the forbidding of a transfer of a contract, for the object of this is to protect the government from being harassed by multiplying those with whom it deals, and a memoran- dum of division between the partners on dissolution does not vio- late this provision.* §112. As to occupation. — A partnership maybe illegal by reason of being formed to carry on an unlawful occupa- tion. As for sharing in the proceeds of acts which are pun- ishable as crimes or misdemeanors, as a partnership of smugglers or highway robbers; or one forbidden by good morals, whether there is or is not a statute making it penal, liarl he not done so the rule of Cox u, l Jones v. Perchard, 2 Esp. 507; Hickman would have required the Canfield v. Hard, 6 Conn. 180. decision to be the other way, because 2 gee Gaston v. Drake, 1 Nev. 175. not a partnership. That a lawyer 3 Forsyth v. Woods, 11 Wall. 484; may be partner with his client, and Seely v. Beck, 43 Mo. 143. that the firm is formed to furnish ^Bowen v. Richardson, 133 Mass. iron to a railway company, of which 293. the lawyer is director, will not ex- 5 Gould v. Kendall, 15 Nebr. 549. cuse an accounting of profits between 6 Warner v. Gtiswold, 8 Wend. 665. the partners, see Cameron v, Bick- ■? Wolcott v. Gibson, 51 111. 69. ford, 11 Ont. App. 52. 8 Hobbs v. McLean, 117 U. S. 567. 128 ILLEGAL PARTNERSHIPS. § 113. as a partnership in a gambling establishment.^ So of a partnership to speculate on margins or in futures;^ or a partnership to derive a profit from acts which are against public policy; thus a combination among manufacturers or dealers to regulate prices and stifle competition; ' or an agree- ment to corner a stock.* But if the effect of the combina- tion is not to prevent a healthy competition, the objection to it does not exist. ^ § 113. Bidders on public contracts. — For a similar reason a partnership between bidders on a public contract, if for the purpose of preventing competition, is illegal.^ But not if the purpose of the partnership is to do the work, where its object and necessary tendency is not to raise the price. ^ A partnership to buj' land at a tax sale has been held contrary to public policy; not that a partnership cannot buy, but where the formation of the partnership is speculation at such sales.* A part- nership to buy lands at a public sale by the United States, unlike a corubination to bid at execution sales, is not illegal Avhen not amounting to an agreement not to bid against each other.* A part- nership to furnish recruits to the government was held legal, though the articles provided that the partners should not come into com- petition or furnish recruits below a fixed price, unless there is proof that it is part of a conspiracy to control prices or create a monopoly.*" In Powell V. Maguire, 43 Cal. 11, it was held that a partnership formed to manage a ferry franchise, to be obtained from the legis- iBoggess V. Lilly, 18 Tex. 200; Coal Co. 68 Pa. St. 173; Craft. «. Watson V. Fletcher, 7 Gratt. 1. Or McConoughy, 79 III. 346. lottery. Watson v. Murray, 23 N. J. 4 Sampson v. Shaw, 101 Mass. 145. Eq. 257; Sykeg v. Beadon, L. R. 11 sPairbank v. Newton, 50 Wis. 628; Ch. D. 170. Fairbank v. Leary, 40 id. 637. 2 Faikney v. Reynous, 4 Burr. 6 King v. Winants, 71 N. Ca. 469; 2069; Petrie v. Hanway, 3 T. R. 418; Hunt v. Pfeiffer, 108 lud. 197. Patterson's Appeal (Supreme Ct. Pa. 7 Breslin v. Brown, 24 Oh. St. 565. 1883), 13 Weekly Notes of Cas. 154; But see Woodvvorth v. Bennett, 43 Wann v. Kelly, 5 Fed. Rep. 584; N. Y. 273. Tenney v. Foote, 95 111. 99; Williams 8 Dudley v. Little, 2 Oh. St. 504. V. Connor, 14 S. Ca. 621. 9 Piatt v. Oliver, 2 McLean, 207. 8 Salt Co. V. Gutlirie, 35 Oh. St. lo Marsh v. Russell, 66 N. Y. 288 666 ; Morris Run Coal Co. v. Barclay (rev. 2 Lans. 340). Vol. 1 — 9 129 § 114. NATURE AND FORMATION. lature b}' one partner, was void on the ground that the names of actual grantees should be known to legislature, since a contrary rule might lead powerful combinations to procure vicious legislation in the name of the least obnoxious of the parties. § 114. Contracts Toitl l)y law; war. — So, where a class of contracts is made void by law, a partnership for such traffic is void. Such are in many states partnerships to traffic in intoxicating liquors; ^ or between a bidder for a city contract and another person, where the city ordinance required all persons interested to be named and foi-bade secret interests.- The most numerous class of illegal partnerships are those between citizens of belligerent powers or for trading in times of war within the lines of military occupation, or with the enemy or in the enemy's commodities;^ as trafficking in Confederate money.* In such cases the property established in the enemy's country, or used for such illegal traffic, is subject to seizure and condemnation.* So of a partnership in a voyage between ports interdicted by the government;^ or a partnership to trade with Indians; '^ or in violation of the navigation laws.^ In Decker v. Ruckraan, 28 N. J. Eq. 614, a partnership was formed in New Jersey to plant oysters in Virginia, where it was illegal for non-residents so to do; but the question of whether the illegality would be recognized in New Jersey was not passed upon. In Harvey v. Varney, 98 Mass. 118, the firm of H. & V. was formed in part for the purpose of transferring to it the property of a former firm of A. & B., in order to hinder the creditors of the 1 Warren v. Chapman, 105 Mass. Coop. Ass'n, p. 568, not elsewhere 87; McGunn v. Hanlin, 29 Mich. 476; reported. Tucker v. Adams, 63 N. H. 3G1. ^ Stewart v. Mcintosh, 4 Har. & J. 2 Kelly V. Devlin, 58 How. Pr. 487. 233. 3 Suell V. Dvvight, 120 Mass. 9 ; Dun- ' Gould v. Kendall, 15 Neb. 549. ham V. Presby, 120 id. 285; Lewis v. 8 Sharp v. Taylor, 2 Phil. Ch. 801. Alexander, 51 Tex. 578. In Durant v. Rhener, 26 Minn. 363, < Anderson v. Whitlock, 2 Bush, it was even held that partnership 398; Pfeuffer v. Maltby, 54 Tex. 454. formed on Sunday was void; and 5 The Cheshire, 3 Wall. 231; Prize contra if formed subsequently in Cases, 2 Black, 635 ; U. S. v. Hallock, pursuance of an agx-eement made ort U. S. Supreme Ct. Book 17, Lawy. Sunday. 130 ILLEGAL PARTNERSHIPS. ■ § 116. latter, and this ngreemeut was held valid between the partners, though it woukl be voidable as to creditors. That a partner is to receive interest on his capital in excess of the per cent, allowed by the usury laws is not illegal or usurious. It is not a case of the loan of money.* § 115. Illegal ventures of a legal partnership. — A part- nership may be legal and yet some of its adventures, or part of the receipts derived by it, or by some of the partners, be illegal. As where the business of the firm is to act as agent for others, and the partnership receives a bribe or commis- sion from the parties with whom it or he transacts the principal's business;^ or from some other illegal source, as where an association for holding horse fairs derives part of its profits from selling pools,' or a firm doing a legal business in war times engages in forbidden adventures in the enemy's country.* In Whitcher v. More}'', 39 Yt. 459, a deposition was objected to because the law partner of the master in chancery who took it acted as attorney for one of the parties in taking the deposition; but the court overruled the objection on the ground that it would not presume that the partnership extended to sharing each other's fees in the matter. If a statute makes illegal a business which had theretofore been legal, but the business is continued nevertheless, this will not pre- vent an accounting between the partners for the time during which it was legal.^ § 1 1 6. Title to partnership assets. — The title and prop- erty rights of the partnership in its chattels is not in resist- ing third persons affected by the fact that the partnership business is illegal; hence, if the sheriff levy upon the inter- est of one partner in a stock of liquors, and left it in the hands of one partner as receiptor, and afterwards brings re- iCase V. Fish, 58 Wis. 56, 105-7; < See § 121. Cunninghatn v. Green, 23 Ohio St. SBennet v. Woolfolk, 15 Ga. 213. 296. As to partnerships carried on under 2 Todd V. Rafferty, SO N. J. Eq. 254; an illegal name, as where a statute Northrup V. Phillips, 99 111. 449. forbids the use of the collective ex- » WillBon V. Owen, 30 Mich. 474. pression, " & Co.," see § 198. 131 § 118. NATURE AND FORMATION. plevin, the partners can set up the title of the partnership as a defense.^ So, where a gambhng firm bought and used a house for gaming purposes, the surviving partner cannot impeach tlie title of his partner's grantor on that ground; '^ but in McPherson v. Pemberton, 1 Jones' L. 378, it was held that persons who formed a partnership in order to hinder the creditors of one of them cannot jointly maintain trespass q. c. f. against one who seized their goods.' Third persons' rights against the illegal firm will be protected where they are not particeps criminis. Thus, where a clergyman is a secret partner, though prohibited by statute from trading, he is liable to become a bankrupt in respect to the partnership con- cerns.* § 117. Presumption against illegality. — Illegality will not be presumed; thus, a partnership to buy one hundred bales of cotton futures will not be presumed to be a gam- ing contract.® And where a master in chancery takes a dep- osition, his law partner acting as attorney for one of the parties in taking it, the deposition will not be excluded un- less it appears that the partnership extended to sharing each other's fees in the matter, which will not be presumed.^ § 1 1 8. J udicial accounting of illegal partnership. — Owing to the difference between the authorities as to interfering between law-breakers to compel payment when no account- ing is necessary, and in order to define the boundaries of the disputed territory, this subject will be treated in the follow- ing order: I. Accounting of the affairs of an illegal partnership. This is not granted by the courts. II. Accounting of legal investments of the proceeds of a 1 Tucker v. Adams, 63 N. H. 361. sense of invalidity or failure of title. 2 Watson V. Fletcher, 7 Gratt. 1. Kinsman v. Parkhurst, 18 How. 289. 8 In case of the illegality of a < Meymot's Case, 1 Atk. 198, 199. patent in which a firm is formed to * Williams v. Connor, 14 S. Ca. deal, the patentee not being the orig- 631. inal and first inventor, an account- 6 Whitcher v. Morey, 39 Vt. 459. ing between the partners may be had ; And see Fan-bank v. Leary, 40 Wis. in such a case the term illegality is 637; and Cameron v. Bickford, 11 out of place, because used in the Ont. App. 53. 132 ILLEGAL PARTNERSHIPS. §119. past and settled illegal partnership, the origin of the fund being foreign to the controversy. This is granted. III. Compelling settlement of balances when the parties themselves have stated their own accountSj and nothing re- mains but to pay over. This is disputed. I. § 1 1 0. Refused between wrong-doers. — A bill for an ac- counting and settlement of the partnership transactions of an illegal partnership, or of the legal gains of a legal part- nership, will not be sustained either for the purpose of ob- taining a division of profits or contribution for losses ' and expenses, for the taking of the account involves a dealing with, and hence a recognition of, the illegal acts, but the court will dismiss the bill and leave the parties where it finds them. The traditional case of the bill for an accounting between twohigliwaymen, whether legendary or not, is far from un- instructive, since it shows by a reductio adabsurdum that an accounting of illegal gains cannot be had. I copy in the notes the report from Pothier, omitting a few concluding biographical lines on the counsel. The case is also given in Lindley on Partnership and Pollock on Contracts by G. W. Wald.' 1 Everet v. 'Williams, 3 Pothier on in the said business with good suo- Obl. 3, note, taken from Europ. Mag. cess, on Hounslow Heath, where they 1787, vol. 2, p. 360. The bill stated dealt with a gentleman for a gold that tlie piaiotifT was skilled in deal- watch, and afterwards the said ihg in several commodities, such as Joseph Williams told your orator plate rings, watches, etc. ; that the that Finchley, in the county of Mid- defendant applied to him to become dlesex, was a good and convenient a partner; that they entered into place to deal in, and that commodities partnership, and it was agreed that were very plenty at Finchley afore- they should equally provide all sorts said, and it would be almost all clear of necessaries, such as horses, sad- gain to them; that they went ac- dles, bridles, and equally bear all ex- cordingly, and dealt with several penses on the roads and at inns, gentlemen for divers watches, rings, taverns, ale-houses, or at markets or swords, canes, hats, cloaks, horses, fairs. " And your orator and the said bridles, saddles and other things; that Joseph Williams proceeded jointly about a month afterwards the said 133 §119. NATURE AND FORMATION. This was held of a partnership in a lottery or a gambling business;' although legal in the state where the contracts were made, but a misdemeanor by the lex fori? So of a partnership to corner a stock; it is a conspiracy rather than a contract;^ or to stifle competition, as a combination among dealers in a commodity,* or among bidders for a public contract;^ or to trade in the insur- rectionary states after intercourse has been forbidden; or in places interdicted by congress." The partner who has provided the funds can, however, recover back any unexpended balance where the recovery is equivalent to a revocation, but not if he advanced the whole fund on terms of returning the balance.'' So if a tax collector, prohibited by statute from investing in county scrip, forms a secret partnership in order to obtain profits thereby, indirectly, an accounting will not be enforced.' So where the state engineer formed a partnership with W. and B. to bid on a state contract in the name of W., which was illegal, and they Joseph Williams informed your orator that there was a gentlemen at BlackheatU who had a good horse, saddle, bridle, watch, sword, cane and other things to dispose of, which he believed might be liad for little or no money; and they accordingly wen.t and met with the said gentle- man, and after some small discourse they dealt for tlie said horse, etc, ; that your orator and the said Joseph Williams continued their joint deal- ing together until Michaelmas, and dealt togetlier in several places, viz., at Bagshot in Surry, Salisbury in Wiltshire, Hampstead in Middlesex, and elsewhere, to the amount of £2,000 and upwards." The rest of the bill is in the ordinary form for a partnership account. 3d Octo- ber, 1725, on the motion of Sargeant Ginller, the bill referred for scandal and impertinence. 29th November. Report of the bill as scandalous and impertinent confirmed; and order to attach White and Wreathcock, the solicitors. 6th December, the solicitors brought into court and fined £30 each; and ordered that Jonathan Collins, Esq., the counsel who signed the bill, should pay the costs. The plaintiff was executed at Tyburn in 1730, the defendant at Maidstone in 1735. Pothier regards the case as a tradition, as does also the vice-chancellor in Ashhurst v. Mason, L. R. 20 Eq. 225, 230. 1 Watson V. Murray, 23 N. J. Eq. 257 ; Watson v. Fletcher, 7 Gratt. 1. And per Jessel. M. R., in Sykes v. Beadon, 11 Ch. D. 170, 196. 2 Watson V. Murray, supra. 'Sampson v. Shaw, 101 Mass. 145. 4 Craft V. McConoughy, 79 111. 346; Fairbank v. Leary, 40 Wis. C37. 5 King V. Winants, 71 N. Ca. 469. eSuell V. Dwight, 120 Mass. 9; Dunham v. Presby, 120 Mass, 2S5; Stewart v. Mcintosh, 4 Har. & J. 233; Lane v. Thomas, 37 Tex. 157. ^ Sampson v. Shaw, supra. 8 Read v. Smith, 60 Tex. 379. 134 ILLEGAL PARTNERSHIPS. § 120. obtained the con tract, and sold out their bid at a profit before the contract was awarded, and the money came into W.'s hands, B. cannot compel W. to pay him his share; the firm itself being illegal, none of the parties can obtain any rights under it.* So a suit for dissolution and accounting of a partnership made on Sun- day was not allowed, because the partnership was void.* • So of a partnership to trade with Indians, which is a violation of the stat- utes of the United States; a partner cannot claim damages or com- pensation for a breach of the articles.^ Where a Scotchman and an American made a contract to export goods from England to America in war time, provided peace was not declared, though the goods did not sail till after peace was made, the court refused to interfere between the partners on the ground of illegality.* § 120. same. — Where, on grounds of public policy, there can be no partnership, as in the duties of certain pub- lic offices, or in the trusts of an executorship or an admin- istration contemplating a misuse of funds or breach of trust, no accounting of the joint transaction would be de- creed. In Bowen v. Richardson, 133 Mass. 293, two executors united in misusing the trust funds by speculating in real estate for their own benefit in the name of one of them; the beneficiaries not being de- barred by acquiescence or otherwise from claiming the advantage thereof, the other's bill for an account and share of profits was not sustained.* But where a possible ineligibility of a partner arises from his contract relations with third persons, but no abuse of trust or fraud appears, it seems that an accounting will not be refused. Thus, in Cameron v. Bickford, 11 Out. App. 52, C. and B. agreed together jointly to furnish iron for a railway and carry out a con- tract to construct a road. The fact that C. had been the legal adviser for the company and was one of the directors of the road will not excuse B. from accounting. 1 Woodworth v. Bennett, 43 N. Y. 5 Woodworth v. Bennett, 43 N. Y. 273. 273, of a partnership in a state 2 Durant v. Rhener, 26 Minn. 363. contract between an engineer of the ■J Gould V. Kendall, 15 Neb. 549. state and a contractor. ■ Evans V. Richardson, 3 Mer. 469. 135 g 121. NATURE AND FORMATION. § 121. part of the business legal and part not. — Where part of the business is legal and part not, the court, in an action to wind up, may take charge and settle that part of the business which is legal, but not of the illegal part. In Dunham v. Presby, 120 Mass. 285, P., of the firm of A., B. & P., made an agreement with X., Y. & Z. to buy cotton in localities beyond the lines of military occupation, which agreement his part- ners ratified. After the purchase was made, and while the cotton was at sea, X., Y. & Z. became alarmed for its safety on account of news of the presence of a rebel cruiser, and P. thereupon bought out their interests for $3,500. P. supposed that he had no authority to buy for his partners, and that he was buying for himself The cotton arrived safely and realized over $17,000. P. accounted with his partners for his original share, without disclosing his purchase of the other interests. A bill by the other partners to compel P. to account for such gains was held not to be sustainable because they arose from an illegal trading. So, where one of the partners of a firm which acted as purchas- ing agents bought at one price and turned in the property to the customers at a higher price, equity will not aid the copartner in procuring a division of these illegal gains; and the fact that the innocent partner may be liable to the cheated parties is no reason for allowing the accounting in anticipation of his loss and before it is actually sustained.' Where part of a business consisted in keeping a gambling house and selling liquors illegally, a large stock of which is on hand, an accounting of the legal part was granted." And if the business of a partnership was made illegal by statute, but was conducted there- after, an accounting for the time it was legal may be obtained, and a precise allegation as to that time is not necessary, for the defend- ants are presumed to know.' But if the two classes cannot be separated, the accounting will be refused.'* iTodd V. Rafferty, 30 N. J. Eq. 2 Anderson v. Powell, 44 Iowa, 254 ; Northrup v. Phillips, 99 111. 449. 20. A dictum in Woodworth v. Bennett, SBennet v. Woolfoik, 15 Ga. 213. 43 N. Y. 273, seems to imply that ^Lane v. Thomas, 37 Tex. 157, an accounting has been carried to where part of the profits were based the limit of including illegal gains upon traffic in Confederate money. of a legal partnership. 136 ILLEGAL PARTNERSHIPS § 124. §122. Motives. — Where the business is legal, but the motives for forming the partnership are in fraud of the rights of others, and hence voidable as to them, the part- ners can be compelled to account to each other. As v^^here two persons form a firm for the purpose of hindering the creditors of one of them, this fact is no defense to a bill for settlement of the concern.^ n. § 1 23. Where the illegality is wholly a thing of the past. — We may assume another proposition as being law, namely, where the proceeds of the illegal transactions have all been gathered in and divided ; or if the proportionate ownership is settled without division, but they have passed from the possession of one partner into the joint fund and are again invested in legal enterprises, so that the possession of any one partner in whose hands they come relates back to a new and legal starting point, the original illegal origin of the fund will not relieve him from liability to account, being entirely outside of the field of litigation. III. § 124. When not wholly past. — But a much disputed ter- ritory lies intermediate between these classes of cases; that is, between those, on the one hand, where the court is asked to take an accounting of illegal transactions, not merely to enforce the final claims, but to ascertain what they are, and, on the other hand, those where there has been a complete settlement of rights and extinguishment of all claims aris- ing from the illegal enterprise and a new departure. Where the partners have themselves come to an account- ing of all the illegal transactions, and have ascertained 1 Harvey V. Varney, 98 Mass. 118; maintain trespass q. c. f. against Brigham v. Smith, 3 E. & A. (Up. one wlio seized their goods. Can.) 46. Contra, McPherson v. 2See Anderson u.Whitlock, 2 Bush, Pemberton, 1 Jones, L. 378, holding 398, 404-5 ; and see the rest of this that such partners cannot jointly chapter. 137 § 125. NATURE AND FORMATION. the balances and settled the concerns up to the point of paying differences or dividing property, and the court is ap- plied to to compel this final step, the authorities disagree, some holding that the assistance of a court is recognizing and enforcing a violation of law, and refusing to inter- fere in any way; while others hold that as the illegality only incidentally appears in the cause, public safety does not require the court, after the illegal transaction is settled and closed and the title to proceeds arising from it is alone asserted, to permit one party to perpetrate the further wrong of appropriating all. It may be noticed here, that, while the latter class of cases do not seem to divide upon the once valid distinction between what is malum in se and what is merely malum prohibitum, no case calling for decision has arisen where the fund arose from acts consti- tuting a felony, or graver crime than gambling transactions or dealing with a public enemy. § 125. Brooks t. Martiu. — The leading and much-criti- cised case granting relief in this class of cases is Brooks v. Martin, 2 Wall. 70. In that case a partnership was formed to buy up soldiers' claims for land warrants, which was con- trary to an act of congress. The plaintiff contributed all the funds, and the defendant bought up land warrants, lo- cated the lands and converted the warrants into lands, and converted part of the lands into money and mortgages, and had, by fraudulently concealing the value of the assets, bought out the plaintiff's interest for a trifle, and this suit was to compel an accounting and division. The court said that, although in such a partnership a suit by one partner to compel the other to contribute an agreed share of the purchase money could not have been sustained, " a large proportion of the lands so located had also been sold, and the money paid for some of it and notes and mort- gages given for the remainder. There were then in the hands of the defendant, lands, money, notes and mortgages, the result of the partnership business, the original capital of which the plaintiff had advanced. It is to have an account of these funds and a division of these proceeds that the bill 133 ILLEGAL PARTNERSHIPS. g 126. is filed. Dogs it lie in the mouth of the partner who has by fraudulent means obtained possession and control of these funds to refuse to do equity to his other partners because of the wrong originally done or intended to the soldier? It is difficult to perceive how the statute enacted for the benefit of the soldier is to be rendered any more effective by leav- ing all this in the hands of Brooks, instead of requiring him to execute justice between himself and his partner, or what rule of public morals will be weakened by compelling him to do so. The title to the lands is not rendered void by the statute. It interposes no obstacle to the collection of the notes and mortgages. The transactions, which wore illegal, have become accomplished facts and cannot be aifected by any action of the court in this case." The case of Brooks v. Martin relied upon the earlier English case of Sharp v. Taylor, 2 Phil. 801, where, on bill filed for a share of freight money in the hands of one partner, earned in a trade which violated the navigation laws, Lord Cotten"h^m said: " Can one of two partners possess himself of the property of the firm and be permitted to retain it if he can show that in realizing it some provision in some act of parliament has been violated? The answer is that the transaction alleged to have been illegal is com- pleted and closed and will not be in any manner affected by what the court is asked to do between the parties." This case, however, has been much criticised in England. Thus, in Sykes v. Beadon, 11 Ch. D. 170, there was an illegal association in the nature of a partnership in a lottery. An action was brought against its trustees for breach of trust, which had caused a loss ot part of the fund. Jessel, M. R., says: Lord Cottenham's reason- ing in Sharp v. Taylor is inconclusive and unsatisfactory. " The notion that because a transaction which is illegal is closed that therefore a court of equity is to interfere in dividing the proceeds of the illegal transaction, is not only opposed to principle, but to authority, in the well-known case of highwaymen." He adds, however, p. 197: '' It does not follow that you cannot in some cases recover money paid over to third persons in pursuance of the contract." § 126. Explanation of Brooks v. Martin. — It is to be no- ticed of Brooks V. Martin that the statute did not make the 139 § 127. NATURE AND FORMATION. title to the lands subsequently acquired void. Also, that the suit did not dispute the amount of money received for the illegally obtained warrants, but required an accounting of the proceeds of the lands without disputing the correct- ness of the consideration paid for them, much as if the lands had been purchased by new advances by the plaintiff after full settlement of the prior illegal transactions in warrants. The fact that the controversy was over reinvestments of profits into other forms was emphasized by the court, and this fact is regarded as an important element in the com- ments upon it.^ And the cases in the next section which fol- low it do so on the ground that the controversy could be settled without reference to the illegal transaction, the court not being compelled to inquire how the parties got the money in dispute. But the case has been deemed of further application in so far as it sustains Sharp v. Taylor, 2 Phil. 801, supra, in holding that after the close of an illegal transaction the part- ner who is in possession of the ascertained profits can be compelled to divide them.^ §127. Cases enforcing payment of balances. — Here, again, no general rule can be devised which will reconcile the cases, though in the majority of these cases an express promise was made. Thus, where partners were concerned in illegal stock jobbing which resulted in a loss, and one paid all the debt and took security from the other for his share, 1 Gould V. Kendall, 15 Neb. 549, profits of a joint dealing on margin; and Pfeuffer v. Maltby, 54 Tex. Willson v. Owen, 30 Mich. 474, 454. where, however, the association was 2 This view of that case would seem for holding horse fairs, involving to be sustained by Pfeiffer v. Maltby, selling pools, and the illegality was 38 Tex. 523, a caseof tratficking with said to appear incidentally only, the enemy (but Pfoufler u Maltby, 54 The diflSculty with this class of id. 454, puts the case on the basis of cases is that they approach the con- reinvestment of profits, under Brooks elusion that if tiie highwaymen in V. Martin). Lewis v, Alexander, 51 Everet v. Williams invested their Tex. 578, also a case of prohibited profits in other forms, an accounting traffic during the war; Attaway v. would have been granted, unless we Third Nat'l B'k, 15 Mo. App. 577; distinguish between ma^awi in se and Wann v. Kelly, 5 Fed. Rep. 584, malum prohibitum. 140 ILLEGAL PARTNERSHIPS. § 127. Che security was held enforceable as a new contract not in- fected by the original transaction.^ So wliere partners in dealing faro became indebted on partner- ship account and one paid the debt, in consideration of which the other gave him a note for his share of the losses, the payee was held entitled to recover on the note.* So of a partnership to ship merchandise from Mexico to Texas, with a view to obtain cotton during the war, and after settlement one partner gave the others notes for their shares of the proceeds, it was held that the illegality does not attach to the notes and is no defense to them. The court in this case, perhaps, had in mind the old distinction between a contract which is malum in se and one which is merely malum 'prohibitum^ for they say that a contract may be illegal without it being immoral or illegal to adjust profit and loss.^ In McGunn v. Hanlin, 29 Mich. 476, articles of partnership con- templated the sale of liquors' as part of the business, and on disso- lution liquors were among the stock; the retiring partner authorized his copartner to pay debts incurred in their purchase and charge him the price of them in the settlement. It was held that when sued for contribution he could not set up the liquor law in defense, for that only goes to buyer and seller, and does not prevent deal- ings being included within grounds of estoppel or agency, and he cannot repudiate the payment. So in Belcher v. Conner, 1 S. Ca. 88, a partnership to buy and sell slaves. The constitution, article 4, section 34, made contracts the consideration of which is the purchase of slaves, null. A demand J Faikney v. Reynous, 4 Burr. 2069 ; tinction between contracts made Petrie v. Hanway, 3 T. R. 418. with specific reference to direct aid Woodworth v. Bennett, 43 N. Y. 273, in the actual prosecution of hostili- admits the irreconcilability of the ties, and such as might be made in cases. the ordinary transaction of social 2Boggess V. Lilly, 18 Tex. 200. And and business life, though tending to see Crescent Ins. Co. v. Baer (Fla. supply the wants of people in the 1887), 1 So. R. 318. hostile territory; also bet%veen en- 3 De Leon v. Trevino, 49 Tex. 88. forcing an illegal partnership and See, also, the query in King v. Win- adjusting the profit and loss after it ants, 71 N. Ca. 469, 470; and in has been closed and the money Pfeuffer v. Maltby, 54 Tex. 454, of a passed into other forms. See, also, partnership to traffic in Confederate AVatson v. Fletcher, 7 Gratt. 1 ; Left- money and cotton, where tlie dis- wich v. Clinton, 4 Lans. 176. 141 §129. NATURE AND FORMATION. for an accounting between the parties was sustained on the theory that the liability to account was not founded on a contract the consideration of which was the purchase of slaves, but that its con- sideration was the mutual covenants and promises of the partners. § 128. Cases refusini? payment. — Nevertheless in this view of Brooks V. Martin, that is in so far as it follows the case of Sharp v. Taylor, it is in many states not law, and the mere fact that a fraud or illegal enterprise is completed will not entitle the parties to compel a division.^ § 129. Neglect to register. — Some states have a statute requiring partnerships to record in some designated public iTodd V. Rafferty, 30 N. J. Eq, 254; Woodworth v. Bennett, 43 N, Y. 273, where the fund was all in the hands of one partner. Stewart v. Mcintosh, 4 Har. & J. 233, where the proceeds of an illegal voyage were in the hands of a third person, who re- fused to pay it over. Patterson's Appeal (Supr. Ct. Pa. 1883), 13 W. N. Cas. 154, whei-e the proceeds of a joint deal on a margin were in the hands of one of parties, and an ac- count had been stated, the balance due acknowledged, and a promise to pay made, but the covirt would not enforce it. Hunt v. Pfeiffer, 108 Ind. 197, where a partnership is formed to stifle competition in bid- ding on a public contract, and obtains the contract, and some of the part- ners exclude another from its bene- fits, no action by him for a share of profits will lie. Gould v. Kendall, 15 Neb. 5-19, where it was said that in so far as Brooks v. Martin follows Sharp V. Taylor, it can scarcely be consid- ered authority. See, also, Dunham V. Presby, 120 Mass. 285 ; Northrup v. Phillips, 99 111. 449. There are other cases upon this controversy which do not involve partnerships, but these I have not space to comment upon. In Warren v. Chapman, 105 Mass, 87, where a firm made illegal sales of intoxicating liquors ; and the buyer executed a note to one of the partners in consideration that he would pay the debt, the note was held void, for the payee was an orig- inal offender, and part of the con- sideration of the note was his own share of the debt, and this taints the whole. This last expression would seem to imply that had the note not included the payee's share of the debt it would not have been illegal. In Tenney v. Foote, 95 111. 99, a note made to a firm, part of the consider- ation of which arose on contracts of one partner without the other's knowledge, for a commission in deal- ing in options, was held void. In Forsyth v. Woods, 11 Wall. 484, a partnership in conducting the ad- ministration of an estate was formed between the administrator and an- other, which is illegal ; a person who went on the administrator's bond at the request of the firm had to pa)-, and sued the firm for reimbursement, claiming that he had paid a partner- ship debt, since they were partners in the administration, and it was held that he could not recover. 142 ILLEGAL PARTNERSHIPS. § 129. office the individual names of the partners, not making the partnership illegal for non-compliance, but imposing, gener- ally, a disability to maintain an action on contracts incase of omission; or where the firm is defendant, relieving the plaint- iff of the consequences of nonjoinder of a partner as defend- ant. Such statutes have existed in California, Nevada,^ New Hampshire and Upper Canada, and for one year in Ohio. Any form of acknowledgment will satisfy the statute, none be- ing prescribed.'' Where the statute in terms applies only to trad- ing partnerships, any firm which buys and sells comes in this category; as a partnership to print and publish a newspaper.* The statute was held not to apply to an action by the partners as individuals, not upon a partnership contract,* nor to actions for torts committed against the property of the firm;* nor to actions not growing out of the partnership affairs, as where the sheriff, having levied upon property as belonging to a partner, leaves it in the hands of a receiptor, and then replevies from him on his refusal to deliver.* The publication must be before the action is begun and not merely before trial, for beginning an action is part of the " main- taining " of it.' The statute is only matter in abatement, and if an action is defeated for non-compliance, a new action lies after the statement has been filed.* The statute does not prevent one to whom the partnership assigned a claim suing upon it; the assignee's title may be good although the assignment was made to evade the statute." 1 Where the penalty is $1,000. St. though of little value as compared 1881, ch. 65, §§ 27-29. with the product, it would be. 2 Fabian v. Callahan, 56 Cal, 159. ^McCord v. Seale, 56 Cal. 262. 3 Pinkerton v. Ross, 33 Up. Can. Q. 5 Ralph v. Lockwood, 61 Cal. 155. B. 508, the court saying, p. 514, that 6 Tucker v. Adams, 63 N. H. 361. a firm making bricks on its own ^ Byers r. Bourret, 64 Cal. 73. land would not be within the statute, 8 Sweeney v. Stanford, 67 Cal. 635. whereas if it purchase the clay, 9 Cheney v. Newberry, 67 Cal. 126. 143 CHAPTEK VII. PERSONS COMPOSING THE FIRM. § 130. Any person who has capacity to enter into con- tracts can be a partner; hence this branch of the law of partnership involves the general question of capacity belong- ing- to the law of contracts, except as somewhat modified in the case of infants and married women when seeking to dis- affirm. ALIENS. §131. The capacity of an alien to be a partner is the same as his capacity to form any other contract. Any immunity from liability to be sued enjoyed by the accredited and rec- ognized minister of a foreign government applies to him as a partner, if he engages in trade. ^ But war is a disqualifi- cation of an alien's right to contract if he is a citizen of one of the antagonists.^ LUNATICS. § 132. As the contract of a lunatic with a person who is not aware of his infirmity, if executed, binds him, and if disaffirmed, while executory, is binding to the extent of re- storing to the other party an equivalent for vvhat he has parted with, it follows that a partnership contract with a lunatic is valid to the same extent. And if a partner be- comes a lunatic while the firm is in operation, it is merely a cause for dissolution in a proper case and not a dissolution per se; and. until dissolved, he has the rights and liabil- ities of a partner.^ CORPORATION AS A PARTNER, §133. Generally cannot Ibe a partner.— A corporation cannot form a partnersliip with an individual or with an- IMagdalena Steam Nav. Co. v. s.SeegllO. Martin, 2 E. & E. 94. « See § 581. 144 PERSONS COMPOSING THE FIRM. § 133. other corporation. This results not from any principle of partnership law, but from the nature of a corporation, and, therefore, if the corporation is invested with power to form such a relation the objection is removed. A corporation can, in general, be bound only by the acts of its duly elected offi- cers or agents; hence, as a partnership implies two princi- pals, or an agent who is not appointed, and is not, at least in a. partnership of fixed duration, removable at will, such re- lation violates this rule of corporations. So, if the statute requires a corporation to make periodical statements of its condition and debts, this cannot be done if another principal has the power of creating them. So, if the statute limits the amount of the indebtedness which a corporation may incur. ^ In Van Keuren v. Trenton Locomotive & Macb. Mfg. Co. 13 N. J. Eq. 302, where a corporation and the plaintiff formed a partner- ship, and after two years the corporation excluded the plaintiff from the business and took the property, it was held that the want of corporate power was no defense to a suit for an accounting and in- junction, and that the services and property of plaintiff could not be thus taken away from him. In French v. Donohue, 29 Minn. Ill, it was held that such a partnership could recover on obliga- tions made to the firm, and tbe debtor could not repudiate them; the want of capacity does not concern him. In Bissell v. M. S. & N. I. R. R. Cos. 22 N. Y. 258, it was held that iilt7'a vires was no- defense in an action by an injured passenger against two raih-oad corporations which bad formed a partnership. In Gunn v. Central R. R. Co. 74 Ga. 509, a railroad company attempted to form a part- nership with a person to run a line of boats, but this was held to be ultra vires^ and hence an action of tort would not lie against the corporation for acts of the firm.* iWhitteuton Mills v. Upton, 10 (N. H.) 13 Am. and Eng. R. R. Cas. 94; Gray, 583 ; Hackett v. Multnomah Gunn v. Central R. R. Co. 74 Ga. 509. R'y Co. 12 Oregon, 124; Marine Bank 2 Yet three railroad corporations V. Ogden, 29 111. 248; New York & were said to have formed a partner- Sharon Canal Co. v. Fulton Bank, 7 ship in Railroad Co. v. Bixby, 55 Vt. Wend. 412, 414; Pearce v. Madison & 235; and a corporation and an indi- Indianapolis R. R. 21 How. 441 ; State vidual wt-re said to be partners in ex rel. Pearson v. Concord R. 11. Co. Cutskill Bank v. Hooper, 5 Gray, 574; Vol. I— 10 145 § 134. NATURE AND FORMATION. § 134:. May receive capacity. — It results from the reasons above given against a corporation being a member of a partnership, that if it has been granted capacity it may be- come a partner. In Butler v. American Toy Co. 46 Conn. 136, the preamble in the company's charter recited the death of a member of a firm which, with another firm, constituted the partnership called the American Toy Co., and that the corporation was formed to enable the sui'viv- ing partners and the representatives of the deceased to continue the business for which the corporation was formed. This was held by necessary intendment to authorize the corporation to take the place of the firm as a member of the American Toy Co. In Allen v. Woonsocket Co. 11 R. I. 288, it was held that a part- nership at will between a firm and an individual, where the individ- ual was to have no control as partner, and no stockholder's rights were imperiled because one person owned all the stock, was not ultra vires. But the suit was for an accounting between the part- ners, which would probably have been granted even if the contract were ultra vires. In Catskill Bank v. Gray, 14 Barb. 471, a corporation formed for the manufacture of iron leased its mills for five years to Gray by a contract by which it was to receive a share of the profits, and such control as to render the contract one of partnership; and in an action on mercantile paper made by an agent of the mills, it was held that the corporation having been formed to manufacture iron could carry out this purpose by making such a partnership, and was liable as a partner on the paper. But this case is ha'-dly consistent with the general rule. In Ontario Salt Co. v. Merchants' Salt Co. 18 Grant's Ch. (Up. Can.) 540, an association of salt manufacturers, some of them cor- porations, to develop the business and sell the product, the associa- tion not being a monopoly, was legal. But it can scarcely be considered a partnership.^ Associations of connecting railroads or other common carriers on a continuous line of travel are frequently formed for through transportation, with a division of receipts in specified proportions. These are held legal, as are many other pooling arrangements, on B. c. at an earlier stage, Catskill B'k i A corporation was also a partner V. Gray, 14 Barb. 471, 582. in Jones v. Parker, 20 N. H. 31, 14G PERSONS COMPOSING THE FIRK g ICG. ttie ground that they do not constitute a partnership; for although each can issue through tickets, there is no community of loss nor interest in the earnings of each other, but a mere running arrange- ment.* MARRIED WOMEN. § 135. In general. — The complications that arise where a married woman is or has acted as a member of a firm depend for solution on the various statutes of the several states, and to give the necessary space to analyze them is out of the question in this book; but as all the decisions have never been collected together, I shall give them with an approximate classification. The cases where the husband is not a member of the firm will be treated first. In some states she can invest her separate means in a firm; in others, only with the husband's consent, and in others not at all. The common law incapacity of a married woman to con- tract made her contract of partnership wholly void where she had no separate estate. But where she had a separate estate she could embark it in a partnership. Her capacity to contract a partnership, in case of the absence, abandon- ment, separation or alienage of the husband, is the same as in other contracts in such cases. ^ § 136. Statutes — Where the huslband is not in the firm. Where statutes give a married woman power to sell and contract as to her separate property and to carry on busi- ness, she may invest it in a partnership, since this is a usual way of carrying on business; and it is no objection that she thereby becomes liable for the acts of others, for the same happens if she owns stock in a company or employs an agent. Her separate property is still hers, and does not become liable for her husband's debts. ^ I See Hot Springs R. R. v. Trippe, v. Vanderbilt, 19 Barb. 233. And see 43 Ark. 465; 48 Am. Rep. 65; Ells- supra, §65. worth V. Tartt, 26 Ala. 733 ; 63 Am. 2 Thus, where the husband has Dec. 749; Irvin u. Nashville, C. & St. been absent and unheard from for L. R'y, 92 111. 103; 34 Am. Rep. 116; seven years, see Brown v. Jones, 18 Tratt V. Ogdensburg & Lake Cham- N. H. 230. plain R. R. 103 Mass. 557, 5G7 ; Briggs 3 piumer v. Lord, 5 Allen, 460; Ab- 147 gl37. NATURE AND FORMATION. Where the statute allows her to carry on a trade sep arately from her husband, the employment of their hus- bands by a firm of wives is carrying on business separately from the husbands, since they are agents and not owners.^ But where the statutes give her no power or only a limited power to become a partner, the rule of the common law prevails and she cannot enter a firm.^ § 137. Property in such cases. — That though she has no capacity to become a partner, and yet does so, her property still re- mains hers, and her husband cannot assign it, has been held/ Noi- can bis creditors reach it; * a trespasser on the property — one who levied on the partnership property under execution against the hus- band — cannot when sued by the firm question her capacity." She may claim as creditor in case of insolvency of the firm for a loan to it — she did not in this case seek to recover her capital;* and her bott V. Jackson, 43 Ark. 212 ; Dupuy V. Sheak, 57 Iowa, 361; Silveus v. Porter, 74 Pa. St. 448; Newman v. Morris, 52 Miss. 402. And see Ed- wards V. Thomas, 66 Mo. 468, 481. 1 Kutcher v. Williams, 40 N. J. Eq. 436. In the following cases, also, a married woman was a member of a partnership, but the consent of the husband incidentally appeal's: Craig V. Cliandler, 6 Colorado, 543, where she bought her husband's interest in a firm and claimed her share on dis- solution ; Merchants' Nat'l Bank v. Raymond, 27 Wis. 569; Atwood v. Meredith, 37 Miss. 635; Bitter v. Rathman, 61 N. Y. 512; Penn v. Whitehead, 17 Gratt, 503. A mar- ried executrix of the estate of a de- ceased partner, the firm being con- tinued by wife, is not a partner, for she receives profits as executrix and not from her own estate. Brasfield i\ French, 59 Miss. 632. Of the above cases the husband was the wife's manager in the conduct of the business in Kutcher v. WilUams, 40 N. J. Eq. 436 ; Penu v. Wliitehead, 17 Gratt. 503; Atwood v. Meredith, 37 Miss. 635; Newman v. Morris, 53 Miss. 402; Dupuy v. Sheak, 57 Iowa, 361. 2Bradstreet v. Baer, 41 Md. 19; Frank v. Anderson, 13 Lea (Tenn.), 695; Carey v. Burruss, 20 W. Va. 571; 43 Am. Rep. 790; Brown v. Jewett, 18 N. H. 230; Todd v. Clapp, 118 Mass. 495; and dicta in Howard t?. Shaw, 91 Ind. 384; 46 Am. Rep. 607; Brown v. Chancellor, 61 Tex. 437, 445; Miller v. Marx, 65 id. 131; Howard V. Stephens, 52 Miss. 239. Neverthe- less tlie question was raised wliether a married woman could become lia- ble as a partner by holding out in Rittenhouse v. Leigh, 57 Miss. 697. 3 Howard v. Stephens, 52 Miss. 239. point was raised but not decided in 150 PERSONS COMPOSING THE FIRM. §140. The partnership assets are liable for the partnership dehts; as where a husband was in a firm with the wife's money and she afterwards bought out the other partner, if a creditor of the firm make a levy she cannot replevy on a claim that the assets are her individual property.* § 140. Effect on property.— If, however, she neverthe- less does join in a partnership with her husband, or in which he is a member, the result to herself and to her prop- erty is variously ruled under the v arious statutes, as shown in the foot-note.^ Francis v. Dickel, 68 Ga. 255. For the Mexican law, see Fuller v. Fer- guson, 26 Cal. 546. 1 Clay V. Van Winkle, 75 Ind. 239. The only cases in which a con- trary rule is hinted are the follow- ing: Zimmerman v. Erhard, 8 Daly, 311 ; 58 How. Pr, 11 (aff'd on other grounds, 83 N. Y. 74) ; but the only one of the opinions which bases the case on this doctrine is denied to be lawin Fairlee V. Bloomington, supra; Ploss V. Thomas, 6 Mo. App. 157, in which case it was admitted that con- tracts were not enforceable against her; Edwards v. McEnhill, 51 Mich. 160, the court refused to decide the point, saying that if she had such capacity the facts showing it must l)e stated; and In re Kinkead, 3 Biss. 405; 7 Bankr. Reg. 439 (U. S. D. C. 111.), wherein Blodgett, J., says: "lean see nothing in the re- lation of husband and wife which would prevent the wife from being her husband's partner in business if she could be a partner with any other person." In Graff v. Kinney, 37 Hun, 405; S. C. 15 Abb. New Cas. 397, it was held that a married woman could form a partnership with her husband with reference to her sepa- rate property, on the ground that she could employ him as agent, and a partnership is merely a mutual agency; and in Scott v. Conway, 58 N. Y. 619, a married woman defend- ant was not allowed to interpose the defense that she liad a dormant part- ner, viz., her husband, but is held to the truth of the appearance ahe has held out. 2 It was held that she became a creditor of the husband or of the firm in Boyle's Estate, 1 Tucker (N. Y.), 4; and see Lord v. Davis, 3 Allen. 131; Huffman v. Copeland, 86 Ind. 224; see, also, Glidden v. Taylor, 16 Oh. St. 500. That the other part- ners cannot deny her a share in the profits (the husband does not appear to claim it as his in this case), Knott V. Knott, 6 Oregon, 142, 150. That the property still remains hers as against the husband's creditors, Ploss V. Thomas, 6 Mo. App. 157. That the earnings are his, there being no cap- ital in this case, Plummer v. Trost, 81 Mo. 425. That the property is perhaps hers inter se, as if it were a loan to her husband, but is liable for his debts, Wilson v. Loomis, 55 111. 352. That it ceases to be her sepa- rate property and becomes his. Lord V. Parker, 3 Allen, 127, 129; and dio- tuvi in Sherman v. Elder, 1 Hilt. (N. Y.) 178. Where both are in the "business" of carrying on a farm. 151 3 142. NATURE AND FORMATION. § 14:1. Wife's claim agaiust her husband's firm. — Where the wife of one of the partners lent money to or performed service for the firm, or wlaere a woman wlio is creditor of a firm marries one of the partners, equity will enforce the debt where the statute preserves her choses in ac tion as separate property in a suit by her to recover it back; ^ but if the statute does not preserve it as separate property, the marriage extinguishes the debt, and this terminates it as to the other partners also.- But where a statute allows a feme covert to contract as if sole, except with her husband, she cannot contract with a firm of which he is a partner, for this is contracting with him jointly with others.^ Yet, though the firm's note pay- able to her is void, she can hold the indorser, for he is estopped to deny the maker's capacity.* And she is bound if she indorses for the accommodation of the fii-m ; ^ and if she invests in her husband's firm and afterwards assigns the fund, and the firm promise the assignee to pay him, he can maintain an action "on the promise.® INFANTS. § 142. Voidable, not void.— The ordinary rules as to in- fants' contracts apply to partnerships, viz. : That such con- tracts — leaving out those for necessaries, and the capacity to which was the wife's separate prop- 3 Kenworthy v. Sawyer, 125 Mass. erty, both were held liable on a joint 28; Edwards v. Stevens, 3 Allen, 315. note, on the principle that she can < Kenworthy v. Sawyer, 125 Mass. incur debts on the credit of her sep- 28, 29. arate property. Krouskop v. Shontz, 5 id. 51 Wis. 204, 217. « Lord v. Davis, 3 Allen, 131. A 1 Bennett v. Winfield, 4 Heiok. wife was creditor of the firm of A., (Tenn.)440; Devinu. Devin, 17How. B. & C. C. sold out to D. and the Pr. 514; Adams u Curtis, 4 Lansing, firm became A., B. & D., and her 164; Gould v. Gould, 35 N. J. Eq. 37; husband was a member of it. Pay- id, 502; 36 id. 380; Benson v. Mor- ments by him to her upon the debt gan, 50 Mich. 78, holding also that were held to be evidence of the as- the husband has no power to settle sent of all parties to a substitution of with his partners for her claim. And the new firm for the old as debtors, see cases in the preceding note. for they are presumed to be known *Fox V. Johnson, 4 Del. Ch. 580. to all the partners, where there are 153 PERSONS COMPOSING THE FIRM. § 143. give a power of attorney, and the somewhat controverted question of contracts clearly not for the infant's benefit, such as going security — are not void, but voidable, and that he alone can avail himself of the privilege of avoiding them. Also that if he fraudulently represents himself to be of age, he may be bound to others who act on the faith of such representations, and may be liable to restore any advan- tage thereby gained. This, however, is not a contractual obligation, but an estoppel to take advantage of his own fraud. These ordinary rules applied to partnership law produce complications which will not be noticed. An infant's contract of partnership is therefore, of course, not void, but voidable. He can be a partner.^ It was hinted in one case that an infant, by the mere act of forming a partnership, holds himself out as an adult and practices a fraud. ^ But this is not the law. A contract by an infant is not made binding thus, and there is no estoppel without actual misrepresentation.* The consent of the parent, though he be insolvent, to an infant's becoming a partner, is a release of his services, and the creditors of the parent have no recourse on the minor's earnings.* § 143. Riglits and powers inter se. — While the mfant is a partner, he has all the rights and powers of one to hold no circumstances of concealment, he was therefore not a necessary Osborn v. Osborn, 36 Mich. 48. party to a suit for an accounting, 1 Goode V. Harrison, 5 B. & Aid. McGunn v. Hanlin, 29 Mich. 476. 147; Whitney v. Dutch, 14 Mass. 2 Kemp v. Cook, 18 Md. 130, 138. 457 ; 7 Am. Dec. 229 ; Dunton v. 3 Thus, where au infant was a secret Brown, 31 Mich. 182, and the numer- partner and falsely represented his ous cases hereinafter cited, assume ostensible partner as worthy of the same doctrine. Where plaintiff credit in order to obtain profit for on one part agreed toform a part- both, his infancy is a defense to an nership with defendant and his in- action for the price of the goods ob- fant brother, representing together tained, though the seller could have the other interest, but the partner- rescinded for fraud and reclaimed ship articles were signed only by the them. Vinsen v. Lockwood, 7 Bush, adult brother, it was held that the 458. infant had not become a partner; that * Penn v. Whiteliead, 17 Gratt. 503. 153 § 144. NATURE AND FORSIATION. possession of the assets, collect and pay debts, and bind the firm by contracting obligations in its name.^ The adult partner who has contracted a partnership rela- tion with an infant, on the faith of the latter's fraudulent representations that he is of age, can rescind or dissolve for this reason, for otherwise he might be ruined by the con- tracts of a partner who could bind him and repudiate his own liability.^ But in the absence of such fraud he is bound, for the infant alone can avail himself of this inca- pacity. Hence, if a parent without authority invests his children's money in a partnership, the adult partner cannot resist their right to insist on the partnership.* Where an iufant partner of a firm, which had a claim on an in- surance company, was induced by the debtor's fraud to settle the claim, and the firm received and divided the money, but afterwards sought to enforce a rescission of the settlement, it was ruled that they must payback the whole amount, although the infant waa unable to restore his share.^ § 1 44. Accounting and payment of losses. — The infant can call on his partner for an accounting and a share of the profits.^ And his partner can require the infant to account. The court has the same power to decree a dissolution and compel an accounting for the misconduct of the infant as in other cases.® The adult partner has a right to insist upon the assets of the firm being applied to the debts. The infant's right to rescind is subordinate to this equity of the adult partner. 1 Bush V. Linthicura, 59 Md. 344, 349. sideratiou of an outfit to enable him 2 Id. 355. to go to California on a mining ad- 8 Stein V. Robertson, 30 Ala. 286. venture, agreed to give one- third of 4 Brown v. Hartford F. Ins. Co. the profits to the person wl)o fur- 117 Mass. 479. nished the outfit, and having sent 5 Gay u Jolinson, 32 N. H. 167. back the agreed one-third of the <>Bush V. Lintliicum, 59 Md. 344 profits, sought to rescind and recover (holding tliat he cannot be made per- them again, deducting tlie amount eonally answerable for the costs); of the outfit; but tiie court refused Kitchen v. Lee, 11 Paige, 107; Breed to allow this, saying that otherwise V. Judd, 1 Gray, 455. In Breed v. the defendant would have no com- Judd, 1 Gray, 455, an infant, in con- pensation for his risk. 154 PERSONS COMPOSING THE FIRM. § Uo. It is not like the case of performing services or delivering money to another; but the possession is deemed joint and not in the adult only. The infant's disaffirmance is execu- tory only, and he cannot draw out his original capital and throw the entire loss upon the adult partner, nor compel the latter to bear the burden of the debts .except in excess of the entire assets of the firm.^ § 145. Ratiflcatiou. — If the infant, after coming of age, ratify the prior contracts of the partnership, he becomes bound for its debts. ^ Whether there is or is not a ratifica- tion seems to be a question of intention on his part, to be determined by his conduct or declarations. It is doubtful whether remaining in the partnership and continuing busi- ness is a ratification of it by the infant as to prior contracts made during the minority. Mere continuauce was deemed not to show sucli intent in two cases, in one of which the note in suit was not ratified by contin- uing in business after majority without knowledge of the note.' And in the other, a promise after coming of age to pay his share of notes, was held to be, not a ratification, but a refusal to rat- ify, but that dealing with such part of goods unpaid for as re- mained on hand was a ratification as to them, for he could have returned them * 1 Page V. Morse, 128 Mass. 99 ; a partnership, he cannot recover it \ Moley V. Brine, 120 Mass. 324; Dun- back, and consequently could not ton V. Brown, 31 Mich. 182. In Dun- prove it against his partner's estate tonv. Brown, 31 Mich. 182, where the in bankruptcy. infant partner sought to rescind the 2 Whitney v. Dutch, 14 Mass. 457; contract of partnership, and recover 7 Am. Dec. 229. his capital and value of his services, 3 Crabtree v. May, 1 B. Mon. 289. it was said that neither he while un- The exact contrary was ruled in Mil- der age, nor his guardian, could deter- ler u. Sims, 2 Hill (S. Ca.), L. 479, mine whether a voidable contract and the cases cannot be reconciled, should be annulled. In Sparman v. unless in the latter there was dealing Keiin, 83 N. Y. 245, however, he with the goods for whicli the note was allowed to avoid the partner- was given; but the ruling was said ship contract and recover his capital, in Dana v. Stearns, 3 Cush. 372, 376, In Ex parte Taylor, 8 De G. M. & G. to go beyond any case within the 254; 25 L. J. Bkr. 35; 2 Jur. (N. S.) knowledge of the court. 220, it_was_decixled that if an infant ■•Minock v. Sliortridge, 21 Mich, pay a premium for admittance into 304. ~~ -^ ' 155 § 147. NATURE AND FORMATION. So, where two partners, both minors, gave a mortgage to secure future advances of goods, if part of the goods was furnished after one came of age, this ratified the mortgage as to him.* Where the infant partner sold his interest in the firm to the adult, taking a chattel mortgage to secure the purchase money, and after coming of age proved the mortgage as a claim on his part- ner s estate in insolvency, this was held not to ratify the partner- ship so as to make him liable for the debts, but, if anything, to ratify the dissolution only.* If the infant deals with the goods under a new title after coming of age, as where on sale of partnership effects they were bought in by his grandfather, and afterwards by him sold to the infant this is, of course, no ratification.^ Where judgment was rendered against both partners, the infant's omission to attack it for six years after majority was deemed a ratification.'* § 146. contracts after majority. — But on contracts made by the firm after the infant comes of age, he is bound by continuing in the business. And where he had, while an infant, purchased goods together with his partners, but did no partnership act after coming of age, he was held bound for subsequent purchases by the partners from the same dealer, if no knowledge of dissolution was had by such dealer; the court holding that the partnership must be deemed to continue until notice to the contrary.* §147. Creditors' rights in the assets. — The creditors have the right to subject the entire assets of the firm, al- though one of the partners be a minor. His plea of infancy avoids any personal responsibility for the debt, but will not exempt his interest in the joint property, for he has no sep- arate interest in the joint property until all the debts are paid and a division made." Nor can separate creditors of an iKeegan v. Cox, 116 Mass. 289. Bush v. Linthicum, 59 Md. 344, 349; 2 Dana u. Stearns. 3 Gush. 372,376. Whittemore v. Elliott, 7 Ilun, 518. 3 Todd V. Clapp. 118 Mass. 495. See Furlong v. Bartlett, 21 Pick. 401. *Kemp V. Cook, 18 Md. 130. A minor, whose contribution to the 6Goode V. Harrison, 5 B. & Aid. capital of the firm was $1,000, but 147. But see King v. Barbour, 70 who had sold out liis interest to his Ind. 35. copartner for that sum, and thus 6 Yates u. Lyon, 61 N. Y. 344, 346; dissolved the partnership and re 156 PERSONS COMPOSING THE FIRM. § 149. adult partner claim an equality of distribution in insolvency with partnership creditors on the ground of the infancy of the copartner, since he alone can avoid the partnership.^ § 148. Actious l)y and against. — In actions to collect de- mands due tlie firm the infant partner must be co-plaintiff with the others.^ In actions against the firm the infant must be made a co-defendant; this follows from the prin- ciples that his contract is not void, and that no one but himself can avoid it; the plaintiff cannot treat it as void, but must join him; moreover, he has a right to be heard.^ On plea of infancy by the minor defendant, plaintiff may reply confirmation of the contract by him after coming of age. § 149. Jndgment is a partnership debt. — A judgment on a demand due from the firm is a partnership debt, whether the infant was dismissed or retained as a party; and even if there was but one adult partner, and the judgment is against him alone, after plea of infancy. Hence, if several actions ceived back his capital, is entitled to an injunction to prevent a levy of execution on his property under a judgment got against the firm with- out his knowledge, Vansyckle v. Rorback, 6 N. J. Eq. 234. 1 David V. Birchard, 53 Wis. 493, 497. And see Yates v. Lyon, 61 N. Y. 344, 2 Teed v. Elworthy, 14 East, 210; Osburn v. Farr, 42 Mich. 134. A dictum to the contrary occurs in Phillips V. Penny wit, 1 Ark. 59. 3 Wamsley v. Lindenberger, 3 Rand. (Va.) 478 ; Slocum v. Hooker, 13 Barb. 536 (reversing s. C 13 id. 563); Mason v. Denison, 15 "Wend. 64. In former times, when the in- fant's contract was void, it was held proper not to join him as defendant; and when his nou-joiniler was pleaded, to reply that tlie partner not joined was an infant. Burgess v. Merrill, 4 Taunt. 408; Gibbs v. Mer- rill, 3 id. 307; Jaff ray u. Frebain, 5 Esp. 47 ; Chandler v. Parkes, 3 id. 76. But these cases cannot be considered law unless it be in a case where the contract is void as to the omitted partner, as in some states in the cases of married women. 4 Kirby u. Cannon, 9 Ind. 371. It has been held that on plea of infancy the plaintiff might dismiss as to the infant and recover against the others without being compelled to resort to a new action, for a release of the in- fant who has not confirmed his con- tract does not release the others. Kirby v. Cannon, 9 Ind. 371 ; Wood- ward V. Newhall, 1 Pick. 500; Hart- ness V, Thompson, 5 Johns. 160. And on plea of infancy, judgment can go against the adults. Tuttle v. Cooper, 10 Pick. 281; Hartness v. Thompson, 5 Johns. 160. 167 § 151. NATURE AND FORMATION. are brought against the firm, and the minor pleads infancy to some and not to others, and some of the judgments are therefore against the adults alone and some against all the partners, yet the judgments stand on an equality in the dis- tribution of the firm's assets; for pleading 'infancy is not a disaffirmance of the partnership, but a mere denial of indi- vidual liability.^ In view of the right of the adult partner to have the assets of the firm applied to the partnership debts, and the right of its cred- itors to secure priority in the distribution over the separate creditors of the individual partner, there would doubtless be no impropriety in retaining the infant as a party, with a proper restriction on the judgment against execution on his individual property.* § 150. A firm as partner in another firm. — A partner- ship may inter se be regarded as a member of a firm. The liability in solido of each partner to creditors renders this unimportant as to third persons, but inter se, as bearing on distribution and on liability to each other, it may be very important. The intention of the parties must be ascer- tained and is the sole test. In In re Hamilton, 1 Fed. Rep. 800, where two firms formed a conjoint firm, each firm and not each individual was intended to be a partner, this intention being inferred from the facts: 1. That there was no firm name, but paper of the conjoint firm was made in the name of the separate firms. 2. The agreement of partner- ship was signed in the firm names, 3. Profits and losses were allotted to firms and not to individuals. 4. The separate firms presented claims upon the joint fund in their firm names.* DORMANT PARTNER. § 151. What is a dormant partner. — A dormant partner is one who takes no active part in the business and whose iWliitteniore v. Elliott, 7 Ilun, Mason v. Denison, 11 Wend. dVZ 518; Gay v. Johnson, B2 N. H. 167. (affd, 15 id. G4J. 2'A statute authorizing a judgment 3 See, also, Raymond v. Putnam, against all joint debtors, though 44 N. H. IGO; Gulick v. Gulick, l4 some are not served with process, N. J. L. 578, 582; Re Warner, 7 applies, though one be an infant. Bankr. Reg. 47; Rich v. Davis, G Cal. 1G3; Bullock v. Hubbard, 23 id. 495. 153 PERSONS COMPOSING THE FIRM. g 151. name does not appear in the title of the partnership, and who is unknown to those who lend credit to the firm. Ab- solute and universal or even a studied secrecy is not essen- tial, for the connection of the dormant partner may be known to a few or even to many. He is then no longer dormant as to them, but continues so as to the rest of the public.^ If, however, the connection becomes generally known in any way, the dormancy ceases, that is, secrecy is essential, independent of the manner of exposure; and un- like holding out, to render a third person liable as partner, if the other partners or third persons divulge the connection without the consent or knowledge of the dormant partner, or it is revealed by casual means, he is no longer dormant, though the firm style be the name of another partner only.^ The question of dormancy is one of fact for the jury.' It seems to have been thouglit that the law of dormant partners applies only to commercial partnerships, and that in real estate matters a partnership cannot be in the name of one person, doubt- less by reason of the statute of frauds;^ but this has been justly denied in toto.^ Many modern decisions have extended the doctrine of dormant partnership to cover cases where a partner contracts with the plaintiff, who does not know and has no reason to suppose there is a dormant partner or a partnership, and who is therefore permitted 1 Metcalf r. Officer, 1 McCrary, 325 ; SGoddard v. Pratt, 16 Pick. 412, 2 Fed. Rep. 640; In re Ess, 3 Biss. 429; Metcalf v. Officer, 1 McCrary. 301; Cregler v. Durham, 9 Ind. 875; 325; 2 Fed. Rep. 640; North v. Bloss, Kelley v. Hurlburt, 5 Cow. 534; 30 N. Y. 374, 379; Cregler v. Dur- Davis V. Allen, 3 N. Y. 108; North v. ham, 9 Ind. 375; Hunter r. Hubbard, Bloss, 30 N. Y. 374, 3S0 ; Fosdick v. 26 Tex. 537. Van Horn, 40 Oil. St. 459. < Smith v. Burnham, 3 Sumner, 2 Evans v. Drummond, 4 Esp. 89; 435; Pitts v. Waugli, 4 Mass. 424; U. S. Bank v. Binney, 5 Mason, 176 Patterson v. Brewster, 4 Edw. Ch. (aff'd as Winshipu. Bank of U. S. 5 352; Speake v. Prewitt, 6 Tex. 252 Pet. 529) ; Boyd v. Ricketts, 60 Miss, (a dictum). 62; Deering v. Flanders, 49 N. H. 5 Chester u. Dickerson, 54 N. Y. 1, 225; Clark v. Fletcher, 96 Pa. St. 416; 10; Benners v. Harrison, 19 Barb. 53, Benjamin r. Covert. 47 Wis. 375, 3S2. 58; Gray v. Palmer, 9 Cal. 616; This was denied by Baldwin, J., in Brooke v. Washington. 8 Gratt. 248 his dissenting opinion in Winship v. (56 Am. Dec. 143). And see more Bank of U. S. 5 Pet. 529, 574. fully in the chapter on Real Estate. 159 § 152. NATURE AND FORaiATION. to sue such partner alone -without joining his associates, they being regarded as to the plaintiff in the light of dormant partners.' § 152. the firm name not decisive. — It has been said that every person whose name is not inclnded in the firm style, or under a general designation as & Co., is to be deemed a dormant partner; ^ but this obviously is quite too sweeping; it must be intended that he shall be unknown, and he must also, of course, be not generally known.' Otherwise, if the firm name were a purely artificial and fictitious one, as The Citizens' Bank, or The Warren Factory, all the partners would be dormant, which is preposterous; for credit must be given to somebody, and not to a mere name, and somebody must be plaintiff, whereas a dormant partner need not be plaintiff.^ The fact that the firm name contains a collective word or a general designation, as & Co., & Son, & Bro., does not pre- vent a partner in it being dormant, if there are more than two;* but if the firm consists of but two and its name haa a collective expression, the legal presumption is that both partners are ostensible.^ J De Mautort v. Saunders, 1 B. & < Shamburg v. Buggies, 83 Pa. St. Ad. 398; Chase v. Deming, 43 N. H. 148; Clark v. Fletcher, 90 id. 416, 274, where he denied there were 419. Yet see Bernard v. Torrance, 5 others ; Clark v. Holmes, 3 Johns, Gill & J. 383. 148; Hurlbut v. Post, 1 Bosw. 28; ^See the facts in the following Brown V. Burdsal, 29 Barb. 549; Cook- cases: Metcalf v. Officer, 1 McCrary, iugham v. Lasher, 38 id. 656; 2 Keyes, 325 ; 2 Fed. Rep. 640 ; Warren v. Ball, 454; 1 Abb. Dec. 436; Farwell v. 37 III. 76; Kennedy y. Bohaiinon, 11 Davis, 66 Barb. 73; Worth v. Bloss, B. Men. 118; Goddard v. Pratt, 16 30 N. Y. 374, 380; Leslie v. Wiley, 47 Pick. 412, 428; Grosvenor v. Lloyd, 1 id. 648. See§ 1052. Met. 19; Benton v. Chamberlain, 23 ^Leveck v. Shaftoe, 2 Esp. 468; Vt. 711; Waite v. Dodge, 34 id. 181. Bank of St. Marys v. St. John, 25 Ala. See Hagar v. Stone, 20 Vt. 106, 111. 566; Mitchell v. Dall, 2 liar. & Gill, 6 Metcalf v. Officer, 1 McCrary, 325; 159, 172; Cammack v. Johnson, 2 N. J. 2 Fed. Rep. 610 ; Shamburg v. Rug- Eq. 163; Mason v. Connell, 1 Whart. gles, 83 Pa. St. 148, 151. But see facts 381,385; Jones u. Fegely, 4 Phila. 1; in Grosvenor v. Lloyd, 1 Met. 19, Shamburg v. Riiggles, 83 Pa. St. 148, where I. Stone and D. Stone were 150; Speake v. Prewitt, 6 Tex. 252. partners as I. Stone & Co., but the sphillips V. Nash, 47 Ga. 218; contract sued upon was for rent of Howell V. Adams, 68 N. Y. 314. premises rented to I. Stone. 160 PERSONS COMPOSING THE FIRM. § 155. § 153. need not abstain from participation. — It is not essential to dormancy that the dormant partner should wholly abstain from participation in the business. He may participate, provided he is not known in it as a partner,^ or even appear to the public as a clerk or agent.- But the active manager and business-man of the firm, if a partner and not an agent, it was said, could not be a dormant partner.' § 154. Powers of dormant partner. — The powers of the dormant partner inter se must be governed by the contract between the parties.* In the absence of express restriction in the articles upon his participation in the business, the mere fact that he is a dormant partner does not of itself place any limit upon his general power as a partner;^ hence his admissions are evidence against the firm.'' On the death of the active partner, he may take charge of the winding-up as surviving partner and bring necessary suits. ^ §155. Property may be deemed to belong to ostensible partner. — A partner cannot keep his membership secret and afterwards be allowed to appear and embarrass creditors or persons who have acquired claims on the faith of the sole ownership of the ostensible partner. Thus, an execution or attachment on a judgment against the ostensible part- ner, levied upon the property of a dormant partnership, will 1 Bauk of St. Marys v. St. John, 25 ably not biud it ; citing Nicholson v. Ala. 566; Mitchell v. Dall, 2 Har. & Ricketts, 2 E. & E. 524; Cleasby, B., Gill, 159; North v. Bloss, 30 N. Y. 374, in Holme v. Hammond, L. R. 7 Ex. 380 ; Fosdick v. Van Horn, 40 Oh. St. 218, 233. But see Rich v. Davis, 6 Cal. 459, 466. 163. 2 Waite V. Dodge, 34 Vt. 181 ; How ^Cammack v. Johnson, 2 N. J. Eq. v: Kane, 2 Pin. (Wis.), 531 ; 2 Chand. 163. See Holme v. Hammond, supra. 222 (54 Am. Dec. 152). '•Kaskaskia Bridge Co. v. Shannon, 3 Choteau v. Raitt, 20 Oh. 132, 144-5. 6 111. 15. Contra, Bank of St. Marys v. St. ''Beach v. Hay ward, 10 Oh. 455. John, supra. This had been said to be uncertain in * If in fact he has no actual power Johnsou v. Ames, 6 Pick. 330, 334 ; and is not known to be a partner, his but in the analogous case of a limited attempt to contract on behalf of the partnership, a surviving special part- firm, it was said by Mr. Justice Lind- ner can wind up, see Bates' Limited ley, Partnership, 238 (d), would prob- Partnership, j). 197, Vol. I— 11 161 §15G. NATURE AND FORMATION. not be postponed to a subsequent levy by a partnership creditor. The dormant partner cannot assert a lien in viola- tion of the appearances he has held out, and, therefore, the partnership creditors cannot do so through him.^ So, if a person have an account in bank, and take in a secret part- ner, subsequent deposits may be applied by the bank to prior overdrafts.^ § 156. Liability of dormant partner. — A dormant part- ner's liability for the debts of the firm depends on the gen- eral principles of commercial law applicable to any other Gumbel 1 Ex parte Norfolk, 19 Ves. 455 ; £"0; parte Law, 3 Deac. 541 ; Ex parte Chuck, 8 Bing. 469 ; French v. Chase, 6 Me. 166; Lord v. Baldwin, 6 Pick. 348; Cammacku. Johnson, 2N. J. Eq. 16:3; Van Valen v. Russell, 13 Barb. 590; Brown's Appeal, 17 Pa. St. 480; Hillman v. Moore, 3 Tenn. Ch. 454; Whitworth v. Patterson, 6 Lea, 119, 123; How V. Kane, 2 Pin. (Wis.) 531 ; 2 Chand. 222 (54 Am. Dec. 152) ; Cal- lender v. Robinson, 96 Pa. St. 454. And see Talcott v. Dudley, 5 111. 427. Contra on the ground that a credit- or's priority is not because he trusted the partnership, but because the credit he gave tended to increase their funds, and, therefore, they have priority over separate creditors, al- though the partnership was in the name of the ostensible partner alone and the other was unknown. Witter V. Richards, 10 Conn. 37. Contra, also, Taylor v. Jarvis, 14 Up. Can. Q. B. 128, holding that judgment on a note signed B. & Co., got against B. alone, supposing there was no partner, will be postponed to a levy under a sub- sequent judgment against both part- ners. And see Boro v. Harris, 13 Lea, 36. And by statute in Missis- sippi, if a person trade in his own name, without & Co., or other part- nership designation or sign, all the property is treated as his. V. Koon, 59 Miss. 264. 2 Allen V. Brown, 39 Iowa, 230. On this principle, if the ostensible partner goes into bankruptcy, it was held that the creditors of the busi- ness could regard him as their sole debtor, and elect to prove against his estate pari passu with his separate creditors, who would then be subro- gated to the claims against the joint estate, or can claim against the joint estate. .Ex parte Hoilgkinson, 19 Ves. 294; Ex parte Norfolk, 19 Ves. 455; Ex parte Cliuck, 8 Bing. 469; Ex parte Reid, 2 Rose, 84 ; Ex parte Norfolk, 19 Ves. 455; Ex parte Wat- son, 19 Ves. 459. If the ostensible partner becomes bankrupt, the fact that he was allowed to carry on the business as sole owner, if hona fide, will not entitle his assignees in bank- ruptcy to take possession of the part- nership stock as if he were sole owner, regardless of the rights of the dormant partnei*, Reynolds v. Bow- ley, L. R. 2 Q. B. 474; Ex parte Hay man, 8 Ch. D. 11. If the dormant partner goes into bankruptcy the as- signee cannot take rights in the property against the creditors which the assignor could not, Talcott v. Dudley, 5 111. 427. 163 PERSONS COMPOSING THE FIRM. § 156. undiscovered principal, and he is chargeable when discovered just as the other partners are. The authority of the osten- sible partners within the scope of the business to bind the dormant partner is the same as it is to bind each other, or, rather, it binds the whole firm alike. ^ If a loan has been made by a person who has a secret part^ier, but is made not only on his individual credit, but for his individual benefit, and not in his business, so that it is his personal matter alone, the secret partner is not affected by it.'' If the borrowing part- ner declares the loan to be for his business, this declaration is con- clusive of the fact on the principles stated in section 450/ If A. agree to deliver goods to B. at a future time, and before de- livery B. takes in a secret partner, credit, if given at the time of the delivery, will be presumed given to the firm though unknown to A.* Cuttle & Bordley bought goods of plaintiff and many others, and shipped them to Gilmore, at Baltimore, under fictitious names. Gilmore sold them under the same names, but being a member of the firm of Cuttle & Bordley, he was held liable to the plaintiff ex contractu ^ihowgh. the plaintiff was ignorant of his existence.* K. was a secret partner of E. in many of his purchases of hogs but not in all of them, and it was impossible to ascertain to what extent. In an action for the price of a certain purchase made by E., in which K. took an active part, it was held that such purchase would be deemed one of them.* Where fraud in the formation of the partnership was perpetrated iWinship V. Bank of U. S. 5 Pet. Tucker v. Peaslee, 36 N. H. 167; 529; U.S. Bank r. Binney, 5 Mason, Bromley v. Elliot, 38 id. 287, 303; 176; Snead v. Barringer, 1 Stew. Johnston u. Warden, 3 Watts, 101; 134; Parker v. Caufield, 37 Conn. Lea v. Guice, 13 Sm. & Mar. 656; 350 ; 9 Am. Rep. 317 ; Phillips r.Nash, Gavin v. Walker, 14 Lea, 643 ; Brad- 47 Ga. 218 ; Holland v. Long, 57 id. shaw v. Apperson, 36 Tex. 133 ; Grif- 36, 40; Lindsey v. Edmiston, 25 111. fith v. Buffum, 23 Vt. 181; 54 Am. 359; Bisel v. Hobbs, 6 Blackf. 479; Dec. 64. Gilmore v. Merritt, 63 Ind. 535; 2See /n ?-e Munn, 3 Biss. 443. Scott V. Colmesnil, 7 J. J. Mar. 416; 3 Winship v. Bank of U. S. 5 Pet. Kennedy r. Bohannon, 11 B. Mon.. 529 ; Gavin u. Walker, 14 Lea, 643. 118; St. Armand V. Long, 25La. Ann. ^ Johnston v. Warden, 3 Watts, 167; Bernard v. Torrance, 5 Gill & 101. J. 383; Moale v. Hollins, 11 id, 11 ; * Gilmore i?. Merritt, 62 Ind. 325. Richardson v. Farmer, 36 Mo. 35; 6 Lindsey v. Edmiston, 25 111. 359. 163 § 158. NATURE AND FORMATION. upon the dormant partner, and on its discovery he rescinded the contract of partnership without having received any part of the funds, he v?as not liable to creditors.' § 157. Rationale of liis liability. — The liability of a dor- raant partner was at an early period explained as founded on his taking part of the fund upon which creditors rely, or, in other words, because he receives part of the profits or gets the benefit of the contracts of the ostensible partner. This reason has been repeated again and again ever since then.^ But where money is borrowed or credit given for the busi- ness without knowledge on the part of the lender that there is a dormant partner, the latter is liable, though the borrow- ing partner misapply the funds or credit and no benefit is received, the fund never having come to the use of the firm.' Hence it evidently appears that the true ground of hability is that the dormant partner is an undisclosed principal.* In case of a note given in a business transaction in the name of the ostensible partner alone, where not only the dormant partner was unknown, but also the fact that there was a firm of any kind, the dormant partner is, nevertheless, liable if the loan was for the business. Had the firm been known and had a name, taking such a note would have been an election to take the signer alone, but here there is no op- portunity to elect. The name of the signing partner will be regarded as the firm name.* DELECTUS PERSONARUM. § 158. Partnership being a relationship created by agree- ment and founded upon and requiring a degree of mutual 1 Mason r. Connell, 1 Whart. 381, 529; Parker v. Canfield, 37 Coun. and Wood v. Connell, 2 id. 543. 250, 270(9 Am. Rep. 317); Grosvenor 2 Waugh V. Carver, 2 H. Bl. 235 ; for v. Lloyd, 1 Met. 19 ; Tucker v. Pea.s- example, Phillips v. Nash, 47 Ga. 218 ; lee, 3G N. H. 167. Lea V. Guice, 13 Sm. & Mar. 656; Fos- ^Snead v. Barringer, 1 Stew. 134; dick V. Van Horn, 40 Oh. St. 459, 466. Parker v. Canfield, 37 Conn. 250 ; 9 aWinship v. Bank of U. S. 5 Pet.- Am. Rep. 317; Scott v. Colmesnil, 7 229; Gavin v. Walker, 14 Lea, 643. J. J. Mar. 416; Moale v. Hollins, 11 Contra, see Bank of Alexandria v. Gill & J. 11; Richardson v. Turner, Mandeville, 1 Cranch, C. C. 575. 36 Mo. 35; Griffith v. Buffum, 23 *Winship v. Bank of U. S. 5 Pet. Vt. 181; 54 Am. Dec. 64. 164 PERSONS COMPOSING THE FIRM. g 159. confidence not found in any other contract relationship, and, in fact, resembling marriage in this respect, it follows that no person can become a member of a firm without the con- sent of the others. Hence, no one of the partners can in- troduce a person into the firm, or engage the firm in another partnership, unless his copartners are willing. Hence, for example, the executors of a deceased partner cannot become members of the firm without the consent of the surviving partner, however imperative the directions of the will for the continuance of the business may be.^ If a partner sells his interest in the firm, the purchaser cannot be made a partner by any contract with his vendor alone, nor acquire any right to interfere in the partnership affairs.'* § 159. Cannot make the firm partner in other concerns. — On the same principle, a partner cannot engage his firm in enterprises in which a third person is a partner with him.^ Thus, a partner intrusted with money of the firm for the purpose of going into another state and purchasing com- modities there, and who there takes in a third person as partner in the speculation, and intrusts the money to him, and the new member is robbed of it, is guilty of a conver- sion and must account to the original firm for the money.* Or if, in such case, the speculation is disastrous, the new associate cannot require the firm to share the loss with him.^ So an agent, having a general power of attorney to transact his absent principal's business, cannot embark the principal or his property in a partnership.® 1 Pearce t;. Chamberlain, 2 Ves. Sr. Brainard, 38 Barb. 574; Mason v. 33; Crawford v. Hamilton, 3 Madd. Connell, 1 Whart. 381 ; McGlensey v. 254: Bray v. Fremont, 6 id. 5; Craw- Cox, 1 Phila. 387; Setzer v. Beale, 19 shay V. Maule, 1 Swanst. 495 ; Tatam W. Va. 274, V. Williams, 3 Hare, 347. 3 Numerous authorities on the gen- 2Jefiferys v. Smith, 3 Russ. 158; eral proposition will be found under Bank v. Railroad Co. 11 Wall. 024; Sub- partnership. Jones V. Scott, 2 Ala. 58; Meaher v. ^Reis v. Hellman, 25 Oh. St. 180. Cox, 37 id. 201; Miller u Brigham, 5 Freeman v. Bloomfield, 43 Mo. 50 Cal. 615; Love v. Payne, 73 Ind. 391. 80; 38 Am. Rep. Ill; Taylor v. 6 Campbell v. Hastings, 29 Ark. Penny, 5 La. Ann. 7; Merrick v. 512, 539-40. 165 § 161. NATURE AND FORMATION. § 1 60. Consent in advance. — The consent to the admis- sion of a new member may be given in advance; the time or place of it is immaterial. Thus, if the shares of partners are by the articles agreed to be transferable, the buyer of a share is by the agreement made a partner in the seller's place. ^ And so if partners have agreed in advance that any one of them may nominate his successor, the agreement is valid.-' But a mere right reserved in the articles to a partner, to assign his share, is not equivalent to an agreement to admit the assignee to membership in the firm, independent of the acknowledgment of the firm." An article in the partnership contract providing negatively that one partner cannot sell his interest without giving his copartners the first chance to purchase does not imply a right to introduce a stranger into the firm upon their refusal to buy.'' § 161. Ratification and acquiescence. — If the other part- ners recognize the third person, whether he be the buyer of the entire interest of a retiring partner, or a person whom a partner has assumed to introduce into the firm, or another firm with whom he has assumed to associate his partner, as partner, and treat him or them as such, this ratifies the act on the terms of the old articles;* but not on terms dif- fering from the articles and unknown to them.^ Mere silence or failure to dissent, after knowledge that a partner has engaged the firm as member of another firm, is evidence from which acquiescence or ratification may be inferred;'' or that other similar contracts had previously been recognized.^ In Jones v. O'Farrel, 1 Nev. 35i, Hill & James being partners in a particular kind of business, James formed a partnership with j 1 Fox V. Clifton, 9 Bing. 119; May- SMeaher v. Cox, 37 Ala. 201 ; Ros- . hevv's Case, 5 De G. M. & G. 837. enstiel v. Gray, 112 111. 282. 2Lovegiove v. Nelson, 3 M. & K. CLove v. Payne, 73 Ind. 80; 38 1, 20. Am. Rep. 111. 3 Jefferys V. Smith, 3 Russ. 158. 'Tabb v. Gist, 1 Brock. 33; Mason *McGlensey v. Cox, 1 Phila. 387; v. Council, 1 Whart. 381; Wood v. 5 Pa. L. J. 203; 1 Am. Law Reg. Connell, 2 id. 542. ^O. S.) 34. « Buckingham v. Hanua, 20 Ind. 110. 1G6 PERSONS COMPOSING THE FIRM. § 163. others, as OTarrell, James & Co. in a different business, being an enterprise to improve HilTs property. Hill was held not bound to notify the world that he is not a member of the new concern. § 162. Effect inter se of sale of a share.— The sale of a share without consent of the partners is not, however, void, but is a dissolution; certainly if the partnership be at will (See §§ 570, 571); and the purchaser's remedy is to demand an accounting.^ In Jones v. Scott, 2 Ala. 58, two firms, J. & H. and S. & S., owned a boat and ran her in partnership as common carriers. S. & S., without the knowledge of J. & H., sold out all their interest to the former captain and clerk, H. and D., after which a loss of freight occurred ; here, although the owner of the freight could have re- covered from J. & H. unless he had timely notice of tlie dissolu- tion, yet S. & S. cannot recover contribution from J. & H., whom they have made associates of irresponsible persons without their consent. § 163. Partnerships without delectns personarum. — There are two exceptions to the right of delectus person- arum — one in the case of joint stock companies with trans- ferable shares (§ 72); this is not really an exception because transfer without dissolution is designed and agreed upon' in advance from the nature of the association. The other exception is in case of mining partnerships. In this peculiar kind of partnership there is no delectus j^er son- arum, but any partner may assign his share without dis- solving the firm; nor is death a dissolution, and the assignee has his rights and remedies against the other associates.' Partnerships in mines may, however, as in the somewhat analogous case of ships (§ 70), be ordinary partners if such is the agreement.^ 1 See § 927. Nash, 53 id. 540 ; Campbell v. Colo- ^ ZBeutley v. Bates, 4 Y. & C. 182; rado Coal & Iron Co. 9 Col. 60; * Redmayne v. Forster, L. R. 2 Eq. Southmayd v. Southinayd, 4 Mon- 467; Kahn v. Central Smelting Co. tana, 100, 113; Lamar v. Hale, 79 103 U. S. 641 ; Skillmau v. Lachman, Va. 147. 23 Cal. 199; Duryea v. Bart, 28 id. 3jefferys v. Smith, .3 Russ. 158; 569; Dougherty v. Creary, 30 id. 290; Crawshay v. Maule, 1 Svvanst. 518. Taylor v. Castle, 42 id. 367 • Nisbet v. 167 § 164. NATURE AND FORJ^IATION. SUB- PARTNERSHIPS. § 164. A partner has a right to contract with a stranger on his own account, whereby the latter shall participate in his share of the profits and bear part of his losses. This wheel within a wheel is called for convenience a sub-part- nership, and constitutes the parties to it partners, and the third pe rson is called a sub-partner. But as between the original partners the sub-partner is not a member of the firm,^ but is only a partner of the one with whom he contracted. "-^ The right of delectus person- arum prevents any person being made a partner of others without their consent, and forcing upon the rest an asso- ciate whom they had not selected. Thus, where D. and L. were partners carrying on several busi- nesses in different cities, and the partnership was to apply to any and all real estate subsequently purchased by L., and L. took in P. as a partner in the business in one of the cities as L. & P., and they became possessed of considerable real estate, most of which was held in P.'s name; and D. recognized that L. had taken in such partner, and L. died and his administratrix claimed that P. sho-uld sell the real estate as surviving partner of L. & P. and account to her for L.'s share, but D. claimed that P. must account to him as surviving partner of D. & L. for L.'s share, the latter view was held to be the true one, for P. holds the assets composing L.'s share for the legal representative of the original firm. ^ Where one partner has taken in sub-partners, another partner 1 Nam socii mei socius, meus socius Gray, 4G8; 8 Ara. Law Reg. (N. S.) non est. Dig. lib. 17, tit. 2, i? 20. 688; Shearer v. Paine, 12 Allen, 289; 2 fix' parte Barrow, 2 Rose, 252; McHale v. Oertel, 15 Mo. App. 582; Brown v. De Tastet, Jac. 284; Bray Murray v. Bogart, 14 Johns. 318; V. Fromont, 6 Matkl. 5; Ex parte 7 Am. Dec. 46G; Burnett v. Snyder, Dodgson, Mont. & McAr. 445; Frost 76 N. Y. 344 (aff'g, II Jones & Sp. V. Moulton, 21 Beav. 596; Fairholm 238); s. c. 81 N. Y. 550; 37 Am. Rep. V. Marjoribanks. 3 Ross, L. C. 097 (a 527; (rev. 13 J. & Sp. 577); New laud Scotch case); Mathewson v. Clarke, tJ. Tate, 3 Ired. Eq. 226; Cliaunel v. 6 How. 122; Bybee v. Hawkett, 12 Fassitt, 16 Oh. 166; Setzer v. Beale, Fed. Rep. 649; 8 Sawy. 176; Fry v. 19 W. Va. 274; Mair v. Bacon, 5 Hawley, 4 Fla. 258; Meyer v. Krohn, Grant's Ch. (Up. Can.) 338. 114 111. 574, 581: Reynolds v. Hicks, 3 Shearer v. Paine, 12 Allen, 289. 19 Ind. 113; Fitch v. Harrington, 13 168 PERSONS COMPOSING THE FIRM. § 167. who is afterwards compelled to pay a judgment against the firm cannot sue the sub-partners for contribution.' Nor can the sub- partner compel an original partner with whom he has not con- tracted to share a loss.^ § 166. Nor does the mere knowledge, recognition and ap- proval of the other partners of the arrangement between one of their number and a sub-partner constitute the latter a member of the firm.' Thus, where X. refused to become a partner in S., P. & Co., but concurrently with the formation of ihat partnership entered into an arrangement with two of the partners, S. and P., reciting that it was deemed expedient that he should have an interest in the firm and contracting that he should receive one-third of the profits and bear one-third of the loss of S. and P.'s share, in an action by a creditor against him as a partner in the original firm, it was held that he was not such.* The fact that the sub-partner was appointed agent and manager of the firm is not recognition of him as a partner, and he is there- fore entitled to compensation as an employee of the firni.^ But if all agreed that a person should be admitted as a partner, he is not changed from a partner to a sub-partner merely by a contract with one of the partners that he should be a partner in the latter's share, unless the rest understood that he had ceased to be a partner.* § 167. Nor has he a right to accounting. — A sub-partner being a stranger to the principal firm has no right to compel an accounting from it or from any member of it, except his partner; ^ hence, in a suit for an accounting between the sub- partner and his partner, the other partners in the principal firm are not necessary parties.^ 1 Murray v. Bogart, 14 Johns. 318; 5 Newland v. Tate, 3 Ired. Eq. 226. 7 Am. Dec. 466; Setzer v. Beale, 19 6Setzer v. Beale, 19 W. Va. 274, W. Va. 274 ; Mair v. Bacon, 5 Grant's 297. Ch. (Up. Caru) 338. "^ Sir Charles Raymond's Case, cited 2 Freeman v. Bloomfield, 43 Mo. 391. in Ex parte Barrow, 2 Rose, 252, 255 ; 3 Shearer v. Paine, 12 Allen, 289, Brown v. De Tastet. Jacob, 284; supra; Channel ij. Fassitt, 16 Oh. 166; Bray v. Fromont, 6 Madd. 5; Math- Setzer v. Beale, 19 W. Va.274, 291-2. ewson v. Clarke, 6 How. 122; Reilly * Burnett v. Snyder, 81 N. Y. 550; v. Reilly, 14 Mo. App. 62. 37 Am. Rep. 527 (rev. 13 Jones & Sp. 8 Brown v. De Tastet, Jacob, 284 ; 577); S. C. 76 N. Y. 344. Settembre v. Putnam, 30 Cal. 490. 169 § 1G9. NATURE AND FORMATION. Yet it has been lield that the other principal partners could be mafic parties so that the right to know the state of the accounts and of discovery to which the sub-partner is entitled against his partner raaj' be enforced through the latter.* And in winding up the principal firm it is not error to decree to a sub-partner, whose connection had been consented to, the amount due him as against the other principal partner who is a debtor to the firm." And after the dissolution of the principal firm, a sub-partner of one of the members can maintain suit in chancery for his proportionate share of the adventure, for he is then enforcing no right of the partner- ship, though he could neither have compelled a dissolution nor have maintained this suit prior to dissolution.^ § 108. Nor is lie a partner as to creditors. — Nor is such sub- partner liable as partner to creditors of the firm, for he does not participate in the profits as principal, and has no community in them or lien before division to compel an ac- counting and distribution, nor a control over the operations of the firm, but his claim is merely a demand against the partner with whom he contracted. The principles of Cox V. Hickman, etc., §§ 19-23, are conclusive upon this.'* §169. Rights of the sub-partners inter se. — Subject to the foregoing principles the rules that govern the existence, formation, conduct and duration of a sub-partnership are doubtless the same as those which apply to any other part- nership having a managing and a sleeping partner. Thus, a the contract be to share the profits and loss of the inter- est of a partner, it is a sub-partnership and not a contract of sale.* And the duration of the sub- partnership depends upon 1 Chandler v. Chandler, 4 Pick. 78. 550; 37 Am. Rep. 527 (rev. 13 Jones 2 Rosenstiel v. Gray. 112 111. 282. & Sp. 577). and given fully above. See 3 Mathewson v. Clarke, 6 How. Drake v. Ramey, 3 Rich. L. 37. Con- 122. And see Shearer v. Paine, 12 tra, Baring v. Crafts, 9 Mtt. 380; Allen, 289, cited fully supra. Fitch v. Harrington, 13 Gray, 46S (8 *Fairholmv. Marjoribanks, 3 Ross, Am. Law Reg. (N. S. ) r88^: and Lead. Cas. 697; Bybee v. Hawkett, 12 dictum in Newland v. T; te, 3 Ired. Fed. Rep. 619; 8 Sawy. 170; Mp}'er Eq. 226. But tliese cases are not V. Krohn, 114 111. 574, 581-2; Re}^- founded on principle, nolds V. Hicks, 19 Ind. 113; Burnett 6 Coleman u. Eyre, 43 N. Y. 38, V. Snyder, 76 N. Y. 344 (aff. 11 where tlie statute of frauds was Jones & Sp. 238); S. C. 81 N. Y. urged ajjainst an oral contract to " 170 PERSONS COMPOSING THE FIRM. § 1G9. the contract between the parties to it, and the conclu- sion does not follow that it is to last as long as the principal partnership.^ A sub-partner can enforce his contract with his copartner without awaiting the settlement of tte original firm, the amount of profits of the latter being a mere fact to be proved,- In Richardsori v. Dickinson, 6 Foster (26 N. H.), 217, D. having joined eight others in a partnership for a trading and mining ex- pedition, each to contribute §1,000, R. advanced to him §500 to- wards his contribution, he agreeing that on Jinal distribution of the company's affairs, he and R. would divide profits accruing from the enterprise. Before any profits were realized D, sold out his share to the other members for S2,000. It was held that R. was en- titled to a share in the purchase money as profits, for this increase in profits as to D. is a final distribution as to him, but he will not be held for any more in the absence of fraud, though a month later he could have realized more, as did the others. In Scott V. Clark, 1 Oh. St. 382, a similar mining expedition to California, of which C. became a member by S. paying in C.'s con- tribution on an agreement that he should have half of all that C. should obtain by being a member. The company was dissolvable at any time by vote of two-thirds of the members, and was subse- quently so dissolved, and C. made money on his own account. It was held that S. was entitled only to half the share assigned to C, on dissolution, and not half of the whole proceeds of C's trip to Cal- ifornia, the latter being his individual property, share the profit and loss of tlie inter- 598 ; both parties liere testified that est of one person in the shipment, there was no limit, but it was held to be a sale. 2 Reilly v. Reilly, 14 Mo, App, 62. iFi-ost V. Moulton, 21 Beav. 596, 171 CHAPTER VIII. THE FIRM AS AN ENTITY. § 170. Opposing conceptions of a firm.— There is one striking and very important difference between the mercan- tile conception of a partnership and its attitude in the eye of the law. In the commercial view a firm is regarded as if it were a corporation; it is regarded as an entity or personi- fied being, distinct or apart from its constituent members. The accountant makes each of the partners a debtor or cred- itor to the firm and not to each other. Changes of member- ship are not regarded as the ending of one and tlie beginning of another partnership, but as mere incidents in an un- broken continuity. Business houses in different places un- der different names, but composed of the same persons, as where A, and B. have an establishment in one city as A. & Co. and in another as B. & Co., are regarded as distinct partnerships with distinct debtors and creditors, and as debt- ors or creditors of each other, unlike the legal treatment of the partners.^ § 171. Originally a partnership was, and to a very large extent still is, in its legal aspect, something very different from this. The common law recognized but two kinds of persons, the natural and the artificial; one created by nature, the other by the sovereign; but a conventional being, or the attempt to create an entity by private agreement, was un- authorized, and even its possibility not recognized. It was not a thing distinct from the members composing it, nor was it an entity at all, but a mere expression of the relation iln Bank of Toronto v. Nixon, 4 legallj^ makes a dissolution and new Ont. App. ;54G, the court construed a firin and not an alteration, regard- statute referring to an alteration or ing tlie legislature as more probably change of partnership to apply to familiar witli the mercantile than the retirement of a partner, which the legal view. 173 THE FIRM AS AN ENTITY. § 172. of certain persons to each other, or description of a pecuhar species of mutual agency of each for all, in which each agent is also a joint principal, with certain equitable rights over the application of the joint property, and the firm name a mere symbol or convenient abbreviation of all the names adopted for mutual purposes. Eeal estate could not be held or conveyed in the firm name. The same idea runs through other parts of the law, as in demands by and against the firm being prosecuted by and against the part- ners; judgments against the partners being lions on the real estate of each; executions upon a debt of the firm being levied upon and satisfied out of the separate property of any partner without resorting to the partnership assets in the first instance; bonds and guaranties to a firm for good con- duct of another, or to a person for the good conduct of a firm, expiring on a change of membership. So a partner stealthily or forcibly breaking into the store, taking the money, or appropriating the goods, commits no crime, neither embezzlement, larceny or burglary, nor even a trespass, for the firm not being a distinct proprietor, these acts relate to his own property. So, also, we find that if one of a firm has disqualified himself to sue, as by having released the debtor, or having conveyed to him, though wrongfully, the property sought to be recovered, the firm is disabled to sue, because one of the plaintiffs is seeking to repudiate his own act, whereas if the firm were a distinct individuality it would not be thus affected.^ § 172. On the other hand, of the justice, convenience and desirability of treating a firm as a person there is but little doubt, and there are certain parts of the law difficult to ex- plain except upon the theory that a partnership is an entity. 1 And this has been carried to such raon to both, and the maker pays the an extent as to hold that where a note to A,, so that A. & B. could not note is made to the firm of A. & B., sue upon it, B.'s disqualification dis- and is by them indorsed to the firm ables B. & C. to sue. Jacaud v. of B. & C, B. being a partner com- French, 13 East, 317. 173 § 172. NATURE AND FORMATION. This appears on the distribution of assets by a court in cases of death or bankruptcy, awarding a priority to the partner- ship creditors; true this is explained as based upon an ex- tension and enforcement of the right of each partner to have the assets apphed so as to reheve him from the debts; but where did he get this right? It is not a hen, for a hen is based upon possession, and ceases when that is lost, whereas here is no possessory right, but an equity, easier understood and more consistent by regarding the firm as an individual with its environment of rights and liabiUties, than to imagine an equitable lien in a partner that has no counter- part elsewhere in the law. When we come to the subject of shares, in the next chapter, we shall find a great deal to suggest the personification of the firm. The law of Scotland,' and the systems of continental Europe and the Roman law, regarded the firm as a separate person capable of suing and being sued by its own members, and having distinct rights and interests, and such is the law of Louisiana.'' Equity also in some respects treated a partnership as if it were distinct from its members, in permitting a firm to sue another firm with which it had a member in common for a balance, although the suit was requh-ed to be in the individual names; and even at law on a note or other promise made by a firm jointly with an individual, the persons composing the firm were regarded as but one promisor or one surety, and inter se bound for half the debt only.^ 1 Bell's Law of Scotland, § 357. ion of profits on a joint enterprise 2 Succession of Pilcher, 1 South, between a partnership and an individ- Rep. 939 (1887), where it is called a ual. So in West & Co. v. Valley Bank moral being distinct from the indi- 6 Oh. St. 168, where by statute dam- viduals; a civil person which has ages were allowed on protested bills peculiar rights and attributes, and drawn on persons " without tlie ju- its partners do not own the property ; risdiction of this state," and the firm it is the ideal being that owns it. of Taylor & Cassilly had a business See, also, Liverpool, etc. Nav. Co. r. house in Cincinnati, where C. resided, Agar, 14 Fed. Rep. 615; 4 Woods, and another in New Orleans, where 201, of a Louisiana commercial part- T. resided, each house keeping inde- nership. pendent accounts, and a bill was 3 Chaffee v. Jones, 19 Pick. 260 : Hos- drawn on " Taylor & Cassilly, New mer y. Burke, 26 Iowa, 353; Warner Orleans," and accepted by C. in Con- V. Smith, 1 De G. J. & S. 337, of divis- necticut for the New Orleans house, 174 THE FIRM AS AN ENTITY. § 173. § 4.73. And judicial declarations that a firm is a distinct entity are now frequently to be met with. Jessel, M. R., in Pooley r. Driver, L. R. 5 Ch. D, 458, says, speak- ing of agency as a test of partnership, "you cannot grasp the notion of agency, properly speaking, unless you grasp the notion of the existence of the firm as a separate entity from the existence of the partners, a notion which was well grasped by the old Roman lawyers, and which was partlj'- understood in the courts of equity before it was part of the whole law of the land, as it now «s." In Walker v. Wait, 50 Vt. 668, it was said that a partnership or joint stock company is just as distinct and palpable an entity in the eye of the law as distinguished from the individuals composing it, as is a corporation, and can contract as an individualized and uni- fied party with one of its members as effectually as a corporation with one stockholder. The only difference is a technical one, that plaintiff as a partner would be on both sides of the record; but when the note of a partnership to one member is transferred to a stranger, he can sue on it at law. Other similar declarations, that a partnership is a distinct thing, artificial being or legal entity apart from the partners, are not ua- frequent.' Other examples of an unconscious instinct in courts towards this was held not to be drawn on the ^ Forsyth v. Woods, 11 Wall. 484, natural persons, but upon the ideal holding that a promise by the part- mercantile person as domiciled at ners collectively respecting a matter New Orleans, which is a person not within the scope of the firm's "without the jurisdiction of the business is not a promise of the firm state." The rulings in this case and and should not be declai'ed upon as twoprecedingonesmay, however, be such. Bracken u. EUsworth, 64 Ga. explained as merely carrying out the 243, 251 ; Hemy v. Anderson, 77 Ind, contract of the parties. See, also, 361,363; Fitzgerald u. Grimmell, 64 City Bank of New Orleans v. Stagg, Iowa, 261 ; Cross v. National Bank, 1 Handy, 382, illustrating the doc- 17 Kan. 336, 340; Robertson v. Cor- trine that the domicile of the drawee sett, 39 Mich. 777; Roop v. Herron, determines the right to damages on 15 Neb. 73; Curtis v. HoUingshead, protest and holding a billon a foreign 14 N. J. L. 402, 410; Faulkner v. house payable there, and accepted Whitaker, 15 id. 438; Meily y. Wood, by a partner residing here. So 71 Pa. St. 488, 492; 10 Am. Rep. 719; Chenowith t\ Chamberlin, 6B. Mon. and a firm is spoken of as having a 60 (43 Am. Dec. 145), of a resident domicile in Cameron v. Canieo, 9 drawing on his firm domiciled out Bankr. Reg. 527; Pecks v. Barnum, of the state. ' 24 Vt. 75, 79. 175 § 1 74. NATURE AND FORMATION. treating a, firm as an entity, as far as possible, may perhaps IJG seen in the effort to preserve insurance policies issued to a firm from for- feiture by alteration of membership under clauses against alienation of the property or changes of title. The statutes in England and in many of the code states permit- ting actions to be brought by and against firms in the firm name have made the partnership into a person for many purposes of pro- cedure, even to allowing one firm to sue another having a meml)er in common with it, and have gone far towards fostering a further recognition of the entity conception of a partnership.' § 174. How far the original legal conception of a firm' has shifted or is shifting, and however desirable that some of its corners be rubbed off, yet it nowhere is coterminous with the accountant's idea of the firm as expressed above, nor do the judicial expressions of its personification go to that length. This is conspicuously so in the law of con- veyancing and procedure. A deed to or by a firm in a con- ventional name either wholly fails to convey the legal title, or is highly defective. Actions must be brought, statutes apart, by and against the individual partners, and judg- ment against the individuals will roach their private property equally with the partnership property, subject, of course, to any priorities separate creditors may have; and every addi- tion or retirement of a member, though the business be continued under the same name, ends the old and forms a new and distinct firm, so that in an action, under a statute, in the firm name, causes of action in favor of the old and new firms cannot be joined. Identity of style, name and continuity of interest fuse the two bodies into one as little as where a father and son boar the same name. Thus, where a person is indebted to A., B. and C, partners as A. & Co., and after C. has retired and D. taicen his place the debtor becomes indebted to the new firm of A. & Co., composed of A., B. and D., and makes two notes to A. & Co., one for the former debt 1 And it has been so called under AVagon Co. J4 Neb. 106, 108; Whit- 6uch statutes in Newlon v. Heaton, man v. Keith, 18 Oh. St. 134, 144. 43 Iowa, 593, 597 ; Leach v. Milburn See Actions in firm name, § 1059. 176 THE FIRM AS AN ENTITY. § 175. and one for the latter, the two notes cannot be sued upon in the same action, for the two payees are distinct concerns.' A mortgage to a firm to secure advances to be made by the mortgagor will not inure to the holder of notes made by the mort- gagor to a firm composed of the original partners and a new mem- ber;* hence, also, a power granted to trustees to loan money to a firm is not a power to lend to continuing partners alter death or re- tirement of one;^ and so a power to a firm is terminated by a partner retiring.* And under a statute that a signature is admitted, unless its genuineness is specially denied, if an action is brought against D. and M. on a note signed by them as D. & Co., a general denial by D. admits the genuineness of the signature and that he is a member, for the firm not being distinct from its members, the averment is equivalent to alleging that each signed.' § 175. Taxation of a firm. — The treatment of a firm as an entity or otherwise, and as having a domicile, frequently obtains in levying taxes and in filing its chattel mortgages, and here will be a convenient place for treating these subjects. The doctrine of mohilia sequuntur personam makes personal prop- erty taxable at the residence of its owner and not at the place where it happens to be. Under the doctrine that the persons compos- ing a firm, and not the firm itself as an ideal person, is owner, the property is listed and taxed where the partners live, if they reside in the same taxing district.® So a tax on all persons exercising a profession can be levied upon each partner separately, although he practices only in a firm.' This rule of personal property applies to water-craft belonging to the firm, for they are migratory in charac- ter.« iDyasr. Dinkgrave, 15 Ln. Ann. 503. 8 Cook v. Port Fulton, 106 Ind. 170; 2Abat V. Penny, 19 La. Ann. 289. Peabody v. County Comm'ra, 10 3 Fowler v. Reynal, 2 DeG. & Sm. Gray, 97; In re Hatt, 7 Up. Can. L. 749; 3 M. & G. 500. J. 103. In Taylor v. Love, 43 N. J. < Jones V. Shears, 4 Ad. & EI. 833. L. 143, it was said that a firm has uo 5 Haskins v. D'Este, 183 Mass. 356. domicile apart from the joint domi- 6 Griffith V. Carter, 8 Kan. 565 (now cile of the jjartners, although it may changed by statute, see Swallow v. not be inaccurate to speak of its Thomas, 15 id. 66) ; Taylor v. Love, domicile, where all the partners live 43 N, J. L. 143. where the business is carried on. 'Lanier v. Macon, 59 Ga. 187; Wil- But if they live in different districts der V. Savannah, 70 id. 760; 48 Am. the place of business does not fix the Rep. 598. place of taxation for all the prop- VOL. 1 — 13 177 § 17G. NATURE AND FORMATION. If all the partners live in the same town the assessment may be either against the partners individually or against tlie firm.' An assessment is only made upon those who are partners at that time; the fact that a partner has retired without notice of dissolu- tion does not make him liable to the state, because levying a tax is not giving a credit but is an arbitrary imposition;" though inter se a partner who has sold his interest to his copartners has been re- quired to reimburse them if they have been compelled to pay taxes upon the entire stock as an incumbrance upon the property sold.^ Yet it was held that an incoming partner must pay the share of taxes of a retiring partner, whom he has bought out, though not men- tioned in the schedule of liabilities.* § 176. Many statutes, however, treat the firm as an independent owner and tax it and not the partners, and independently of their residences." And an assessment even of land to the partnership, and not to the separate partners, is proper.® Thus, under a statute requiring property of a firm or corporation to be listed by the prin- cipal accounting officer, the managing partner, who lives where the business is carried on, may properly list the entire assets there, and the other partner, who lived in another county, need not list his interest at all.'' So an English joint stock company Avas held to be so far converted into an artificial body as to be taxable as a com- erty, wherever situated ; and where ner asking a reduction must show the firm's business and property was the amount of debts owing and his in Jersey City, and one partner projDortion of them, State v. Par- lived in Elizabeth and the other ker, 34 N. J. L. 71. three partners out of the state, it 2 Washburn u. Walworth, 133 Mass. was held proper to tax the three 499. non-residents where the property was ' Evans v. Bradford, 35 Ind. 527. and the other partner at Elizabeth. < Wlieat v. Hamilton, 53 Ind. 256. A provision that a firm shall pay but SThibodaux v. Keller, 29 La. Ann. one tax was said to be right in prin- 50S, 509; Stockwell v. Brewer, 59 ciple, and that it would be unjust Me. 286; Hubbard v. Wiusor, 15 and unequal to tax each partner Mich. 146; Putman v. Fife Lake separately in addition, Savannah v. Township, 45 id. 125; McCoy v. Ilines, 53 Ga. 616 (of a firm of law- Anderson, 47 id. 502; Williams v. yers). Saginaw, 51 id. 120; Robinson v, 1 Taylor v. Love, 43 N. J. L. 142; Ward, 13 Oh. St. 293; In re Hatt, 7 State V. Parker, 34 id. 71. And see Up. Can. L. J. 103. Swallow V. Thomas, 15 Kan. 66. In 6 Hubbard v. Winsov, 15 Mich. 146. either case the whole property must 7 Swallow v. Thomas, 15 Kan. 60; be assessed at full value, and a part- Little v. Cambridge, 9 Cush. 298. 178 THE FIRM AS AN ENTITY. § 177. pany.' An unincorporated joint stock company, with transferable shares, is a partnership, and taxable as such where the business is carried on, and the shareholder is not taxed on its property. The partner's interest is not the market value of his shares, but an in- dividual interest in the assets as a tenant in common.' That a firm is taxed by a wrong name is immaterial.^ After dissolution and while the partnership is being wound up, no division of property is worked, so that the share of each partner is to be separately taxed, but it is proper and legal to continue to tax the firm as before; it still continues for the purpose of closing up;* and so in case of dissolution by death, it is proper to assess the firm in the firm name, and the taxes are paid out of the part- nership funds.' § 177. branch business. — An act requiring the property to be taxed where the business is carried on means that subsidiary activities and operations lacking the fixed character of an establish- ment having an identity will be drawn to the home establishment. Hence, a firm of lumber dealers is to be taxed at the home office, where it makes its sales upon lumber which is sawed and shipped elsewhere, and is not sent to the home establishment at all;^ and even though a few sales were made at the place where the lumber was sawed;' and though the partners themselves have temporarily gone to the place where the logs are, in order to work upon them.' An excellent justification of this policy is in the fact that the 1 Oliver v. Liverpool & Loudou L. Contra, Von Phul v. New Orleans, & F. Ins. Co. 100 Mass. 531. . 24 La. Ann. 261. 2 Hoadley u County Comm'rs, 105 SBlodgett v. Muskegon (Mich. Mass. 519. In Gleason v. McKay, 1886), 27 N. W. Rep. 686. 134 Mass. 419, a tax on partnerships, ^Putnaan v. Fife Lake Twp. 45 to be paid on the aggregate value of Mich. 125. the capital stock, which was held in 'McCoy v. Anderson. 47 Mich. 502. assignable shares, was ruled to be 8 Torrent v. Yager, 52 Mich. 506. unconstitutional. For as a tax on In Barker v. Watertown, 137 Mass. property it is not proportional; but 227, a firm had three factories in the it is not a tax on property, the prop- three different cities of B., N. and W. erty not being inquired into; but is Neither of the partners lived at W., a tax on the shares, which are the nor were the books kept there. The property of the individual members, goods made at the factory at W. and if valid the legislature can select were kept in an adjacent storehouse any business and tax it. . until sold, the sales being chiefly on * Lyle V. Jacques, 101 111. 644. orders received at B., one of the part- * Oliver v. Lynn, 130 Mass. 143. ners going each day to the three fao 179 § 179. NATURE AND FORMATION. books and papers, from whicli the amount and value of the prop- erty are ascertainable, are generally kept at the place of business, and the partner's right of review and correction of the assessments may not be available elsewhere.' Stock in trade in a factory, hired by the firm in a town othei than where the principal place of business is, may be taxed at its locality, as one other than where the owners reside, even if one partner lives there, for he is not the owner.* If the owners reside elsewhere tbe tax can be assessed to the per- son in charge.' § 178. Licenses. — A license issued to or special tax levied upon a firm, which is required before it can engage in a particular busi- ness, will inure to a continuing partner after he has bought out his copartner, and he need not pay again.^ But where the license is issued to one partner it was held to be a matter of personal con- fidence, and sales by his copartner were held to be illegal.* § 179. Filing of chattel mortgages. — The filing of a chattel mortgage of partners is like the filing of a chattel mortgage by any joint tenants, and if the latter must file it at the place of resi- dence of each mortgagor, a partnership mortgage must be filed in the county or township of each partner,* though the chattels are in the possession of one partner.' tories and shipping goods from them Putman v. Fife Lake Tvvp. 45 Mich. to customers. It was held that the 125 ; McCoy v. Anderson, 47 id. 502. firm had a "place of business" at < United States v. Glab, 99 U. S. W., where goods were "employed" 225; State v, Gerhardt, 3 Jones, L. in its business ,and such goods were 178. Contra, Harding v. Hagar, 63 taxable there. But merely keeping Me. 515. property in another place in order 5 Webber v. Williams, 36 Me. 512. that a distinct firm may do work And in U. S. v. Glab, 99 U. S. 225, upon it is not a having a branch the query was made whether a li- business, Little v. Cambridge, 9 cense to a firm would liave continued Cush. 298. So if sent there for sale, had the change been by the addition Fairbanks v. Kittridge, 24 Vt. 9. If instead of the loss of a partner. That the principal place of business is out a firm can take out a license to sell of the state, the interest of a resident liquors was said in Lemons v. State, partner is taxable here, Bemis v. 50 Ala. 130, Boston, 14 Allen, 3G6. ^Briggs v. Leitelt, 41 Mich. 79; 1 McCoy V. Anderson, 47 Mich. 502. Stewart v. Piatt, 101 U. S. 731 ; Rich 2 Lee V. Templeton, 6 Gray, 579. v. Roberts, 48 Me. 548; 50 id. 395. » Danville Co. v. Parks, 88 111. 170; 7 Morrill r. Sanford, 49 Me. 566. Hittinger v. Westford, 135 Mass. 258; 180 THE FIRM AS AN ENTITY. § 179. But in Hubbardston Lumber Co. v. Covert, 35 Mich. 254, where the statute required chattel mortgages to be filed where the owner resides, and if he is a non-resident, then where the property is, it is said that, for many purposes, a firm is a distinct concern, and possesses a sort of individuality. It has for some purposes an ideal existence. Its creditors and debtors differ from those of individuals, A member may be creditor or debtor of it. A member is agent of it but not of individual interests. It may be taxed and sometimes sued in firm name. It may have a local abiding place. Hence a firm chattel mortgage filed where the firm has its residence is sufficient if executed by all the partners, all of whom live in the state, but not where the business seat is; it is well filed where they live. But if executed for the firm by a resident partner, and the other partner is a non-resident, and the resident partner lives where the firm is, it is properly filed there, though some of the property is in another part of the country.^ The execution of a chattel mortgage by one partner belongs to the subject of Powers.' 1 Where chattels of one partner are being used as before, this is no used by the firm and the partner mort- change of possession to protect the gages them, and it is agreed between unfiled mortgage against other cred- the mortgagor and mortgagee that itors. Mere words are no change, the other partner shall retain posses- Porter v. Parmley, 53 N. Y. 185. •ion for the mortgagee, the property 2 g 407. 181 CHAPTER IX. INTEREST OR SHARE OF EACH. § 180. Nature of. — A partner has no specific interest in any particular chattel or asset, or part of the property of the firm; his only interest is in a proper proportion of the sur- plus of the whole after payment of debts, including the amounts due the other partners.* From this nature of a share and in view of the delectus personaruin, it follows that upon the death of a partner the surviving partner alone can wind up the business, and the administrator's right is to require him to do so; and 80 in case of bankruptcy of a partner, whereby he is disquali- fied to act, the solvent partner has the right to wind up, and the assignee gets the bankrupt's surplus, though in case of bankruptcy the assignee may have to be a co-plaintiff in actions. So in execution sales of the interest of a partner, only a share in the surplus passes. And so if a partner sells his interest to his copartners, claims standing against him on the books are extinguished, for they are not debts, but items of the general account.^ § 181, Presumed equality of. — In the absence of agree- ment or evidence as to the proportions of profit and loss to be divided between the partners, the presumption is in favor 1 Farquliar v. Haddeu, L. R. 7 Cli. id. 264. Many other cases to this ef- App. 1 ; Filley v. Phelps, 18 Conn, feet will be found under the subjects 294; Trowbridge V. Cross, 117111. 109; of Exemptions, Executions against Bopp V. Fox, 03 id. 540; Ferry v. one Partner and Retiring Partners, Holloway, 6 La. Ann. 265 ; Douglas v. and Incoming Partner. Winslow, 20 Me. 89 ; Fern v. Cush- 2 Hence it was even queried, if all ing, 4 Cushing, 357; Tobey v. McFar- the partners lived in another state lin, 115 Mass. 98; Schalck v. Har- and the place of business was there, nion, 6 Minn. 265, 269; Bowman v. wliether the interest of one partner O'Reilly, 31 Miss. 261 ; Gaines v. could be said to exist in this state so Coney, 51 id, 323; Buffum v, Seaver, as to form the subject of an attach- 16 N. H. 160; Mabbett v. White, 12 nient here. Dow v. Say ward, 14 N. N. Y. 442, 455 ; Staata v. Bristow, 73 H. 9, 13. 183 INTEREST OR SHARE OF EACH. §1S1. of the equality of the shares. It makes no difference that one partner has contributed all the capital and the other only services or skill, for the court cannot set a proportion- ate value upon these respective contributions. The value of each partner depends on many things besides his capital, such as skill, industry, reputation, connection, and the like; and the silence of the parties naturally signifies an agreed and conceded equality. It follows from the same reasons that if the contribution to capital is in unequal proportions, the profits and losses are not presumably to be shared in the ratio of the shares of capital, but equally.^ While losses are presumed to be borne in the same ratio as profits,^ there is no positive rule to that effect.'' If the iFarrar v. Beswick, 1 Moo. & R. 527 ; Robinson v. Anderson, 20 Beav. 98 ; 7 DeG. M. & G. 239, of attorneys employed together in one case; Collins V. Jackson, 31 Beav. 645; Webster v. Bray, 7 Hare, 159 ; Stuart V. Forbes, 1 Macn. & G. 137 ; 1 Hall & Tw. 4G1 ; Copland v. Toulmin, 7 CI. & Fin. 349; Stewart v. Forbes, 1 Hall & Tw. 461 ; 1 Macn. & G. 137 ; Brown v. Dale, 9 Ch. D. 78 ; Turnip- seed V. Goodwin, 9 Ala. 372; Donel- son V. Posey, 13 id. 752; Stein v. Robertson, 30 id. 286; Brewer v. Browne, 68 id. 210; Griggs v. Clark, 23 Cal. 427 ; Roach v. Perry, 16 111. 87; Farr v. Johnson, 25 id. 522; Remick v. Emig, 42 id. 342, 348; Taft V. Schwanib. 80 id. 289; Flagg V. Stowe, 85 id. 164; Ligare v. Pea- cock, 109 id. 94; Moore v. Bare, 11 Iowa, 198; Honore v. Colniesnil, 1 J. J. Mar. 506; Pirtle v. Penn, 3 Dana, 247 (28 Am. Dec. 70); Conwell V. Sandidge, 5 id. 210; Lee v. Lash- brooke, 8 id. 214; Wolfe v. Gilmer, 7 La. Ann. 583; Northrup v. McGill, 27 Mich. 234; Randle v. Richardson, 53 Miss. 176; Henry v. Bassett, 75 Mo. 89; Ratzer v. Ratzer, 28 N. J, Eq. 136; Buckingham v, Ludlum, 29 id. 345 ; Gould -y. Gould, 6 Wend. 263; Ryder v. Gilbert, 16 Hun, 103; Taylor v. Taylor, 2 Murph. (N. Ca.) 70; Jones v. Jones, 1 Ired. Eq. 332; Worthy v. Brower, 93 N. Ca. 344; Knott V. Knott, 6 Oregon, 142, 150; Christman v. Baurichter, 10 Phila. 115; Whitis v. Polk, 36 Tex. 602. According to the Scotch law it is not necessarily presumed that part- ners share equally, but is a question for the jury, considering all the cir- cumstances, including good will, skill, capita], labor, etc., what should be the share of profit and loss. Thompson v. Williamson, 7 Bligh. N. R. 432. And so, also, by two earlier English cases, Peacock v. Peacock, 2 Camp, 45; Sharpe v. Cummings, 2 Dow & L. 504. And was doubted in Towner v. Lane, 9 Leigh (Va.), 262. 2 See, for example, Flagg v. Stowe, 85 111. 164; Whitcomb v. Converse, 119 Mass, 38, 42; Moley v. Brine, 120 id. 324. 3 lie Albion L. Ass. See. 16 Ch. D. 83. 183 § 182. NATURE AND FORMATION. articles or agreement are silent, the books and accounts are as conclusive as a regular contract, and even more so, for the contract may be changed by parol. ^ This doctrine must be kept distinct from divisions of cap- ital and repayment of capital on winding up. It relates only to dividing j^rofit and loss, but does not alter the treat- ment of capital, as if a debt, to be first paid before profits are divided, and in case of i?npairment to be repaid, less the equalization of losses. § 182. examples. — And if the partnership is composed of an individual and a firm of two persons, the presumption of equality will give the firm half the profits as constituting one partner, and to each member of it, one-half of its half.* Where one furnished the manuscript of a book and the other the materials and labor to print and bind it, they were held to be presumptively equal partners in the gross and not the net profits.' Where capital was contributed in unequal proportions, and profits and loss were to be divided in the same proportion, and at the expiration of the partnership it was renewed, with the excep- tion that each partner's interest should be equal, this means equality in the ownership of the capital as well as shares of profit and loss, and parol evidence of a different intention is not admis- • sible.* Under articles by which each of two partners should use due diligence in procuring logs for their mill, and bear equal expense in procuring them, each does not contract to furnish half the logs, but to pay half the expenses.* Where partners engage the partnership funds in an outside spec- ulation the profit or loss is to be shared in the same proportion as they share in their other business.* Where the articles of partnership between two partners require money to be advanced in equal proportions, and profits to be di- 1 See §211. sPirtle v. Penn, 3 Dana, 247 (88 2 Warner v. Smith, 1 De G. J. & Am. Dec. 70). S. 337; Honore v. Colmesnil, 1 J. J. < Taf t v. Schwamb, 80 111. 289. Mar. 506; Conwell v. Sandidge, 5 » Pence u McPherson, 30 Ind. 66, Dana, 210; Turnipseed v. Goodwin, 6 Storm v. Cumberland, 18 Grau^ ^ 9 Ala'. 372. Ch. (Up. Can.) 245. 184 INTEREST OR SHARE OF EACH. § 183. vided in the proportion that the interests of each bear to the total amount paid in, and on accounting the defendant claimed more than half profits because he had put in more, the complainant can show that he hnd desired and offered io put in an equal amount, but defendant had excluded him from so doing and from informa- tion as to the amount so necessary to equalize the contributions, for the provision in the articles was intended to reach a wilful de- fault, which did not exist here, and if one increased his amount the other would not be in default until notice thereof and demand for contribution; and a partner has no right to pay expenses out of his own pocket when the firm is able to pay, and thus increase his interest, for each has the right to have the product sold to pay expenses.' Where a partner, in partnership five years with his two sons, put in S 1,000 for himself, and each son was to put in $500, their payments to be made by deduction of that amount from their in- heritance in his estate, and in case of dissolution before five years each son is to be entitled to but $100 for each year, in such case, if the firm is not dissolved before the end of the term, the $500 of each son is to be considered an advancement bj' the father and as if paid in by the sons, and the profits or increase was held divisible in the proportion of $500 to $2,000, but in case of dissolution before, each son was to share in the increase in the proportion of $100 for each year.* Where defendants formed a business connection with parties in Porto Rico, agreeing to give them one-fourth of the business, and afterwards formed a partnership with plaintiffs, agreeing that plaintiffs should be one-third interested in shipments to Porto Rico, and the defendants are to represent the other two-thirds, it was held that the plaintiff's are entitled to one-third of the whole amount, and not one-third of three-quarters only.' § 183. Mortgage or sale of a share. — As the share of a partner is merely a right to a proper proportion of the sur- 1 Fulmer's Appeal, 90 Pa. St. 143. purchase, and the cattle are sold for 2 Frederick r. Cooper, 3 Iowa, 171. |1,120, B. is entitled to one-third and 'Pond V. Clark, 24 Conn. 870. not one-half of the proceeds, since Where A. has $1,000 of the funds of the funds belonged to A., B. & C. the firm of A., B. & C, and furnishes The other two-thirds may be treated it to buy cattle for himself and B., as A.'s as between him and B. Bul- C. disclaimino- any interest in the lock v. Ashley, 90 111. 103. 185 § 183. NATURE AND FORMATION. plus, after payment of partnership debts and adjustment of balances, it follows that the assignee or mortgagee of the interest of one partner takes subject to all debts and liabili- ties, for he can get no greater right than his assignee could convey. The sale by a partner of his interest in the firm to a third person has no effect, as we have seen, to entitle the assignee to admission into the firm, by reason of the delectus personarum} And such sale, at least in a partnership at will, dissolves the firm. Such sale is, however, not entirely inoperative, for it is effectual to carry the right, after winding up, to such share of surplus as would otherwise have been due to the partner in preference to other and unsecured individual creditors.^ Indeed it has been said that the buyer becomes a tenant in common with the other partners. Yet any analogy to a tenancy in common is fanciful or rather erroneous. There is no tenancy in common thereby created in the property or right to any aliquot part of it; except of course in a min- ing partnership. The other partners have the sole right of possession and of winding up, and a complete power of dis- position. The buyer or mortgagee of the share of one part- ner has a mere right to receive the share of a surplus which would otherwise have been allotted to his assignor, and his right, therefore, is a jus in personam and not Sijiis in rem.^ 1 § 158. rights nor transfer to him the newly 2 Thompson v. Spittle, 103 Mass. acquired property. In Mosely v. 207, and cases cited in this chapter Garrett, 1 J. J. Mar. (Ky.) 213, it generally. was held that if one partner mort- 3 The assignee was distinctly held gages his interest to secure inrlorsers, not to be a tenant in common in and procure fuudj for the firm, the Bank v. Railroad Co. 11 Wall. 624; other partner could not divert the Donaldson v. Bank of Cape Fear, 1 fund mortgaged from the contem- Dev. Eq., 103 (18 Am. Dec. 577). In plated purposes and apply it to other Thompson v. Spittle, 103 Mass. 207, partnersliip debts. In Jones v. 210, it was said that a mortgage by Neale, 2 Patt. & H. (Va.) 339, it was one partner of Ids interest in a firm held that a conveyance by one part- and its property could not take ner to secure a partnership creditor effect upon subsequently acquired would pass a good title, both in law property, and that the purcliase of and equity, to his individual moietj-. Other goods, and mingling them, superior to the claims of other part- could neither divest the mortgagee's nership creditors; but not so of a isa INTEREST OR SHARE OF EACH. §184. § 1 84. Hence a partner cannot give to his individual cred- itor a specific lien upon partnership property or upon his interest in it to overreach the general lien of liis copartners or the priority of tlie partnership creditors. Thus, if a part- ner mortgage or sell his interest in the assets, the mortgagee or assignee is entitled only to the share of the partner in the surplus after satisfaction of all partnership claims.^ And though the mortgage be upon partnership real estate.^ So if he conveys it absolutely.' So a chattel mortgage by a partner in his own name passes no title in the property.* So conveyance to secure a separate creditor; but see § 548. 1 Smith V. Parkes, 16 Beav. 115; Fox V. Hanbury, Cowper, 445 ; West V. Skip, 1 Ves. Sr. 239; Young v. Keighly, 15 Ves. 557; Bentley v. Bates, 4 Younge & C. 183, 190; Warren v. Taylor, 60 Ala. 218; Chase V. Steel, 9 Cal. 64 ; Burpee v. Bunn, 22 Cal. 194 ; Jones v. Parsons, 25 id. 100 ; Sheehy v. Graves, 58 id, 449 ; Fil- ley V. Phelps, 18 Conn. 294; Beecher V. Stevens, 43 Conn. 587; Sutlive V. Jones, 61 Ga. 676; Shaw v. McDon- ald, 21 Ga. 395; Smith u. Andrews. 49 111. 28; Kistner v. Sindlinger, 33 Ind. 114; Smith u. Evans, 37 Ind. 536; Conant v. Frary, 49 id. 530; Henry V. Anderson, 77 id. 381 ; Deeter v. Sellers, 102 id. 458; Fargo -u. Wells, 45 Iowa, 491 {dictum); Hodges v. Holman, 1 Dana, 50; Whitmore v. Shiverick, 3 Nev. 2S8; Lovejoy v. Bowers, 11 N. H. 404; Receivers of Mechanics' Bank v. Godwin, 5 N. J. Eq. 334; Matlacku James, 13 id. 126; Hiscock V. Phelps, 49 N. Y. 97, 103-4; Tarbell v. West, 86 id. 280; Tarbel V. Bradley, 7 Abb. N. Cas. 273; Williams v. Lawrence, 53 Barb. 320, 324; Bank of N. Ca. v. Fowle, 4 Jones' Eq. 8 ; Ross v. Henderson, 77 N. Ca. 470 ; Burbank v. Wiley, 79 id. 501 ; Bank v. Sawyer, 38 Oh. St. 339 ; Hunt V. Smith, 3 Rich. Eq. 465; White V. Dougherty, Mart. & Yer. (Tenn.) 309; Williams v. Love, 2 Head, 80; Stebbins v. Willard, 53 Vt. 665; Jones v. Neale, 2 Patt. & H. (Va.)339. 2 Jones V. Parsons, 25 Cal. 100; Beecher v. Stevens, 43 Conn. 587; Whitmore v. Shiverick, 3 Nev, 288; Tarbell v. West, 86 N. Y. 280 ; Tarbel V. Bradley, 7 Abb. N. Cas. 273; Miller V. Proctor, 20 Oh. St. 442 ; Bank u Sawyer, 38 Oh. St. 339. 3 Bank v. Railroad Co, 11 Wall. 624; Burpee I'. Bunn, 22 Cal. 194; Marks V. Say ward, 50 id. 57 {dictum) ; Yale V. Yale, 13 Conn. 185; 33 Am, Dec. 393 ; Matlack v. James, 13 N, J, Eq. 126; Rosenstielv. Gray, 112 III. 282; Holland v. Fuller, 13 Ind. 195; Donald- son V. Bank of Cape Fear, 1 Dev, (N, Ca.)Eq. 103; Rodriguez u. Heflfernan, 5 Johns. Ch. 417; Ross v. Hender- son, 77 N, Ca. 170; Boyce v. Coster, 4 Strob, (S, Ca,) lEq, 25; Williams v. Love, 2 Head, 80. 4 Clark V. Houghton, 12 Gray, 38; Deeter ?;. Sellers. 102 Ind. 458; Smith V. Andrews, 49 111. 28; Yale v. Yale, 13 Conn, 185; 33 Am. Dec. 393. 187 § 185. NATURE AND FORMATION. of the lien upon partnership real estate of a judgment against one partner.' If the conveyance by a partner of liis interest be a sale of real es- tate, of which the legal title is in the partners as tenants in com- nLon, the vendee necessarily gets the legal title of a specific undivided share, and in an action by him to recover this, the partners must plead that it is the propertj^ of an unsettled partnership or that the seller was indebted to the firm, making equitable defense in an action at law.* In Beecher v. Stevens, 43 Conn. 587, by an agreement of both partners, one sold out his interest in the firm to a third person in order that the latter might form a partnership with the other, and deeded to him an undivided half of real estate constituting part of the assets, the buyer mortgaging it back to the retiring partner to secure the purchase price and payment of his share of debts, and the new firm afterwards made mortgages to subsequent creditors. The former mortgage was held to be the prior lien and not to be a mortgage of individual interest on mere surplus; nor is it a mort- gage on the interest of the new member in the new firm, for then the equity of later creditors could have been asserted against it by the other partner, but is a mortgage on the interest of the old n\em- ber in the old firm. In Maxwell v. Wheeling, 9 W. Va. 206, M., of M. & McK., part- ners, conveyed all his interest in the firm to S. to secure an indi- vidual debt due to a third person. S. sold the property under the trust at auction, and McK. bought it, paying S. in cash. Firm creditors, after this, garnished the cash in S.'s hands as partner- ship property. It was held to be M.'s individual money, and the creditors must look to the property in McK.'s hands, for M. could sell to S. only his own interest, that is, his share after the creditors were paid, and, therefore, did not sell partnership property. § 185. Subject to sul)se(iueiit firm debts. — But his inter- est, mortgaged or sold, is subject not only to existing lia- 1 Johnson v. Rogers, 15 Bankr. Reg. an assignment by one partner of his 1 ; 5 Am. Law Rec. 536. See § 186. interest in a note which the other ^McCauley v. Fulton. 44 Gal. 355. subsequently collected and was then See Marks v. Saywaid, 50 id. 57, an sued for the half by such assignee, application of the same doctrine to the defendant must plead his lien. 188 INTEREST OR SHARE OF EACH. § l8b. bilities, but also to subsequent equities, and the claims of subsequent creditors and the fluctuations of business. Hence, though the partnership debts are later in date than the mortgage or assignment of the share, yet the mortgagor gets only the interest in the surplus as of the date of its ascertainment or of the foreclosure, and not as of the date of its execution or of default.^ And where the partnership, being for a fixed and unex- pired term, is not dissolved, and the other partners do not choose to apply for dissolution, their right to continue the business at the risk of diminishing the assigned share is not affected, although they have notice of the sale or incum- brance.^ In Lovejoy v. Bowers, 11 N. H. 404, the mortgagee of one part- ner in a specific part of the partnership property, to wit, forty-six horses and four stages of a stage partnership, whether he could have insisted on a dissolution or not, which was not decided, did not do so and the business continued. It was held that a partner can- not mortgage or sell his undivided interest in a specific part of the partnership property, and that even if the mortgaged property comprised the entire assets so that the mortgage was of the share of the surplus, it would not avail against creditors, whether prior or subsequent, and the mortgagee's right was only in the surplus as it stood when the dissolution took place; and the suggestion was made that all the property taken may have been supplied by sub- sequent creditors, or drawn from profits on contracts with them. § 186. and subsequent conveyances. — Hence, if the title of the property is subsequently conveyed as a partner- ship act, whether by all the partners uniting in selling it, or by ICavander v. Bulteel, L. R. 9 Ch. N. J. Eq. 334, 338;Hiscock v. Phelps, App. 79-, Kelly v, Hutton, 3 id. 690; 49N. Y. 97, 103-4; Bank of N. Ca. v. Whetham v. Davey, 30 Ch. D. 574; Fowle, 4 Jones (N. Ca.), Eq. 8; Bur- Lindsay u Gibbs, 3 DeG. & J. 690; bank v. Wiley, 79 N. Ca. 501; Bank Guion V. Trask, 1 id. 379; Beecher v. Sawyer, 38 Oli. St. 339; Page v. V. Stevens, 43 Conn. 587 {dichim); Tliomas, 43 id. 38, 44-5. Conantu. Frary, 49 Ind. 530; Church- 2 whetham v. Davey, 30 Ch. D. ill V. Proctor, 31 Minn. 129; Love- 574; Cavander v. Bulteel, L. R. 9 Ch. joy V. Bowers, 11 N. H. 404; Receiv- App. 78; Kelly v. Hutton, 3 id. 703; ers of Mechanics' Bank v. Godwin, 5 Redmayne v.Forster, L. R. 2 Eq. 407. 189 § 186. NATURE AND FOR^IATION. a single partner conveying it in the due exercise of his power as a partner in the scope of the business, the second sale conveys a title discharged of all lienor right under the pre- vious individual act of mortgaging or assigning a separate share.^ Thus, where Y. & H. were deeply involved, and Y., to pay his private debt, gave a bill of sale of a horse belonging to the part- nership to the plaintiff, his creditor, and afterwards he gave a bill of sale of the same horse to a partnership creditor, the latter is en- titled to hold the horse against the claim of the former." And where one partner mortgaged his interest, described as one-half, in certain property of the firm, to secure his individual debt, and the other partner subsequently sold and delivered the property in order to get money to pay a partnership debt, the buyer's title is good as against the mortgagee. The opinion somewhat limits this by mak- ing the insolvency of the firm an element, regarding the mortgage as a lien upon the partner's surplus, the proof being that there was no surplus.' A judgment for his separate debt against one partner in whose name is the title of real estate of the firm will be postponed to subsequent mortgages or sales by the firm and to partnership debts and equities/ and if a cloud on the title will be removed.* And so, if the property is attached or sold on execution against the firm, the buyer's title is unincumbered by such mortgage.^ 1 Cavander v. Bulteel, L. R. 9 Ch. of Georgia, 24 Ala. 37 ; Evans v. App. 79; Jones v. Parsons, 25 Cul. Hawley, 35 Iowa, 83; Kramers v. 100; Yale v. Yale, 13 Conn. 185; S3 Arthur, 7 Barr, 163; Lancaster Bank Am. Dec. 893; Shaw v. McDonald, 21 v. My ley, 13 Pa. St. 544: Meily v. Ga. 395 ; Tarbell v. West, 86 N. Y. Wood, 71 Pa. St. 4S8 (rev. 8 Phila. 280; Tarbelv. Bradley, 7 Abb. N. Cas. 517); Willis v. Freeman, 35 Vt. 44; 273; Bank v. Sawyer, 38 Oh. St. 338; Johnson v. Rogers, 15 Bankr. Reg. 1 ; Bentley v. Bates. 4 Young. & C. 182, 5 Am. Law Rec. 536. Contra, Blake 100. But see Tread well v. Williams, v. Nutter, 19 Me. 16. 9 Bosw. 649. ^ Evans v. Hawley, supra. '^Ya\e V. Yale, supra. cSinith v. Andrews, 49 111. 28; »Shaw V. McDonald, 21 Ga. 395. Robinson v. Tevis, 38 Cal. 611 ; Com- ». § 199. Cannot bind the firm by wrong name.— The general principle is that a partner cannot bind the firm in a name other than its adopted style. ^ The firm is not to be charged by having contracts in all sorts of names unloaded upon it. The risk is sufficiently great when a partner is enabled to charge the firm in the adopted name without increasing the hazard; and an act even within the scope of the business is not necessarily binding on the firm, unless its name is used; and if any other name is used without specific authority to do the act in question, there must be proof that a partner- ship act was understood by the party crediting the firm, and with such proof there must be decisive evidence that the firm got the benefit of the contract, in order to hold it for the consideration. The doctrine that a bill ou the firm can be accepted by one part- ner in his own name stands on the ground that the word "ac- cepted" was at common law sufficient without signature, the addition of the partner's name merely authenticating the accept- ance; and even this doctrine is not universal.' 1 Coote V. Bank of U. S. 3 Cranch, of covenant for a partner to sign A. C. C. 95; Kirby v. Hewitt, 2G Barb. & Co., or A. for self and partners, be- 607; Ostrom v. Jacobs, 9 Met. 454; cause it cannot be known who are Norton v. Thatcher, 8 Neb. 186; the & Co. from such signatures, and Crouch V. Bowman, 3 Humph. 209; the other partners can have no in- Markham v. Hazen, 48 Ga. 570; Kirk junction or dissolution for such V. Blurton, 9 M. & W. 284; 12 L. J. cause. In Kirku. Blurton, 9 M. & W. Ex. U? ; Gordon v. Bankstead, 37 111. 284 ; 12 L. J. Ex. 117, where the firm 147; Tilford u. Ramsey, 37 Mo. 563, name was John Blurton, a bill signed 567; Palmer v. Stephens, 1 Den. 471; John Blurton & Co. was held not to Moffat V. McKissick, 8 Baxter, 517; bind the firm. In Royal Canadian Royal Canadian Bank v. Wilson, 24 Bank v. Wilson, 24 Up. Can. C. P. Up. Can. C. P. 362. And see McLin- 362, a draft drawn on Wilson, Moul den V. Wenthworth, 51 Wis. 170, & Co. and accepted in that name by where, however, the payee knew of one partner, when the firm name was tlie want of authority; Heenan v. J. S. Wilson & Co., and the above Nash, 8 Minn. 407. name was not adopted until two 2See§441. In Marshall r. Colraan, months later, was held not to bintl 2 Jac. & W. 266, 267-8, Lord Eldon the firm ; the partner had signed said that if the agreed firm name for bis private purposes, was A., B., C. & D., it was a breach 207 § 200. NATURE AND FORMATION. It may be stated, as a general principle, that a firm is not liable upon mercantile paper, unless it purports to bind the firm, either by the use of the individual names or the firm name.^ But a bill on the firm in the wrong name and ac- cepted in the right name is binding;^ and a bill drawn by a firm and issued by its successor in business, under a changed name, after the death of one partner, binds the new firm.' A receipt by a partner in his own name in relation to the joint business binds the firm.* § 200. Individual names instead of firm name. — We have elsewhere seen that a note signed by each partner, if made for a partnership purpose, binds the firm.* So a single part- ner who, instead of signing the name of the firm which represents all the members, signs the individual names represented, binds the firm the same as if he had used the representative name. This is true in case of conveyances, and is true in case of executory contracts creating a lia- bility, provided the firm received the benefit of the consider- ation or if the firm has no name. Further than this the cases do not yet seem to go; and it must be remembered that he binds them jointly and not severally, for no partner is the several agent of each member.^ 1 See §g 436-454. GaflF, 44 111. 510, a delivery and bill of 2 Lloyd V. Ashby, 2 B. & Ad. 23; sale to one partner of a steamboat Carney v. Hotchkiss, 48 Mich. 276. contracted to be bought by the firm. s Usher v. Dauncey, 4 Camp. 97. ^^453^ < Wiilet V. Chambers, Cowp. 814; ^Qahvay v. Matthew, 1 Camp. Brown v. Lawrence, 5 Conn. 897, 40a ; Norton u. Seymour, 3 C. B, 792; where one partner receipted in his Richardson r. Huggius, 23 N. H. 106; own name for notes to be collected Patch v. WJieatland, 8 Allen, 102, a and the proceeds credited on the mortgage of a ship; Holden v, bailor's debt to the firm; Tomlin v. Bloxum, 35 Mins. 381, a note for a Lawrence, 3 Moo. & P. 555, a draft by pui'chase of goods for the firm ; a partner in his own name on a Crouch v. Bowman, 3 Humph. 209, debtor of the firm, accepted by the a note for a purchase, holding that debtor, firm cannot sue until after the goods must be proved to have Ihe draft has been dishonored by the gone to the firm's use. McGregor v. debtor; Bisel v, Hobbs, 6 Blackf. 479, Cleveland, 5 Wend. 475, here notes a receipt for a quantity of corn is signed by one partner in the name of evidence of delivery ; Byington v. F. & R, Cleveland had been ratified o 08 THE FIRM NAJME. § 201. In Norton v. Seymour, 3 C. B. 792/ Tliomas Seymour and Sarah Ayres were in partnership as Seymour & Ayres, and Seymour signed a note in the individual names of the partners, and it was held good, Wilde, C. J., saying: " The note was signed in the names of Seymour & Ayres with the addition of their respective Christian names;" and Manle, J., saying: " I should hesitate to say that one of two partners could not bind the other by signing the true names of both instead of the fictitious name. That, however, is not the question here." In this case, also, the firm seem to have received the consideration of the note. §201. If no name lias been adopted. — If no name has been adopted by agreement or usage it is not necessary that a partner, in order to perform a partnership act, should use the individual names of all the partners, but any name may be used by him by which an intention to bind the firm ap- pears. Hence, if there is no adopted firm, the partner con- tracting or purchasing, giving a note signed in the name of himself & Co., sufficiently expresses that it is given for the firm; '^ or may use his own name alone.^ As where a partner signed a written contract for a purchase of goods for the firm in his own name, the firm having no name, the seller may, by oral evidence, show that he intended to give credit to the firm; * or adopt a fictitious name, as where the acting partner gave a note signed Atlantic Furniture Co., the co- by the other, and the note in question Be Warren, 3 Wai'e, 322 ; Ee Thomas, was signed "Frederick Cleveland 17 Bank r. Reg. 54; 8 Biss. 139. and Rufus Cleveland," and while it is. c. 16 L. J. C. P. 100; 11 Jur. does not appear that the firm re- 812 (1847). ceived the consideration, it also does 2 Austin v. Williams, 2 Oh. 61; not appear that they had adopted Aspinwall v. Williams, 1 id. 84; any firm name. Kitner v. Whitlock, Kinsman v. Castleman, 1 Mon. (Ky.) 88 111. 513, on notes; Maiden v. Web- 210; Drake v. Elwyn, 1 Caines, 184; 8ter, 30 Ind. 317; Nelson v. Neely, 63 Brown v. Pickard (Utah), 9 Pac. R. Ind. 194 ; Iddings v. Pierson, 100 Ind. 573. • 418; Crozier v. Kirker, 4 Tex. 252; s Sage r. Sherman, 2 N. Y. 417. 51 Am. Dec. 724 ; Getchell v. Foster, ^Getchell v. Foster, 106 Mass. 42. 106 Mass. 42; Austin v. Williams, 2 It must not be forgotten that if Oh. 61 {dictum); Ex parte Bncklej, there is a firm name a partner can- 14 M. & W. 469 ; 1 Ph. 562 ; s. c. as not cast his own loans made in his Ex parte Clarke, De Gex, 153; Ex own name upon the firm by declar- jjar^e Stone, L. R. 8 Ch. App. 914; ing they are for the firm. Uhler u. Vol. 1 — 14 209 §201. NATURE AND FORJIATION. partnership, though not having concurred in the name, are bound by the note.^ Or if goods for the firm are sold and charged and invoiced to one partner & Co., it is a i^artner- ship debt, though no note was given. ^ But if the partners have a name, no such hberty can be taken without an assent or habit; hence, if a firm has adopted the name of John Blurton, one of the partners, a bill or indorsement by the other partner in the name of John Blurton & Co. is not binding on the firm in the hands of an indorsee.'' Hence, a note or obligation in the name of one partner is his individual debt.* Browning, 28 N. J. L. 79; Dryer v. Sander, 48 Mo. 400; nor bind the firm on negotiable paper in his own name, nor upon a chattel mortgage, Clark V. Houghton, 13 Gray, 38; Seekel v. Fletcher, 53 Iowa, 330, a sale to two as partners and purchase money note signed by one, but in- tended and accepted as binding both. In Drake v. Elwyu, 1 Caines, 184, the persons Elwyn and P. Whittaker and S. Whittaker were sued upon a note signed Elwyn & Co. ; their busi- ness was sometimes called Whitta- ker's Store, sometimes Elwyn's Store and sometimes Elwyn's & Whitta- ker's Store. It was held that, as the signature imported a partnership, and it being proved that the defend- ants were partners, the doubt being as to the name, it is to be presumed that Elwyn & Co. was the name of the firm, so as to cast on the defendants the burden of proving what it was if a different name existed. In Bar- croft V. Haworth, 29 Iowa, 462, it was said that if it was intended to bind the firm, any signature would suffice, and the firm name need not be used ; and therefore, where two partners signed and a third assented, a fourth partner may be shown to bo bound by proof of intention to bind the firm and credit given on the faith of this intention. But in this case it was clear that there was no firm name, and I submit that the case can only be sustained for that reason or in case the firm got the benefit of the note. 1 Holland v. Long, 57 Ga. 86, 40. 2 Crary v. Williams, 2 Oh. 65. And see Baring v. Crafts, 9 Met. 380. 3 Kirk V. Blurton, 9 M. & W. 284; 12 L. J. Ex. 117, In this case, Drake V. Elwyn, 1 Caines, 184, supra, was cited in argument, and Baron Alder- son said that doubt was not intended to be thrown upon that decision. 4 In Haskell v. Champion, 30 Mo. 136, where B. F. C. Champion, a member of Champion & Co., signed a note in his own name, B. F. C. Champion, and after procuring in- dorsers on it added "& Co." to his signature, the indorsers were held to be released. It was said on page 189 that had the note been for a debt due by Champion & Co. it does not follow that they would not have been liable, for a partner can no more, by misnaming his firm, obtain an advantage than individuals. Tlie only proper explanation of this die- 210 THE FIRM NAME. § 202. § 202. immaterial deviation from true name by as- sent. — The doctrine is further hmited in that if a name is used varying from the true designation in so shght a way that the deviation appears casual rather than intentional, it may be left to the jury to say whether there was any sub- stantial difference. The leading case upon this is Faith v. Richmond, 11 A. & E. 330; 3 P. & D. 187 (1840), where three partners, Richmond, Bar- boui and Hannay, carried on bxsniess under the name of " The New- castle & Sunderhmd Wall's End Coal Co.," and Richmond signed a note " For the Newcastle Coal Co., William Richmond, Man- ager." Lord Denman left it to the jury to say whether or not the style used was one which, though slightly varying from that of the firm, was essentially the same, and a verdict for the defendant was upheld, there being no authority to make this specific note or to use such name. It is possible that a verdict for the plaintiff would have been set aside, for in Kirk v. Blurton, 9 M. & W. 284; 12 L. J. Ex. 117, where Blurton and Habershon were partners under the name of John Blurton, and Habershon drew a bill in the name of John Blurton & Co., payable to their own order, and indorsed it John Blurton & Co. — probably for his own use — the bill and indorsement were held not binding, Rolfe, B., sayiug the implied authority of a partner is to bind in the name of the part- nership only, and it is better to adhere to this rule and not to measure deviations. And ALDERSOisr, B., said: "In those cases where the question has been left to the jury, it has been whether there was substantially any difference between the signature and the name of the partnership. For instance, if the signature were Coal & Co. and the true designation of the partnership were Cole & Co., it would no doubt be for the jury to say whether it was in substance the same." Yet Martin, B., in 5 H. & N., 517, thinks that it should have been left to the jury to say whether John Blurton and Johu Blurton & Co. are not substantially the same. So where a firm's name is Charles G. Ramsey & Co. and a partner signed a notetChas. G. Ramsey & Co., it will be left to the jury to say whether there is any substantial difference between the name and signature.' Where the name of a firm is John Winship, firm fwm is that the firm would be liable iTilford v. Ramsey, 37 Mo. 563, upon the original consideration and 567 ; Kinsman v. Dallam, 5 Mon. not upon the paper. See § 440. (Ky.) 383. And see Mifliin v. Smith, 211 § 204. NATURE AND FORMATION. paper for a loan signed in the name of John Winship, Jr., was held binding; ' and where a firm's name was Elias Maloue, and the managing partner signed a note for a loan, " Elias Malone & Co., Still House," to distinguish it from his individual paper, the devi- ation was regarded as immaterial, but the firm got the benefit.* §203. Other name by assent. — If there is a habit or assent of the firm or of the managing partner shown to use another than the agreed name, either generally or for par- ticular purposes, such use of the name by one partner binds the firm.' § 204^. Particular authority executed in wrong name. — If a partner is authorized by his firm to make a particular note or bill, and does so in a wrong name or in his own name, a person taking the paper on the credit of the firm is entitled to treat the transaction as by the firm in such name. In Reimsdyk v. Kane, 1 Gall. 630, a partner was authorized to draw on a particular house to take up money, and did so, but signed his own name, directing the bill to be charged to account of the firm, and it was held that equity would enforce it against all in favor of a payee who had trusted the joint credit, and the bill would be deemed guarantied as to acceptance and payment by the firm. 17 S. & R. 165, where the agreed vision 172, a name always used be- name was Nathan Smith, and the fore the world, was in giving notes contract was signed N. Smith, but always signed merely " Div. 173." the business was done in the latter Mifflin v. Smith, 17 S. & R. 165, name. where the agreed name of a firm, 1 Winship v. Bank of U. S. 5 Pet. consisting of an ostensible and a 539. No notice was taken of this dormant partner, was Nathan point in the case. Smith, but the business was carried ^Moffatv. McKissick, 8 Baxter, 517. on in the name of N. Smith. Pal- 8 Williamson v. Johnson, 1 B. & mer v. Stephens, 1 Den. 471, where C. 146; 2D. & R., 281 (explained as a clerk signed a note G. Stephens, resting upon this ground in Faith v. where the firm name was G. Steph- Richmond, 11 A. & E. 389; 3 P. & ens & Sons ; this was said to be valid D. 187), where the managing part- if all the members had assented to ner of Habgood & Co. was in the the use of such name, or it may be habit of indorsing in the name of if the managing partner assented, Habgood & Fowler, a former firm, otherwise not. Folk v. Wilson, 21 Mellendy v. New Engl. Prot, Union, Md. 538, where firm's notes in the 36 Vt. 31, where the name of the name of one partner had been recog- New England Protective Union, Di- nized, 212 THE FIRM NAME, § 205. So in Farmers' Bank v. Bayless, 41 Mo. 274, 287, it was said by Holmes, J., that if the firm authorized a note it might be its note by one name as well as by another, and was a loan to the firm, but the burden of proof of this was on the plaintiff. So in Morse v. Richmond, 97 III. 303 (aff. 6 111, App. 166), where a partner holding the title to real estate was authorized to borrow, and signed his own name as " trustee." § ^05. Credit to firm under a wrong name.— If a wrong name was used in the exercise of a proper power, and the firm received the benefit of the act, and the other party gave credit to the firm, believing himself to be dealing with it, the partners are liable on the original consideration. In Bacon v. Hutchings, 5 Bush, 595, D, & D. dissolved and shortly afterwards formed with H. and W, a new firm of H,, D, & Co., and in order to raise money a bill was drawn without D.'s knowledge in the name of D. & D., indorsed by H., and the new firm got the proceeds and the transaction was entered on its books. The new firm was held liable on the draft, on the ground that in the exercise of the power to make bills to carry on the business, whether the firm style or some other style is used, does not change the rights of creditors or responsibility of the partners,' But this principle will not apply where the promise is that of the individual and does not purport to be a partnership act, no firm name of any kind being used;'^ else he might cast upon the firm a loan made on his own note by declaring it to be for the firm.' Nor if the note is under seal,* And if iThis case should have been de- 2 g§ 436-447. Goldie v. Maxwell, 1 cided on the ground that the firm Up, Can. Q. B. 424, anote in individ- was liable on the original considera- ual name for partnership purposes; tion and not on the paper, adistinc- s. P. Re Herrick, 13 Bankr. Reg. 312; tion which the court recognized in Strauss v. Waldo, 25 Ga. 641. See Macklin v. Crutcher, 6 Bush, 401, Butterfield v. Herasley, 12 Gray, Barcrof t v. Haworth, 29 Iowa, 463 ; 226. Farmers' Bk. v. Bayliss, 41 Mo. 274, 3 Uhler v. Browning, 28 N. J. L. 287, given more fully elsewhere in 79. this chapter, may also be regarded as < § 438 ; Harris v. Miller, Meiga illustrations of this rule, as may also (Tenn.), 158; 33 Am. Dec. 138; Will- the cases under § 451, Gage v. Rol- iams v. Gillies, 75 N, Y, 197 (rev. 13 lins, 10 Met. 348,354; Weaver u. Tap- Huu, 422); Patterson v. Brewster, 4 scott, 9 Leigh (Va.), 424. And see Edw. Ch. 353, 355; U. S. v. Astley, 3 Miner V, Downer, 19 Vt, 14; 20 id, 461, Wash. C. C, 508. 213 § 206. NATURE AND FORj^IATION. the articles provided that A., of A. & Co., shall furnish all the funds and shall provide them by his individual note, on which he alone shall be liable, he alone is liable on the note signed by him, though he declare that it binds the firm.^ So where a partner orders goods for the firm in the name of S. & Co., instead of the firm name, H. & S., this is only evidence tending to show that no contract was made with H. & S.' If there had been two different firms a note in the name of one cannot be sued on as that of the other.' §206. Where the partners are plamtifFs. — A promise may be made to one partner with the intent that the firm shall be beneficiary of the contract. In these cases all the partners may sue upon it; and so if one partner misappro- priates the joint property, or makes a contract in regard to it, all the partners may sue.* » Dryer v. Sander, 48 Mo. 400. « Miner v. Downer, 19 Vt. 14; 20 id. 'Hancock v. Hintrager, 60 Iowa, 461, and § 196. 874. ^ See under Remedieai 2U PART II. CONDUCT OF THE BUSINESS. CHAPTER I. ARTICLES OF PARTNERSHIP. § 207. The contract between the partners is the guide to their powers, rights, duties, and, except as modified by the apparent scope of the business, of their liabilities. Hence the importance of carefully anticipating and providing against possibilities of dispute. This contract is never deemed to contain all the rules for guiding conduct on the principle of expressio unius est exclusio alterius, but to be an enumeration of those as to which the law is silent or as to which it is desired to alter usual legal rules. § 208. Statute of frauds. — A contract of present part- nership, or for the transfer of a share in one, need not be in writing under the statute of frauds. ^ Yet where it appeared that the contract could not be performed within a year it was held void.^ And if the contract in terms is for a part- nership for more than a year, the statute of frauds was held to apply.' And so if the contract be to procure the admis- sion of a person into a firm, and is not to be performed 1 Re Great Western Tel. Co. 5 Biss. action for an account cannot be de- 363; Smith v. Tarlton, 2 Barb, Ch. feated in the latter state for such 336; Coleraau v. Eyre, 45 N. Y. 38. reason. Young v. Pearson, 1 Cal. Certainly so where the enterprise 448. may be completed within a year. 2 Jones v. McMichael, 12 Rich. L. Jordan v. Miller, 75 Va. 442. And 176. if formed in a state where it must be 3 Morris v. Peckham, 51 Conn. 128; written, but is to be executed in a Williams v. Jones, 5 B. & C. 108. But state where this is not required, an see McKay v. Rutherford, 13 Jur. 21. 215 § 209. CONDUCT OF THE BUSINESS. ■within a year, it must be proved by writing;' or for a part- nership not to begin within a year.^ On an oral contract to sell half of a patent right, and to go into partnership for more than a year with the huyer, a mere written assignment of the half of the patent is not a memorandum of the partnership, nor is it performance.' § 209. A verbal contract of partnership for more than a year, if acted upon, and business conducted under it, is valid. As where a person leased his hotel to another in writing, and then really formed a ten- year partnership with him, the rent to be payable out of the profits, the fact of a partner- ship between the parties can be shown as a defense to an action at law for the rent.* Where a partnership to work a mine was formed orally, and two of the partners entered upon and worked it, a purchase of the prop- erty by a third partner was held to inure to their benefit, the statute of frauds not applying because of performance.* So where C, on buying a third interest in a stage company, agreed that S. should have half his interest, part of the consideration being the extinguishment of a debt due by C. to S., and thereupon all the partners entered into written articles in which S. & C. were de- scribed as owners of a third interest, and to share in the profits, thus recognizing S. as an owner, it was held that all the delivery possible had been made by C. to S.' 1 Whipple V. Parker, 29 Mich. 369. profits and losses founded on mutual 2 Williams v, Jones, 5 B. & C. 108, promises. 110. For the subject of the statute of 3 Morris v. Peckham, 51 Conn, frauds as applied to real estate, see 128. §301. In Huntley V. Huntley, 114 U. 'iPicou. Cuyas, 47 Cal. 174. See, S. 394, the query was raised whether also, Baxter v. West, 1 Dr. & Sm. the sale of a share in a partnership 173; W^illiams u. Williams, L. R. 2 was a contract for the sale of goods, Ch, App. 294; Burdon v. Barkus, 4 wares or merchandise of the value DeG. F. & J. 42 ; Gates v. Fraser, ft of £10 or upwards. But in Coleman 111. App. 229; Southmayd v. South- t?. Eyre, 45 N. Y. C8, an oral contract mayd, 4 Montana, 100; Burn v. to take a share in the interest of one Strong, 14 Grant's Ch. (Up. Can.) wlio was jointly interested with 651. others in a shipment, and to share 'Burn v. Strong, 14 Grant's Ch. profits and losses, was held not to be (Up. Can.) 651. a contract of sale within the statute f" Huntley v. Huntley, 114 U. S. of frauds, but an agreement to share 394. 216 ARTICLES OF PARTNERSHIP. §211. § 210. Oral evidence. — We will first consider some gen- eral rules of construction of the articles and then proceed to consider the most important of what are termed the usual clauses. The application of oral evidence to the articles is like that in case of any other written contract; all prior ne- gotiations are merged in the writing, and it cannot be con- tradicted or varied by oral agreements except to the extent that it imports a receipt. Thus, articles by which a sale by an existing firm to an incom- ing partner of half of their business and half of a contract of articles for future delivery, merges a parol guaranty that the arti- cles would sell at a stated price.' An agreement in the articles that one partner shall pay in his agreed capital when needed can- not be shown by parol not to be payable until the other partner's contribution was all in." But a recital in the articles that each has paid in so much of his share of capital is no estoppel and may be explained or even contradicted, like any other receipt.' §211. Altered by conduct and construed by practice. — As any written contract, no matter how stringent, may be superseded or qualified by subsequent oral contract, so any part of the partnership articles may be varied or rescinded by the consent of all the partners, and such consent may be shown by a course of conduct or established and uniform usage,* But property rights are not to be deemed as affected by mere intendment, as where the share of a partner dying may be bought at the last semi-annual valuation and the partners afterwards take their accounts yearly by agree- ment, yet on death the share must be reckoned up to what would have been the last semi-annual settlement.* 1 Evans v. Hanson, 42 111. 234. Pilling, 3 DeG. J. & Sm. 163 ; Hall v. ZReiteru. Morton, 96 Pa. St. 229, Sannoner, 44 Ark. 34; Boisgerard v. 241. Wall. Sni. & Mar. Ch. 404 ; McGraw 8 Lowe V. Thompson, 86 Ind. 503. v. Pulling, 1 Freem. (Miss.) Ch. 357; 4 Const u. Harris, Turn. & R. 496, Thomas v. Lines, 83 N. Ca. 191; 517; Coventry v. Barclay, 3 D. J. S. Henry v. Jackson, 37 Vt. 431. 820, on app. f r. 33 Beav. 1 ; England » Lawes v. Lawes. 9 Ch. D. 98. V. Curling, 8 Beav. 129 ; Pilling v. 217 § 212. CONDUCT OF THE BUSINESS. Thus, if the parties agree that no one of them shall draw or ac- cept a bill of exchange in his own name without the concurrence of all the others, yet if they afterwards slide into a habit of per- mitting one of them to draw or accept bills without the concur- rence of the others, the court will hold that they have varied the terms of the original agreement in that respect.' So if the articles forbid sales on credit, but were violated constantly by one partner with the concurrence and acquiescence of the others,** or where the salary of the active partner was fixed at $1,000, and after a great increase in the business and changes in the firm the salary was charged on the books at the rate of $5,000, a settlement on this basis will not be disturbed/ And where the partners were to contribute to profits and losses in certain proportions, but the man- ager had received shares of profits but never had been required to contribute to losses, the articles are qualified and no longer bind him in this respect.* Where the articles of partnership between attorneys excluded the pending business of the partner who took the other into partnership, but the former allowed the latter to prepare and argue the old cases and make charges as to them on the books of the firm, this acquiescence will prevent his claiming that the fees are not a partnership demand." § 212. provisions not acted on.— So a provision in the articles that has never been acted upon will be regarded as expunged. Thus, in Jackson v. Sedgwick, 1 Svvanst. 4G0, it was agreed that annual settlements should be had, and in case of death an allowance to the representatives in lieu of profits, since the last annual account, should be made; but no accounts were taken for several years and other business was engaged in, to which the agreement could not be applied with justice, it was regarded as waived.® So 1 Per Lord Eldon, Const v. Har- articles provide that tlie capital or ris, Turn. & R. 496, 523; Gammon v. property shall belong to one or some Huse, 100 111. 234. , of the partners exclusively, but the 2 Hall V. Sannoner, 44 Ark. 34; subsequent purchases of permanent Dow V. Moore, 47 N. H. 419. property are credited to such part- 3 Gage V. Parmalee, 87 111. 329. ners on the books, thus making it the 235 S 2;m. CONDUCT OF THE BUiJlNE-S. ■conveyances;' or may award that the debts, when collected, shall be divided between the parties, because the arbitrators cannot con- trol the debtors of the firm to prevent their paying all to one part- ner if they choose;'' or that one shall have all the debts due, with a right to sue in the name of the other if necessary,* or that one shall pay or secure to the others a specified amount, and assume the debt;* or that one shall take all the property, as trustee, to wind up; in which case the trustee can maintain trover against a third person to whom another partner, after such dissolution and with notice of its terms, has transferred property to secure a debt of the firm/ In these cases the arbitrators do right in requiring such partner to give a bond of indemnity to protect the other partner, regardless of whether he has acted well or badly; ^ and if the arbitrators have not required it, the court will impose and enforce it by injunc- tion.'' The arbitrator has no right to collect debts,^ nor to order a part- ner to pay him money to be used in paying debts,® because the court has no control over the arbitrator; or may forbid one of the partners from carrying on a competing business within specified bounds.'" An award directing accounts to be taken without order- chaudising establishment got judg- ^ Cook v. Jenkins, 35 Ga. 113; Bur- ment and levied on individual estate ton w. Wigley, 1 Bing. N. C. 665. of R. and B. respectively. R. asked 7 Cook v. Jenkins, su^jra. If the an injunction against selling his partners have assigned their property lands before B.'s property was ex- to a trustee with certain instructions hausted, claiming to be in effect a as to its disposition, and afterwards surety for B. ; but it was decreed submit to arbitration, recognizing that he must pay the $468 on the these instructions, the arbitrators judgment within thirty days, else have no right to deviate from them tiie injunction would be dissolved; and make other disposition of the for eacii part of the award depends property. McCormick v. Gray, 13 on the other parts. Runyon v. Bro- How. 26. kaw, 5 N. J. Eq. 340. 8 Lingood v. Eade, 2 Atk. 501, 505. 1 Wood V. Wilson, 2 Cr. M. & R. 241. Nevertheless he did so by appointing 2 Lingood u Eade, 2 Atk. 501, 505. a person for tlie purpose, tlie coui-t 3 Burton v. Wigley, 1 Bing. N. C. 6i)5. *Simmonds v. Swaine, 1 Taunt. 54'd ; Byers v. Van Deusen, 5 Wend. 268. saying nothing as to the authority in Routh V. Peach, 2 Anstr. 519. ^Ee IMackey, 2 A. & E. 356. 10 Burton v. Wigley, 1 Bing. N. C. 665 : Morley v. Newman, 5 D. & R. 6 Hutchinson v. Wliitfield, Hayes 317; Green v. Waring, 1 W. Bl. 475, (Irisii), 78; Cook v. Jenkins, 35 Ga. 1 13. 236 ARTICLES OF PARTNERSHIP, § 235. ing payment of any balance is not invalid, for the court may enforce the payment of balances.' A submission may be of both partnership and individual mat- tei's, and if the award is of partnership matters only, it must be shown that individual controversies in fact existed in order to at- tack it." The submission of partnership matters to ascertain the share of a deceased partner does not include real estate not alleged to be partnership property.^ An award between partners, relating to disposition of debts and assets, is not uncertain because their amounts are not stated if sufficiently identified. The award need not provide a method of enforcement. This is often impossible between partners. It may be valid, though it does not and cannot affect creditors or debtors of the firm. If the award divides the as- sets and liabilities, and establishes the rights and duties of the part- ners between each other, it is final. If the submission embraces all matters of difference, the award will be presumed, if there is no evidence to the contrary, to include all matters of difference, and that all matters of difference were included. It is not uncertain if it states results and not processes." § 235. Allowances for subsistence. — The best way for ar- ranging for private expenses is to stipulate that each part- ner may withdraw a certain weekly, monthly or other I Wilkinson v. Page, 1 Hare, 226. 2 Leavitt v. Comer, 5 Cush. 129. In Tattersall v. Groote, 2B.& P. 131, 3Ebert v. Ebert, 5 Md. 353. Two where a partner liad paid a sum of persons formerly partners submit all money or premium for admittance matters between tlieni to arbiti'ation. into the firm, it was held that the After the hearing had begun they arbitrator could not award its return and anotlier person, who had trans- unless the question was Bpecifically acted part of their business, submit submitted, because its payment and to the same arbitratoi's all unsettled tlie formation of the partnership matters between them, and an was the consideration for sustaining award was made in the second arbi- the covenant to submit to arbitra- tration that a certain sum was due tion, and if tlie articles of partner- such third person. Held, the arbitra- ship were a nullity the covenant also tors can take such award into con- was null. Is this piece of ingenuity sideration in determining between called for ? The award is good if the original parties which of the two within the submission. The submis- shall pay it. This is not an includ- sion is just as good upon the consid- ing of matters other than between eration of mutual promises, as if said first two parties, Wallis v. Car- there had been no covenant. The punter, 13 Allen, 19. only question is what was submitted. •• Lamplure v. Cowan, 39 Vt. 480. 237 §237. CONDUCT OF THE BUoINESS. periodical sum for support. It ouglit to be provided, also, that interest should be charged upon sums in excess of these amounts, since overdrafts do not generally bear in- terest, or perhaps to provide for interest upon all sums, so that a partner may receive benefit by drawing less than his amount. § 23 <). Interest. — Capital does not generally bear interest; while upon loans or advances to the firm, certainly when made with the knowledge of the other partners, interest is chargeable; hence, if it be desired that capital draw interest and advances not, the articles should so state. ^ §237. Expenses. — Provision is frequently made for the payment of personal expenses, eo nomine. The word ex- penses, in such case, will at least be confined to the ordi- nary habit of persons in the same condition of life. Thus, if it be agreed that each may draw out only so much as is necessary for private expenses, usual expenses of family and education of children may be included, but not the purchase of plate, furniture, carriages, and the like.^ Where a person formed a partnership with his son-in-law, agree- ing to furnish a shop, tools, etc., and a house for his son-in-law to live in, and that he was to be at " no expense," this means that outlays for the business would not be required, and does not refer to the support of the family.* A provision that each partner shall pay his own individual ex- penses, and that one member shall be liable for all debts made in New York on account of the firm for which it may not have re- ceived full bi'nefit, means that the individual expenses of a member while at home, being his private and family bills, shall be at his own cost, and does not include traveling expenses away from home on the business of the firm; nor are board bills in New York debts on account of the firm under the exception, but are to be credited to the partner.* It is a general rule that each partner may claim reimbursement for the expenses necessarily incurred by him in the prosecution of ^ § 781. 3 Brown v. Hayues, 6 Jones' Eq. zstoughton V. Lynch, 1 Johns. Ch. (N. Ca.) 49. 467. <\Vitlier8 v. Witliers, 8 Pet. 355. 238 ARTICLES OF PARTNERSHIP. § 239. the business. This subject will be considered under the head Ac- counting,' and applies even when the partner furnishes no capital and is to contribute his services; as where one furnishes money with which the other is to buy land and sell it in parcels, the ex- penses of surveying are to be credited to hira." Yet there having been expenses of a peculiar kind which have been disallowed, or as to which courts have disagreed, such as treating customers, the intention in regard to these should there- fore be specified.^ § 238. Dissolution. — A right to dissolve upon givir.j^- notice to copartners is not unusual; the meaning of such a clause is elsewhere considered.* A provision that, upon one partner becoming insolvent, the others may dissolve, it seems, does not mean a declared or adjudicated insolvency under insolvent acts.' Nor is insufficiency of assets neces- sary to constitute insolvency,^ if there is inability to pay debts. § 239. covenant to indemnify outgoing partner. — It is usual, when a retiring partner assigns his interest in the firm to his copartners, to receive a covenant from them to pay debts or to save him harmless. The difference between these two is that, on a covenant to save harmless or indem- nify, action lies only after the retiring partner has paid debts; but a covenant to pay a debt is broken by non-pay- ment, and the covenantee need not pay before suing. ^ Al- l§766. tire expense will be apportioned to 2 Burleigh v. White, 70 Me. 130. each lot in the proportion of its 3 §766. Where each partner was yield of mineral, and each partner to contribute towards the expenses charged with a share of such ex- in proportion to his interest in the pense in the ratio of his interest in lots in which the mining operations each lot. Levi v. Karrick, 13 Iowa, were carried on, and their interests 344. were in different proportions in the ^ § 574. different lots, each partner is to be * Parker v. Gossage, 2 Cr. M. & R. charged his proportion of the ex- 617; Biddlecombe u. Bond, 4 Ad. & penses of raising the mineral on E. 332. , each lot, but during the time in ^ See Bayley r. Schofield, 1 M. & S. which the accounts were not kept so 338. And see Benjamin on Sales, as to show what expense was in- §837, under Stoppage in Transitu, curred on each lot separately, the en- '' t^g 633-640. 239 S 241. CONDUCT OF THE BUSINESS. though the liahihty of the copartners to pay out a retiring partner may be joint and several,^ yet on the bond or cove- nant of indemnity their liabiHty will be governed by the language of the covenant;^ especially where one of the cove- nantors is an incoming partner, and therefore not liable at all, except upon the cov'enant,^ The mere recital in a con- tract of sale or transfer of a business, or an interest in it, that the consideration is the vendee's assumption of debts or other expression of intention that they shall pay the debts, may amount to a covenant to assume them.* But the retiring partner will not preserve the equitable lien which he had while partner upon the assets to compel their application to the debts, unless the lien be specially reserved;^ hence the contract should preserve the lien ex- pressly, if that be the intention. But even if it does so, the nature of this so-called lien must be remembered; it is not a strict lien, but a mere equitable right to have remaining assets applied.^ § 240. Outgoing partner not to compete. — As a sale uf the good- will does not prevent the seller from engaging in a similar and competing business,^ so long as he does not solicit the old customers or represent himself as continuing the old concern, it follows that, if a retiring partner is to be restrained from going into competitio^n, a special covenant to this effect is necessary. § 241. Expulsion of a partner. — A remedy between part- ners is sometimes provided by inserting a power of expulsion in the articles. Like all provisions for forfeitures; this is 1 Beresford v. Browning, L. R. 20 the business alone, and plaintift and Eq. oG-1 ; aff'd, 1 Ch. D. 30. defendants again became partners, , '-' Wilmer t7. Currey, 2 DeG. & Sm. defendants covenanting to indemnify 347. against liabilities connected witii the 3 Sumner I'. Powell, 2 Mer. 30; aff'd, business the i)arties were formerly T. & R. 43 '. in, this covenant refers to the time * Saltoun i\ Iloustoun, 1 Bing. 433. they were all together and not to tlie 5 See § 550. time when the plaintiff was alone. 6 Where plaintiff and defendants Haskell v. Moore, 29 Cal. 437. were in business together and de- ^ g 664. feudants retired, plaintiff continuing 240 ARTICLES OF PARTNERSHIP. § 242. strictly construed,^ and does not exist unless expressly con- ferred.^ Hence a partner's rights are not forfeited by failure to pay his share of the agreed capital,^ or his share of debts or expenses;* or refusal to do acts not required when he be- came a member and foreign to the objects of the concern.' Nor does such a provision in a partnership for a certain term exist after the term, the partnership being continued with- out further agreement/ and cannot be exercised except by the concurrence of all who have the power to expel; ^ and an opportunity to explain and be heard must be afforded;^ and he must be allowed to assist in making the accounts to de- termine his share; ^ and if annual valuations of shares are to be taken, and in case of bankruptcy, death or expulsion, the valuation was to determine the amount due to the out- going partner, if no valuations were ever made, the power to expel cannot be exercised, for he will not be bound by an account afterwards taken by the other partners.^" § 242. to 1)8 exercised bona fide. — The power must be exercised bona fide, and for the benefit of the firm, and not for the benefit of individual partners or on personal grounds. The obligation to exercise good faith towards each other imposes these hmitations, even though the power 1 Clarke v. Hart, 6 H. L. C. 633 ' Smith v. Mules, 9 Hare, 556. (aff'g Hart v. Clarke, 6 DeG, M. & G. ssteuart v. Gladstone, 10 Ch. D, 232, and reversiug 19 Beav. 349). 626; Wood v. Woad, L. R. 9 Ex. 190. 2 Hubbard v. Guild, 1 Duer, 662. And see Blisset v. Daniel, 10 Hare, But the solvent partner can obtain a 493 ; 1 Eq. 484 ; Russell v. Russell, 14 receiver if necessary. Id., and Free- Ch. D. 471. land V. Stansfeld, 2 Sm. & G. 479. 9 Sleuart v. Gladstone, 10 Ch. D. 626. 3 Piatt V. Oliver, 3 McLean, 27 ; w Blisset v. Daniel, 10 Hare, 498 ; 1 Patterson v. Silliinan, 28 Pa. St. 304. Eq. 484. Where the accounts were to 4 Kimball V. Gearhart, 12 Cal. 27. be taken each year of all assets " sus- 5 Gorman v. Russell, 14 Cal. 531. ceptible of valuation," and an ex- The onus to prove the right to for- pelled partner was to be paid out ac- feit existed is upon the person who cording to the last account, adding exercised it, although he be a de- for the time since a proportion aver- fendant in the cause where it is in aged on the profits of the three pre- issue. Patterson v. Silliman, 28 Pa. ceding yetirs, the good-will cannot St. 304. be allowed for, because not suscept- 6 Clark V. Leach, 32 Beav. 14 ; aff'd, ible of valuation. Steuart v. Glad- 1 DeG. J. & Sm. 409. stone, 10 Ch. D. 626. Vol. I — 16 241 § 243. CONDUCT OF THE BUSINESS. is granted in general terms to the majority, without requir- ing the existence of any specific grounds. Thus, in BHsset v. Daniel, 10 Hare, 403; s. c. 1 Eq. 484, articles between seven partners provided that it should be lawhil for the hoklers of two-thirds or more of the shares, from time to time, to expel any partner on a written notice, thus, '' we do hereby give you notice that you are expelled from the partnership," etc. The managing partner desired to get rid of the complainant as partner, because he objected to the appointment of the manager's son as assistant, and, by threatening to the other partners to resign, un- less the complainant was expelled, induced them to sign the notice, first having induced him to sign a balance sheet, in ignorance of the intended expulsion. It was held that no previous meeting of the partners was necessary to render the notice valid, and that no grounds for it need be stated; but that the literal construction of the articles would not be enforced, and that the power could not be used for private benefit, and on such grounds; and its exercise in this case was fraudulent and void, and the complainant was decreed to be reinstated.' § 243. Eight to retire or to sell .a share. — If the partner- ship is for a fixed term, a refusal to continue, or any volun- tary act causing a dissolution, is a breach of contract; hence if a right to retire is reserved, this should be stated. ^ The sale may be made to a person not responsible.' The right to retire on' certain terms, if reserved in the articles, is deemed applicable only to an existing firm, and not after dis- solution; hence, if the articles permit any partner to withdraw during the first year on certain conditions, but one partner died in six months after the firm was formed, thus dissolving the firm, the iln case of illegal expulsion, as ners have the good will, can solicit the party has not ceased to be a part- the old customers, because his alieu- ner, he has not suffered damage and ation of it was involuntary, Dawson cannot sue at law. Wood v. Woad, v. Beeson, 23 Ch. D. 504, and § 667. L. R, 9Ex. 190. But if reinstatement 2 As to when this provision in- be not an adequate relief, dissolution volves the right to make the buyer and accounting may be decreed, or assignee of a share a partner, see Patterson v. Silliman, 28 Pa. St. 304. § 163. The expelled partner going into busi- » Jefferys v. Smith, 3 Russ. 158, ness again, althougli the other part- 168. 243 ARTICLES OF PARTNERSHIP. § 244. right ceased, and the only remedy remaining was the ordinary suit for an accounting.' Where notice in writing of an intention to sell is required by the articles to be given at a monthly meeting, a notice written in a book kept to be used at such meetings was held sufficient.^ If a right to sell must be exercised by first offering the share to the copartners, and, upon their refusal to buy, individual partners were to have the right of pre-emption, an offer by a partner to sell, made to all the rest collectively, is equivalent also to giving each an individual opportunity to buy without additional offers;^ and the acceptance of such offer makes a contract, and the offer cannot be withdrawn, or a dissolution be had under other provisions.'' A restriction in the articles that neither party should sell or as- sign his share without the other's consent will not be construed to apply after dissolution, because it is in restraint of the right of a person to dispose of his own property; hence it is not operative after the concern is in the receiver's hands for final settlement.' Provisions in the articles, that in case of the death of a partner the survivor should buj'' his share, and if he refused it should be sold, will, where the survivor refuses to buy or admit any buyer into the partnership, make him accountable for the value of the share.* § 244. Valuation of share of outgoing partner. — We shall see, in treating of the subject of winding up, that in the absence of agreement between partners the general rule applied by a court of equity is to ascertain the value of assets by ordenng them sold. When a partner retires, dies, or becomes bankrupt, neither he nor his executor or assign- ees in bankruptcy can be compelled by the continuing part- ners to accept the calculated value of his interest, but a winding up can be insisted upon in the absence of contract 1 Frank v. Beswick, 44 Up. Can. Q. 5 Noonan v. McNab, 30 Wis. 277. B. 1. See, also, dictum in Noonau v. Orton, 2Glassington v. Thwaites, Coop. 31 id. 265. In the case cited the 115. But such notice had been adopted partnership was at will, and not for under previous sales by the partners, a fixed term; hence the restriction sHomfray v. Fothergill, L. R. 1 amounted merely to forbidding a Eq. 567. dissolution in that manner, * Id. And see Warder v. Stilwell, ^ Featherstonhaugh v. Turner, 25 3 Jur. N. S. 9. Beav. 382. 243 § 214. CONDUCT OF THE BUSINESS. or statutory regulation.^ Even a stipulation for a division of assets at the termination of the partnership gives no right to buy at a valuation nor dispense with a sale.'^ To avoid the inconvenient and often ruinous consequences of such enforced settlement, it is frequently stipulated in the articles that on the retirement, death or bankruptcy of a partner his share shall or may be paid out at a valuation. On account of the constantly fluctuating value of the share a fixed sum can very rarely be settled upon in advance.' The most common and convenient way is by agreement that the share shall be valued as it appeared at the last an- nual or periodical account, with an addition for the time since, or interest on such valuation in lieu of profits, or of profits averaged on those of the past year or years. This method of valuing the share is generally a very fair and just one, provided two precautions are observed: 1st. That the fixed property of the firm, such as its real estate, be included in the account, and that its nominal value as therein specified be pro- portionate to its actual worth. 2d. That the good will, Avliich, al- * though it may often be of great importance, is rarely estimated in the periodical account as an asset, and hence, if it is to be considered in the valuation of a share, should be specifically provided for. To constitute a continuing partner it is not necessary that the business shall be continued precisely the same as before if it be substantially the same business. This is illustrated in Read v. Nevitt, 41 Wis. 348, where N. & R. were partners in the insurance business as agents for seven compa- nies and did a small real estate business also. The articles provided that on dissolution the continuing partner should pay the retiring partner $700. A few days before dissolution, N., without R.'s knowledge, wrote to the companies of the expected dissolution and procured the agency of five of them for himself, the other two ceasing to employ either. N., after dissolution, carried on the busi- ness as before, and did a little land business for one old customer, 1 This is provided for by statute in 2 Cook v. Collingridge, Jac. GOT; some jurisdictions in case of the Rigden v. Pierce, G Madd. 353. death of a partner. See Rammels- ' Nevertheless, this was done and berg V. Mitchell, 29 Oh. St. 22. carried into effect in Cox v. Wil- loughby, 13 Ch. D. 863. 244 ARTICLES OF PARTNERSHIP. § 245. R. transacting no business whatever. It was held that R, was sub- stantially a retiring and N. a continuing partner, although there was no agreement or understanding that such was their respective attitudes. This is not an acquiescence barring R.'s right of re- covery, and N.'s letters of solicitation to the companies are com- petent evidence to show that he was a continuing partner. § 245. if last valuation is imperfect. — In construing and applying the right to purchase at the last valuation, the courts will regard the practice of the partners, the course of dealing among them and the nature of the account actually taken. If the account did not include all the assets of the firm, it will not from that be supposed that the share to be purchased was to lose the benefit of the non- enumerated property. Thus, where the articles provided that the share of a partner who should die could be taken at the value according to the last stock-taking, and the partners had been in the habit of laying aside part of the earnings as a reserve for unexpected losses, and this fund was kept out of the account, the executors of a deceased part- ner are entitled to a share in such fund.' And if the articles pro- vided for half-yearly settlemeiit of accounts on specified dates, and the share of a deceased partner is to be taken at the last half- yearly statement, a subsequent parol agreement to take the accounts yearly will not be deemed to affect pecuniary interests, and the value must be reckoned up to the nearest half-yearly date origi- nally specified.' In Pettyt v. Janeson, 6 Madd. 146, the articles directed an an- nual settlement on March 25, and that if a partner died his execu- tors should receive what the last annual settlement showed to be due, with five per cent, interest in lieu of subsequent profits. The settlements were not regularly made and the last one was on No- vember 5, 1811, and a partner died in February, 1813. His executors claimed profits to the date of death on the ground that there had been no annual settlements as agreed upon, while the surviving partner desired to pay the amount, as it appeared, in November, 1811, with interest. The court held that an annual settlement was contemplated, and the date of November 5 was to be considered as 1 Coventry v. Barclay, 33 Beav. 1; 2 Laws v. Laws, 9 Ch. D. 98. aud on app. 3 DeG. J. & Sm. 330. 245 § 245. CONDUCT OF THE BUSINESS. substituted for March 25, aud required an accounting as of Novem- ber 5, 1812, aud gave interest from that time on the amount thus ascertained. In Simmons v. Leonard, 3 Hare, 581, the articles provided for an annual account, and if a partner died his executor should receive the amount due him at the last annual account, with interest, in lieu of subsequent profits; aud that his executors should have no right to examine books. No account was taken for several years prior to the death of a partner, and the court held that the inten- tion of the parties was to avoid a winding up and sale, and that this could be carried out by taking the account from the books. They therefore refused to require a sale, but allowed the executors to have an account from the books and to participate in profits to the day of the death. In Browning v. Browning, 31 Beav. 316, the articles provided that five per cent, interest is to be paid on the capital of each part- ner, and that upon death a share is to be valued as of the last stock-taking, with five per cent, interest in lieu of profits; and the executors were held entitled to interest on the capital since the last annual stock taking, and also interest in lieu of profits; and as the articles provided that capital contributed by a partner since the last stock-taking, was to be added into his share, the court held it to follow that capital withdrawn in the interim was to be deducted.' ilf the surviving partners are to the £150 shall be deducted not from pay a decedent's share as at the last the other's share, but from the gross balance, in equal instalments every amount, O'Lone v. O'Lone, 2 Grant's six months up to five years, "with Ch. (Up. Can.) 125. If two partners interest tliereon from the date of the in the construction of a railroad are balance," this means interest on the to receive twenty per cent, of the instalments remaining unpaid, and contract price in railroad stock, and not on tliuse paid, Ewingu. Ewing, one of tliem, with the otlier's con- L. E. 8 App. Cas. 822. If the arti- sent, sells out his interest, the buyer cles provide that at dissolution one becoming a partner in his place, both partner shall have £150 over and the original partners agreeing that above one-lialf of all they might the buyer shall receive his share in then possess, and that all profits and cash, the other partner must keep losses shall be borne equally, except the railroad stock towards his share that such partner should receive of the earnings, Knapp v. Levan- £150 more than the other, these way, 27 Vt. 298. clauses construed together mean that 246 ARTICLES OF PARTNERSHIP. §21*. §246. representatives and assignees bound. — The agreement for the valuation of a share as by taking the last annual statements is binding not only upon the parties, but upon the representatives or assignees of any of them. But where the share of a retiring partner is to be ascertained by valuers appointed by each, here, if the dissolution is caused by the bankruptcy of one partner, such clause cannot be enforced, because a partner after bankruptcy cannot retain a capacity to act, and no valuation can be had.' And an agreement for the valuation of a share made subsequent to the formation of the partnership, and in contemplation of the bankruptcy of the partner, may be void on that account;' and a provision that on bankruptcy of a partner his share shall go to his copartners is a fraud on the bankrupt laws and void.* If the articles give the right to surviving partners to buy the share of the deceased partner at a valuation, without specifying the mode of determining its value, a settlement in good faith with the administrator binds the distributees of the estate.* §247. specific performance. — Agreements for the purchase or sale of a share at a valuation can be specifically enforced, in spite of the uncertainty.^ Thus, where a price was fixed, except upon certain subordinate and subsidiary assets, which were to be taken at a valuation, specific per- formance can be had.*^ Where an interest in business was to be sold, and an agreement as to paying for the good will, "etc.," as a separate item, the et cetera was held to refer to matters connected with the good will, but specific performance was refused for other uncertainties.' But if specific performance requires the court to act not in making a valuation, but in appointing valuers, it will not be granted.* 1 Wilson V. Greenwood, 1 Swanst. able consideration, is valid. Gaut 471. V. Reed, 24 Tex. 46, 54. 2 Id. sDinham v. Bradford, L. R. 5 Ch. i^Whitmore v. Mason, 2 Johns. & App. 519; Maddock v. Astbury, 33 Hera. 204. N. J. Eq. 181. * See § 743. An agreement that on 6 Jackson v. Jackson, 1 Sm. & G. the death of either party the assets 184. shall vest in the survivoi", and he ^ Cooper v. Hood, 26 Beav. 293. shall be debtor to the decedent's 8 gee Vickers v. Vickers, L. R. 4 Eq. executor, if bona fide, and for valu- 529 ; Collins v. Collins, 26 Beav. 306. 247 § 248. CONDUCT OF THE BUSINESS. An agreement between S. and L. that in case of S.'s going out S- should have no right to sell to any one except L., and L. should have the right to recover S.'s interest, and against that should pay $1,000, was held to give L. an option to buy the interest at that price, and not to be an obligation to do so.' § 24-8. Good will. — The subject of the good will belongs with the dissolution clauses. Its nature and disposition is considered in a subsequent chapter,- by consulting which its vague and even uncertain character as an asset will ap pear, and the consequent importance of providing for it. The nature of the good will, and whether it has any ex- istence at all, depends on the nature of the business. In a retail trading partnership, it may have no existence apart from the locality of the establishment, except in so far as it is involved in the trade- marks of the firm, and in the right to use the trade name. In a professional partnership it may have no existence at all recognizable by law, unless an ex- istence is created for it by contract of the parties; hence, if a retiring partner in such a partnership is to have an allow- ance in regard thereto, the value of the good will should be agreed upon. In some partnerships the good will is involved chiefly in the name, as in case of a newspaper, and sometimes is so important an element of value that the cessation of busi- ness for a day, involving a destruction of the good will, would render the other assets of comparatively little value, as in the case of a newspaper. The courts will, however, pre- serve the good will in winding up as far as possible, if no provision has been made. The good will, in so far as it has a value, is a partnership asset, and on the death of a partner does not belong to the survivors; but the sale of the good will by an outgoing partner will not prevent him from going into the same kind of business, the utmost effect of such sale being to prevent, his soliciting old customers, or to represent himself as suc^ ' Scharringhausen v. Luebsen, 53 ^%651etseq. Mo. 337. 248 ARTICLES OF PARTNERSHIP. § 249. cessor to the old firm; hence, without repeating here matter that will appear elsewhere, it is only necessary to suggest: 1st, That the articles recognize, and if possible provide for valuing the good will, if it ba designed to recognize it in those partnerships where it has no legal existence apart from contract, as in partnerships dependent on confidence in personal skill and integrity. 2d. If the surviving or continuing members, on death or the retirement of a partner, or expiration of the partner- ship, are to become owners of the good will, this should be provided for. 3d. If on dissolution the use of the old name or trade- marks is to belong to certain partners, this should be stated, guarding the agreement so as to protect retiring members from the hazards of being held out as partners still. 4th. If the partnership is for a term the court will gen- erally value the good will, in case of premature dissolution, at so many years' purchase of the profits; but if the part- nership is one at will, this rule will not apply; and if the good will is to belong to the continuing partners, the amount to be paid to a retiring partner, if any, should be provided for. 5th, If the outgoing partner is not to go into a compet- ing business, this must be specified, with reasonable limita- tions as to territorial restriction, as explained in the chapter on Good Will. § 249. Continuance after decatli — Representatives and an- nuitants. — As death causes a dissolution of the partnership, and as executors or representatives of the deceased cannot take his place in the firm without consent of the surviving partners, and as, on the one hand, the sudden dissolution and winding up of the firm, or taking the decedent's share out by sale, may cripple the surviving partners or destroy the prosperity of the concern, and on the other the executor cannot leave the share in at the hazard of business without personal responsibility therefor, unless the will or the articles provide for it, it is frequently provided that the partnership 249 § 219. CONDUCT OF THE BUSINESS. shall not be dissolved by death. The difference between such provision in a will and in articles is this: if provided for only in the will, the other partners are not bound to let in the representative, for they have not agreed to do so.^ And if in the articles, the surviving partners are compelled by their agi-eement to admit him.- But the representative is not bound to come in to the extent of active participation in management by which he will become liable as a partner to third persons, and if he refuses the whole partnership must be wound up unless some other arrangement has been made; ' as by valuation of shares or gradual payments. The representative is entitled to reasonable time and opportunity for investigation before electing whether lie will come in, but is not entitled to require a judicial accounting." But doing any part- nership act is an exercise of the option.** But the terms on which a representative can come in must be strictly complied with. Thus, if an administrator can do so by giving notice within three months after the death, a notice by the widow within three months, but without having become administrator until after the three months, is not sufficient.* And if he can come in on condition he acts to the satisfaction of the survivors, their discretion in excluding him is final.' If the will provides for the continuance of the partnership by the surviving partner for the benefit of the estate, or by him and the executor, only such of the assets of the deceased partner's es- tate as are already embarked will be subject to the hazards of the business, unless, in the most clear and explicit terms, the intention to risk more, or to authorize the executor to do so, appears.^ We have already seen that a mere annuitant, who does not par- ticipate in the management of the business, is not liable as a part- ner, at least in most jurisdictions.® If the annuity' is payable out of profits, either absolutely or at the election of the surviving 1 § 158. 5 Edwards v. Thomas, GG Mo. 4G8. 2Pager. Cox, 10 Hare. 1G3; Wain- 6 Holland v. King, 6 C. B. 727. wrij;ht v. Waterman, 1 Ves. Sr. 311. And see Brooke v. Garrod, 2 De G. & 3 Kershaw v. Matthews, 2 Russ. 62 ; J. 62 ; 3 K. & J. 608. Downs V. Collins, C Hare, 418 ; Madg- ^ Jlilliken v. Milliken, 8 Irish Eq. 16. wick V. Wimble, G Beav. 49.'5. 8 g GOO. « Pigott V. Bagley, McCl. & Y. 569. » g§ 51-55. 250 ARTICLES OF PARTNERSHIP. § 250. partner, and there are no profits, lie need not pay it; lience, if the annuity is intended to be in the nature of interest on purchase money, or to be payable absolutely, it should not depend upon the state of the earnings.' § 250. Penalty. — It is often attempted to reinforce a partner's motives to keep faith and observe his covenants by affixing an agreement to pay a penalty or sum as liquid- ated damages upon breach. Upon these clauses the general rules must be remembered: 1st. That if the amount to be paid is by way of penalty, it w^ill not be enforced unless actual damages to the amount be shown. 2d. Calling the amount liquidated damages will not make it such, but it may still be a penalty, though the parties agree that it shall not be; and so calling the sum a penalty will not deprive the parties of the right to have it treated as liquidated damages, if such is its nature and the term pen- alty was not used technically. Thus, in Maxwell v. Allen, 78 Me. 32, one partner agreed to sell out his interest to the oth^r, an appraisement to be had to deter- mine the amount, — the value of the property was about ^25,000, — and a stipulation that whichever party should break the contract was to forfeit $500, was held to make this sum liquidated damages. The amount may be treated as liquidated damages if, independ- ent of the stipulation, the damages would be uncertain, conject- ural and incapable of any accurate ascertainment, provided the agreed amount is not obviously excessive. A single amount as liquidated or ascertained damages cannot, however, be agreed upon to extend to breaches of any of the sev- eral covenants which are of various degrees of importance, thus putting them all upon the same basis; hence, a covenant that for breach of any of the foregoing stipulations a party shall pay a named sum as liquidated damages, and not as penalty, is worthless, and the court will treat the amount as penalty.* Nor will the cov- enant be separated or garbled,* so as to apply to those breaches ^ Ex parte Havper,! Be Q. & J. 'iSO. 3 To use the expression of Cham- 2Kemble v. Farren, 6 Bing. 141; bre, J., in Astley v. Weldon, 2 B. & Charleston Fruit Co. v. Bond, 26 P. 346. Fed. Rep. 18. 251 § 250. CONDUCT OF THE BUSINESS. which are in their nature iincertain.' And where a Large sura is agreed on as damages for the non-payment of a small sum, it will always be regarded as penalty and not enforced. Again, care must be taken to provide against payuient of the agreed damages being the limit of compensation;' and to prevent the covenant being in the alternative, whereby, upon payment of the agreed damages, a continued breach will be authorized and relief by injunction no longer attainable. 1 Id. Ves. 106; Perzell v. Shook, 53 N. Y. 2 See Clarke v. Lord Abingdon, 17 Superior Ct. 501. 253 CHAPTER 11. CAPITAL AND PROPERTY. §251. What is capital. — The capital of the firm is the sum of the amounts agreed to be contributed by each part- ner as the basis for beginning or continuing the business. It must be distinguished from advances by partners, which are in effect loans to the firm and not obligatory upon them to make. The importance of distinguishing between the two arises particularly with regard to charging interest, to with- drawal of funds by any partner which the articles may pro- hibit to the extent of impairing his contribution to the capi- tal, and to the proportion of profits to which each is entitled, which is often fixed as in the ratio of the capital of each. Thus, where four persons agree to buy oil lands for resale, each contributing in specified proportions to be repaid from sales, and the lands have greatly depreciated, and one filed a bill calling upon the others to make up the difference between the amounts contrib- uted by him and them, these contributions are capital and not ad- vances, otherwise there would be no capital, and hence there was no right to compel contribution.' Where a former book-keeper was taken into the firm, and an .amount due him from the old firm was placed to his credit on the books of the new, the fact that no amount of capital which he should contribute had been agreed on shows that this credit was not a contribution to capital, but rather a loan to be repaid him with his share of profits.* Where W. contributed a plant, valued in the articles at $iO,000, which was to continue his property until the firm had repaid him §24,000, which he had expended upon the plant, it was held that his capital was only §16,000, being the difference between these sums.' 1 Foster v. Chaplin, 19 Grant's Ch. 2 Topping v. Paddock, 93 111. 92. (Up. Can.) 251. See, also, Wood v. ^Worthington v. Macdonell, 9 Scoles, L. R. 1 Ch. App. 369. Duval (Canada), 327. 253 § 2o'-». CONDUCT OF THE BUSINESS. "Whore the owner of a business sells a half interest or other share to another who goes into partnership with him, the considera- tion paid by the buyer is not a contribution by him to capital, but is the seller's individual property.' § 252. The articles of partnership, or the will of a partner, may use the term capital in a sense different from its ordinary and recognized signification, and which then becomes a question of con- struction of the document. Thus, where one partner died, leaving a will, in which, after speaking of his interest in the firm, he re- quired his " present capital " to be left in for two years, — his interest in the firm was then $43,000, — the question was how much was to be left in. It appeared that each partner had contributed $20,000 as capital, and the articles provided that neither the capi- tal nor the accrued but undivided profits were to be used by either partner, and at dissolution each was to draw out his original capi- tal, and division of the rest of the assets was provided for. These provisions of the articles clearly distinguished the interest into capital and undrawn profits, and prevented the $23,000 from being treated as capitalized, and the $20,000 only is to remain in. The fact that the withdrawal of the $23,000 would injure the prosperity of the business cannot aSect the construction, since but for the will the entire $13,000 must have been drawn out." On the other hand a testator may make no distinction between the primary fund and its accretions, and may use capital in a gen- eral sense, including all the accumulated earnings of the firm which remained invested.' Where no fixed amount of capital is agreed on, but the partners are to advance money as needed to put up the works and start the business, and profits are to be divided in proportion to the contribu- tions, the reasonable construction is that contributions should cease when the business becomes self-supporting, and after that time a partner cannot, without the other's assent, increase his inter- est in the profits by additional contributions.* iBall V. Farley (Ala.), 1 South. 90 Pa. St. 143, 146. In Stidger v. Hep. 253; Evans v. Hanson, 42 111. Reynolds, 10 Oh. 351, money got on 234. See Jones' Appeal, 70 Pa. St. joint credit was called floating capi- 169. tal in distinction to fixed capital, 2 Dean v. Dean, 54 Wis. 23. but this is incorrect; borrowing on 3 As was the case in Thomas v. joint credit is not creating capital, Lines, 83 N. Ca. 191. for an equivalent joint debt is * Paxson, J., in Fulmer's Appeal, thereby created. 254 CAPITAL AND PROPERTY. § 255. § 253. Other than money. — Capital need not be contrib- uted in money, but may be in stock, real estate or other property. The use of a patent or trade secret or good will, in fact anything to which the copartners may acquire a joint title or which creditors can reach, may be contributed as capital. But where one partner contributes only his time, skill and experience, it is improper to call this his capital, for it has none of the attributes of capital, and in case of loss counts for nothing against the amount due the other partner for contributions of capital proper. § 254. Contriljution slionld |je free of liens and charges. — If a person agrees to contribute his business, stock on hand, etc., against a specified sum to be paid in by the copartner, this business and stock goes in as his share of capital, whether its value exceeds or falls short of the contribution of the other, and must be put in free of liens and without charge for transportation. If, for ex- ample, some of the goods are in the hands of factors and subject to their liens, the amount of these claims, and the cost of delivering the goods at the firm's place of business, will on an accounting be charged to the partner who contributed them.' § 255. Right to increase it. — When profits are to be di- vided in proportion to capital, the amount of each partner's capital ought to be definitely fixed. And in such case no partner can increase his capital without the consent of the others, either by additions, advances or the use of undrawn profits.'^ 1 Bunnell v. Henderson, 23 N. J. more than that amount, L. is not a Eq. 174. And if a person agrees to partner in the excess, and if less, L. "advance" teams and tools to a is entitled to an allowance as dam- farming partnership, it means free ages, because the articles in effect rep- of cost, but they continue his prop- resented that such an amount was erty. Nichol v. Stewart, 36 Ark. there. Sexton v. Lamb, 27 Kan. 613. Where S. takes L. into partner- 426. ship in a stock of ice, the articles re- 2Crawshay r. Collins, 3 Russ. 325; citing that, in consideration of $150, 15 Ves. 218; 1 Jac. & W. 267; Far- S. "puts in the concern six hun- mer v. Samuel, 4 Litt. (Ky.) 187 (14 dred and sixty tons of ice now at R.'s Am. Dec. 106) ; Cock v. Evans. 9 Yer. ice house," if S.'s stock of ice is (Tenn.) 287, 295-7. 255 § 2oG. CONDUCT OF THE BUSINESS. Thus, in Fulmer's Appeal, 90 Pa. St. 143, 146, a partnersliip of two were engaged in a very profitable business, and profits were to be di- vided in proportion to capital. The products of the factory, if sold, would have realized all necessary money to pay expenses, but one of the partners, with a view of increasing his own interest in the busi- ness, held back the products from sale and paid the expenses out of his own pocket. It was held that this did not increase his interest, and that the other partner had a right to have the sales made.' Even where it is provided that the capital may be in- creased, a contribution of money which can at any time be withdrawn will not be deemed an addition to capital; nor should such increase be at discretion, apart from the neces- sities of the business, or without notice to the other part- ners, unless the articles permit this. In Tutt V. Land, 50 Ga. 330, one partner furnished the entire capital, §29,000, and it was stipulated that if the necessities of the business required more, and he supplied it, interest at a certain rate should be allowed thereon. At the end of a year this partner s share of the profits amounted to §19,000, which he allowed to re- maiuv in the business, but without any agreement that an increase was necessary or notice to his copartner that the rights of the firm had attached to the undrawn mon?y. Hence, as he had never parted Avith his individual right to it, the interest to be received upon increase of capital was not allowed.' § 250. Is not iiidividujil property. — The capital,^ in what- ever shape contributed, becomes at once the property of the firm and is no longer individual property. The phrase capi- tal, or capital stock, conclusively excludes the idea of con- tinued individual proprietorship. Thus, if a partner was to contribute money, but, instead of so doing, puts in horses and wagons already owned by by him, they are no longer his individual effects, and the partnership creditors have a priority over his private credit- 1 For a further point in this case drawn profits were added to the see § 252. original capital. 2 s. P. Dumont v. Kuepprecht, 38 3 Wliere the use only of a thing is Ala. 175. But see Raymond v. Put- contributed, the thing itself is not nam, 44 N. H. IGO, 16y, where un- capital because it is not contributed. 25G CAPITAL AND PROPERTY. §257. ors in them on dissolution, although no credit upon the books was given him for them.^ So if one partner contributes a building and machinery and the others cash, the building and machinery cease to be in- dividual property, although the title may have been left in the original owner's name, and if destroyed by fire, the firm, and not he, must bear the loss.- The fact that one partner is to, and does, contribute all the capital, and the other services only, does not affect the rule, nor should it. Even if in such case the partners dissolve the day after the contribution to capital was made, the capi- tal is joint property, but the interests in it may be in the proportion of all to nothing,' whether the partnership be regarded as a joint ownership in different proportions, or the firm be considered a conventional entity distinct from its constituent members, and the members' interests a mere claim upon a share of surplus. The rules of distribution on winding up, which require repayment of capital to the re- spective partners after equalizing losses before distribution between them, prevents any inequality arising from the cessation of individual ownership in the contribution of capital. §257. Partnership in profits alone. — The partnership may exist in the profits alone without any joint interest in the property, not only in professional and mechanical, but in manufacturing partnerships.* There is a difficulty in ap- 1 Robiuson v. Asliton, L. R. 20 Eq. his own horses ; Crawshay v. Maule, 25 ; Ex parte Morley, L. R. 8 Ch. 1 Swanst. 523 ; Peacock v. Peacock, App. 1026; Clements u. Jessup, 30 N. 1 Camp. 45; Ex parte Hamper, 17 J. Eq. 569. Ves. 403 ; Steward v. Blakeney. L. 2 Taft V. Schwamb, 80 III. 289. R. 4 Ch. 603; London Assur. Co. v. 3 See, for example, Malley i'. At- Dreunen, 116 U. S. 461, perhaps not a lantic Ins. Co. 51 Conn. 222; Brad- partnership; Berthold v. Goldsmith, bury V. Smith, 21 Me. 117; Nutting u. 24 How. 536; Stevens v. Faucet, 24 Ashcraft, 101 Mass. 300. 111. 483, and Fawcett v. Osborn, 33 4 French v. Sty ring, 2 C. B. N. S. id. 411, one owned the hides, the 857, 363, in the earnings of a race- other to work on them — probably horse; Fromont u Coupland, 2 Bing. not a partnership, though called 170, and Barton r. Hanson. 2 Taunt, so; Robbins v. Laswell, 27 111. 365, (9, in a stnge route, each providing one owned the cattle; Flagg v. Vol. I — 17 257 § 258. CONDUCT OF THE BUSINESS. i plying this doctrine to mercantile partnerships, on account of the principle that what is purchased with profits is joint property, whatever the original contributions may have been.' So, also, property used to prosecute the partnership business may be owned by the partners as tenants in com- mon and the partnership may be confined to the profits.^ § 258. When not. — If one party advances all the money to buy goods on joint account, the partners are deemed to be joint owners in the goods as well as in the profit and loss.' And if one party advances money to be invested in goods, this may not create a partnership at all;* but if is a partnership inter se the presumption seems to be in favor of joint ownership in the goods as well as a partnership in profit and loss, in the absence of a contract to the contrary.* Stowe, 85 111. 164, in the use of Mo, App. 631 ; Syers v. Syers, L. R. machinery, a patent, and lands sep- 1 App. Cas. 174; Chase v. Barrett, 4 arately owned ; Graves v. Kellen- Paige, 148. berger, 51 Ind. 66; Stumph v. Bauer, iSce §§ 261, 265. 76 Ind. 157; Dupuy v. Sheak, 57 2 Examples of this will be found in Iowa, 361; Root v. Gay, 64 id. 399; the subjects of Real Estate, Ships City Fire Ins. Co. v. Doll, 35 Md. 89, and Mines. See, also, French v. Sty- ouly the use of a mill and teams con- ring, 2 C. B. N. S. 357, 363, a race- tributed; Blanchard v. Coolidge, 22 horse owned in common, but per- Pick. 151; Howe v. Howe, 99 Mnss. haps not a partnership. See, also, 71, 73; Moody v. Rathburn, 7 Minn. Rushing v. Peoples, 43 Ark. 390, of 89; Han key v. Becht, 25 id. 212; goods held in common. McCauleyu. Cleveland, 21 Mo. 438; 3 Reid v. Hollinshead, 4 B. & C. Gillham v. Kerone. 45 Mo. 487; State 867; 7 D. & R. 444; Raba v. Ryland, ea;reZ. u. Finn, 11 Mo. App. 546; Bow- Gow. N. P. 133; Tupper v. Hay- ker V. Gleason (N. J.), 7 Atl. Rep. thorne, id. 135;/ie Gellar. 1 Rose. 297; 885; Champion v. Bostwick, 18 Miller v. Sullivan, 1 Cint. Superior Wend. 175; Conklin v. Barton, 43 Ct. Rep. 271 ; Soule v. Hay ward. 1 Barb. 435, one owned tlie hotel, they Cal. 345. See Julio v. Ingalls, 1 Al- were partners in running it; Mooi'e len, 41. V. Huntington, 7 Hun, 425; Bisbee y. * Tin's is the explanation of such Taft, 11 R. I. 307 ; Bartlett v. Jones, 2 cases as Meyer v. Sharpe, 5 Taunt. 74 ; Strob. L. 471 (47 Am. Dec. 600). The Smith v. Watson, 2 B. & C. 401 ; 3 above authorities abundantly dis- D. & R. 751 ; Rice v. Austin, 17 Mass. pose of the statements apparently 107; Bartlett v. Jones, 2 Strob. L. made that a partnership in the 471, and those in §g 34-40. profits and in the property must s Bradbury v. Smith, 21 Me. 117; go together, in Dwinel v. Stone, 30 Knight v. Ogden, 2 Tenn. Ch. 473; Mo. 384; Newberger v. Fields, 23 Newbrau r. Snider, IW.Va. 153. And 258 CAPITAL AND PROPERTY. § 259. § 259. Examples. — Where A. agreed to build houses for B. at actual cost, the houses and lots to be sold, and the proceeds, de- ducting cost of houses, and an agreed value for, the land, to be divided, if a partnership at all, it is in the disposition of the prop- erty and not in the buildings; hence, A. is not liable to subcon- tractors/ Where F. advanced money to build a mill on R.'s real estate, they to be partners until the mill is finished, and then R.'s money and his share of the profits are to be refunded, as it appeared that F. was not expected to have any interest in the mill, he is to be regarded as a partner in the profits alone, that is, on division, R. is to receive the mill, and F. his money back with profits.* A provision in the articles of a carriage manufacturing partner- ship, that one partner should put in the entire capital, and the other, who was to give his whole time, should have no interest or ownership therein, will not be construed to extend to the stock made by the latter, or under his supervision, or to the materials or stock bought by the firm to carry on the business; but means that on dissolution the balance only above the amount put in by the other partner should be divided.' So if partners owning separate parts of the stock allow a mingling of them, so that the separate interests cannot be identi- fied, the whole will be treated as joint.'* If partners in the profits alone of cattle invest the proceeds in more cattle, the partner who had an interest in the original herd assenting that his profits upon them shall go into the new pur- chase, he has an interest in the latter and not merely in the profits, which is subject to execution.^ Where S. gave N. $300 to buy sheep, S. to have half the profits, if the firm is formed to manufact- ^Bisbee v. Taft, 11 R. I. 307. ure under a secret process, the in- 2 Pearce v. Pearce, 77 111. 284. vention will be deemed to belong 3 Snyder v. Lunsford, 9 W. Va. to all the partners, and each can use 223. it after dissolution unless the right *Sims v. Willing, 8 S. & R. 103; of property has been confined to Chappell v. Cox, 18 Md. 513; White one partner. Morison v. Moat, 9 Mountain Bank v. West, 46 Me. 15; Hare, 241; Kenny's Patent Button- Laswell v. Robbins, 39 111.209; King Holeing Co. v. Somervell, 38 L. T. v. Hamilton, 16 HI. 190. N. S. 878; 26 W. R. 786. » Hankey v. Becht, 25 Minn. 213. 259 g 261. CONDUCT OF THE BUSINESS. and if there were losses he was to have no interest, the partner- ship extends to the sheep and is not confined to the $300.' Where G. buys the stock, good will and fixtures of a business, and admits B. to a partnership, reciting the purchase, and agrees to give B. half the net profits, the consideration from B. being his knowledge of the business, the stock, good will and fixtures re- main A.'s property.* § 260. Where one party furnished all the capital, and the other had no interest in it, but was a partner in the profits only, the separate creditors of the former can levy upon the capital stock; ' but the separate creditors of the latter can- not levy upon it, because the debtor has no interest, and such levy is a trespass. Nor has he any interest in tlie profits, unless profits are made, and the other partner can show that there were no profits.'* § 261. purchases with profits. — In all cases, how- ever, even where it is stipulated that the capital shall belong to one party, all property, whether real or personal, which is purchased with partnership funds or profits, belongs to the partnership and not to one partner. A very important and interesting application of this principle was made in Clark's Appeal, 72 Pa. St. 112. There M. had contributed to the partnership of M. & C. a foundry and other real estate, re- taining the legal title, but carried in the stock account to his credit; but there was a reservation in him of a right upon dissolution to withdraw the property from the firm at its original valuation. The buildings burned down and were rebuilt at a greater cost with part- nership funds. On dissolution, the property having risen in value, M. claimed it, and it was allowed to him b}'' the master, on payment of the additional cost of building; but this was reversed, the court not allowing it to be withdrawn at all; holding that M. lost the 1 Newbrau v. Snider, 1 W. Va. * Smith v. Watson, 2 B. «fe C. 401 ; 1 53. 3 D. & R. 751 ; Blanchard v. Coolidge, -'Bowker v. Gleason (N. J.), 7 AU. 23 Pick. 151; Dupuy v. Sheak, 57 Rep. 885. lou'a, 3Cl;Gillham v. Kerone, 45 'Sturaph V. Bauer, 76 Ind. 157. Mo. 487; State ex rel. v. Finn, 11 And see Rushing v. Peoples, 42 Ark. Mo. App. 546 ; Bartlett v. Jones, 2 890. Strob. L. 471 (47 Am. Dec. 606). 260 CAPITAL AND PROPERTY. § 2G1. right on allowing rebuilding out of joint funds. The renewed property not being of equivalent value with the original, and the undestroyed part bearing no relative value, and the destroyed part being incapable of valuation and not represented by the cost, the property must be regarded as a new thing. Where the articles of partnership between R., M. and G. provided that the capital should belong to R. and M. exclusively, but they buy machinery for the concern, but credit themselves upon the books with the cost of it, they thereby make it the 'property of the firm and cannot maintain trover against G. for it; ' and articles bought with partnership earnings belong to the firm, and are not governed by such provision in the articles.* So shares in a corporation bought with partnership funds in the name of one partner are deemed to be held for the firm.^ So of real estate so bought.* Insurance issued to partners on partnership property, though it specifies the amount of interest of each partner, is joint property, and if one partner after a loss receives his proportion of insurance money, he must account to the firm for it;* and so of insurance on the entire stock, taken out by one partner, he must account to the firm for payment of loss.* So the lease of property for the firm is partnership property.* And if one partner, in contemplation of approaching dissolution, procures a renewal in his own name, or does so after dissolution, where the firm had a privilege of renewal, he holds the new term in trust for all the partners; and so of any property acquired in viola- tion of the duty to observe good faith.* 1 Robinson v. Gilfillan, 15 Hun, Fed. Rep. 737. A partnership to 267. build a railroad does not carry the 2 Snyder r. Lunsford, 9W. Va. 223. stock already held by each, and one But the mere fact that advertising, partner cannot deal with the others' of which tlie firm had had the bene- stock then acquired. Alspaugh v, fit, had been paid out of partnership Mathews. 4 Sneed, 216. funds, does not give each partner on * See § 281. the expiration of the firm a share in & Northrup v. Phillips, 99 111. 419. the advantages of the publicity. ^ Manhattan Ins. Co. v. Wheeler, 59 Morison v. Moar, 9 Hare, 241, 2(56. Pa. St. 227. 3 Ex parte Connell, 3 Deac. 201 ; " Priest v. Chouteau, 12 Mo. App. Ex parte Hinds, 3 De G. & S. 013; 252; 85 Mo., 898; Morton v. Ostrom, Wilde V. Jenkins, 4 Paige, 481 ; Ken- 33 Barb. 256. ton Furnace Mfg. Co. v. McAlpin, 5 8 g 395. 261 § 203. CONDUCT OF THE BUSINESS. §262. Purchases hj one may Ibe advances. — The mere fact that personal property used by the firm is bought with the money of one partner does not necessarily give rise to the inference that it is his/ though it may be his and the use only contributed.^ But the contribution of the use of the thing, and not of the thing itself, occurs much more fre- quently in cases of real estate than of personal property. Lumber wliich a partner buys with his own means and sends to the copartners to be used in erecting the firm's mill, and part is so used, and the rest is prepared and fitted for such use, will all of it be regarded as partnership property.' So a partner who mingles his own cattle with that of the firm upon its farm, the business being that of raising and dealing in stock, will be regarded as converted into joint property, and its in- crease is the firm's and any loss a joint loss.* § 263. Incoming partners. — Where the owner of a busi- ness takes in partners, it becomes a question of intention whether the stock becomes partnership property or not, and an intention that it shall may be inferred, in the absence of express agreement, from the nature of the property, con- duct and circumstances.* If in such case the incoming partners agree to pay their proportion for the property, or contribute a certain amount in the future, the partnership not being conditioned upon ^Ex parte Hare, 1 Deac. 16; 2 property bought by one with his Mont. & A. 478. own funds, to be used for partner- 2 Cutler V. Hake, 47 Mich. 80, of ship purposes, is presumed as be- teams; Ex parte Owen, 4 DeG. & tween partners to remain his own Sm. 351, of office furniture; i^ajpar^c property, and if consuilied or de- Smith, 3 Madd. 63, of utensils. As stroyed in the use and replaced by the to the right of third persons to rely other partners, the new property be- upon the apparent or reputed owner- longs to the same partner individ- ship of the stock in possession of a ually. Kelly v. Claucey, 16 Mo. firm, see § 104. App. 549. 'Person v. Wilson, 25 Minn. 189. ^ Ex parte Owen, 4 DeG. & Sm. ^Laswell v. Robbins. 39 111. 209; 351; Parker v. Hills, 5 Jur. N. S. Kingv. Hamilton, 16111. 190; White 809; 7 id. 833. And see Pilling v. Mountain Bank v. West, 46 Me. 15. Pilling, 3 DeG. J. & S. 163. There is one decision holding that 263 CAPITAL A^D PROPERTY. § 264. the payment, the property becomes joint from that time;' and if a leasehold be assigned by the lessee to the new firm, the unexpired terra of the lease, after dissolution, belongs to the partners and not to him alone; '^ but not if the lease remained individual property and its use only was contrib- uted as long as the firm should exist.' A person having an established business took in Lis two sons as partners, he putting in liis business and stock as capital, in esti- mating the value of which the debts due were put at twenty per cent, below their face, but in fact yielded more; and the excess was held to be part of the capital of the parent and not profits.* § '0 tanto upon his heirs in trust for the settlement of the partnership. In other words, the jus accresce?^c?^ applicable to personal estate does not apply to the legal title of realty to place the title in the surviving partner.^ § 294. surviving partner aided by equity. — The surviving partner, therefore, in exercising his right to sell the property in order to wind up the concern and pay the debts, though he can convey only his own interest in the legal title, can sell the entire beneficial interest, and a court of equity, at the suit of the grantee, will compel the widow and heirs to convey their legal title to him.'^ 1 See, for example, Pugh v. Currie, an action to recover damages as 5 Ala. 446; Andrews v. Brown, 21 against a railroad for the value of id. 437 (56 Am. Dec. 253); Caldwell partnership land upon which the V. Parmer, 56 id. 405 ; Abernathy v. road is located must be brought in Moses, 73 id. 381 ; Percifull v. Piatt, the name of the heirs and surviving 36 Ark. 456; McNeil v. Congrega- partner jointly if the legal title is in tional Soc. 66 Cal. 105; Loubat v. them jointly. Whitman v. Boston Nourse, 5 Fla. 350; Price v. Hicks, & Maine R. R. 3 Allen, 133. So of 14 id. 565 ; Cobble v. Tomlinson, 50 ejectment ; the holders of the legal Ind. 550; Galbraith V. Gedge, 16 B. title, and not the surviving partner Hon. 630 ; Buffum v. Buff um, 49 as such, can maintain it. Percifull Me. 108; Dyer v. Clark, 5 Met. 562 v. Piatt, 36 Ark. 456. (39 Am. Dec. 697) : Howard r. Priest, 2 Shanks v. Klein, 104 U. S. 18; id. 582; Whitman v. Boston & Me. Burnside v. Merrick, 4 Met. 537; R. R. 3 Allen, 133; Merritt v. Dickey, Dyer v. Clark, 5 Met. 563; Howard v. 38 Mich. 41; Dilworth v. Mayfield, Priest, 5 Met. 583; KeiCh v. Keith, 36 Miss. 40; Whitney v. Cotten, 53 143 Mass. 262; Tillinghast u. Champ- id. 689; Buchan v. Sumner, 2 Barb, lin, 4 R. I. 173; Pugh v. Currie, 5 Ch. 165; King v. Weeks, 70 N. Ca. Ala. 446; Andrews v. Brown, 21 id. 372; Pierce r. Trigg, 10 Leigh (Va.), 437; 56 Am. Dec. 252; Murphy v. 406, and cases under § 390. Hence, Abrams, 50 id. 293; Dupuy v. Leav- 290 REAL ESTATE. § 294. Unless tlie price was grossly inadequate and there was probably some collusion/ or the sale was not made for the purpose of wind- ing up, nor as surviving partner;* and the decree need not give the minor heirs a day after coming of age to show cause against the decree.* If the partners only have an equity and not a legal title, pro- ceedings to subject it need only be against the surviving partner.* Where a surviving partner, with the consent of the administra- trix, continued the business and invested partnership funds iti real estate, and afterwards took in the minor heirs as partners, and later the partnership was converted into a corporation, and stock was given the minor heirs represented by their guardians for their in- terest, and the corporation became insolvent and assigned for ben- efit of creditors, the assignee was held entitled to obtain a decree releasing the title of the minor heirs in the real estate, it being personal property, for payment of debts.' So, in case of death, the surviving partner was held entitled to a similar decree,* and so was an execution creditor.^ enworth, 17 Cal. 263; Galbraith v. '^McCaskill v. Lancashire, 83 N. Gedge, 16 B. Mon. 630; Dilworth v. Ca. 393. Mayfield, S6 Miss. 40; Whitney v. ssprague Mfg. Co. v. Hoyt, 29 Gotten, 53 id. 689 ; Matthews v. Hun- Fed. Ri p. 421 ; Francklyn v. Sprague, ter, 67 Mo. 293; Easton v. Court- 121 U. S. 215. Wright, 84 id. 27 ; Griffey v. North- 6 Gray v. Palmer, 9 Cal. 616. And cutt, 5 Heisk. 746; Pierce v. Trigg, see Han way u. Robertshaw, 4!) Miss. 10 Leigh (Va.), 406; Conger v. Piatt, 758. In Gray v. Palmer, 9 Cal. 616, 25 Up. Can. Q. B. 277. it seems that the surviving partner 1 Lang V. Waring, 25 Ala. 625 ; 60 was allowed to file a bill against the Am. Dec. 533. administrator and heirs to get pos- 2 McNeil r. Congregational Soc. 66 session of real estate held in the de- Cal. 105; Martin v. Morris, 62 Wis. 418. cedent's name, in order to pay debts sCreath v. Smith, 20 Mo. 113. It and for partition of the balance. No has also been held that in the ab- presentation for allowance to the ad- sence of a necessity for sale, as if ministrator is necessary, there are no debts, the heirs could 7 Scruggs u. Blair, 44 Miss. 406, 413. retain the title undisturbed and the Some cases have held that the right land would be divided, in Way v. of the surviving partner to resort to Stebbins, 47 Mich. 296 ; Lang v. War- the real estate is limited by the ne- ing, 25 Ala. 625 ; 60 Am. Dec. 533 ; cessity of so doing, that is, the per- Buchan v. Sumner, 2 Barb. Ch. 165, sonal property proper must be first 206. And see Strong v. Lord, 107 111. resorted to and exhausted. Easton 25; and Godfrey v. White, 43 Mich. v. Court wright, 84 Mo. 27; Stroud v. 171; but see §974. Stroud, Phil. (N. Ca.) L. 525; Fos- 291 § 295. CONDUCT OF THE BUSINESS. Where the administrator of the deceased partner brought pro- ceedings to sell real estate of which the decedent held the title, and under a decree of the probate court the property was sold, the surviving partner, if he consented to such sa,le, may compel the administrator to account to him for the purchase money.' If a trustee under the will of a partner has the legal title, and in con- junction with the surviving partner sells the property, a valid title is conveyed.'' Where different tracts of land were bought in the name of differ- ent partners, their recovery against administrators and heirs can- not be obtained in the same suit, since the heirs of some of the defendants would have a title and interest in some of the lands, and others in others.* § 295. Notice to third persons. — The foregoing doctrines raise the very important question of what is notice of the partnership equities to one receiving title to a share of the real estate from or through a single partner, for if without notice of the partnership equities he acquires a good title. A brief notice of all the partnership cases upon this question will be given.* A recital in a deed that the conveyance is to S. and M., partners as S. & Co., or other similar description, is sufficient to put a mort- I ter's Appeal, 74 Pa. St. 391, 396; 3 262; Reeves v. Ayers, 38 III. 418; Am. Law Rec. 230; 15 Am. Rep. 553. Hiscock v. Phelps, 49 N. Y. 97 (3 But this is contrary to the principle Lans. 105) ; Miller v. Proctor, 20 Oh. that winding up will not be by piece- St. 442, 448 ; Mason v. Parker, 16 meal, therefore these cases are anom- Grant's Ch. (Up. Can.), 230, and alous. §§ 974-977. And contra in cases cited in the succeeding notes. Tennessee by statute. Contra in N. Ca. Rossu. Henderson, 1 Dyer v. Clark, 5 Met. 562 ; 39 Am. 77 N. Ca. 170. But a mortgagee for Dec. 697; Merritt v. Dickey, 38 Mich, an antecedent separate debt is not a 41. And see Burnside v. Merrick, 4 bona fide buyer as against partner- Met. 537, 544, and Greene v. Graham, ship ci-editors. Lewis u. Anderson, 5 Oh. 264; Mendenhall v. Benbow, supra. But see Reeves v. Ayers, 38 84 N. Ca. 646. 111. 418. Nor is a judgment creditor 2 West of England, etc. Bk. v. of one partner a bona fide buyer. Murch, L. R. 23 Ch. D. 138; Corser either as against prior or subsequent V. Cartwright, L. R. 7 H. L. 731. creditors, mortgagees or buyers. See 3 Keith V. Keith, 143 Mass. 263. §§ 184, 291. *Dupuy V. Leavenworth, 17 Cal. 29a REAL ESTATE. § 295. gagee of one of tliem on inquiry.' If the title is in one partner a iDurchaser from the other in whom is no legal title has notice.' Where the father of one of the partners was the purchaser the court set aside the deed in favor of the firm's assignee, for the bene- fit of creditors, because he must have had notice.^ Where the partnership used and occupied the property for its business, this was held of itself sufficient notice to a mortgagee that he could only take subject to equities."* But the contrary was ruled in two earlier Michigan cases, on the ground that this is consistent with individual ownership; and it is common knowledge that firms occupy real estate either without title or as tenants in common, and the buyer can rely on the rec- ord.'^ Whether the occupancy ought to convey notice was held a ques- tion of mixed law and fact, because not inconsistent with a tenancy in common.* Where the surviving partner, having the legal title to an undi- vided half of the land, sold the undivided half to a person who knew it was partnership property, instead of selling it all as a sur- viving partner may. do, such sale of part, it was held, should have given the buyer presage of the intent of the seller to convert the iSigourney v. Munn, ^ Conn. 324; N. J. Eq. 334; Bergeron v. Richar- Brewer u. Browne, 68 Ala. 210; Mar- dott, 55 Wis. 129; Hoxie v. Carr, 1 tin u. Morris, 62 Wis. 418, 429; Boyce Sumn. 173, 193. In North Carolina V. Coster, 4 Strob. Eq. 25, of a recital it makes no difference wiiether the of an agreement. vendee of the interest of a partner 2 Williams v. Love, 2 Head, 80. had notice or not that it was part- 3Matlack u. James, 13 N. J. Eq. nership property: he takes subject to 126. If the mortgagee by inquiry of debts. Ross v. Henderson, 77 N. Ca. the tenant in possession would have 170. learned of the firm's ownership, she 5 Hammond v. Paxton, 58 Mich, is affected with notice. Baldwins. 393; Reynolds u. Ruckman, 35 id. Johnson, 1 N. J. Eq. 441. 80. And in Frink v. Branch, 16 Conn. 4 Cavander v. Bulteel, L. R. 9 Ch. 260, 271 ; Forde v. Herron, 4 Munf. App. 79; Duryeau. Burt. 28 Cal. 569; (Va.), 316, and all the Pennsylvania Reeves v. Ayres, 38 111. 418; Divine cases. V. Mitchum, 4 B. Mon. 488 (41 Am. « In Parker v. Bowles, 57 N. H. Dec. 241); Buck v. Winn, 11 id. 320, 491 ; and the point was raised but not 323 ; Kerr v. Kingsbury, 39 Mich, decided in Cowden v. Cairns, 28 Mo. 150; Churchill v. Proctor, 31 Minn. 471, and Bank v. Sawyer, 38 Oh. St. 129; Mechanics' Bank v. Godwin, 5 339. 293 § 206. CONDUCT OF THE BUSINESS. proceeds to his own use, and the buyer attempting to acquire title to a part only, takes it at his peril.' §296. Conveyances in a firm name. — Strictly speaking, the title to land can only be held by or conveyed to a legal person, natural or artificial, and cannot be held by a con- ventional person not recognized as a distinct entity in the law; hence, a deed or mortgage to or by such person, whether the name be wholly fictitious or composed of sur- name & Co., or surnames combined, passes nothing at law, partly because of the technical absence of a legal grantee and partly because public policy requires a certainty in titles, and a surname may apply to many persons, and often there are several in the same firm of the same surname.'^ If the firm name contains the name of an individual with " & Co.," thus W. W. Phelps & Co., the individual receives the title, and equity will hold him as a trustee for the firm.' Thus, in Chavener v. Wood, supra, J. D. Haines, of J. D, Haines & Bro., mortgaged real estate of the firm in the firm name with the assent of the other partner, and the in- vestment was held a good legal mortgage as against him, and an equitable mortgage as to the interest of the other; but that a subsequent legal mortgage signed by both to a person without notice of the former mortgage was a prior lien as to the interest of the other partner.^ A deed invalid at law because made to an indefinite grantee, as a deed to Todd, Gorton & Co., or to any unincorporated society in its society name, will found an equity in the mem- bers of the firm.' 1 Tillinghast v. Champlin, 4 R. I. Percifull v. Piatt, 36 Ark. 456, 404; 173. 218-220. See Martin v. Morris, Moreau v. Saffarans, 3 Sneed, 595; 62 Wis. 418. Contra, Oflfutt v. Scott, Lindsay v. Jaffray, 55 Tex. 626, 641 ; I 47 Ala. 104. Chavener v. Wood, 2 Oregon, 182. -'Tidd V. Rines, 26 Minn. 201; 10 471 (aff. 5 Hun, 407) ; Rank v. Grote, Hewitt v. Rankin, 41 Iowa, 35. 296 REAL ESTATE. § 299. the articles of partnership or agreement the surviving or other partner on dissolution may take the entire assets, there is no reconversion into realty and the deceased part- ner's share is personalty.^ Or if the articles, or even an oral agreement, require the real estate to be held solely for part- nership purposes, this has been regarded as an out and out conversion.''^ The agreement to convert into personalty for all purposes, so that a surplus is not realty, must be clear. ^ § 299. Power of individual partners to Ibind firm as to real estate. — The power of disposition of real estate in an individual partner has not yet been treated, for it is a ques- tion independent of the power to use a seal or the form of the conveyance, for the want of a power to bind under seal does not exist in several states, and the question of the validity of a contract to convey must be solved independent of the doctrine of seals and independent of the form of legal conveyances requiring the signatures of each. The solution of the question requires a distinction to be made between partnership real estate held as part of the capital 1 Leaf s Appeal, 105 Pa. St. 505; sidered case, in which the court be- West Hickory Miu. Ass'n v. Reed, 80 lieves it has found the doctrine that id. 38, 50 ; Maddock v. Astbury, 32 will reconcile the American cases. K J. Eq. 181. s Flanagan v. Slmck, 83 Ky. 617, 2Rammelsberg v. Mitchell, 29 Oh. 620; Lenow v. Fones, 48 Ark. 557, St. 22, 53 (one judge dissenting); Col- 562. In Berry v. Folkes, CO Miss. 576, lumb V. Read, 24 N. Y. 505 (but much 604-5, an agreement by which two of the language in this case seems not persons bought a plantation on consistent with the Fairchild case in credit, to work and improve it, using 64 N. Y. 471, which professes to ap- the profits each year to pay tiie pur- prove it). See, also, Goodburn v. chase price, and, when paid for, to Stevens, 5 GjU, 1 ; and such agree- divide it, was said to be a partner- ment may be implied from the nat- ship, converting land into person- ureand use of the property, Cornwall alty only for a certain time, the V. Cornwall, 6 Bush, 369; Bank of lands being partnership lands so far Louisville v. Hall, 8 id. 672; but as to be bound for debts of the firm, these three cases must be read But when the partnership ends a with Lowe ii. Lowe, 13 Bush, 688, tenancy in common begins, and the which professes to approve, but lands would then go to heirs, and limits them ; — a most carefully con- are to be partitioned, not sold. 297 § 299. CONDUCT OF THE BUSINESS. or for the occupation and use of the business of the firm, and that acquired by the firm as a commodity.^ 1st. A partner has no imphed power to sell or incumber the real estate of a firm not engaged in the business of buy- ing and selling real estate, or to bind the others by a con- tract to do so, and such attempted contract will not be specifically enforced. I have elsewhere urged ^ that the partnership power of selhng, which is loosely said to be a power to sell the entire property of the firm, is confined to property acquired for the purposes of sale.' 2d. Where the real estate is not a mere incident of a commercial partnership, but is the distinct substratum of its business, as where that consists in the buying and sell- ing of real estate, or the subdivision and sale of a tract, so that such real estate becomes partnership stock, in the sense 1 In Moran u Palmer, 13 Mich. 367, implied an authority, Mussey v. a deed by one partner in his own Holt, 4 Foster (24 N. H.), 248 (55 Am. name of partnership real estate in Dec. 234); Shaw v. Farusworth, 108 the name of all the partners, with Mass. 357. There are many other the firm's knowledge and acquies- cases where an attempted convey- cence, the firm receiving the avails, ance or incumbrance by one pai'tner was held valid against heirs of a under seal was held or stated obiter subsequently dying partner. to be invalid as against all the part- 2 §§ 403-105. ners except the signer, on the ground 3 Robinson V. Crowder, 4 McCord that he could not bind the firm under {S. Ca), L. 519, 536; 17 Am. Dec. seal. These cases, therefore, do not 762; Riiffnert'. McCannel, 17111. 212; help us. Such cases will be found 63 Am. Dec. 362 ; Lawrence v. Tay- elsewhere ; among those particularly lor, 5 Hill, 107; Dillon v. Brown, 11 relating to real estate are, Dillon v. Gray, 179, 180; Sutlive v. Jones, 61 Brown, 11 Gray, 179; Weeks u. Mas- Ga. 676; Willey u Carter, 4 La. Ann. coma Rake Co. 58 N. H. 101; Bald- 56; Keck V. Fisher, 58 Mo. 533, 535; win v. Richardson, 33 Tex. 16; An- Arnold v. Stevenson, 2 Nev. 234; thony v. Butler, 13 Pet. 423. The McWhorter u McMahan, Clarke, Ch. power of contracting to sell land 400; 10 Paige, 386. See Elliott v. which may exist in a surviving or Dycke, 78 Ala. 150, 156; Donaldson liquidating partner rests on the V. Bank of Cape Fear, 1 Dev. Eq. power to wind up and is elsewhere 103. Leases made by one partner in treated, or where a partner has ab- the prosecution of the business were sconded, see Assignment for Credit- recognized where the natui-e and ob- ora. ject of the partnership necessarily 293 EEAL ESTATE. § 300. of a commodity, and the rules of an ordinary commercial partnership apply, each partner, by the great preponderance of authority, can bind the firm by contracts for its disposi- tion, since the very scope of the business implies the exist- ence of such power.' In Chester v. Dickerson, supra^ a firm possessed a privilege or bond foi' the purchase of land; one partner poured coal oil on the property and passed it off to plaintiff as oil lands, and the entire firm was held bound by the contract to sell, and consequently liable for the deceit.* But it must be conveyed as real estate in all cases, that is, in the name of each partner, whether it be converted out and out into personalty or not.* § 300. Surviving partner. — The surviving partner has more than a mere lien to have the propert}" applied to pay- ing debts, but an equitable estate; he has the right to control the property, and to treat it as personalty in order to wind up.^ He can sell the entire beneficial interest without proceed- ings to get a decree for that purpose,® and tho buyer is not obliged to see to the application of the purchase money, as such burden would greatly reduce the value; ^ or convey 1 Thompson v. Bowman, 6 Wall. it. In Morse v. Richmond, 6 111. 316; Sage v. Sherman, 2 N. Y. 417, App. 166(aff'd, 97 111. 303), an express 431 ; Chester v. Dickerson, 45 N. Y. power to borrow, granted to one 336; 54 id. 1; 13 Am. Rep. 550 (aff. member of a firm dealing in real es- 52 Barb. 349) ; Robinson v. Crowder, tate, was held to carry the power to 4 McCord (S. Ca.), L. 519, 536-7; 17 give a mortgage, the title being in Am. Dec. 762 (per Jolmson, J.); such partner as trustee. Batty V, Adams County, 16 Neb. 44; 3 Davis v. Christian, 15 Gratt. 11. Baldwin v. Richardson, 33 Tex. 16. ^ Cobble v. Tomlinson, 50 Ind. 550; But see Lawrence v. Taylor, 5 Hill, Merritt v. Dickey, 38 Mich. 41,44. 107. And see cases cited under i^ 294. 2 It was said, however, in Foster's 5 Shanks v. Klein, 104 U. S. 18; Appeal, 74 Pa. St. 391, 396-7; 15 Am. Easton v. Courtwright, 84 Mo. 27; Rep. 553; 3 Am. Law Rec. 230, per 17 Cal. 262; Tillinghast v. Cham- Sharswood, J., to result from the plin, 4 R. I. 173; Griffey v. North- statute of frauds, that real estate cutt, 5 Heisk. 746 (by statute in Ten- never became so far stock as to give nessee). one partner implied power to dispose 6 gee Tillinghast v. Champlin, of the entire interest of the firm in supra; Griffey v. NortLcutt, supra. 299 §301. CONDUCT OF THE BUSINESS. to secure or compromise debts. ^ Hence rents derived from the property between the death and the time of sale go to the surviving partner.- §301, Statute of frauds. — Where a partnership holds land not as the chief purpose of its existence, but as an in- cident to its business, the statute of frauds does not apply, and the land may be shown to be part of the partnership stock and affected with partnership equities by oral evi- dence. The partnership requires no writmg to prove it, and exists outside of the ownership of real estate. * But the contrary is also held to some extent, and that lands ac- quired in the name of one member of an oral partnership could not be shown to be partnership lands.'* 1 Murphy v. Abiams, 50 Ala. 293 ; verted into partnership property by Breen v. Richardson, 6 Colorado, 605 ; oral agreement because of the statute Van Staden v. Kline, 64 Iowa, 180. And see § 731. 2 Dyer v. Clark, 5 Met. 5G2; 39 Am. Dec. 697 ; Cilley v. Huse, 40 N. H. 358; Hartnettu. Fegan, 3 Mo. App. 1. of frauds, nor on the doctrine of re- sulting trusts, because tlie trust does notarise by implication of law. Par- ker V. Bowles, 57 N. H. 491. Person- ette V. Pryme, 34 N. J. Eq. 26, seems 3 Re Farmer, 18 Bankr. Reg. 207 ; to be opposed to this, where two ten- Lyman v. Lyman, 2 Paine, C. C. 11, ants in common of a firm orally 22; Causler v. Wharton, 62 Ala. 358; formed a partnership in the land and Scruggs u, Russell, McCahon (Kan. ), its management. Where a partnex'- 39 ; Marsh v. Davis, 33 Kan. 326 ; ship orally agreed to extend its deal- Fall River Whaling Co. v. Borden, iugs into real estate, if the land was 10 Cush. 458; Sherwood v. St. Paul bought in the names of all, it could «fc Chic. R'y, 21 Minn. 127; Baldwin be shown to be partnership prop- V. Johnson, 1 N. J. Eq. 441; Per- ert}', for this is not inconsistent with sonette v. Pryme, 34 id. 26 ; Fair- the title, but if bought in the name child V. Fairchild, 64 N. Y. 471 (afT. of one, it could not be, was held in 5 Hun, 407); Smith v. Tarlton, 2 Bird u. Morrison, 12 Wis. [138], Sev- Barb. Ch. 386; Thompson v. Egbert, 8 N. Y. Supreme Ct. 474; Knott v. Knott, 6 Oreg. 142 ; Brooke v. Wash- ington, 8 Gratt. 248; 56 Am. Dec. eral of the above cases are directly opposed to the latter proposition. 4 Smith V. Burnham, 3 Sumn. 435; Bird V. Morrison, 12 Wis. 153 [138]; 142; McCullyr. McCuUy, 78 Va. 159; York u. Clemens, 41 Iowa, 95; Ever- Newton v. Doran, 3 Grant's Ch. (Up. hart's Appeal, 106 Pa. St. 349. Also, Can.) 353. Cou^ra, that real prop- Larkins v. Rhodes, 5 Porter, 195, and erty not bought vrith partnership Rowland v. Boozer, 10 Ala. 690, in funds, and held, therefore, as ten- both of which cases relief was ants in common, cannot be con- granted on other grounds. Dunbar 300 REAL ESTATE. §302. § 302. same as to partnership to trade in lands.— The authorities are divided on the question whether a partnership to trade in lands may be proved by parol in order to affect the lands with partnership liabihfcies and equities. The pre- ponderance is in favor of considering that the statute does not apply if the land was or is to be purchased with the joint fund, whether the title be taken in one or all^ That recognition of the partnership claim in letters to third per- sons, written transactions, books of account ajicl schedules of prop- erty is suiScient to satisfy the statute.* Third persons are not confined to written proof of the existence of a partnership to deal in V. Bullard, 2 La. Ann. 810; Benton v. Roberts, 4 id. 216; Gray v. Palmer, 9 Cal. GIG, 639 (a dictum). Question raised but not decided in Fall River Whaling Co. v. Borden, 10 Cusli. 458. That relief will be granted on the ground of a resulting trust if the evi- dence is clear and certain. Larkins v. Rhodes, 5 Porter, 195 ; Piatt v. Oliver, 2 McLean, 267. But after sale of the lands, oral proof of an interest in the proceeds on the part of the copart- ners was permitted as being person- alty. Everhart's Appeal, 106 Pa. St. 349. And damages for breach of an agreement to contribute a certain share of the capital in an oral part- nership to buy a certain tract was allowed, not being an action to con- vey title or recover price. Meason V. Kaine, 63 Pa. St. 385. And land bought with individual funds and owned by the partners as tenants in common, upon which the partner- ship conducts its business, cannot be subsequently converted into partner- ship personalty without writing; hence partition cannot be defeated by such oral evidence. Alexander v. Kimbro, 49 Miss. 529. iDale V. Hamilton, 5 Hare, 369; Essex V. Essex, 20 Beav. 442; Bunnel V. Taintor, 4 Conn. 568; Chester v. Dickerson, 54 N. Y. 1 ; 13 Am. Rep. 550 ; 52 Barb. 369 ; Traphagen v. Burt, 67 id. 30 ; Williams v. Gillies, 75 id. 197, 201 (rev. 13 Hun, 422); Richards V. Grinnell, 63 Iowa, 44 ; 50 Am. Rep. 727; Pennybacker v. Leary, 65 id. 230; Holmes v. McCray, 51 Ind. 358; 19 Am. Rep. 753; Clagett v. Kil- bourne, 1 Black, 346; Hunter v. Whitehead, 42 Mo. 524; Springer v. Cabell, 10 id. 640 ; Harbour v. Reed- ing, 3 Montana, 15. And see Snyder V. Walford, 33 Minn. 175 ; Wormser V. Meyer, 54 How. Pr. 189 ; Bissell v. Harrington, 18 Hun, 81 ; Knott v. Knott, 6 Oregon, 142; Piatt v. Oliver, 2 McLean, 267; 3 How. 401 ; Smith v. Tarlton, 2 Barb. Cli. 336. See Carr V. Leavitt, 54 Mich. 540. Contra, Smith V. Burnham, 3 Sumner, 435, 458 (this case and Dale v. Hamilton, supra, are the two great leading ad- versary cases on the whole subject) ; Gantt V. Gantt, 6 La. Ann. 677 ; Pecot V. Armelin, 21 id. 667. 2 See Fall River Whaling Co. v. Borden, 10 Cush. 458; Montague v. Hayes, 10 Gray, 609; Rowland v. Boozer, 10 Ala. 690. 301 § 302. CONDUCT OF THE BUSINESS. real estate to affect the property ; the statute of frauds only applies inter se? That a parol agreement by the buyer of lands to admit another into partnership with him is void under the statute of frauds, as not different from the contract of buyer and seller." A difference between these cases and those in the note above must be noticed. In those the partnership was formed to deal in land, but was not itself a transfer of the title, the land not being bought by the contract of partnership, but in pursuance of it and out of the partnership funds. In the preseilt class of cases the contract itself purports to be a transfer of interest. 1 In re Warren, 2 Ware, 323. Directly contra is York v. Clemens, 2 Henderson v. Hudson, 1 Munf. 41 Iowa, 95 ; Holmes v. McCrary, 51 (Va.)510; J?i re Warren, 3 Ware, 322. Ind. 358; 19 Am. Rep. 735. 303 CHAPTER IV. DUTY TO OBSERVE GOOD FAITH. § 303. The partners owe to each other the most scrupu- lous good faith. Each one has a right to know all that the others know, and their connection is one of great confidence; and the uberrima fides of a fiduciary relation will be the standard of fidelity exacted from them. For example: A partner employed to buy goods for the firm, if he buy for them goods of his own at the market price, must ac- count to them for tbe profit, for otherwise he would be tempted, ii a skilful buyer, to use his judgment as to the fluctuations of the market for his own benefit.^ In Burton v. Wookey, 6 Madd. 367, B. & W. formed a partner- ship to deal in lapis calaminaris, which W. was to buy from the miners on behalf of the firm. W. was a shop-keeper, and the miners were many of them his customers, but he paid cash for the mineral and they paid cash for his goods, and after the partnership had been in existence for some time, he adopted the course of pay- ing for the mineral in goods out of his store, the change being alleged to be on account of hard times, but charged B. as for cash paid out. Sir John Leach, V. C, held that as W. stood in a relation of trust and confidence towards B., and as the profit of purchasing the mineral cheap would be divided between him and B., but the profit of paying a high price for it in store goods would be exclusively his own, he would be biassed against duly discharg- ing his duty to B., and must therefore account to B. for profits upon the goods, and he was compelled to divide those profits. Any secret agreement by one partner on behalf of his firm, made with another firm in which he has an interest, prejudicial to his co- partners will not bind them.' Nor can a partner buy from the firm without his copartner's assent. His power to sell is not a power to sell to himself, and no title is conveyed by such transfer.* Even 1 Bentley v. Craven, 18 Beav. 75. 3 Comstock v. Buchauaa, 57 Barb. 2 Goodwin r. Einstein, 51 How. 127. Pr. 9. '303 g 304. CONDUCT OF THE BUSINESS. in an auction sale of damaged goods of tlie firm, if one partner purchase it will be deemed as on joint account, and lie must ac- count for profits upon it.' Bad faith, however, will not be presumed; and where a partner received money of the firm to buy goods for it, and was never heard of afterwards, the loss must fall upon the firm in a controversy be- tween the other partner and a person appointed administrator of the absentee on a presumption that he was dead.* So where M. & J. were partners as storage merchants, and M. as manager had received for storage a lot of grain receipting for it in the firm name, and, it having been lost or converted, gave a part- nership note for it, the fact that J. did not know of the transaction, and that M. and the owner had separate transactions together, and the owner wrote to M. individually, does not show the note to be the liability of M. alone.^ § JJ04r. In all stages of tlieir connection. — The same strict degree of good faith is required of partners who are such only in a single enterprise as a general partnership." So of partners negotiating to form a partnership. While in bargain- ing with each other they may have the rights of strangers with adverse interests, and each obtain as large a share in the contemplated firm as he justly can, for here the rule of caveat emptor applies,^ yet in buying from third persons the land or stock which the proposed partnership is designed to manage, he cannot retain a secret advantage.^ So of partners who have dissolved but not yet wound up the busi- ness. Until their connection with their former associates is completely severed, their conduct will be tested by the same principles.' 1 Zimmerman v. Huber, 29 Ala. benefit, Iddings v. Bruen, 4 Sandf. 379. A., who was largely in debt, Ch. 223. took B. into partnership. B. brought 2 Jenkins v. Peckinpaugh, 40 Ind. in no capital, but the firm assumed 133. A.'s debts, and made immense prof- 3 Pierce v. Jackson, 21 Cal, 636. its. A debt of A. of $800,000 was 4 Yeoman n Lasley, 40 Oh. St. 190; compromised at $200,000, and other Hulett v. Fairbanks, 40 id. 233. debts in like proportion. Here A. 5 Uhler v. Semple, 20 N. J. Eq. 288. does not become creditor of the 6 Densmore Oil Co. v. Densmore, firm for half the difference between 64 Pa. St. 43, 50. that and the original amount, but • Lees v. Laforest, 14 Beav. 250 ; the compromise inures to the firm's Clegg v. Fishwick, 1 Mac. & G. 294 ; 304 DUTY TO OBSERVE GOOD FAITH. § 305. § 305. Buying interests in firm's property. — If one part- ner buys an outstanding adverse title to property belonging to the firm, or acquires an interest in its property without his copartner's assent, which would be beneficial to the firm, the purchase is deemed to be for the firm.^ A partner who clandestinely obtains in his own name a renewal of the lease of the premises used by the firm must hold it as partnership propei'ty.^ So, though the renewal is for a term beyond the agreed duration of the partnership, it inures to the benefit of the estate of the other partner who has since died;' and though he notifies his copartners of his intended action beforehand and the partnership is at will.* And even if the renewal is to begin from the expira- tion of the partnership, yet if the partnership had made improvements and enhanced its value by creating a good will, having built a hotel thereon, and though the lessor might not have granted the new lease to the firm or to the other partners, tlie renewal must inure to the benefit of all.* Clements r. Hall, 2 DeG. & J. 173; Washburn, 23 Vt. 576. And the Warren v. Schainvvald, 63 Cal. 56. same rule applies to the obtaining of Jones V. Dexter, 130 Mass. 3S0 ; 39 any other exclusive use of a right Am. Rep. 459; Beam v. Maconiber, beneficial to the firm, Weston v. 33 Mich. 127; Betts v. June, 51 N. Y. Ketcham, 89 N. Y. Superior Ct. 54. 274, 278. Thus, if continuing part- But if the firm had merely a pos- ners who are to account for coUec- sessory title, and the- surviving part- tions to a retiring partner, neglect to ner bought the interest of the de- get in the debts, or think fit to enter ceased in this from the administrator; into new arrangements with debtors his purcliase of the fee will not be" by which they become debtors of the for the benefit of the heirs. Blatch- new firm, such partners are liable to ley v. Coles, 6 Colorado, 349. the retiring partner for the amount - Featherstonhaugh v. Fenwick, 17- of the debts the same as if collected. Ves. 298,311; Clegg v. Fishwick, 1 Lees V. Laforest, 14 Beav. 250. Macn. & G. 294; Struthers v. Pearce, 1 Kinsman v. Farkhurst, 18 How. 51 N. Y. 357; Clements v. Hall, 3 289 (of a patent); Eakin v. Shu- De G. (S; J. 173; Alder v. Fouracre, 3 maker, 12 Tex. 51 ; Forrer v. Forrer, Swanst. 489. 29 Graft. 134 (by a surviving part- * Leach v. Leach, 18 Pick. 68; ner) ; Gillett v. Gaffney, 3 Colorado, Clegg v. Fishwick, 1 Macn. & G. 294. 351. The above cases are of pur- ^ Clegg v. Edraoudson, 8 De G. M. chases of adverse interests. See, & G. 787, 807. also. Burn v. Strong, 14 Grant's Cii. 5 Mitchell v. Rea Ex parte Agace, 2 Cox, 313. < Jeffries v. Mat. L. Ins. Co. 110 U. 2 See § 114(3. S. 305. In this case the employment 3 Kennebec Co. v. Augusta Bank- to litigate was on a share of pro- ing Co. 6 Gray, 204; Purinton v. ceeds and hence like a power Ins. Co. 72 Me. 23; Gordon v. coupled with an interest, but I do Buchanan, 5 Yerg. 71. And see not think that affects the princi- Newman v. Springfield F. & M. Ins. pie. Co. 17 Minn. 123, where, however, 5 Beck v. Martin, 2 McMull. (S. Ca.) one partner alone had the certificate 260. of agency, but the company had 6 Sargent v. Franklin Ins. Co. 8 recognized both. Pick. 90. 340 PARTICULAR POWERS BEFORE DISSOLUTION. § liU. name of B. & P., should appoint a successor, an appointment of a successor by one partner in the firm name is not valid, for a part- ner is not an agent of the firm, except in its ordinary business, and the poAver here was to them as individuals and both must concur in the act/ That a partner in one firm is also a member of another firm does not make the latter agent of the former or its acts binding on the former. This is well illustrated by the case of Wright v. Ames.'' B. & C. were warehousemen, and C. had wheat, his individual property, stored with them, and a firm composed of C, D. and E., doing business under the name of D. & E., also had wheat stored with them. C. sold his own wheat to the defendants, but surreptitiously removed and converted part of it, in consequence whereof B., his copartner in the warehouse, delivered to defendants some of the wheat of the firm of D. & E., thus, in efiect, payiug C.'s private debt with their property. It was held that D. & E.'s title was not divested and they could recover it from the defendants. § 334. Agents and employees of the firm. — Each partner in the prosecution of the business has implied power to employ labor or engage services, such as are necessary to conduct the ordinary business of joint enterprise.' The principle that an agent cannot delegate his powers does not apply in so far as the partner acts as partner, because he is a principal, although in so far as powers are in excess of the usual powers of a partner, and are derived from some special delegation or appointment from the firm, it doubt- less would apply. Thus, each member of a mining partnership has authority to employ laborers.^ So of a partnership to cut and sell timber — per- sons employed by an active partner to carry on the business can recover from the firm.^ So if land or goods be taken by a partner- ship for a debt, one partner can employ a broker or agent to obtain iCummings V. Parish, 39 Miss. 412. 4 Nolan v. Lovelock, 1 Montana, 22 Keyes, 231; 4 Abb. App. Dec. 224; Burgan v. Lyell, 2 Mich. 102; 55 644. Am. Dec. 53; Potter v. Moses, 1 R. I. 3 Beckham v. Drake, 9 M. & W. 79 ; 430, 441. Cariey V. Jenkins, 46 Vt. 721; Mead 5 Mead v. Shepard, 54 Barb. 474; V. Shepard, 54 Barb. 474; Smith v. Coons u. Renick, 11 Tex. 134, 138; 60 Cissou, 1 Colorado, 29. Am. Dec. 230, 841 § 335. CONDUCT OF THE BUSINESS. a purchaser for it.' One partner can employ an attorney to ap- pear and represent the firm in suits.* Contra, in a mining partner- ship, for this is not a necessary part of its business.' A partner can employ a person to perform services to be com- pensated by a division of the proceeds of the employee's labor, as to buy and ship cattle on a share of the profits; but here the other partners sued the employee for the proceeds and he claimed a part- nership;* or to furnish wool and oversee its manufacture and sell.* Where an iron-foundry concern, in arrears to its workmen for wages, was sold to the defendant partnership, and one of the part- ners, to induce the men to continue working, promised to pay them the same wages as before at the end of each week, and that the ar- rears should be paid, one-half in the following January and one- half in February, the p?5omise was held to be within the scope of the business and the firm is bound by it.* Where some of the partners went to California to prosecute the mining with hands hired by the firm, on a share of the profits, and they deserted, it was doubted whether those partners could engage new hands at wages instead of a share of profits.' In Carnes v. White, 15 Gray, 378, a member of an insolvent manufacturing firm which had on hand unfinished articles was held authorized, in order to finish them, to contract with a person to finish the articles at his own expense and sell them to reimburse himself his ad- vances.* § 335. An agent or employee is equally accountable to and subject to the control of one partner as much as of * Durgin v. Somers, 117 Mass. 55; 8 A partner may appoint and de- Banner Tobacco Co. v. Jenison, 48 pute a clerk or agent to act for the Mich. 459. firm. Harvey v, McAdams, 33 Mich. 2 Wheatley V. Tutt, 4 Kan. 240. 473; Bank of N. A. v. Embury, 21 ' Charles v. Eshelman, 5 Colorado, How. Pr. 14, by a sole resident part- 107. ner about to be absent. In Tillier v. < Frye v. Sanders, 21 Kan. 26; 30 Whitehead, 1 Dall. 2G9, a partner was Am. Rep. 421. held to have power to authorize a f' Swan V. Stedman, 4 Met. 548, 553, clerk to sign checks, notes, etc., for but the powers of each partner were the firm ; but in Emerson v. The unlimited; he could engage in any- Providence Hat Mfg. Co. 12 Mass. thing that he deemed of mutual in- 237, 243, it was doubted whether one terest. partner alone could authorize an- • Wills r. Cutler, 61 N. H. 405. other person to give a note in the "> Potter V. Moses, 1 R. I. 4;i0, 441. firm's name. 342 PARTICULAR POWERS BEFORE DISSOLUTION. § 33b. another, subject to the powers of the majority, which are elsewhere considered. And where the firm consists of two partners only, each has the power, in the absence of dissent by the other, to discharge a person employed by the other.' And so, if a partner employ a clerk and pay bim, he is entitled to reimbursement wbere the other partner does not dissent from the employment, although he disapproved.' But an employment of an incompetent relative by one partner without the other's knowledge was held not to bind the latter to pay him.' The only limitation that can be laid down upon the power to employ or dis- charge where the partners are equall}-^ divided, and there is positive dissent, is that those in favor of things remaining as they are must control. ARBITRATION. § 336. No power to submit to. — A partner has no implied power to bind the firm by a submission to arbitration. This falls within the category of sealed instruments, and like them, and especially like a confession of judgment, its rationale is that a partner ought not to have the power to bind not only the joint estate but also the individual prop- erty of a copartner, with the additional reason that a sub- mission excludes resort to the regular tribunals, cuts off the rights of appeal or error, and is a delegation of power to others. The power of a partner is of necessity dangerously broad and should not be extended beyond what is requisite to carry on the business in the ordinary way, and a power to submit to arbitration is not necessary to any business. Certainly, if a partner cannot enter an appearance for the firm, or where service upon one partner gives no jurisdic- tion over the copartners, as is so in many states, there can be no power to create a court for them and bind the firm by its decision.^ 1 Ayer v. Ayer, 41 Vt. 346 ; Don- Stead v. Salt, 3 Bing. 101 ; s. c. 10 aldson u. "Williams, 1 Cr. & M. 343. Moore, 389; Karthaus v. Ferrer, 1 2Hollowayu Turner, 61 Md. 217. Pet. 222-238; Hall v. Lanniug, 1 5 Besteu. His Creditors, 15 La. Ann. Otto, 160, 170; Fanchon v. Bibb 55. Furnace Co. (Ala.) 2 So. Rep, 268; « Strangford v. Green, 2 Mod. 228 : Jones v. Bailey, 5 Cal. 345 ; Woody 343 §330. CONDUCT OF THE BUSINESS. The authority may be conferred by parol, and need not, therefore, appear on the record.^ Or a subsequent ratifica- tion may cure the want of authority. ^ V. Pickard, 8 Blackf. 55; Armstrong proofof a previous assent by the part- V. Robinson, 5 Gill & J. 412; Buchoz ner wlio had not signed had not been V. Grand jean, 1 Mich. 367; Backus offered, so that the case virtually de- V. Coyne, 35 Mich. 5; Walker v. Bean (Minn. 1886), 26 N. W. Rep. 232; Buchanan v. Curry, 19 Johns. 137; 10 Am. Dec. 200; McBride v. Hagan, 1 Wend. 320; Harrington v. Higham, 13 Barb. 060; S. C. 15 id. 524; Wood V. Sheplierd, 2 Palt. & H. cided that assent need not be shown by the plaintiffs. 1 Davis V. Berger, 54 Mich. 052. See Wilcox V. Singletary, Wright (O.), 420; and see Kartiiaus v. Ferrer, 1 Pet. 222, 231. That one of the part- ners had kept a ship insured for sev-' (Va.) 442 ; Martin v. Thrasher, 40 Vt. eral years by time policies containing 460. Contra, Hallack v. March, 25 an arbitration clause without ob- 111. 48; Taylor v. Coryell, 12 S. & R. jection, was held evidence of au- 243 ; Gay v. Waltman, 89 Pa. St. 453 ; thority to submit to arbitration a Southard v. Steele, 3 Mon, (Ky.) 435. claim for loss under a like policy. Of the above cases, the following Hamilton v. Phoenix Ins. Co. 106 limit the want of power to a submis- Mass. 395. Thus, if the other part- sion under seal: Armstrong v. Rob- ner liad previously read and ap- inson, 5 Gill & J. 412; Buchanan r. proved the submission, and was in Curry, 19 Johns. 137; 10 Am. Dec. the store at the time it was signed, 200. While the following concede this is sufficient to bind both. Mackay this power, assigning as the reason v. Bloodgood, 9 Johns. 285. that a seal is not necessary: Hallack 2 Perhaps so, even when an ac- V. March, 25 111. 48 ; Gay v. Walt- knowledgment is required, provided man, 89 Pa. St. 453. Southard v. the one who executed acknowledged Steele, 3 Mon. 435, and Taylor v. in the name of both, but not if only Coryell, 12 S. & R. 243, that a sub- in his own name. Abbott v. Dexter, mission, if not sealed, is in the 6 Cush. 108, 110. All the partners power of each. But the Vermont joining in a writ of error to the case puts it on the ground that the award is a ratification. Davis v. exigencies and convenience of busi- Berger, 54 Mich. 652. So receiving ness do not require a partner to pos- the avails of it by the partner Bess any such power, and that the who executed it is either a ratifica- question of seal or no seal is of no tion by the firm, or an accord and consequence. Martin v. Thrasher, satisfaction. Buchanan v. Curry, 40 Vt. 460; Harrington v. Higham, 19 Johns. 137; 10 Am. Dec. 200. The 13 Barb. 600; Stead v. Salt, 3 Bing, presence and participation of the 101; S. C. 10 Moore, 389. It was other partner at the hearing is an held that a partner had this power assent (Hallack v. March, 25 111. in Wilcox i;. Singletary, Wright (O.), 48); but may not be conclusive, as 420 ; but in that case the partners where the other is a foreigner and were suing on the award, and it was does not understand what is going merely objected to by defendant that on. Martin v. Thrasher, 40 Vt. 460. 844 PARTICULAR POWERS BEFORE DISSOLUTION. § 337. The submission, however, has been held to bind the one that executed it, for he promised on behalf of the firm, and his partner's refusal is a breach by him,^ unless the defect is want of a statutory acknowledgment and not want of authority, since the one who signed did not agree to submit by himself alone.- The question refers not merely to a formal submission to arbitration, but includes any agreement of reference of a dispute to a third person; ^ but a mere agreement by a part- ner purchasing logs to adopt the run at the mill as the meas- ure of quantity is not an arbitration and binds the firm.^ § 337. A surviving partner can submit to an arbitration with tke administrator of the deceased partner as to the state of accounts between the partners.* But he cannot arbitrate these matters with the widow, he, himself being also the administrator; for she is neither debtor nor creditor, and he represents both, being in a double capacity.* An administrator of both partners can submit to arbitration with a creditor of the iirm, and an award ma}'^ be against the estate of the last surviving partner, and the costs a charge on the partnership funds.' An award against the firm in the firm name, not showing who the partners were, was held bad because it might compel the court to try over again the question of who constituted the firm.® But this objection would doubtless not hold in states where partners can be sued in the firm name. If all have assented to the submis- Harrington v. Higham, 15 Barb. sion a notice to one is thereafter no- 524 ; Wood v. Shepherd, 2 Patt. & tice to all. Haywood v, Harmon, 17 H. (Va.) 443. III. 477. But as the award must be 2 Abbott v. Dexter, 6 Cush. 108. mutual, it was held that a subsequent 3 For example see Backus v. Coyne, ratification against the will of the 35 Mich. 5 ; Brink v. New Amster- other party does not bind him. dam Ins. Co. 5 Robt. (N. Y.) 104, as Buchoz V. Grand jean, 1 Mich. 367. to the extent of loss under au insur- Contra, see dissenting opinion of ance policy. Dwight, J., in Becker v. Boon, 61 N. * Perkins v. Hoyt, 35 Mich. 506. y. 317. 5 Clanton v. Price, 90 N. Ca. 96. 1 Jones V. Bailey, 5 Cal. 345; Arm- CBoynton v. Boynton, 10 Vt. 107. strong V. Robinson, 5 Gill & J. 413; 7 Whitney v. Cook, 5 Mass. 139. Strangford v. Green. 2 Mod. 238; "Wesson v. Newton, 10 Cush. 114. -'o' McBride v. Hagan, 1 Wend. 326; 315 §338. CONDUCT OF THE BUSINESS. ASSIGN FOR CREDITORS. § 338. Cannot assign for creditors. — The implied power of a partner over the assets of the firm, which is so great as to en- able him to convey the whole of that part of them intended for disposition, is limited to a transfer in the conducting of the business of the firm, and does not extend to a transfer which ipso facto is a dissolution and destructive, as distin guished from a transfer, which, like a transfer of all assets held for sale, may lead to a dissolution, though not such per se. The difference is that the latter is in the exercise of a power to preserve, and the former is exercising a power to destroy, and is not acting as agent, but is appointing an agent irrevocably, who supersedes the other principals. Hence it is by the weight of authority not within the implied power of one partner, or of any number less than all, to assign the entire effects of the firm for the benefit of creditors, when the other partners can be consulted or are within communicable distance. It is not within the scope of the business to deprive all the copartners of the posses- sion and control of the partnership property/ 1 Bo wen v. Clark, 1 Biss. 128; 511; Kelly v. Baker, 2 Hilt. 531; Pearpoint v. Graham. 4 Wash. C. C. Deming v. Colt, 3 Saudf. 284, foil, by 232,. 234; Wooklridge r. Irving, 23 Hayes v. Heyer, id, 293; Fisher u Fed. Rep, 670; Dunklin v. Kimball, Murray, 1 E. D. Smitli. 341; Wetter 50 Ala. 251; Wilcox v. Jackson, 7 v. Schlieper, 4 id. 707; 15 How, Pr. Colorado, 531 ; Loeb v. Pierpoint, 58 268; Coope v. Bowles, 42 Barb. 87; 18 Iowa, 409; 43 Am, Rep. 122; BiiUu, Abb. Pr, 442; Palmer v. Myers, 43 Harris, 18 B. Mon. 195; Maughlin u. Barb. 509; 20 How. Pr. 8; Holland Tyler, 47 Md. 545, 550; Kirby v. In- v. Drake, 29 Oh. St, 441; Ormsbee v. gersoll, 1 Doug. (Mich.) 477 (affg s. Davis, 5 R. I. 442; Petition of Dan- C, Harr. Ch. 172); Stein v. La Dow, iels, 14 id. 500; Henderson u. Haddon, 13 Minn. 412; Hughes v. Ellison, 5 13 Rich. (S. Ca.) Eq. 39:3; Williams Mo, 403; Hook v. Stone, 34 id. 329; v. Roberts, 6 Cold. (Tenn.) 493, 497; Steinhartu Fyhrie, 5 Montana, 463; Dana v. Lull, 17 Vt, 391, 393-4; Petteef. Orser, 6 Bosw. 123; 18How. Brooks v. Sullivan, 33 Wis. 444; Pr. 442; Haggerty v. Granger, 15 Rumery v. McCulloch, 54 id. 565; How. Pr. 243; Paton v. Wright, 15 First Nat'l B'k v. Hackett, 61 id. 335, id. 481; Welles v. March, 30 N. Y. 343; Coleman v. Darling, 66 id. 155; 344, 350; Fish v. Miller, 5 Paige, 26; Cameron v. Stevenson, 12 Up. Can. Havens v. Hussey, 5 Paige, 80; C. P. 389; Stevenson v. Brown, 9 L. Hitchcock V. St. John, Hoff, Ch. J, Chy. (Up. Can,) 110; 2 Bell's Com, 840 PARTICULAR POWERS BEFORE DISSOLUTION. § 330. There are a few decisions, however, that hold it to be within the implied power of a partner to make a general assignment for the benefit of creditors, seeming to consider this as a necessary conse- quence of the power of disposition of the entire partnership prop- erty.' §339. Ratification. — Prior authority or subsequent rati- fication of the copartners will validate the act, as in other cases of acts beyond authority.^ Thus in Osborne v. Barge, 29 Fed. Eep. 725, B. & K., part- ners, had agreed to assign for benefit of creditors, and had (Scotland) 615. In Wooldridge v. assignment without the assent of a Irving, 23 Fed. Rep. 076, the power special partner, is very doubtful, was denied though the firm was See authorities collected in Bates on hopelessly insolvent, the other part- Limited Partnersiiip, pp. 189 to 192. ner an imbecile, and the assigning In Whitworth v. ^Jfatterson, 6 Lea partner had a power of attorney to (Tenn.), 119, holding that where there transact all business. The assign- was no actual partnership, but a ment was, however, held void on mere holding out, tiie real owner other grounds also. could assign for creditors, it was 1 Henuessy v. Western Bank, 6 said that the same rule would obtain Watts. & S. 300; 40 Am. Dec. 560; in case the non-assenting partner Eobinsou v. Crowder, 4 McCord (S. were a dormant one ; and the same Ca.), 519, 538, where, however, the suggestion was made in Drake v. assignment was held invalid on other Rogers, 6 Mo. 317. A single partner grounds; Gordon v. Cannon, 18 may apply to the court of insolvency Gratt. 387, 404; Scruggs v. Burruss, for proceedings against the firm, 25 W. Va. 670; Lasell v. Tucker, 5 Durgin u. Coolidge, 3 Allen, 554, 555; Sneed (Tenn.), 33 (regretted in Bar- or may sign for the firm a petition croft V. Snodgi-ass, 1 Cold. 430, 440, for its bankruptcy. Pleasants v. and is distinguishable because the Meng, 1 Dall. 380. non-assenting partner was, in fact, spearpoint v. Graham, 4 Wash. C. absent; and in Williams v. Roberts, C. 232; Dunklin v. Kinibali, 50 Ala. 6 Cold. 493, 497, it was said that if 251; Rumery v, McCulloch, 54 Wis. one partner is present the other can- 565 ; Adee v. Cornell, 93 N. Y. 572 not assign without his assent). See (aff. 25 Hun, 78); Wiles v. March, Graves v. Hall, 32 Tex. 665, and 30 N. Y. 344, and cases cited in the Donoho V. Fish, 58 Tex. 164, where next sentence; Baldwin v. Tynes, the question whether a managing 19 Abb. Pr. 32; Ely v. Hair, 16 B. partner could bo assign was said Mon. 230; Sheldon v. Smitli, 28 Barb, not to arise " because it does not ap- 593; Roberts v. Shepard, 2 Daly, 110; pear that he had not authority." McNutt v. Strayhorn, 39 Pa. St. 269; Whether the general partner, even Baldwin v. Tynes, 19 Abb. Pr. 32. of a limited partnership, can make an 347 § 339. CONDUCT OF THE BUSINESS. directed their attorney to draw the papers. A day or two afterwards, at 8 A. M., B. executed the assignment, and at 10 A. M. K. made a chattel mortgage to the plaintiff to secure a partnership debt. It was held that the assignment executed by one partner, having been agreed upon by both, was valid, and the power to make the mortgage was gone.' The ratification cannot relate back to interfere with interven- ing liens. ^ The failure of the non-assenting partner to re- pudiate when told of the assignment, and his allowing the assignee to make sales of the firm property, was held not to estop him to resist replevin by the assignee to get posses- sion of partnership property in his hands ' If one partner cannot so assign before dissolution, a forti- ori he cannot after it.* But where one partner sells his inter- est in the firm to a third person, the other partners may afterwards assign for benefit of creditors, for the sale was a dissolution. The retired partner has no further authority, and his vendee has only a claim to a share of the surplus after payment of debts.* An attempted assignment by one partner is an unau- thorized exclusion of the copartner which will justify the appointment of a receiver and an injunction against the assignee.® 1 In Steinhart v. Fyhrie, 5 Montana, Coleman v. Darling, G6 Wis. 155. And 463, it was said that tlie act was so see Loeb v. Pierpoint, 58 Iowa, 469; important and solemn that public 43 Am. Rep. 123; and Steinhart v. policy requires that the autliority be Fyhrie, 5 Montana, 463. But see given in advance, and under such Adee v. Cornell, 93 N. Y. 572. circumstances that no question can 3 Brooks v. Sullivan, 32 Wis. 444. arise as to it; and in Holland v. See, also, Steinhart v. Fyhrie, 5 Drake, cited in the next note, it was Montana. 403. said that a ratification could not re- < Deckert v. Filbert, 3 Watts & S. late back, because attaching credit- 454 ; Holland u. Drake, 29 Oh. St. 441; ors might go on in ignorance of it Mygatt v. McClure, 3 Head (Tenn.), and perhaps be finally defeated by 495. the ratification and left to pay costs; 8 Clark v. Wilson, 19 Pa. St. 269; a reason which requires a public and Clark v. McClelland, 2 Grant's Cas. not a secret ratification. 31. 2Stein V. La Dow, 13 Minn. 412; eormsbee v. Davis, 5 R. I. 442. Holland v. Drake, 29 Oh. St. 441; 343 PARTICULAR POWERS BEFORE DISSOLUTION. § 340. § 340. Absence of copartner an authorization. — Where, however, the other partner is absent, and his whereabouts is unknown, or if very distant and the emergency is such that he cannot be communicated with, such power is deemed to exist in the resident partner. Thus, where the other partner had absconded under such circumstances as to im- ply an abandonment, and consent to the exckisive control of the other, the latter may assign in the firm name for the benefit of creditors,^ Or where he was absent, no one knew where, and was believed to have absconded, and a crisis had to be met, the assignment was held good, though the absentee afterwards returned.^ So where the other partners are absent at a great distance, as in Europe, leav- ing the assignor as the sole manager in this country, and an exigency arises, his assignment for the benefit of credit- ors to prevent involuntary preferences is valid,' But mere temporary absence of the other partner from the state is not sufficient/ Where the absentee lived only seventy-five miles away, with telegraph and daily mail communication between the towns, the assignment is unauthorized.' Though the absentee iNewhall v. Buckingham, 14 111. Gregory, 29 Barb. 560 (the action of 405 ; National Bk. of Bait. v. Sack- the court of appeals on this case is ett, 2 Daly, 395; Welles v. March, 30 stated in Wells v. Marsh, 30 N. Y. N. Y, 344; Kemp v. Carnley, 3 Duer, 344, 330). 1; Palmer v. Myers, 43 Barb. 509; 4 Dunklin v. Kimball, 50 Ala. 251; 29 How. Pr. 8; Sullivan v. Smith, 15 Pettee r. Orser, 6 Bosw. 123; 18 How. Neb. 476; 47 Am. Rep. 354; Deckard Pr. 442, where the assignment was V. Case, 5 Watts, 22; 30 Am. Dec. with preferences. But in McCul- 287 ; Rumery v. McCulloch, 54 Wis. lough v. Sommerville, 8 Leigh, 415, 565. See, also, Dupuy v. Leaven- an assignment with preferences by worth, 17 Cal. 263. But not even a managing partner was upheld, the then with preferences. Wetter v. other partners being resident in an- Schlieper, 4 E. D. Smith, 707; 15 other state. And where the articles How. Pr. 26a. • provided for equal payment to all 2 Petition of Daniels, 14 R. I. 500. creditors, anassignment withprefer- 'Harrison u. Sterry, 5Cranch, 289; ence by one partner, in violation Anderson v. Tompkins, 1 Brock. 416; thereof, was held void in Marsh v. Robinson v. Crowder, 4 McCord (S. Bennett, 5 McLean, 117. Ca.), L. 519; 17 Am. Dec. 763; Forbes 5 See Hunter v. Waynick, 67 Iowa, V. Scannell, 13 Cal. 242; Williams v. 555. Frost, 27 Minn. 255; Robinson v. 349 g 341. CONDUCT OF THE BUSINESS. is the most active member of the firm, and his absence was in an- other state, and was unexpectedly protracted, and the partnership was deeply involved and creditors were urging payment, these facts will not support the assignment, for there is no extraordinary emergency here.' v An assignment in good faith by one partner in the other's ab- sence, to prevent one creditor from seizing the entire assets, has been uplield.* BILLS AND NOTES. § 311. In trailing firms.— One of the most ordinary inci- dents of the business of any trading firm, and closely allied to the power to borrow and to buy on credit, is the power to make, draw, accept or indorse mercantile paper; hence, as part of the usual routine of business, each partner in a trading firm has authority to sign the name of the firm to negotiable paper.' In Davison v. Robertson, 3 Dow. 218, each of two partners gave a bill in the name of the firm without the knowledge of the other for the same debt, and the firm was held liable on both to a bona fide holder. In Wilson v. Richards, 28 Minn. 337, a partner who had bought lumber from his firm gave his note to it, and the firm indorsed the note and got it discounted. A renewal of the note by such part- ner and indorsement of the firm was held to be within the scope of his authority, and not using the firm name for his private debt, for it was a debt of the firm. 1 Stein u. La Dow, 13 Minn. 413. 218; Brown v. Kidger, 3 H. & N. 2 In Graves V. Hail, 33 Tex. 665, 853; Stepliens u Reynolds, 5 id. 513; but here the otiier partner made no Ex parte Darlington Bauldug Co. 4 complaint. And see Lasell v. Tucker, DeG. J. & S. 581 ; Sutton v. Gregory, 5Sneed, 33. The right of a surviving 2 Peake, 150; Lewis v. Reilly, 1 Q. partner stands on a different basis, B. 349; Swan v. Steele, 7 East, 210; 3 for he is in legal contemplation the Smith, 119 ; Winship v. Bank of U. S. sole owner, and his power to assign 5 Pet. 529;Kiml)ro u. Bulliit, 23 How. for creditors is generally conceded. 256 ; Cocke v. Branch Bank, 3 Ala. See § 733. 175 ; Howze v. Patterson, 53 id. 205 sPinkney v. Hall, Ld. Raym. 175 (25 Am. Rep. G07); Wagner v. Sim- (1 Salk. 120); Smith v. Bailey, 11 mons, 61 id. 143 ; Palmer u. Scott, 68 Mod. 401; -E^cpaWeBonbonus, 8 Ves. id. 380; Storer v. Hinkley, Kirby 540; Davison v. Robertson, 3 Dow. (Conn.), 147 ; Champion r. Mumford, 350 PARTICULAR POWERS BEFORE DISSOLUTION. § 341. And the power to renew a note is the same as the power to give one,' but is no greater; and as one partner cannot enlarge an ex- traneous liability, be cannot renew an accommodation note where the firm is surety, or extend the time,'' or alter the note of a non- trading firm/ But a partner can alter the note of a trading firm by inserting a place of payment,* or destroy it and substitute another,' and can waive demand and notice.* And where debts of a prior firm have been assumed, the same right to give notes for them exists as for other debts.' The power must be exercised, however, in the usual course of business, otherwise a payee knowing this cannot hold the firm upon it. Thus, in Whitman v. Leonard, 3 Pick. 177, one of two partners had absconded, and thereupon the other partner gave to a creditor a new note in the name of the firm, payable on demand, in place of a note not due, to enable him to attach, and this was held not in the usual course of business, and the attachment would be set aside at the instance of other creditors. Although, if such ab- sconding be a dissolution,* the creditor had no notice of the dissolu- id. 170; Pease v. Cole, 53 Conn. 53; 118; Crostliwait v. Ross, 1 Humph. Dowr. Phillips, 24 111. 249; Walsh 23, 29 (34 Am. Dec. 613); Crozier v. V. Lannan, 98 id. 27 (38 Am. Rep. 75); Kirker, 4 Tex. 252 (51 Am. Dec. 734); Gregg V. Fisher, 3 111. App. 261; Michael r. Workman, 5 W. Va. 391. Sherwood v. Snow, 46 Iowa, 481 (26 For the power to indorse as involved Am. Rep. 155); Deitz v. Regnier, 27 in the power of disposition of paper Kan. 94; Liudh v. Crowley, 29 id. belonging to the firm, § 401. As in- 756; Smith v. Turner, 9 Bush, 417; volved in a power to give security, Judge V. Braswell, 13 Bush, 67, 75 § 349. (26 Am. Rep. 185); Coursey v. Baker, i Tilford v. Ramsey, 37 Mo.'563. 7 Har. & J. 28; Richardson V. French, 2Milmine v. Bass, 29 Fed. Rep. 4 Met. 577; Smith v. Collins, 115 632; Tilford v. Ramsey, 37 Mo. 563, Mass. 388; Stimson v. Whitney, 130 567. id. 591; Carrier u. Cameron, 31 Mich. 3 Horn v. Newton City Bank, 32 473; Faler v. Jordan, 44 Miss. 283; Kan. 518. Holt V. Simmons, 16 Mo. App. 97; ^Pahlman r. Taylor, 75 111. 629. Feurt V. Bniwn, 23 id. 332; Roney v. SMoseley v. Ames, 5 Allen, 163. Buckland, 4 Nev. 45; Dow v. Moore, fiSee §§ 397-400. 47 N. H. 419; Benninger v. Hess, 41 'See § 347. Oh. St. 64;Ho9kisson r. Eliot, 62 Pa. 8 Which was denied in Arnold v. St. 393; Moorehead v. Gilmore, 77 id. Brown, 24 Pick. 89. § 842. CONDUCT OF THE BUSINESS. tion, for notico is either not necessary in such case or is implied in the nature of the transaction. In Hicks v. Russell, 72 111. 230, one firm gave a note secured by the individual mortgage of one partner to another firm; then both firms dissolved without giving notice of dissolution, and the partner of the maker firm who gave the mortgage made new notes in the firm's name and delivered them to one of the payee firm, who released the mortgage. This was held not in the ordinary course of trade and neither firm is bound; and there is no power to issue a note or bill in blank, as where an acceptance is issued without any drawer, and only a honajide buyer of such paper after the insertion of the name could sue upon it.' § 342. Tlie fact that the articles forbid any or all partners to make negotiable paper does not afliect the validity of the paper in the hands of a payee who was not aware of the restriction, as we have seen, § 322. ^ Even if a partner draw bills on the firm in fictitious names and raise money for the firm by using its name on such paper, all the partners are liable.^ In Burgess v. Northern Bank of Ky. 4 Bush, 600, a draft was drawn in the forged name of E. B. as drawer, on the firm of J. & B., and accepted by J., who then forged the name of E. B. as payee and procured the plaintiff bank to discount it, and then, by forging a check in E. B.'s name, drew from the bank the proceeds of the discount. It was urged that the bank had no title because it claimed through a forged indorsement, and that a firm is not liable for the crime of a partner; but it was held that as a partner issued the paper the firm was estopped to deny the genuineness of the indorsement. Where partners own property as tenants in common and not as partnership property, the implied power of a partner docs not ex- tend to making negotiable paper in relation to it. Thus, one part- ner cannot bind the firm by a note for a premium of insurance upon a vessel owned as tenants in common.^ 1 The power to indorse over paper 2 Bloom v. Helm, 53 Miss. 21; Ben- luade to the firm involves the power ninger t\ Hess, 41 Oh. St. C4. of disposition and is treated under STliicknesse v. Bromilow, 2 Cr. & § 401. Hogarth v. Latham, 3 Q. B. J. 42.'). D. 643. 4 Lime Rock F. & M. Ins. Co. v. Treat, 58 Me. 415. 852 PARTICULAR POWERS BEFORE DISSOLUTION. § 343. §343. In iioii-tratling firms.— The general rule in non- trading partnerships is that no autliority to sign mercantile paper is implied, and it makes no difference that it was for the benefit of the firm. Nevertheless, there are a number of cases in which mercantile paper has been held binding on such firms. The test seems to be whether tlie paper is essential to carry into effect an ordinary purpose for wliich the partnership was formed. By such test it would seem that a note to pay a debt or to borrow money, even though it be borrowed to pay a debt or make a purchase, ma}^ not be binding without proof of assent of the other partners or a usage of such business. Yet no doubt each partner can draw a sight check ^ on the firm's deposits or a draft on a debtor of the firm, or indorse over paper which belongs to and is payable to the firm. But each partnership must stand largely on the nature of its peculiar business, and no rule of universal application is possible. In Pooley v. Whitmore, 10 Heisk. 629 (27 Am. Rep. 733), it was held error to charge a jury that if the nature of the business was such that a partner might or might not sign negotiable paper, the partners are liable upon a note made by one partner in the hands of a bona fide holder. In other words, in case of doubt the power is not deemed to exist. In Sherman v. Kreul, 42 Wis. 33, it was held that a power in a non-trading firm to buy on credit does not involve the power to bind by a negotiable note, and hence, in an action on a note given by one partner in ihe firm name for a span of horses, a charge to the jury that if the copartners had authorized the purchase on credit the verdict should be for the plaintiff is erroneous.' It makes no difference that the consideration of the note was applied to the benefit of the firm or to pay a debt owed by it. If iThat he can do so in a trading firm, as a firm of lawyers, cannot firm, Forster v. Mackreth, L. R. 2 issue it. Ex. 1C3; Bull u. O'Sullivan, L. R. 6 2The same ruling was made in <3. B. 209; Commercial Bank v. Bradley v. Linn, 19 III. App. 322; Proctor, 98 111. 558. It must be re- and also in Skillmau v. Lachman, 23 membered that a post-dated check Cal. 199, where, however, the note is equivalent to a time draft, and a was for three per cent, a mouth, member of a strictly non-trading Voul— 23 353 § 313. CONDUCT OF THE BUSINESS. giving a note is ontside tlie scope of the business, the note is not biudiiig unless authority to issue it was given or is implied from the usage of the firm or the business.' Hence, if the firm can be sued upon the original consideration, damages upon the protested paper cannot be included in the recovery.'' In Horn v. Newton City Bank, 32 Kan. 518, as a partnership in the operation of a threshing machine is not a trading one, an alteration of the purchase money note given for the machine, by substituting another payee by consent of one partner, was held not binding, and to be a release of the other partner from the note.* A partner in a farming partnership cannot bind the firm by a note;* nor of a firm of tavern keepers;^ nor one of a steam saw- mill firm.^ So of a partnership in a patent to clarify sugar, even though bound for the consideration of the note.'' And if the partnership is to buy and sell to In- dians in the ludian territory, this was held of itself to show that a partner had no power to make a note.^ 1 Hedley v. Bainbridge, 3 Q. B, could give a note for a stove; and 31G, of a law firm to pay a debt due Doty v. Bates, 11 Johns. 514, that to a client. Greenslade v. Dower, 7 the note of a firm engaged in tan- B. & C. 635, of a farming partner- ning. cm-rying and shoemaking was ship to pay a debt for the property, presumed to be authorized. Lanier Smith V. Sloan, 37 Wis. 285; 19 Am. v. McCabe, 2 Fla. 32, 40; 48 Am. Rep. 757, of a law firm to pay office Dec. 173, hints that the note might rent which they owed. Bays u. Con- have been good if it had been to pay ner, 105 Ind. 415, for a loan to pay a a debt, debt. Sherwood, J., in Dcardorf v. 2Hermanos v. Duvigneaud, 10 La. Thacher, 78 Mo. 128, 133; 47 Am. Rep. 95; Breckinridge v. Slirieve, 4 Dana, 375, to borrow to pay a debt. Benton v. Roberts, 4 La. Ann. 217, Ann. 114. 3 Greenslade v. Dower, 7 B. & C. 635; 1 Man. & Ry. 640. ^Greenslade v. Dower, 7 B. & G. of a planting partnership to pay for 635; Benton v. Roberts, 4 La. Ann. the land held in common. Prince r. 216; Prince v. Crawford, 50 Miss. Crawford, 50 Miss. 344, of a planting 344; Hunt v. Chapin, 6 Laus. 139; partnership for necessaries. Ulery Ulery v. Ginrich, 57 111. 531. r. Ginrich, 57 111. 531, of a farming 5 Cocke v. Branch Bank at Mobile, partnership in part to pay debts. 3 Ala. 175. Hermanos v. Duvigneaud, 10 La. 6 Lanier v. McCabe, 2 Fla. 32; 48 Ann. 114; McCord v. Field, 27 Up, Am. Dec. 173. Can. C. P. 391. But Hickman v. 7 Hermanos t>. Duvigneaud, 10 La. Kunkle, 27 Mo. 401, held that one of Ann. 114. livery -stable keepers, prima facie, scargillv. Corby, 15 Mo. 425. 854 PAETICULAR POWERS BEFORE DISSOLUTION. § S44. So a firm in the diy goods business, wliicli also carries on a plan- tation, is as to the latter a non-trading firm, and a note given to carry on the plantation is presumptively unauthorized, unless in the hands of a bona fide buyer.' So of the note of a partnership in the operation of a furnace, given for the purchase of a distillery.* So of a note for a lightning rod to the mill.' § 344. There are, however, a number of cases holding that a note for the purchase of sui3plies by a member of a non-tracling partnership is valid. In Johnston v. Button, 27 Ala. 245, a purchase on credit by one partner in a steam saw-mill firm of groceries and previsions necessary for the hands, and giving a note therefor, is virith'n the scope. So in Gavin v. Walker, 11 Lea, 643, a note to borrow money for supplies was held binding on a firm formed to grade a railroad line. In Miller v. Hines, 15 Ga. 197, 201, it was said that a note given by a member of a law firm for the purchase of law books for the firm would be binding. And iu Crosthwait v. Ross, 1 Humph. 23 (34 Am. Dec. 613), the same was held of a purchase by note of medicines, instruments, etc., by one of a medical firm. In Newell v. Smith, 23 Ga. 170, proof that a note of a tannery firm was given by one partner for the hire of labor was held to re- move the onus of proving authority. In Pease v. Cole, 53 Conn. 53, 72, it was said that proof that the firm got the benefit of the note would perhaps tend to show that it was the firm's note. In Hickman v. Kunkle, 27 Mo. 401, 404 (a case overruled in sev- eral respects in 78 id. 128), it was said that a note by a member of a livery-stable firm for §71 for stoves was not necessarily outside the scope, as it might need one or more stoves for lieating, whereas for a purchase of fifty or a hundred stoves would be clearly out- side. And in Levi v. Latham, 15 Neb. 509 (48 Am. Rep. 361), also a livery-stable firm, the court, in ruling the note to be void where the signing partner kept the proceeds, seem to say that if the iHuntr. Chapin, 6 Lans. 139. 'Graves v. Kellenberger, 51 Ind. 2 Waller v. Keyes, 6 Vt. 257. 66, the other partner owned the milL 855 § 315. CONDUCT OF THE BUSINESS. holder could show that the note is necessary to carry on the husi- ness, this would show power to make it. In Voorhees v. Jones, 29 N. J. L. 270, the note of a firm whose business was a contract to build a railroad was held binding on all the partners. In Davis v. Cook, 14 Nev. 265, 283, the opinion of the court is to the effect that a power to purchase being given involves the power to give notes for the purchase, where, as in the example put by the court, the purchase of a hotel, the transaction is so large as to involve deferred payments; but the actual controversy in the case was over the purchase of a stock to open a branch store, clearly a trading firm; and so of Brooke v. Washington, 8 Gratt. 248, of notes by managing partners of an iron manufacturing partnership to buy timber land to get fuel from. The notes were held valid. The power to buy the land seems to have been as- sumed, and the only question was on whose credit it was bought. In Deardorf v. Thacher, 78 Mo. 128, 135 (47 Am. Rep. 95), it was said by Henry, J., that if the holder could have shown that the consideration of the note was articles or labor necessary in the business of the firm, the firm would have been bound; whereas Sherwood, J., p. 133, said tliat the note would not be binding, even if given for the purposes of the firm and though the firm would be charged with the debt created. In Brayley v. Hedges, 52 Iowa, 623, one of a firm of agents to sell machines gave a note to pay a debt, and it was held valid. So in Van Brunt v. Mather, 48 Iowa, 503, of a storage, forwarding and collecting firm. § 345. doctrine of bona fide bnyer does not cure. — The doctrine of bona fide buyer does not apply to the pur- chaser of the note of a non-trading firm. If there was no authority to make the note, the payee cannot convey a greater title than he had, and the buyer takes it at his peril, for he must inquire whether the nature of the business in- volves the power to issue mercantile paper, and if it does not he has, by law, notice of that fact.^ 1 Dickinson y. Valpy, 10 B. & C. 138 ; v. Thompson, 33 La. Ann. 196 ; Levi v. Cocke V. Branch Bank, 3 Ala. 175; Latham, 15 Neb. 509 (48 Am. Rep. Pease v. Cole, 53 Conn. 53 (a very 361); Deardorf v. Thacher, 78 Mo. carefully considered case); Benedict 128 (47 Am. Rep. 95); Prince v, Craw- 356 PARTICULAR POWERS BEFORE DISSOLUTION, § 346, As in case of all otlier powers, want of implied power is snppliel by previous express authorization or subsequent ratification; lunce if T. agrees to convey land to E. & S., partners, payable in their notes, a tendar of notes signed by IJ., in the firm name, is a good tender.' But an express authority given to a partner to indorse over notes received in payment, in order to turn them into money, will not bind the firm by an accommodation indorsement outside the scope of the business, in the hands of an innocent holder for value.* § IM6. Joint and several notes. — As a partner represents the firm, and is not th3 agent of each partner separately, it follows that he has no implied power to bind by a joint and several note, or to bind each individually, or any number less than all.^ Such note, however, whether made expressly as a joint and several note, or using the phrase " I promise " with the individual names appended, is, if possible, construed as a valid joint note; * but where the signatures are so placed that the apparent interests and legal obligations of the partners would be different, as where one appears as maker, and the other as surety, it is doubtful whether the non-assenting one is bound at all. ^ The signing partner, however, is bound severally as well as jointly, though the firm name be signed; ^ but though the words '*! promise" signed by several, import a joint and several promise, yet if the signature is in a firm name, the ford, 50 Miss. J544 ; Lynch v. Thonip- homestead exemptions. in individual son, 61 id. 354; Judge v. Braswell, 13 property or any other pergonal priv- Bush, G7 (26 Am. Rep. 185). See, ilege. Terrell v. Hurst, 76 Ala. 588. also, Greenslade v. Dower, 7 B. & C. ■* Maclae v. Sutherland, 3 El. & B. 635; Williams u. Thomas, 6 Esp. 18. 36; Doty v. Bates, 11 Joliiis. 544; 1 Smith V. Jones, 12 Me. 332. Sherman y. Christy, 17 Iowa, 322. 2 Ilotchkiss V. English, 4 Hun, 369; 5 Stroh v. Hinchman, 37 Mich. 490. 6N. Y. Supreme Ct. 658. 6 Elliot v. Davis, 2 B. & P. 338; sPerring u. Hone, 4 Bing. 28, 33; Sherman v. Christy, 17 Iowa, 322; 2 C. & P. 401; Sherman v. Christy, Fulton v. Williams. 11 Cush. 108, 17 Iowa, 322, 324; Marlett v. Jack- 109; Snow v. Howard, 35 Barb. 55. man, 3 Allen, 287, 291; Snow v. See, also, Gillow u. Lillie, 1 Bing. N. Howard, 35 Barb. 55. Or to waive Cas. 695. 357 §347. CONDUCT OF THE BUSINESS. note is joint only, and even the signer himself cannot be sued alone. ^ But if on a joint and several note, signed in the firm name, the name of a third person is also added, the words jointly and sev- erally apply to bind the firm as one pej'son, and the other signer as another jjerson severally, but not the partners severally apart from each other.* The firm is liable, but only jointly, whether the note be " I prom- ise " and signed by " A. B." or " A. B., C. D., E. F.; " => or we jointly and severally promise for the firm."* § 34:7. Bill or note for separate debt. — A partner cannot bind the firm by giving a note to pay his separate debt, un- less authorized by his copartners, and this fact is a perfect defense except as against a bona fide indorsee of the cred- itor. Such a note is a gross fraud on the copartners.' 1 Ex parte Buckley, 14 M, & W. Blackf. 57, 261 ; Hickman v. Reine- 469; 1 Ph. 562 (overruling Hall v. kiiiff, 6 Blackf. 387: Flagg u. Upham, Smith, 1 B. & C. 407); s. C. as Ex 10 Pick. 147, 148-9; Adams Bank u. par/e Clarke, DeGex, 153; (reversing Jones, 16 id. 574; Roberts v. Pepple, S. C. as Ex parte Christie, 3 M. D. & 55 Mich. 367; Robinson v. Aldridge, DeG. 736); Brown v. Fitch, 33 N. J. 34 Miss. 352; Klein v. Keyes, 17 Mo. L. 418; Doty v. Bates, 11 Johns. 544; 326 ; Ferguson u Thacher, 79 Mo. 511; Van Tine v. Crane, 1 Wend. 524. Davis v. Cook, 9 Nev. 134; Daveu- 2 Van Tine v. Crane, 1 Wend. 524; port v. Runlett, 3 N. H. 386; Will- J2e Hulbrook, 2 Low, 259. iams u. Gilchrist, 11 id. 535; Dob r. 3 Gal way v. Matthew, 1 Camp. 403; Halsey, 16 Johns. 34. 39 (8 Am. Dec. Ex parte Buckley, 14 M. & W. 469; 293); Williams i?. Walbridge, 3 Wend. IPh. 5G2; Ex parte Clarke, DeG. 153, 415; Gansevoort v. Williams, 14 id. reversing Ex parte Christie, 3 M. D. 133; Rust v. Hauselt, 9 Jones & Sp. & DeG. 73ij; Doty V.Bates, 11 Johns. 467 (aflfd. 76 N. Y. 614); Gale v. 544. Miller, 54 N. Y. 536; Atlantic ; Bank guarantied that a subcontractor of Tenn. v. Saffarrans, 3 id. 597; would pay for goods delivered. Scott V. Bandy, 2 Head, 197; Pooley 2 Myatts v. Bell, 41 Ala. 223, 232; V. Whitmore, 10 Heisk. 629 (27 Am. Eliot v. Davis, 2 B. & P. 338; Rams- Rep. 733): Huntington v. Lyman, 1 bottom V.Lewis, 1 Camp. 279; Owen D. Cliip. (Vt.) 438 (12 Am. Dec. 716); v. Van Uster. 20 L. J. C. P. 61 ; 10 Jones V. Booth, 10 Vt. 268; Tomp- C. B. 318; Nichoils v. Diamond. 9 kins V. Woodyard, 5 W. Va. 216; Ex. 154; First Natl. Bk. v. Carpen- Avery v. Rowell, 59 Wis. 83; Harris ter, 34 Iowa, 433; Silvers v. Foster, V. McLcod, 14 Up. Can. Q. B. 164; 9 Kan. 56; Fowle v. Harrington,! Henderson v. Carvetli, 16 id. 324; Cusii. 146; Wiggin v. Lewis, 12 id. Macklin v. Kerr, 28 Up. Can. C. P. 486; Brown v. Broach, 52 Miss. 536; 90; McConnell v. Wilkins, 13 Ont. Ferguson v. Thacher, 79 Mo. 511; App. 438; Stewart V. Parker, 18 New Merchant V. Beiding, 49 How. Pr. Brunswick, 223. Contra: that a 344; Parker t;. Jackson, 16 Barb. 33; partner has a right to sign the name Stiles v. Meyer, 61 Barl). 77; 7 Lans. of the firm as accommodation, hold- 190; Hubbard v. Matthews, 54 N. Y. ing the contrary rule to be an ob- 43, 48 (13 Am. Rep. 562); Avery v. 362 PARTICULAR POWERS BEFORE DISSOLUTION. g 351. § 350. The same principle applies to using ths firm name as security in other ways. Thus, signing it as security upon an ap- peal bond for others is unauthorized, and the signer alone is bound. Where the firm is prosecuting or defending a suit on its own be- half, one partner can give necessary attachment or appeal bonds in tlie firm name or procure sureties upon the credit of the firm; '' but where a firm is acting for other persons, as where attorneys are prosecuting or defending an action for clients, one attorney cannot bind his partners b}' agreeing to indemnify one who will become surety on an injunction bond,* or to indemnify an officer for mak- ing an attachment or arrest,'* or promise to pay a debt in order to get the client out of jail.* It has been held that, where a firm is a member of another firm, a partner can bind it hy a guaranty of a debt to be incurred by the latter in the prosecution of its business; as where one of a stage company guaranties that another company of which it is a mem- ber will pay tolls.* In Andrews v. Congar,' it seems to have been held, where part- ners own a majority of the stock of a corporation, that it is within the scope of the powers of each to guaranty a note made by the cor- poration to protect its stock, because for the common benefit, al- though the articles of partnership forbade assuming liabilities outside the business. The report, however, does not show whether they owned the stock as a firm or individually, nor the business ot the firm, or of the corporation, or how the note benefited the firm. § 351. Real transaction considered. — The form of a note, how^ever, is of the slightest jjrima facie evidence of the true relation of the parties, for the actual debtor may appear as surety, acceptor, indorser, etc., as well as maker. Hence, where the partnership name appears as surety, bub is not Rowell, 59 Wis. 82; Wilson i\ Brown, G Princeton & Kingston Turnpike 60nt. App. 411. And see §§421, 691. Co. u. Gulick, 16 N. J. L. 1«1, 1(39. 1 Charman v. McLaue, 1 Oregon See Hodges v. Ninth Nat'l Bk, 54 339. Md. 406. 2Dow V. Smith, 8 Ga. 551; Durant -Supreme Ct. U. S. 18^-1; 20 Am. V. Rogers, 87 111. 508. Law Reg. N. S. 328; Lawyers' Coop. 3 White V. Davidson, 8 Md. 169. Book 26, page 90, not reported in the < Marsh t'. Gould, 2 Pick. 285. regular series. And see cases cited 6Hasl.ham v. Young, 5 Q. B. 833; with this under § 370. Dav. «& Mer. 700. 363 § 351. CONDUCT OF THE BUSINESS. really such, the actual nature of the transaction, and not its apparent cliaracter, governs. Thus if the firm name is indorsed on the note of a third person by one partner apparently as security, but in fact for a debt of or loan to the firm, all the partners are boand,^ Thus in TruUinger v. Corcoran, 81^ Pa. St. 395, Croft was fur- nisliins^ goods to defendants' firm, and purchasing the goods from plaintiff, and, by arrangement of all parties, plaintiff furnished the goods directly to the defendants, and were paid by defendants' notes made to Croft's order. These notes were afterwards renewed by Croft's notes made to his own order, on which the defendants' firm name was indorsed by the acting partner, who gave as a reason that he did not wish any more of the firm's paper to be out. This was held sutficient, and that plaintiff was not put upon inquiry as to the bona fides of the notes, although the defendants' name appeared as accommodation, yet being in fact so for their own benefit. So a partner in selling notes payable to the firm can guaranty them," or under the borrowing power maj' exchange accommoda- tion acceptances.' Where the financial partner of defendants exchanged the firm's note with N., who obtained money upon it from plaintiff, as the partners are liable upon this, since plaintiff had no notice of their credit being so used, they were held liable on another note used to take it up, made by N., on which their name appeared as indorsers.* And where a partner who had made a purchase from his firm gave it his note, which the firm indorsed and got discounted, a renewal of the note by such partner indorsing the firm name is not giving the firm name for his private debt, and is in the scope of his power. ^ iLangan v. Hewett, 13 Sni. & Mar. 32 (dictum); Gano v. Samuel, 14 Oh (Miss.) 122; Day u McLe(f, Y. 1888), 4 N. e". Rep. 311. 566; Davis v. Blackwell, 5 111. App. 5 Wilson v. Richards, 28 Minn. 337. 364 PARTICULAR POWERS BEFORE DISSOLUTION. § 352. § 352. Bona fide holder protected. — A bona fide holder or indorsee, that is one for value, in due course of husiness, he- fore maturity and without notice, can recover against the firm, the scope of whose business includes the issuance of negotiable paper or paper signed with its name by one part- ner, in fraud of the rights of his copartners. That is to say, the signature is not, like a forgery, wholly void; but being capable of ratification, and by one who is a principal as well as an agent, is voidable only, and the usual rules of mercan- tile paper apply. That is to say, if the firm's business is such that the making of any notes is in its scope, a bona fide buyer can hold the firm, and need not inquire whether the note was issued within the scope of the business or not, or whether it was to pay or secure a sepai-ate debt of a partner, or was for the accommodation of a third person, or for a loan to the signing partner, or in au}^ other way in fraud of the rights of copartners. The doctrine is also frequently rested on the principle that when one of two innocent parties must suffer, the loss falls upon the one who has put it in the power of the guilty person to perpetrate the fraud. ^ But if the scope of the business does not authorize the making of notes by one partner, the paper is as invalid in the hands of an in- 1 Lewis V. Reilly, 1 Q. B. 349 ; Bush Bank, 18 Wend. 466 faff'g, s. C. as V. Crawford, 7 Bankr. Reg. 299 ; Catskill Bk. v. Stall, 15 id. 864) ; Weils Mauldin v. Branch Bk. at Mobile, 3 v. Evans, 22 id. 324; Lockw. Rev. Ala. 502, 513; Knapp v. McBride, 7 Cas. 390 (rev. 20 Wend. 251); Austin id. 19; Rich v. Davis, 4 Cal. 23; s. C. v. Vaudermark, 4 Hill, 259; Mechan- 6 id. 141 ; Beach v. State Bank, 3 Ind. ics' Bank v. Foster, 19 Abb. Pr. 47 ; 488; Freeman v. Ross, 15 Ga. 252; 44 Barb. 87; 29 How. Pr. 40S; First Wright V. Brosseau, 73 111. 381 ; Wal- Nat. Bk. v. Morgan, 73 N. Y. 593 worth V. Henderson, 9 La. Ann. 339; (aff'd, 6 Hun, 346); Atlantic State Waldo Bank v. Lumbert. 16 Me. 416; Bank v. Savery, 82 N. Y. 291 (aff"g. Boyd V. McCann, 10 Md. 118; Hop- 18 Hun, 36); Cotton v. Evans, 1 Dev. kins V. Boyd, 11 id. 107; Boardman & Bat. Eq. 284; Sedgwick v. Lewis, V. Gore, 15 Mass. 331; Connecticut 70 Pa. St. 217; Mooreheadu Gilmore, River Bk. v. French, 6 Allen, 313; 77 id. 118; 18 Am. Rep. 435; Parker Blodgett V. Weed, 119 Mass. 215; v. Burgess, 5 R. I. 277; Hawes v. Nichols V. Sober, 38 Mich. 678 ; Bloom Dunton, 1 Bailey (S. Ca.), 146 ; 19 Am. V. Helm, 53 Miss. 21; Murphy V. Cam- Dec. 663; Duncan v. Clark, 2 Rich, den, 18 Mo. 116; Livingston v. Roose- L. 587; Roth v. Colvin, 32 Vt. 125. velt, 4 Johns. 251 ; Stall v. Catskill • 365 § 353. CONDUCT OF THE BUSINESS. nocent lioldcr for value as it was in the hands of the original payee. The buyer of a note signed in the name of a non-trading firm buys at his perih* § 353. who is a bona fide buyer. — As already said, the rules of mercantile paper apply to deterniiiie who are entitled to the rights of bona fide purchaser. Thus a pur- chaser after maturity is not a bona fide buyer in this sense. ^ But if his assignor was a bona fide holder, the assignee or indorsee gets the assignor's title, though he himself knew of the fraud or want of authority.^ In Grubb v. Cottrell, 62 Pa. St. 23, H., a member of two firms, without the knowledge of his copartners in either, drew a draft in the name of H. & G. on a person who accepted it in favor of H., C. & E., and indorsed it in their names and procured a bank to dis- count it and kept the proceeds. The bank sued the indorsevs, H., C. & E., and C. and E. paid the draft and now sue G. for contribu- tion. It was held that the money got by H. from the discount was the money of H., C. & E.; the other parties were accommodation parties for H., C. & E., and though H. intended to defraud them all, he only defrauded H., C. & E., and C. and E. did not get the bank's superior title as innocent purchasers, but only their owi^ old title back again, and could not recover. A payee's belief, on loaning money, that it was for the private use of the partner, does not prevent his recovery on the note signed in the firm name, if the loan really was for the firm and used for its benefit; an intent to do an unjust act being of no effect unless the fact correspond with the intention.* AVhere a partner states to the lender that he desires the money in order to retire the notes of certain customers without his copart- ners' knowledge, this is notice that he is giving the firm name in accommodation by making his copartners believe that the notes are paid, and the lender cannot recov^er on the partnership note from them." And where C, of the firm of C. & U., made an unauthorized note in the firm name to V., who used it to take up a note made by C, on which he (V.) was an indorser, the bank which held the 1 § 345. * Hamilton v. Summers, 12 B. Mon. 2 Rich V. Davis, 4 Cal. 23; Freeman 11 ; 54 Am. Dec. 509. r. Ross, 15 Ga. 252. oMcConnell v. Wilkins, 13 Ont. »Boyd V. McCaun, 10 Md. 118. App. 438. 366 PARTICULAR POWERS BEFORE DISSOLUTION. '§ 354. former note is affected with notice and U. is not liable on the note.' Knowledge of the indorsee that the note made in the firm name had been given to pay for land is not sufficient notice that it was not authorized, for partners often buy land.'* The fact that plaintiff knew that the guilty partner had previ- ously given firm notes for his private purposes is admissible, as tending to show plaintiff's knowledge that the note in suit was un- authorized.* But the mere fact of a lender having had previous dealings with such partner on his individual account, but in his own name, carries no notice of an intent to appropriate the pro- ceeds of a partnership note discounted b}'' the lender.* In Clark v. Johnson, 90 Pa. St. 442, 0., the acting partner of J. & 0., dealers in drugs, paints, etc., bought of plaintiff, who lived in another city, four barrels of spirits at differeut times in the name of the firm. At the time of buying one of the barrels he ordered it sent to Y. & Co., a firm in which he was a partner but J. was not, and it never was entered on J. & O.'s books; the court said that, iu view of a frequent custom of dealers in merchandise to have goods sent to a customer direct from the person from whom they them- selves buy, the fact of such order creates no presumption to put a prudent vendor on inquiry, and J. is liable with 0. for the pur- chase. § 354. negligent buyer of paper. — In some cases it has been held that, although the holder did not have actual notice, but by the exercise of proper diligence would have had notice, or where the facts would have put him on in- quiry but for his culpable negligence, he cannot claim to be a bona fide buyer.* But on this question treatises on bills and notes should be examined, and partnership paper examined by the light of the general law of mercantile paper, the rules of which have been of late years, in most jurisdictions, changed in favor of its free circulation and the necessities of commerce, 1 Union Bank v. Underbill, 21 Hun, < Hayward v. French, 12 Gray, 453. 178. ^N. Y. Firemen's Ins. Co. v. Ben- 2 Dudley v. Littlefield, 21 Me. 418. nett, 5 Conn. 574, 580 (13 Am. Dec. ' Eastman i>. Cooper, 15 Pick. 276; 109); Cotton v. Evans, 1 Dev. &. 26 Am. Dec. 600. Bat. Eq. 284. 367 § 350. CONDUCT OF THE BUSINESS. SO as to exclude evidence of slight circumstances putting a person upon inquiry to affect his title. Thus, mere circum- stances which might have aroused a prudent buyer's sus- picion are not sufficient to defeat the buyer's claim upon the firm.' In Roth V. Colvin, 32 Yt. 125, the purchaser of notes signed by a firm knew that the firm was in New York and were wharfino-ers, needing but little money, and that the partner living in Vermont was not an active partner, and that the payee was insolvent, and the notes were for a large amount and for even numbers. A finding that the purchaser had not exercised due diligence to ascer- tain whether the firm and the Vermont partner had authorized the notes was held proper. In Royal Canadian Bank v. Wilson, 24 Up. Can. C. P. 362, the firm's acceptance was in the handwriting of the partner who drew the bill, and the firm was located at a distant place, but the draft, being dated on the same day, shows that the buyer knew the ac- ceptance was written by tlie drawer. § 355. broker is not agent of buyer.— A note broker in whose hands the note was placed by the payee for sale is agent of the seller and not of the buyer, though the buyer has had previous dealings with him; hence, altbough purchasing direct from the payee would have shown that the defendants were sureties only, their firm name being indorsed after that of the payee's by a partner common to both firms, persons buying of note brokers need not inquire whom they represented; it would hamper commerce.^ §356. usury. — That the purchaser from a broker of a note signed by the firm name buys it at a usurious rate of discount does not afford a reasonable cause to sus- pect fraud any more than if the partner had sold it,' nor 1 Freeman's Nat'l Bk. v. Savery, Harmou, 14 Me. 271; Freeman's 127 Mass. 75 ; Stimson v. Whitney, Bank v. Savery, 127 Mass. 75 ; Red- 130 id. 591, 595; Nichols v. Sober, 38 Ion r. Churchill, 73 Me. 146; 40 Am. Mich. 678; Walker v. Kee, 14 S. Ca. Rep. 345; 14 Centr. L. J. 412; Parker 142; Cotton v. Evans, 1 Dev. & Bat. v. Burgess, 5 R. I. 277. Eq. 234. 3 Connecticut River B'k v. French, 2Mooreheadv. Gilraore, 77 Pa. St. 6 Allen, 313; Sprague v. Zunts, 18 118; 18 Am. Rep. 435; Emerson v. Ala. 383. 368 PARTICULAR POWERS BEFORE DISSOLUTION. § 358. that the note calls for usurious interest^ and is payable on demand.* § 357. renewals. — Where a firm note, signed as accom- modation by a partner, is in the hands of an innocent bnyer and -enforcible by him, renewals of the same with accrued interest, made by the same partner at a time when such holder had notice of the defects in the note, were held also enforcible, for if not, his title in the original would be made valueless,' In Mix V. Muzzy, 28 Conn. 186, plaintiff signed an accommoda- tion note, payable to the firm of M. & H., and delivered it to M., supposing it was to be us'd for the firm's benefit, and M. made the firm's note to him in exchange, and gave his note to one 6. in pay- ment of a private debt, G. knowing all the facts. Plaintiff, learn- ing the fraudulent use of his note, took it up when due by giving another to G. direct, and surrendered to M. the note of M. & H., receiving back another note made by M. in the name of M. & H. Plaintiff paid his note to G. Avhen it came due and sued M. & H. Held, 1st, G. could not have sued the firm or plaintiff ou the first note; it was a fraud on the firm. 2d. Plaintiff, knowing all the facts when he gave the second note and took a new one, cannot re- cover on the latter. 3d. As he knew he was not bound to pay G. on the original note, his doing so gave him no right against the firm as for money paid to its use. § 358. Notice from form of the paper. — The paper itself may convey notice that the firm are merely sureties upon it, either by so stating, or by the position of the name upon the paper, as where it is not in the chain of title, which is as distinct a notice that their liabihty is secondary as if the -word sureties had been appended. In any of these cases it is manifest that no one could be an innocent buyer. Thus the word " sureties "opposite the name of the firm is notice to every buyer of the paper that the signature will not bind the firm unless authorized by all the partners.* So in National Security Bank v. McDonald, 127 Mass. 82, where K., on procuring plaintiif to discount for him a note made by G., iHurd V. Haggerty, 24 III. 171; * Foot v. Sabin, 19 Johns. 154 (10 Blodgettu. Weed, 119 Mass. 215. Am. Dec. 20S); Rollins v. Stevens, 2 Blodgett V. Weed, supm. 31 Me. 454 ; Marsh v. Thompson Nat'l s Hopkins v. Boyd, 11 Md. 107. Bk. 2 111. App. 217. Vol. 1 — 24 369 § 35 S. CONDUCT OF THE BUSINESS. gives plaintiff as collateral a note made by the defendant partncr- sLip, payable to K., on the back of which K. had signed a mem- orandum, "this note is held by me for a note signed by G.," this memorandum was held to carry notice to plaintiff that the partner- ship note was made as security only, and that the consent of all the partners, or that it was given in the course of the firm's busi- ness, is necessary. That an indorsement of the firm^s name is not in the chain of title carries the presumption that it is signed for accommodation or as security only.* Thus in Wilson v. Williams," D. purchased goods, and gave in payment to the seller his note, on which W., of W. & Co., indorsed the name of W. & Co. This carries notice to the payee that W. & Co.'s signature is for accommodation or security. That the payee parted with his goods on the faith of it is, of course, immaterial, for the liability of the other partners of W. & Co. is a question not of good faith, but of contract. So in National Bank of Commonwealth v. Law,^ a partner made a note in his individual name payable to a third person, and in- dorsed the name of the firm above the payee's indorsement. This carries notice that the indorsement is for accommodation, and puts the payee on inquiry. So where a borrower or purchaser gives a draft on a firm which is accepted by one partner, the lender or seller has notice that the firm name is signed as surety .■* Hence, also, if paper on which the name of a firm is indorsed is received from the maker himself, or from a broker known by the buyer to be selling it for the maker, this is notice that the firm's name is signed as accommodation." In Mecutchen v. Kennady, 27 N. J. L. 230, a note in the firm 1 Bowman v. Cecil Bank, 3 Grant's 8127 Mass. 73; S. P. Moynahan v. Cas. (Pa.) 33; Harris v. McLeod, 14 Hanaford, 42 Mich. 329. Up. Can. Q. B. 164; St. Nicholas 4 Joyce v. Williams, 14 Wend. 141, Bank v. Savery, 13 Jones & Sp. (45 explained in Stall v. Catskill Bank, N. Y. Super.) 97; per Walworth, C,, 18 Wend. 466; Bloom v. Helm, 53 in Stall r. Catskill Bank, 18 Wend. Miss. 21. It must be rememhered that 466, 478; Chenowith v.Chamberlin, 6 a partner can bind the firm by ac- B. Mon. 60 (43 Am. Dec. 145). And a cepting a draft on it in his own name, seal has been held to to import notice § 441. of want of authority. See § 423. 5 Hendrie v. Berkowitz, 87 Cal. 113; 2 14 Wend. 146 (28 Am. Dec. 518). Tevis v. Tevis, 24 Mo. 535 {dictum). 370 PARTICULAR POWERS BEFORE DISSOLUTION. § 358. name pa3'able to a third person and indorsed by liira was used by a partner to pay his own debt. This was presumed in fraud of the firm. Had the creditor received it from the payee this might have been otherwise; but in the hands of the partner, even if he got it from the payee, the presumption is that the firm's name is for ac- commodation or the property of the firm. Bat contra^ if the maker is one of the partners, and the note payable to the firm is indorsed witli its name, for the note is then presumably the property of the firm, and as any partner has the power to dispose of property of the firm when not palpably so doing for his own purposes.' In Bank of Commerce v. Selden, 3 Minn. 155, a check was drawn by a member of a banking firm on the firm, which he ac- cepted in the firm name, to get money from a third person who claimed that the loan was for the firm and not for the partner. As a check purports to be on the drawer's own deposit, it is presumably a loan to the partner, and is not like a note made b}'' a partner to the order of the firm on which he indorses the firm's name. But where the unauthorized indorsement of the firm name is in the chain of title, a purchaser of the paper from a person other than one of the parties to it, prior to the unauthorized indorsement, has no notice from the paper itself. Thus, in Redlon v Churchill,* a partner made a note in his own name to his own order, then in- dorsed his own name, and then indorsed his firm's name after his own, and delivered it to a broker to sell, from whom plain tiif bought it. Here the firm's name being in the chain of title, the form of the note gives no notice, and the broker may be supposed by the buyer to be, if not the owner, the agent of the last indorser, and the fact that the maker was a member of the firm of last in- dorsers affords no conclusive presumption. In Moorehead v. Gilmore,^ A. made a note to W. & Co., who in- dorsed it, and then the name of M., A. & Co. was indorsed by A., and the paper was placed in the hands of a third person, who sold it to plaintiff. The fact that the name of A. occurred as maker and as a member of the second indorser firm, and in the same hand- 1 Manning v. Hays, 6 Md. 5; Tevig 273 Me. 146 (40 Am. Rep. 345; 14 V. Tevis, supra; Wait v. Thayer, 118 Centr. Law Jour. 412). Mass. 473, where the maker also filled 3 77 Pa. St. 118, 123 (18 Am. Rep. up blanks in the plaintiff's presence, 435). but it was left to a jury to say whether there was notice. 871 § 3 GO. CONDUCT OF THE BUSINESS. writing, was held not sufficient to put the huj'er on notice that the firm name was misused, or that the partner was acting in bad faith, for the power of a partner in a trading tirni to raise money for the firm extends to indorsing as well as making notes. § 359. member of several firms. — A member of sev- eral firms may draw and indorse the same paper, as the repre- sentative of each, without affecting a holder with suspicion that his action in behalf of one firm is in bad faith towards another. In Freeman's Natl. Bk. v. Savery, 127 Mass. 75, the note of an individual partner payable to his firm, with their names indorsed thereon, was indorsed after their names by such partner with the name of the defendant firm, in which also he was a member, in fraud of their rights. The fact that the holder purchased the note from a broker or from another member of the payee firm does not put the holder on notice of the fraud on the defendant firm, for he may fairly assume that the person selling the paper holds it indi- vidually by blank indorsement from the last indorsing firm.' In Walker v. Kee, 14 S. Ca. 113, Kee had made notes payable to the firm of S. & C, on which C. indorsed the firm name of the payees, and then, as member of another firm of C, A. & Co., trans- ferred them to plaintiff as security for advances to C, A. & Co. Phiintiff 's title is good against assignees for the creditors of S. & C, for he could assume that S. & C. transferred the notes to C, A. &Co. § 360. illustrations. — In Chemung Canal Bank v. Brad- ner, 41 N. Y. 680, Carroll, of Bradner & Carroll, a firm, dissolved without notice of dissolution, of wliich he had been the active part- ner, signed its name as drawers to a draft, of which the drawee, payee and amount were left blank, and delivered it to Lowrey, of Lowrey, Strong & Co., for the accommodation of the latter firm. Lowrey took it to the plaintiff for discount, and in plaintiff's pres- ence filled in the names of Lowrey, Strong & Co. as drawees, him- self as payee, and inserted the amount, and plaintiff discounted it, and Lowrey, Strong & Co. afterwards accepted the draft and received 1 See, also, Stimson v. AVhitney, Stone, 3 McLean, 173, where he drew 130 Mass. 591 ; Ihmsen v. Negley, 25 a bill in the name of one firm on tlie Pa. St. 297; Miller v. Consolidation other, payable to himself, and ac- Bank, 48 Pa. St. 514; BaLcock v. cepted it in the drawee's name. 373 PARTICULAR POWERS BEFORE DISSOLUTION. § 360. tlie avails of it, and the drawers, Bradner & Carroll, were held liable. For had Bradner signed the drawers' name, and Carroll given it to Lowrey, certainly Bradner & Carroll, the drawers, would have been liable, and the bank had therefore no reason to suppose that Brad- ner & Carroll did not authorize it; and there is nothing in the fact of Lowrey's possession to show that it was made for his or his firm's accommodation; for the natural inference was that the drawers' desired to transfer to him their funds in the hands of Lowrey, Strong & Co., or desired him to raise for them the amount of the draft.' In Darlington v. Garrett, li 111. App. 238, a draft in the firm name on a debtor of the firm, payable to one partner, was held binding; because each partner has power to collect debts, although the partner absconded with the money, and although the draft was for more than the drawee owed, and was therefore pro tanto a bor- rowing, and the debtor could recover of the firm the overpayment. And that the fact that the draft was drawn away from the home office in another city has nothing suspicious in it, to put the drawee on inquiry. The court give the additional reason for the shape of the paper not being notice, namely, that the paj-ee part- ner might ba borrowing to repay himself an advance to the firm. But is not this latter reason objectionable, for it assumes that a person may pay a partner for the purpose of enabling him to ap- propriate the amount, and convert joint into separate property, independent of the consent of the copartners? * In Adams v. Ruggles, 17 Kan. 237, a note in the firm name, made by one partner, payable to his own order, and indorsed by him to the plaintiff, was held presumptively valid against the firm, and 1 See, also, Tutt v. Addams, 24 Mo. the firm's benefit, and discounted by 186, where D. & T. S. McDonnell a plaintiff, who had discounted previ- firm, paid a debt due by them to ous similar notes, which had been plaintiff, by a draft drawn on paid, was held good in his hands McDonnell & Addams, which was without proof of assent, in Bank of accepted in their names by T. S. Commoawealth v. Mudgett, 44 N. Y. McDonnell, who was a partner in 514 (afifg. 45 Barb. 663). But a simi- botli firms. This was held not to be lar note was held bad, in Davis v. notice to the creditor of an improper Blackwell, 5 III. App. 33. use of the acceptors' names. A note 2 See on this latter point Royal made by a partner individually to Canadian Bank v. Wilson, 24 Up. his own order, on which he indorsed Can. C. P. 362; Ex parte Darlington the firm's name, stating it to be for Banking Co. 4 DeG. J. &. S. 581. 373 § 3G1. CONDUCT OF THE BUSINESS. collectible out of their insolvent estate, in the absence of evidence rebutting the presumption; but the creditor of an individual part- ner, recovering from him in paj^ment a note of the firm, payable to the debtor's order, is of course not a bona fule holder as against the firm.' From the fact that a note is signed as maker by one partner, who misappropriated the proceeds, and also by the firm name after his, as co-makers, no inference can be drawn that the latter are sure- ties.* But this fact, on a note reading " I promise," was regarded a circumstance to be considered in connection with others to as- certain if the plaintiff should have taken notice.' § 361. Burden of proof; presumed given for firm. — As- suming the firm to be one in which each partner has the power to use the joint name on mercantile paper for the purposes of the firm, the firm name on such paper is pre- sumptively placed there by authority ; if as makers, it is presumptive evidence of a joint debt ; if as indorsers in the chain of title, it is presumptive evidence of a transfer by the firm, or by one partner, for partnership purposes, or Vv^ith authority. The fact of good faith between the partners, or that the name was used as a joint undertaking in the regu- lar course of business, is presumed; that is, the note is taken to be what it purports to be, and the burden of proof is on the defendants, the partners, to show the contrary; as, for example, if the credit or name of the firm was used by the signing partner to pay his own debt, or as accommodation or security for others, or to obtain a loan for himself, or is for a purchase or a purpose outside the scope of the business, this is matter of defense, and the burden, therefore, up to this point, is upon the partners resisting payment to show this state of facts and the payee's knowledge of it.* j 1 Gale V. Miller, 54 N. Y. 536. Dearing, 41 id. 283; Ensminger v. 2Sylverstein v. Atkinson, 45 Miss. Marvin, 5 Blackf. 210; Miller v. Hiues, 81. 15 Ga. 197, 200; Gregg v. Fisher, 3 3 In SlierwoofI v. Snow, 46 Iowa, 111. App. 261 ; McMiillan u. Mackenzie, 481 (2 5 Am. Rep. 155). 2 G. Greene (Iowa). 308; Adams v. ge, 34 Miss. 352 ; Laler v. Jordan, zier v. Kirker, 4 Tex. 252 (51 Am. 44 id. 283; Sylverstein u. Atkinson, Dec. 724); Powell %i. Messer, 18 id. 45 id. 81; Hickman v. Kuukle, 27 401; City of Glasgow Bank v. Mur- Mo. 401 (overruled on other points in dock, 11 Up. Can. C. P. 138; Stew- Deardorf v. Thacher, 78 id. 128) ; art v. Parker, 18 New Brunswick, 223. 375 §3GS CONDUCT OF THE BUSINESS, The rule imposing this burden upon the holder is nearly universal.^ Many of the earlier American decisions an- 1 Leverson v. Lane, 13 C. B. N. S. 278 ; Re Riches, 5 N. R. 287 ; Rolstou V. Click, 1 Stew. 526; Mauldin v. Branch B'k at Mobile, 2 Ala. 502, 513 ; Hibbler v. De Forest, 6 id. 92 ; Scott V. Dansby, 12 id. 714; Tyree v. Lyon, 67 id. 1; Guice v. Thornton, 76 id. 466; Hendrie v. Berkowitz, 37 Cal, 113; N. Y. Firemen's Ins. Co. v. Ben- nett, 5 Conn. 574, 580 (13 Am. Dec. 109) ; Miller v. Hines, 15 Ga. 197, 200; Bryan v. Tooke, CO id. 437; Lucas v. Baldwin, 97 Ind. 471; Chenowilh u. Chamberlin, 6 B. Mon. 60; Mech. & Traders' Ins. Co. v. Richardson, 33 La. Ann. 1308; 39 Am. Rep. 290; Mutual Nat'l Bank v. Richardson, id. 1312; Darling v. March, 22 Me. 184; Chazournes v. Edwards, 3 Pick. 5; Eastman v. Cooper, 15 Pick. 276 (25 Am. Dec. 600); Sweetser v. French, 2 Cush. 309 (48 Am. Dec. 6G6j ; Na- tional Security B'k v. McDonald, 127 Mass. 82; Heffron v. Hanaford, 40 Mich. 305 ; Selden v. Bank of Com- merce, 3 Minn. 166; Osborne v. Stone, SO Minn. 25; Robinson v. Aldridge, 34 Miss. 562 ; Deardorf v. Thacher, 78 Mo. 128 (47 Am. Rep. 95); Davenport V. Runlett, 3 N. H. 386; Mecutchen V. Kennady, 27 N. J. L. 230; Living- ston V. Hastie, 2 Caines, 246 ; Dob v. Halsey, 16 Johns. 34, 39 (8 Am. Dec. 293); Foot v. Sabin, 19 id. 154 (10 Am. Dec. 208); Schermerhorn v. Schermerhorn, 1 Wend. 119; Laverty V. Burr, 1 id. 529; Williams v. Wal- bridge, 3 id. 415; Boyd v. Plumb, 7 id. 309; Gansevoort v. Williams, 14 id. 133; Wilson v. Williams, 14 id. 146 (28 Am. Dec. 518); Butler v. Stocking, 8 N. Y. 408 ; Rust v. Han- sel t, 9 Jones & Sp. 467 (aff d 76 N. Y. 614); St. Nicholas B"k v. Savery, 13 Jones & Sp. 97 ; Weed v. Richardson, 2 Dev. & Bat. L. 535; Himelright V. Johnson, 40 Oh. St. 40; Porter v. Gunnison, 2 Grant's Cas. (Pa.) 297; Bowman v. Cecil Bank, 3 id. 33; Bank of Tennessee v. SafTarrans, 3 Humph. 597; Powell v. Messer, 18 Tex. 401 ; Goode v. McCartney, 10 id. 193; Young v. Read, 25 Tex. Sup. 113; Huntington v. Lyman, 1 D. Chip. (Vt.) 438 (12 Am. Dec. 716); Waller v. Keyes, 6 Vt. 257; Tomp- kins V. Woodyard, 5 W. Va, 216; Royal Canadian Bank v. Wilson, 24 Up. Can. C. P. 363 (but see Hender- son V. Carveth, 16 Up. Can. Q. B. 324). Contra, Flemming v. Piescott, 3 Rich. (S. Ca.) L. 307 (45 Am. Dec. 766), holding the contrary rule to be an obstacle to commerce ; and in First Nat'l B'k V. Carpenter, 34 Icjwa, 433; s. c. 41 id. 518, holding that a bank- ing firm's guaranty is presumably by authoi-ity. Fuller v. Scott. 8 Kan. 25, where an indorsement of a firm name not in the chain of title, and there- fore as guarantors, was said to be presumed to have been made in the firm's business, but this was not nec- essary to the decision, for there was evidence that it was in fact in the business, and the other partner's an- swer was of want of consideration for the indorsement and not want of authority. In Chazournes v. Ed- wards, 3 Pick. 5, it was lield that ac- commodation indorsers on a note made by one partner in the name of the firm for his separate debt, and therefore in fraud of the copartners, are presumed to have intended to indorse for the firm and not fur the guilty partner, and tlie burden of proof is on the creditor to show that 376 PARTICULAR POWERS BEFORE DISSOLUTION, § 363. nounce it as an American rule, and that the English rule is otherwise. This notion as to the English rule is erroneous. It was founded on the supposed authority of Eidley v. Tay- lor, 13 East, 175, and that case has consequently been again and again denied in this country. The English rule, how- ever, is now settled to be the same as ours. The burden is also on the plaintiff to show that he is a bona fide holder for value. ^ § 3G3. Ratification. — Precedent authority or subsequent ratification need not be proved by express words, or direct and positive proof, but may be sustained by circumstantial evidence; thus, it maybe inferred from the common course of business, previous dealings between the parties, or their acts or omissions after knowledge is brought home to them. The rule against using tlie firm name in accommodation or for other unauthorized purposes is not to be nullified by presuming assent on slight and inconclusive circumstances.* But entering the transaction on the books, charging it to that partner, or crediting the third person with goods sold by thu partner, are sufiicient; the court in this case saying that slight evidence of assent is sufficient.' In Howell v. Sewing Machine Co. 12 Neb. 177, the fact that a new partner said he had no loose money about him and would like to give new notes for the old ones was held not to be assent, the court saying that mere willingness to lend credit is not authority. A written ratification by one partner of a purchase by another outside the scope of the business, which writing shows that the partner thought the purchase was to be paid for by the notes of all the partners, shows that he thought it Avas to bind all or none, and, therefore, does not render him individually liable, all not being bound.* they knew the note was made for a St. Albans v. Gilliland, 23 Wend. 311 separate debt, and were therefore (35 Am. Dec. 566); Clark v. Dear- indorsing a note mherently bad, or born, 6 Duer, 309. he canuot recover from them. See 2 Wilson u. Williams, 14 Wend. Williams v. Walbridg^, 3 Wend. 146; 28 Am. Dec. 518; Gray v. Ward, 415. 18 111. 32; Sutton v. Irwine, 12 S. & 1 Heath v. Sansom, 2 B. & Ad. 291 ; R. 13. Hogg V. Skeen, 18 C. B. N. S. 426; 3 Warder u Newdigate, 11 B. Mon. Wright V. Brosseau, 73 111. 381 ; Mun- 174 (52 Am. Dec. 567). roe V. Cooper, 5 Pick. 412; Bank of ••Roberts' Appeal, 92 Pa. St. 407. 377 § 3G5. CONDUCT OF THE BUSINESS. § 304. by lialbit or usage.— A habit of the partners to exercise such authority with the knowledge of all with- out dissent by them, or interchanges of partnership names with other firms, so frequent as to imply a knowledge of the other partners, or a practice of paying pi-ivate debts with joint funds, known to all, or a habit of indorsing for the same party with the copartners' knowledge, will be sufficient evi- dence of authority.' So the fact that the other partner had done the same on other occasions with the knowledge of this partner tends to prove mutual authority.^ § 365. by acliiiowledgmeiit. — A statement of the co- partner to others that he had the note to pay and would pay it, and bad paid a similar note before, and a promise to pay, is evi- dence of ratification.* So of a statement on a prior occasion that the use of the firm name was all right, and, after failure of the ac- commodated party, stated that he did not know the extent of his liability on account of such party." So a promise to pay, induc- ing the payee to forbear suit," or a promise to see it paid in con- sideration that the holder would lend the note to the innocent partner to try to collect, thus suspending the holder s control of the note.^ But a letter regretting that the firm would lose is not a ratifica- tion or proof of authority;' nor is a promise to pay, if he could get the books and cijcounts from the guilty party, sufficient evi- dence of ratification;* but accepting an indemnity against the guaranty was held to ratify it.' 1 Duncan V. Lowndes, 3 Camp. 478; Whitmore, 10 Heisk. G29; 27 Am. Palilmauu. Taylor, 75 111. 621); Ditts Rep. 733; Workman v. McKinstry, V. Lonsdale, 49 Ind. 521 ; First Nat'l 21 Up. Can. Q. B. C23. Bk. V. Bieese, 39 Iowa, 640; Bank of 2 Levy v. Pjne, Car. & Marsh. 453; Ky. V. Brooking. 3 Littell, 41; Darl- Workman v. McKinstry, 21 Up. Can. iiig V. March, 22 Me. 184 ; Porter v. Q. B. 623. Wliite, 39 Md. 613; Ilayneru. Crow, 3 Jones v. Booth, 10 Vt. 26S. 79 Mo, 2U3; Holt v. Simmons, 16 Mo. 4 Butler v. Stocking, 8 N. Y. 408. App. 97; Bank of Rochester u Bo wen, » Wheeler v. Rice, 8 Cusii. 205; 7 Wend. 158; Gansevoort v. Will- Rice v. Barry, 2 Cranch, C. C. 447. iams, 14 Wend. 133; Steuben Co. epiagg v. Upham, 10 Pick. 147. Bank v. Alburger (N. Y. 18S0), 4 N. E. ^ Bei ryliill v. McKee, 1 Humph. 31. Rep. 341; Bank of Tennessee v. Saf- 8 Burleigh v. Parton, 21 Tex. 585. farrans, 3 Humph. 597; Scott v. 9 Clark v. Hyman, 55 Iowa, 14. Bandy, 2 Head, 197; Pooley v. 378 PARTICULAR POWERS BEFORE DISSOLUTION. § 3GG. A guaranty signed in tlie firm name hy one partner is not void as to the others, under the statute of frauds, if authority is shown; ' but a subsequent verbal promise by the innocent partner was held void under the statute of frauds.' A new firm with an incoming partner is not liable npon an oral promise to pay the debts of the old firm.^ The question is, how- ever, whether the old debts have been assumed by the new firm on a new consideration, so as to become their debts, and such assump- tion may be oral, and the release of an outgoing partner may be tlie consideration.* In Stearns v. Burnham, 4 Me. 81, one partner made a note in the firm name for his separate debt, after dissolution of the firm, known to the creditor. A suit on the note against both was com- promised, the innocent partner giving his note for half the debt and subsequently paying part on the new note; he was held not liable for the balance of the new note. § 366. by acting under the unauthorized act. — Act- ing under or taking any advantage of the fraudulent signa- ture is a ratification. Thus, where a firm note was given by one partner for the unau- thorized purchase of land out of the scope of the business, the title of which is taken in the name of both, the other partner joining in a contract to convey it to others, though stating that he 1 Duncan v. Lowndes, 3 Camp. 478; Cranch, C. C. 447. And if the con- and see^§ 3(53, 3G4; Moranu. Prather, tract of purchase of goods by a firm 23 Wall. 492; and see Princeton & be tliat the price may be credited Kingston Tp. Co. v. Guhck, IG N. J. upon the debt of one partner, it is L. 161 ; Cockroft v. Clafliu. 64 Barb, valid, tliough oral, of course, as au 464 (nffd. in 53 N. Y. 618); Butler u. original contract designating the Stocking. 8 N. Y. 408. mode of payment, Rhodes v. Mc- 2 In Taylor v. Hillyer, 3 Blackf. Kean, 55 Iowa, 517. If an act in 433 (26 Am. Dec. 430), and Wagnon the name of the firm by one partner V. Clay, 1 A. K. Mar. (Ky.) 257. outside the scope of the business is Contra, McGill v. Dowdle, 33 Ark. adopted by tlie firm, or they receive 311; Marsli V. Gold, 2 Pick. 285; the benefit of it, their oral raiifica- Jones V. Booth, 10 Vt. 268; and see tion or promise is good, Succession Greenleaf v. Burbank, 13 N. H. 454. of Arick, 22 La. Ann. 501. An oral promise by one partner to 3 Paradise v. Gerson, 32 La. Ann. pay a debt of his copartner, in con- 532. Contra, Wilson v. Dosier, 53 sideration of the creditor's forbear- Ga. C02. ance to levy upon the firm's assets, ^See § 505. was held valid in Rice v. Barry, 2 379 § 3GS. CONDUCT OF THE BUSINESS, had no interest and only did so for his partner's benefit, ratifies the purchase and notes, for he has alienated the property.' So where the innocent partner borrows the note from the holder In order to pursue the guilty partner, who had moved to another state, and collect it, and guarantying its payment in consideration thereof.* So where one partner bought a store and stock in another town, though taking the title in his own name, the other partners pro- claiming by their acts that they had opened a store in that place is evidence of ratification or of prior authority.' §367. By silence. — Mere silence or failure to make prompt denial of the copartner when informed of the existence of the un- authorized note, without any element of estoppel in it, is not of itself evidence of ratification.^ Yet failure to repudiate or deny in a reasonable time has been held evidence of ratification.* § 368. Prior authority deviated from. — Where the plaint- iff relies upon an express authority given by the firm to one part- ner, the contract sued upon must be within the terms of the powers granted to the same extent that obtains in other cases of agency. Hence, express or implied authority to make accommodation in- dorsements is not authority to sign as co-maker or surety.* Nor does an agreement of a firm of agents to sell, to "guaranty all notes good when taken," give a partner authority to sign the firm's name as co-makers with the principal debtor.' Nor does authority to sign a note authorize the individual names of the partners to be 1 Dudley u Littlefield, 21 Me. 418; SReubin v. Cohen, 48 Cal. 545; Porleru Curry, 50 III. 319. Roberts v. Barrow, 53 Ga. 314; ^Flagg V. Upham, 1(» Pick. 147; Svveetser v. French, 2 Cush. 309, 315 for other assumptions of the debt (48 Am. Dec. 6GG); Foster v. An- sae Cockroft V. Clallin, 64 Barb. 464 drews, 2 Pa. 160; Woodward t;. Win- (aff'd, vvitliout opinion, in 53 N. Y. ship, 12 Pick. 430. 618); Be. Dunkle, 7 Bankr. Reg. 107. 6 Early v. Reed, 6 Hill, 12; McGuire 3 Davis V. Cook, 14 Nev. 265. V. Blanton, 5 Humijli. 361 (llie stat- ^Tyree v. Lyon, 67 Ala. 1 ; Hendrie utc of limitations being different in V. Berkovvitz, 37 Cal. 113; Marsh v. tliis state as to indorsers and co- Thompson Nat'l Bk. 2 111. App. 217; makers). Ilayes v. Baxter, 65 Barb. 181. 7 Bray ley r. Hedges, 53 Iowa, 623, Contra, if the firm was benefited, 625. silence is a ratification, Stewart v. Caldwell, 9 La. Ann. 419. 380 PARTICULAR POWERS BEFORE DISSOLUTION. g 370. SO placed as to render their apparent legal obligations infer se hos- tile, such as signing the name of one as maker and one as surety. So, also, written authority given to one partner to sign the name of the firm or the separate name of one partner is not authority to pay a bond given in his separate name for a joint debt.'^ So authority to indorse to the extent of $150 is not authority to indorse a note for $600 as security for $150.^ A power to receive a deposit of money and paying interest on it does not include a power to bind the firm by receiving a deposit of bonds, because money, unlike bonds, would be a benefit to the firm.'' So a note made by all the partners for one purpose is not a debt of the firm when applied to another purpose.^ And where both the partners joined in making a note payable to a bank, to be dis- counted, in order to pay partnership debts, and one of the partners delivered it to his separate creditor without authority, "and the bank refused to discount the note or allow the creditor to sue in its name, the creditor cannot recover from the partners. Both part- ners must assent to the issuing as Avell as signing, to constitute it a note.* § 369. declarations. — Thedeclarationsof the guilty part- ner at the time of giving the firm's note for the debt of another firm, that the former had asssumed the debts of the latter, or had received a consideration, are not admisrible against his copartners.'' Nor is a prior agreement to guaranty, signed in the handwriting of the partner who subsequently gave the guaranty.* Conversations and transactions between the partners at dissolu- tion and attempted settlement in the absence of the payee, show- ing that the iunocent partner did not know such paper was out- standing, are competent in his own favor to rebut any inference of assent drawn from such occurrences.' BORROWING POWER. § 370. In trading firms. — This is the most dangerous of powers and yet one of the very necessary ones in a com- 1 Stroll V. Hiuchman, 37 Mich. 490. 574. Contra, Chenango Bank v. 2 United States v. Astley, 3 Wash. Hyde, 4 Cow. 567. C. C. 508. ' Kaiser v. Fend rick, 98 Pa. St. 528 ; 3 Mercein v. Andrus, 10 Wend. 461. Heffron v. Hanaford, 40 Mich. 305. ■* Hatheway's Appeal, 53 Mich. 112. 8 Osborne v. Stone, 30 Minn. 25. 5Guice V. Thornton, 76 Ala. 466. 9 Gale v. Miller, 54 N. Y. 536 (affg. 6 Adams Bank v. Jones, 16 Pick. 1 Lans. 451; 44 Barb. 420). 381 0. CONDUCT OF THE BUSINESS. raercial partnership. It is very closely allied to the power to make notes and bills; seems to be always accompanied by the latter power,^ and generally by the power to pledge or mortgage to secure the loan.^ It is, of course, a much broader power than that to obtain goods or supplies on credit, and hence is broader than a power to incur debts, and is not, therefore, included in the latter. In a trading partnership, however, the power is deemed always to exist by implication, and to follow as a legal consequence when that relation is established, unless the lender has notice of the purpose for which it is wanted and that purpose is not within the scope.' And it seems that the power to borrow extends to assisting the running of other enterprises in which the firm has taken an inter- est, as for a mill in which it owns stock.* We have elsewhere seen " that money borrowed on the individual credit of one partner does not become a debt of the firm by being applied to its use. 1 See supra, Bills and Notes. 2 See § 403. ! § ;{74. CONDUCT OF THE BUSINESS. In McCrary v. Slaughter, 58 Ala. 230, two persons, each own- ing an undivided half of a plantation, formed a partnership, one to furnish the mules and half the laborers and the other his services and half the laborers, neither to have power to bind the other by any contract. One of the partners made a purchase of mules on the credit of the firm, and this was held not to bind his copart- ner. The court said that a purchase of mules was not necessary or appropriate to the business; that no contract by one, except for something necessary to the successful conduct of the business, would be supported; that if this contract was within the scope, a contract for the purchase or rent of land or purchase of a gin would be, and that it was better to let the power to contract stand on express authority than to indulge implications to support it. In Burnley v. Rice, 18 Tex. 481, 491, in a partnership for the cul- tivation of cotton, a debt incurred by one with a view to culti- vating sugar was within the apparent scope of the business as planters, but in this case there was abundant evidence of ratifica- tion. In Lynch v. Thompson, 61 Miss. 354, a partnership was formed for a single enterprise, the raising and selling the material of a sunken steamer, and the power to buy on credit was exercised by one partner and was sustained by the court. It was ruled that, to have an implied power to purchase, the partners need not be gen- eral traders; that the scope was to be judged by the nature of the business; and as the purchase on credit of appliances, or of whatever is essential to promote the enterprise, may be required, the neces- sary authority to make them is implied and need not be inquired into bj' a person dealing with one partner. One of a mining firm can bind it for purchases essential to carr^' on and accomplish the purposes of the business; • one of a firm of stone masons with contracts for building may order stone from the owner of a quarry;* one of a firm of contractors to build or grade a railroad route ma}' purchase supplies;^ one of a firm running a saw-mill may purchase necessary groceries and supplies for the hands.* In a partnership to buy a single drove of cattle to be shipped to the southern market, the power of purchasing is ex- '■ Jones V. Clark, 42 Cal. 180 ; Man- 2 Kenney v. Altvater, 77 Pa. St. 34 ville V. Parks, 7 Colorado, 128. And « Gavin v. Walker, 14 Lea, 643. see Higgins v. Armstrong, 10 Pac. < Johnston u. Button, 27 Ala. 245, Rep. 332. 886 ■ PARTICULAR POWERS BEFORE DISSOLUTION. § 874. hausted when the drove is bought, and a partner who, on the way to the market, makes additional purchases in the name of the firm, does not bind his copartner thereby.* In Tate v. Clements, 16 Fla. 76 (26 Am. Rep. 709), the man- aging partner in a saw-mill bought a lot of chopped corn, repre- senting that it was required in the business; and this, with proof that it was actually used in the business, was held sufficient to establish a presumption that the purchase was in the scope of the business, and the jury might decide whether it was legitimately connected therewith or not. The court further stated that it would be equally difficult to say if the purchase of horses would be neces- sary to haul logs, and so of feed for the horses. Yet there was no direct evidence in the case that the firm used cattle. In Leffler v. Rice, 44 Ind. 103, and Folk v. Wilson, 21 Md. 538, a purchase of middlings and grain for the mill by one partner was held to be reasonably and properly connected with the business. In Judge V. Braswell, 13 Bush, 67 (26 Am. Rep. 185), in a part- nership to prospect for and mine ore on the partnership's lands, and on other lands which it might secure, and to sell these privileges, the articles forbidding any number less than all to buy lands, one partner purchased additional lands in the name of the firm, and drew on the others for the purchase money, and the vendors brought an action on their refusal to pay the drafts. It Avas held that, being a non-commercial partnership, the plaintiff must show the authority of a single partner to make the contract sued on; and as no proof of authority by usage of similar partnerships is shown, and as no rule of law gives such authority, all the power a partner has to make such contract is derived from the ar- ticles, and the articles putting such purchases within the scope of the business, at the same tiuie withhold such power from a single partner, and the plaintiff cannot recover. In a partnership to buy and sell lands any partner has the right- to buy land for the firm, and bind the members for payment.* In Davis v. Cook, 14 Nev. 265, it was held that authority given to a partner to open a store in another place involves authority to purchase a store and stock of goods there on credit. The court, putting certain supposititious cases, which are not of trading part- nerships, though this difference is not noted, says that a partner- iBentley v. White, 3 B. Mon. 263 2 Sage v. Sherman, 2 N. Y. 417, 432, (38 Am. Dec. 185). 887 § 375. CONDUCT OF THE BUSINESS. ship formed in one place to keep a hotel in another impliedly gives power to the managing partner to buy a hotel on credit there. And that a managing partner in a stage line has implied power to make a purchase of barns. So in Stillman v. Harvey, 47 Conn. 26, a partnership being formed to carry on a brewing business, but having no brewery, a purchase by one partner of the unexpired lease of a brewery, in the firm name, was held to be within the scope of his powers. In this case, however, the firm took possession and prosecuted their business in it, which of course cured any de- fect of power. A few cases have gone further, and permitted the purchase on credit of appliances convenient rather than strictly necessary, to effect the purposes of the partnership; as stoves in a livery-stable,' law books for a law firm,* medicines by a medical firm.' And in a partnership to manufacture iron, the acting and only resident partners were held authorized to buy timber land, to get fuel for the business.* If one partner is deprived of all authority to buy supplies, and the other is to furnish all tools, but refuses to do so, this was held to constitute an implied assent to the former's purchase of them, and he will be reimbursed out of the crops." § 375. Delivery to one partner. — Delivery to one partner of goods ordered by the partnership is delivery to the firm; * and so of delivery of a deed ; ^ hence delivery to one partner cannot be in escrow.^ In Byiugton v. Gaff, 44 111. 510, a firm contracted to buy a steam- boat, the defendant guarantying payment, and the vendor made out a bill of sale to one partner alone and delivered the boat to him. The defendant claimed this was a new sale, but being apparently intended in fulfillment of the contract, the guarantor was held liable; both partners had assented to the delivery, however. In Cameron v. Blackman, 39 Mich. 108, the managing partner 1 Hickman v. Kunkle, 27 Mo. 401, SNichol t>. Stewart, 36 Ark. 612; 404. but see Morgan v. Pierce, 59 Miss. 2 Miller v. Hines, 15 Ga. 197, 201. 210. sCrosthwait v. Ross, 1 Humph. 23 SKenney r. Altvater, 77 Pa. St, 84; (84 Am. Dec. C13). Crosswell v. Lehman, 54 Ala. 563. ♦Brooke r. Washington, 8 Gratt. ■< Henry v. Anderson, 77 Ind. 861. 248. 8 Moss V. Riddle, 5 Cranch, 351, 388 PARTICULAR POWERS BEFORE DISSOLUTION. g •)-«. authorized the vendor to deliver goods to one F. C, a young relative of the partners and once in their employ, and the firm was held liable, on the doctrine that it is usual and proper for merchants in different businesses to furnish each other's customers with articles, which are charged to the house and not to the buyer, and the court will take judicial notice of such custom. No one thinks of ask- ing why such credits are sought, or whether the partnership articles contemplate it, and whether the goods are desired for clerks or cus- tomers or strangers does not concern the seller; he has a right to presume such dealings are within the power of all business houses.' § 376. varying the contract. — The power of one part- ner to vary a contract of purchase made by the firm is treated under the power of control over its property." If goods are sold and de- livered to a firm on credit, one partner has power to return them on account of the inability of the firm to pay.' So if the firm having agreed to sell goods deliver inferior articles, a partner may agree to take them back and return the consideration.* So where a partner authorized to sell sold with warranty of soundness, and proving unsound, he can take them back and bind the firm to return the price.* Other branches of the law of partnership as applied to purchases have been considered under other heads. Thus, where purchases on credit are forbidden and this is known to the seller.* When purchases by a single partner inure to the benefit of the firm, see under Good Faith.' When an unknown partner is bound, see Dormant Partner; ' and when the partnership name has not been used.' As to purchases by a partner to contribute as his share of the capital, or by one who subsequently takes in a partner.'" As to what purchases are in the scope of the business generally." When a partner purchases for his own use in the name of the firm.'" When a partner purchases without stating for whom the 1 But contra, see Pinckney v. Key- 6 gee § 323. ler, 4 E. D. Smith, 469. ' § 305 et seq. 2 See § 408, and Leiden v. Law- 8 1^ ise. rence. 2 N. R. 283 ; Detroit v. Robin- » § 205. son, 42 Mich. 198. logg 80, 446. 3 De Tastet v. Carroll, 1 Stark. 88. " §§ 316-339. 4 Wilson V. Elliott, 57 N. Y. 316. 1^§ 447. 8 Huguley t\ Morris, 65 Ga. 666. 3S9 ^377. CONDUCT OF THE BUSINESS. goods are intended.* When a partner subsequently misappropri- ates the purchase to his own use.' Checks. — Power to draw.* CONFESSIONS OF JUDGMENT BY ONE PARTNER. § 377. No such power, and why.— The rule is nearly uni- versal that one partner cannot execute a power to confess a judgment against the firm without the consent of his co- partners. I have not been able to ascertain the origin of the rule; although some cases put it upon the want of power to bind the firm by a sealed instrument, yet this cannot be the true reason. No seal was needed at common law to such an instrument. Nor is there any such magic in a scrawl; and as there is no difference in effect or consequences whether the judgment was on a power, with or without seal, the reason is unworthy. Money is generally not paid without deliberation, but promises may be very rashly made, and the true grounds are probably more practical ones, and are three: 1st. It enables one partner to create liens on the private and individual property of his copartners; this objection is removed where the partnership can be sued in the firm name. 2d. Such a power is not necessary to the management of the joint en- terprise, and is capable of great abuse, for it is an unlimited power to alienate, incumber and materially change, not only the transitory property of the firm, but its permanent investments, and enables one partner alone to plunge the firm into inextricable debt, which might absorb the whole fund and the private fortunes of each. 3d. It deprives the other partners of opportunity to make a defense, and cuts off a resort to the regular tribunals quite as effectually as the power to submit to arbitration, which is also denied to a partner. And being capable of such abuse, the proper ground for denying the power is that it is outside the scope i§447. Ex. 163: Bull v. O'Sullivan, L. R. 6 2§ 348. Q. B. 209; Commercial Nat. Bank v. i See Forster v. Mackreth, L, R. 2 Proctor, 98 111. 558. 390 PARTICULAR POWERS BEFORE DISSOLUTIOxX, § 377. of the business and beyond the true hmits of the partnership relation. It is true that in many states, when a firm has been sued, judgment may be rendered to bind the partnership property, though but one partner has been served with process; but there is in that case, at least, time and oppor- tunity to learn of the suit. This will be treated hereafter. What follows here relates wholly to warrants of attorney to confess judgment given when there is no suit pending.^ Code provisions allowing a confession of judgment only apply to pending cases, and do not apply to warrants of attorney.* Of the above cases, the following base the invalidity of the judg- *The following are the authorities ridge, 11 Oh. 233; Richardson v. Ful- denying to a partner the power to lor, 2 Oreg. 179; Gerard v. Basse, 1 execute a warrant to confess judg- Dull. 119; Bitzler v. Shunk, 1 Watts nient against the firm without the & S. 340; 37 Am, Dec. 4(J9; Cash v. assent of the copartners: Hambridge Tozer, 1 Watts & S. 519; Harper v. V. De la Crouee, 3 C. B. 742 ; Hall v. Fox, 7 W. & S. 143 ; York Bank's Lanning. 91 U. S. 160,170; Elliott u. Appeal, 36 Pa. St. 458; Trenwith 7>. Holbrook, 33 Ala. 659; Wilcoxson r. Meeser, 12 Phila. 366; Hoskisson v. Burton, 27 Cal. 228; Green v. Rand, Ehot. 62 Pa. St. 393; Mills v, Dick- 2 Conn. 254; Sloo v. State Bank of 111. son, 6 Rich. (S. Ca.) L. 487; Shedd v. 2 111. 428 ; Barlow r. Reno, 1 Blackf. Bank of Brattleboro, 32 Vt. 709, 253; Hopper v. Lucas, 86 Ind. 43; Remington u. Cummings, 5 Wis. 138; Christy v. Sherman, 10 Iowa, 535; Holme u. Allan, Tayl. (Up. Can.) 348; Edwards v. Pitzer, 13 Iowa, 607; Huff v. Cameron, 1 Up. Can. Prac. North V. Mudge, 13 Iowa, 596; Rep. 355; Canada Lead Mine Co. v. Rhodes v. Amsinck, 38 Md. 345, 354; Walker, 11 Low. Can. 433, 435. Even Soper V. Fry, 37 Mich. 236; Hull v. the borrowing power in a trading Garner, 31 Miss. 145; Morgan v. partnership will not authorize one Richardson, 16 Mo. 409; 57 Am. Dec. member to secui'e the loan by a 235; Flannery v. Anderson, 4 Nev. sealed power to confess judgment. 437; EIUs v. Ellis, 47 N. J. L. 69; Hoskisson v. Eliot, 63 Pa. St. 393. Green r. Beals, 3 Caines, 254; Crane Even if the warrant to confess is V. French, 1 Wend. 311; Stouten- signed by two persons, it is pre- burgh V. Vandenburgh, 7 How. Pr. sumably for their individual indebt- 229; Everson v. Gehrman, 10 id. 301 ; edness, unless proved to be for part- Lambert V. Converse, 22 id. 265; nership debt. McKenna's Estate, 11 Bridenbecker v. Mason, 16 id. 203; Phila. 84; EUinger's Appeal (Pa.), 7 McKee v. Bank of Mt. Pleasant, 7 Atl. Rep. 180. Oh. 3d pt. 175; McNaughten v. Part- 2 Richardson v. Fuller, 3 Oreg. 179. 391 g 379. CONDUCT OF THE BUSINESS. ment on the want of power in one partner to bind another under seal.' That the copartner had absconded does not, it seems, authorize the confession of judgment. See facts in Gerard v. Basse, 1 Dall. 119. Compare, however, the doctrine of an assignment for the benefit of creditors by one partner in such cases.* § 378. Asseut and ratification. — Prior parol assent of the other partner is sufficient authority.' The cognovit or judgment may be ratified by the other partner, and this may be proved by circumstances showing assent;* as delay to object to the judgment for eighteen months;^ or admitting that it was "all right; "^ but is only good from the date of ratification.^ § 3 7 9. Yalid against the partner in fault. — The judgment, however, is valid aganist the party who executed the power, and binds his individual property and his individual interest in the partnership property, the same as any other separate judgment.^ 1 Gerard v. Basse, 1 Dall. 119; cau complain, for the former may Green v. Beals, 2 Caines, 254; ratify. Hamilton's Appeal, 103 Pa. McNaughten v. Partridge, 11 Oh. St. 368; Grier v. Hood, 25 id. 430. 223; Remington v. Cummings, 5 But if the confession is in favor of Wis. 138; Ellis v. Ellis, 47 N. J. L. the separate creditor of the iudivid- 69. And the warrant was also un- ual partner, it is a fraud on the cred- der seal In Ellis v. Ellis, 47 N. J. L, itors of the firm, and tiiey can attack 69; Hoskisson v. Eliot, 62 Pa. St. it collaterally on distribution of the 393; Shedd v. Bank of Brattleboro, fund realized. MuNaughton's Ap- 82 Vt. 709; Cash v. Tozer, 1 Watts & peal, 101 Pa. St. 550. S. 519. 3 Brutton v. Burton, 1 Chit. 707. 2 In Pennsylvania, although the < Bivingsville Cotton Mfg. Co. v. earlier decisions denied the power, Bobo, 11 Rich. (S. Ca.) L. 386; Cash under the later ones, a judgment on v. Tozer, 1 Watts & S. 519; Overton a cognovit note, by one partner, not v. Tozer, 7 Watts, 331. under seal, is good against the part- 5 Brown v. Cinqmars, 3 Up. Can. nership property, Kneib v. Graves, Prac. Rep. 205. 72 Pa. St. 104; Ross v. Howell, 84 « Record r. Record, 21 New Bruns- Pa. St. 129, Even if the partner wick, 277. confessed the judgment in favor of "> Wilcoxson v. Burton, 27 Cal, 22 \ himself as guardian. Hamilton's 8 Gerard u Basse, 1 Dall. 119; Hop- Appeal, 103 Pa. St, 368. Only the per v. Lucas, 86 Ind. 43; North v. other partners and not the creditors Mudge, 13 Iowa, 506; Rhodes v. Am- 393 PARTICULAR POWERS BEFORE DlSbOLUTiON, § 3S0. Hence, if one partner without authority confesses a judgment against the firm, and then both confess judgment in favor of an- other creditor, the latter has a priority over the other on distribu- tion.' If the individual names are not given, the judgment cannot be a lien on the land, even of the signing partner." § 380. Remedy of the non-assenting partner, — The English rule has been said to be, if an attorney has confessed judg- ment on the unauthorized warrant executed by one part- ner, and is in solvent circumstances, to uphold the judgment against the firm, and leave the other partner to his remedy against the attorney.^ This rule seems in every way unreasonable. It is a trap for the lawyer, and gives the innocent partner the expense of a law-suit, and that too against an officer of the court, incumbers judicial rec- ords with an additional action, and perhaps discriminates against the needy ones of the lawyers. Such rule was not applied where an execution against the person instead of against the property of the other partner was issued, because he could not be compensated for the loss of his liberty, and justice would not be complete without setting aside the judgment, which was done.'* The rule in the United States, however, distinctly, is to re- lieve the non-assenting partner. Some cases hold that the judgment will be set aside as to the non-consenting partner; ^ others that execution will be restrained Binck, 38 Md. 345, 354; Flannery v. all powers of attorney to confess Anderson, 4 Nev, 437; Green V. Beals, judgment, the judgment was held 2 Gaines, 254; Grane v, Freneli, 1 wholly void and not merely voidable. Wend. 311; York Bank's Appeal, 36 and third persons can impeach it. Pa. St. 458; Mair v. Beck (Pa.), 2 Mills v. Dickson, 6 Rich. (S. Ca.) L. Atl. Rep. 218; Bitzer v. Shuuk, 1 487. Watts & S. 340 ; 37 Am. Dec. 469. 3 See Hambridge v. De la Grouee, And see g 421. But see Trenwith v. 3 C. B. 732. Meeser, 12 Phila. 366. * Hambridge v. De la Grouee, supra. iGraner. French, 1 Wend. 311. In And so where three partners had 60 far as this case holds the judg- agreed to give the warrant of attor- ment to merge the liability of the ney, and only two signed it, the judg- other partners for tlie debt, it is not ment was set aside as to them for the general rule. See Merger. imperfect execution. Harris v. 2 York Bank's Appeal, 36 Pa. St. Wade, 1 Chit. 3,'2. 458. Under a statute making void 5 Gerard v. Basse, 1 Dall. 119; 393 § 380. CONDUCT OF THE BUSINESS. as against individual property of the other partner.' Or, as there is a remedy in the court rendering the judgment, a remedy cannot be sought in chancery;' nor in the court of error; ^ nor by col- lateral impeachment, as when sued in an action on the judgment.* The court will not infer without proof that the confession was unauthorized.' McKee v. Bank of Mt. Pleasant, 7 Oh. was no suggestion that the attorney 2d pt. 175. And see Morgan v. Rich- was irresponsible, the court refusing a rdson, 16 Mo. 409; 57 Am. Dec. 235; to go behind the record to inquire Thompson v. Eramert, 15 111. 415; into the authoiMty. Hammond v. Everson v. Gehrman, 10 How. Pr. Harris. 2 How. Pr. 115. Contra, if 301. * he is irresponsible. Groesbeck v. 1 Morgan v. Richardson, 16 Mo. Brown, 2 How. Pr. 21. In St. John 409; 57 Am. Dec. 235; Ellis v. Ellis, v. Holmes, 20 Wend. 60E), the court 47 N. J. L. 69; Christy v. Sherman, refused to set aside the judgment on 10 Iowa, 535; Green v. Beals, 2 the application of creditors, or of Caines, 254. the partner who executed the war- 2 McKee v. Bk. of Mt. Pleasant, 7 rant, saying that only the party Oh. 2d pt. 175; Shedd v. Bk. of Brat- aggrieved could complain; and in tleboro, 32 Vt. 709. Stoutenburgh v. Vandenburgh, 7 3 Remington r. Curamings, 5 Wis. How. Pr. 229, the juilgment was 138. said to be void as to tbose who did * Elliott V. Holbrook, 33 Ala. 659. not authorize it ; and on confession In an action already pending in a pending action the non-assent- against the firm, since the statute in ing partner was let in to defend, the New York allowing judgment to be judgment standing, however, as se- rendered against a firm, where all curily, in Grazebrook i?. -McCreedie, the partners have been sued though 9 Wend. 437; and Sterne v. Bentley, service is had on but one, that one 3 How. Pr. 331. And see Everson v, can execute a warrant to confess Gehrman, 10 How. Pr. 301 ; 1 Abb. judgment against the firm. Graze- Pr. 107, where the judgment was brook V. McCreedie, 9 Wend. 437; against the explicit and known wishes Pardeeu. Haynes, 10 Wend. 031; War- of the other partner. Of course, in ingu. Robinson, Hoff. (N. Y. j Ch. 524; case of collusion, the creditors could Blodget u. Conklin, 9 How. Pr. 442; attack the judgment. Stoutenburgh Leahey v. KingAn, 22 How. Pr. 209 ; v, Vandenburgh, siqjra. An appear- s. C. asLahey v. Kingon, 13 Abb. Pr. ance in admiralty by a proctor for 192; Binney V. Le Gal, 19 Barb. 592; all the defendants is sulHcient, al- 1 Abb. Pr. 283. But even this rule though no authority for one is shown, as to pending cases does not apply Hills v. Rose, 3 Dull. 331. where the partner seeks to confess 5 Edwards v. Pitzer, 12 Iowa, 60. in person and not by attorney, for Remington v. Curamings, 5 Wis. 13" : there is no presumption of authority Elliott v. Holbrook, 33 Ala. 659. I then. Binney u. Le Gal, swpra. Tlie the record states that the cojnov i English rule was applied where there was "by the defendants," this Ja 394 PARTICULAR POWERS BEFORE DISSOLUTION. § 381. After dissolution there is, of course, no such power, for the party is no longer a partner and cannot bind the firm to any new liability.* Contracts. — See §§ 376 and 392; to convey real estate, § 299. DEBTS. §381. Power to collect aud receipt for debts due to firm. Each partner in every firm has implied power to collect thi.' debts due the firm. This follows from necessity, for tlu power must be exercised by some one, and it would be too inconvenient and perhaps impossible for it to be by the joint act of all; hence payment to any one partner extinguishes the debt, whether before or after dissolution.^ And this is true even after another partner has directed the debtor to pay to a particular partnership creditor. As where a firm procured advances from a bank to buy goods, and a factor who held the proceeds of the goods for the firm after sale was ordered to pa}'' them to the bank, the factor's subsequent construed to mean by aU who were P. 555 ; Porter v. Taylor, 6 Moo. & S. served with process. Hull u. Garner, 156; Stead v. Salt, y Bing. 103; Re 31 Miss. 145. Barrett, 2 Huglies, 444; Williams v. 1 Rathbone v. Drakeford, 4 Moo. «& More, 63 Cal. 50; Brown v. Law- P, 57; Mitchell v. Rich. 1 Ala. 228; rence, 5 Conn. 397; Noyes v. New Waring v. Robinson, Hoffm. (N. Y.) Haven, etc. R. R. 30 id. 1; Gregg v. 524; Mair v. Beck (Pa. 1886), 2 Atl. James, Breese, 107; Gordon v. Free- Rep. 218; Bennet v. Marshall, 2 Miles man, 11 111. 14; Granger v. McGilvra, (Pa.), 436; Canada Lead Mine Co. v. 24 id. 152; Steele v. First Nat'l B'k, Walker, 11 Low. Can. 433; but see 60 id. 23, 26; Yandes v. Lefavour, 2 Taylor v. Hill, 36 Md. 494. Hence a Blackf. 371 ; Selking v. Jones, 52 Ind. surviving partner cannot confess 409; White v. Jones, 14 La. Ann. 681 judgment in the firm name, and ex- Cod man v. Armstrong, 28 Me. 91 ecution against the firm property Vanderburg v. Bassett, 4 Minn. 242 thereon will be set aside. Castle v. Morse v. Bellows, 7 N. H. 568; Black Reynolds, 10 Watts, 51 ; but query, v. Bird, 1 Hayw. (N. Ca.) 273; Salmon had he confessed in his own name. v. Davis, 4 Bin. (Pa.) 375; Allen v. Id. Farrington, 2 Sneed, 526; Scott v. 2 Anon. 12 Mod. 446; Duff v. East Trent. 1 Wash. (Va.) 77; Carlisle v. India Co. 15 Ves. 198; Brasier v. Niagara Dock Co. 5 Up. Can. Q. B. Hudson, 9 Sim. 1; King v. Smith, 4 (Old Soiies) 060. Hence a note to one C. & P. 108; McKee v. Stroup. Rice, partner of a creditcr firm by a debtor 291 ; Tomlin V. Lawrence, 3 Moo. & of the partnership has the same S95 S 382. CONDUCr OF THE BUSINESS. payment to another partner discharges him, the bank having no lien upon the fund.' And if a note is made to one partner, expressing on its face to be a firm debt, and the payee assigns it to another partner, yet be- ing partnership property, and hence held for the firm, payment to any of the partners is valid. '^ If a creditor firm has a partner in common with another firm and transfers the debt to the latter, payment to the former firm will disqualify the latter from suing upon it. Thus an accepted bill between third persons was indorsed to the firm of Blair k Jacaud, and by this firm to Jacaud & Gordon, these two firms hav- ing a common partner, Jacaud, Before maturity, the drawer paid to Blair & Jacaud securities for the extinguishment of this paper, but Blair & Jacaud appropriated the property to their own use and did not notify Jacaud & Gordon of the dej^osit so made by the maker, Jacaud & Gordon sued the acceptor. Lord EUeuborough held that Jacaud, as a partner of Blair, must be deemed to have received the funds from the drawers to take up this bill, and can- not, as a partner of Gordon, contravene his own act and sue upon it when it is already satisfied as to him. His individuality cannot be severed.' We have elsewhere* seen that the right to pay any partner can- not be restricted by notice from the other partners not to do so, for if such revocation of authority were permitted the whole con- cern could be stopped and a debtor would be unable to pay at all. § 382. Payments not in money.* — A partner may take a bill in payment of a debt,^ even in his own name/ and pay- effect as a note to the firm. Coursey to one partner, and thus made his V. Baiter, 7 Har. & J. 28. One joint individual property, and the amount lessor can appoint a bailiff to distrain ought not to be paid to another part- for rent due to all. Robinson v. ner where the maker has notice of Hofman, 4 Bing. 562; 1 Moo. & P. the transfer. Stevenson v. Wood- 474. So one partner can agree that hull, 19 Fed. Rep. 575. a bank account due the firm may be 3 jacaud v. French, 13 East, 317. transferred to the bank's successor. 4^326. Beale v. Caddick, 2 H. & N. 326. 5 For the power to trade out debts 1 Steele v. First Nat'l Bank, GO 111. in property for separate use, see 23. § 411. 2 Black V. Bird, 1 Hayw. (N, Ca.) ^Heartt v. Walsh, 75 111. 200. 273. But this does not apply to a note ^ Tomliu v. Lawrence, 3 Moo. & P. made to the firm and indorsed by it 555 ; Coursey v. Baker, 7 Har. & J. 23 ; 896 PARTICULAR POWERS BEFORE DISSOLUTION. § 382. ment of such note or of a judgment confessed to one partner on a firm debt satisfies the partnership debt.' As it is not in the scope of business to take notes for collection, if a partner receives the note of a third person from a debtor of the firm to collect, pa}' the firm and give the debtor the balance, but uses the balance in the business of the firm, he, and not the firm, is debtor for the balance.'' But where a debtor gives a partner notes to collect and apply the proceeds on the debt, and the part- ner collects one and indorses the amount upon the debtor's note to the firm, this binds the firm, although the notes were receipted for by the partner in his individual name.' A partner has power also to compromise debts due to the firm;* hence, one partner can bind an absent partner by approval of an extent of insurance loss,* and can settle the loss.® And the power to collect implies the power toper- feet a mechanic's lien to secure the debt.^ Authority to receive payment of a debt in money is certainly not authority to receive it in any other way, and it has been stated to be a general rule that one partner cannot receive payment of a debt in property.' But such rule is subject to many qualifications, for the nature of the business or usage of the trade may allow debts to be traded out or sales to be made payable in goods.' Or the other Hogarth v. Wherley, L. R. 10 C. P. disabled to sue, because he, as a nec- 630. essary co-plaintiff, is thus in the iChapin v. Clemitson, 1 Barb. 311. position of a person repudiating his But an agent of the firm cannot do so. own act, as to make the limits of the 2Pickels V. McPherson, 59 Miss, power difificult to ascertain. 216. See Hogan V. Reynolds, 8 Ala. ^ Brink v. New Amsterdam Ins. 59. Co. 5 Robt. (N. Y.) 104. * Brown v. Lawrence, 5 Conn. 397. ^ Brown v. Hartford F. Ins. Co. * Noyes v. Newhaven, etc. R. R. 30 117 Mass. 479. Conn. 1; Doremus v. McCormick, 7 ^ German Bank v. Schloth, 59 Gill, 49; Piersonu. Hooker, 3 Johns. Iowa, 516. 70; Cunningham v. Littlefield, 1 ^Lee v. Hamilton, 13 Tex. 413. Edw. Ch. 104. This doctrine is, how- Contra, see dictum in Vanderburgh ever, so entangled with the doctrine v. Bassett, 4 Minn. 242. that one partner having by settle- 9 Lee u. Hamilton, 12 Tex. 413, 418; ment with a debtor disqualified him- Warder u. Newdigate, 11 B. Mon. 174, self from suing, the firm is also 177; 52 Am. Dec. 567. 307 § 3S3. CONDUCT OF THE BUSINESS. partners, by retaining the property thus acquired, may ratify the transaction.' Although the right to take land in compromise and settlement of a sale of stock may exist in an emergency where there is no time to consult, yet if there is ample time and no emergency, and a part- ner takes the deed in his own name, though in good faith, the courts are not willing to recognize the right to do so and will treat liim as a trustee who buys in the trust propertj^ and compel him to account in money and not in a share of the land.* The power to collect a debt by process of law is involved in the ordinary power of collection, but in resorting to coercive measures the tortious employment of extortionate methods does not render the innocent partners liable.' Any partner can act in relation to the proof of debts in bank- ruptcy of the debtor, and can vote upon the choice of an assignee and sign the certificate.* § 383. Releases. — One partner has power to release a claim due to the firm and to bind the other partners thereby, whether it be a claim on contract or in tort, or before or after dissolution, provided there be no fraud or bad faith or collusion.* After an action by the firm has been begun, one partner can release the claim to recover which it is brought,^ even 1 Michigan AirLineR'y v. Mellen, 44 Ex parte Hall, 1 Rose, 2; Ex parte Mich. 321; Loweiy u. Drew, 18 Tex. Bignold, 2 Mont. & A. 633, 655; Re 786. In Banner Tobacco Co. u Jeni- Barrett, 2 Hughes, 444; Re Purvis, son, 48 Mich. 459, it was said that a 1 Bankr. Reg. 163; Emerson v. partner in the milling business could Knower, 8 Pick. 63, take a stock of groceries in payment ; * Hawkshaw v. Parkins, 2 Swanst. the question was not squarely pre- 539; Arton v. Booth, 4 J. B. Moore, sented, however, for it arose four 192; Furnival v. Weston, 7 id. 356; years afterwards in seeking to hold Metcalfe v. Rycroft, 6 M. & S. 75; the other partner on new purchases "Wallace v. Kelsall, 7 M. & W. 264; to replonisli the stock of groceries. Phillips u. CIngett, 11 id. 84: Nottidge 2 Russell V. Green, 10 Conn. 269. v. Prichard, 2 CI. & Fin. 379; Dyer v. sSeet-g 405-468. Sutherland, 75 III. 583: Emerson v. *Ex parte Mitchell, 14 Ves. 597; Knower, 8 Pick. 63; Bulkley v. Day- Ex parte Hodgkinson. 19 id. 291, 293; ton, 14 Johns. 387. And see g 396. Ex parte Shaw, 1 Glyn & Jam. 127: * Barker r. Richardson, 1 Younge& Ex parte Bank of England, 2 id. 363; J. 362, 366; Arton u. Booth, 4 Moore. PARTICULAR POWERS BEFORE DISSOLUTION. g 383. where such partner had agreed not to interfere with the col- lection of debts,^ and can release the judgment if not fraudu- lently done.^ But if there was fraud and collusion the courts will protect the other partners and not allow the de- fense to be pleaded;^ and if the protection of the copartner requires it, the court will not permit one partner to discon- tinue an action.* A release by one partner by fraudulent connivance or collusion with the defendant is void.* Where a canal company owed two contractors, partners, over $100,000 for construction of the canal, and procured a secret release from one for a consideration of about $.3,000, this was held to be a gross fraud upon the other partner, and his action in his own name to recover for work and labor and foreclose a mechanic's lien was sustained, the court saying that the other partner was not a necessary party because in the position of one who had assigned his interest.^ On the other hand, on proof of collusion between the debtor and some of the partners, it is held in New York that the other part- ners cannot set aside the settlement and recover the debt or their share of it, but only damages for waste of partnership funds, to be as- certained on accounting. That they have the right to be placed as if the full debt were honestly paid and they had their aliquot shares, 192; Furnival v. Weston, 7 id. 356; Loring r. Brackett, 3 Pick. 403. And Langdcile v. Langdale, 13 Ves. 167; see Holkirk v. Holkirk, 4 Madd. 50, Jones V. Herbert, 7 Taunt. 431 ; Perl- and Winslow v. Newlan, 45 111. 145. berg V. Gorham, 10 Cal. 120; Wilson But where a statute provides that a V. Mower, 5 Mass. 411; Noouanv. Or- non-consenting joint claimant may ton, 31 Wis. 265. be made defendant, the objecting 1 Arton V. Booth, 4 Moo. 192. partner may be allowed to withdraw 2 Romain v. Garth, 3 Hun, 214. and tlie court will permit the other 3 Barker v. Richardson, 1 Y. & J. partners to make him a defendant. 362; Jones v. Herbert, 7 Taunt. 421 ; Noonan v. Orton, 31 Wis. 265. Phillips V. Cl.igett, 11 M. & W. 84; & Barker v. Richardson, 1 Younge Loring V. Brackett, 3 Pick. 403; & J. 362; Beatson v. Harris, 60 N. Noonan v. Orton, 21 Wis. 265; Sloan H. 83; Sweet v. Morrison, 103 N. Y. V, McDowell, 71 N. Ca. 356, 359-61. 235; Noonan v. Orton, 31 Wis. 265. And see Skaife v. Jackson, 1 B. & C. And see Loring v. Brackett, 3 Pick. 421. 403. < Cunningham v. Carpenter, 10 Ala. ^Canal Co. v. Gordon, 6 Wall. 561. 109; Daniel v. Daniel, 9 B. Mon. 195; 399 § 3S3. CONDUCT OF THE BUSINESS. and can make the debtor pay this when ascertained, even if they had to pay the full amount less the part paid.' A covenant not to sue is not, however, a release, and will not constitute a defense.' So of an agreement by one partner to pay the debt and save him harmless,' for these are not actual releases; the debtor's remedy is by action for breach of contract against the partner; though to avoid circuity of action, if no injustice would be done, it might be treated as a release in a proper case, just as a set-off, possibly, against one partner, might be allowed in some cases. A covenant by all the partners not to sue would, however, operate as a release.'' In Richards v. Fisher, 2 Allen, 527, the firm of T., B. & F. made a demand note to the partner B.; afterwards F. retired from the firm, H. taking his place, and T., B. & H. gave F. a bond that they would pay all the debts of the late firm; an indorsee of the note sued the old partners upon it, including F., who claimed that the bond released him. It was held that the bond was no release of the note, but was merely equivalent to a covenant not to sue, and such covenants are only good as releases to avoid circuity of action when no injustice will be done. If here judgment went against T. and B. alone they could not recover from H., for in the bond H. only agreed to save F., whereas if judgment is rendered against F., he can, by buit on his bond, compel H. as well as T. and B. to pay. A release by a partner after he had sold his interest to a third person is fraudulent.^ So a release by one partner of 1 Sweet v. Morrison, 103 N. Y. 235. 4 Deux v. Jeffries, Croke's Eliz. See Longman v. Pole, 1 Moo. & M. 223, 352. that the other partners can jointly SBrayley v. Goff, 40 Iowa, 76. sue a third person who colluded with Here two persons bought a machine a partner to injure them. This sub- in partnership, with warranty, and ject is complicated with the doctrine gave a note in payment. In an ac- that a partner who has disqualified tion on the note one can set up himself to sue cannot, as co-plaintiff, breach of warranty, although the seek to repudiate his own act, and other refuses to defend, and a re- hence the action is defeated as to all. lease of damages by the latter after See §^ 1035-1048. he had sold his interest in the ma- 2\Valmsley r. Cooper, 11 A. & E. chine was held fraudulent. Dunck- 21G; 3 Per. & Da v. 149; Emerson v. lee v. Greenfield Steam Mill Co. 3 Baylies, 19 Pick. 55. And see § 385. Foster, 245, where a partner, after 3 Emerson v. Baylies, 19 Pick. 55. the firm had sold a claim, attempted 400 PARTICULAR POWERS BEFORE DISSOLUTION. §384. a, firm debt in consideration of a discharge of his separate debt due to the partnership debtor is a fraud upon the co- partners. ^ And after a partner has sold to his copartner all his interest in the assets, his discharge of a debt witho^it consideration will not bind the buyer." And where, after dissolution, it is agreed that one partner shall collect the debts, a release by the other in order to deftjat an action and to subserve his private ends will not be per- mitted to be set up as a defense.^ § 084. Debts due from the firm. — Each member of the firm has implied power to pay its debts.* In Bray v. Morse, 41 Wis. 343, B. sued M. and P., former part- ners, on notes made by the firm. P. made default, but M. pleaded to release it by dating the release back. 1 Kendal v. Wood, L. R. 6 Ex. 248; Farrar v. Hutclunson, 9 Ad. & El. Ml ; Barker v. Richardson, 1 Younge & J. 3.2; Piercy v. Fynney, L. R. 12 Eq. C9 ; Harper v. Wrigley, 48 Ga. 49r); Casey v. Carver, 43 III. 2':5; Bennett V. District Twp. of Colfax, 53 Iowa., 089; Jackson v. Holloway, 14 B. Mon. 108; Williams v. Brim- hall, 13 Gray, 463; Craig V. Hul- Bchizer. 34 N. J. L. 33 i : Chase v. Buhl Ironworks, 55 Mich. 139; Gram v. Cadvvell, 5 Cow. 489; Evernghim v. Ensworth, 7 Wend. 336; Beudel V. Ilettrick. 45 How. Pr. 19S; Broaddus V. Evans, 63 N. Ca. 633 ; Thomas v. Pennrich, 28 Oh. St. 55; Clark v. Sparhawk (Pa.), 2 Weekly Notes, 115; Viles v. Bangs, 36 Wis. 131 ; and see §^ 410, 411. As to ratification, see § 427. Contra, sustaining the power to do so: Combs v. Boswell, 1 Dana, 473 (dictum) ; Ovvings v. Trot- ter, 1 Bibb, 157; Beckham u Peay, 2 Billey (S. Ca.), L. 133; Hells v. Coe, 4 McCord, L. 133. In Lamb v. Saltus, 3 Brev. (S. Ca.) 130, the court were equally divided. 2Lunt V. Stevens, 24 Me. 534. And see Gram v. Cadvvell, 5 Cow. 489; Combs u. Boswell, 1 Dana, 473. See Legh V. Legh. 1 B. & P. 447. 3 Barker v. Richardson, 1 Younge & J. 363; Gram v. Cad well, 5 Cow. 489. A composition of the debts of an insolvent debtor was signed by his creditors, among them by E., but it did not appear whether his signa- ture was intended to apply to a debt due him individually or a debt due his firm. It was considered to in- clude the latter, and the burden is on the firm to show the contrary. Emerson v. Knower, 8 Pick. 63. See Rice V. Woods, 21 Pick. 30; and Ilal- sey V. Whitney, 4- Mason, 200. 231. ^Innes v. Stephenson, 1 Moo. & Ry. 145; Cheap v. Cramond, 4 B. & Aid. 603; Cannon v. Wiklman, 23 Conn. 473, 493; Murrell v. Murrell, 33 La. Ann. 1233; AveriU v. Lyman, 18 Pick. 351 ; Tapley v. Butterfield, 1 Met. 515; 35 Am. Dec. 374; Osborn V. Osborn, 30 Mich. 48; Tyson v. Pollock, 1 Pa. 375 ; Moist's Appeal, 74 Pa, St. 106; Scott v. Shipherd, 3 Vt. 104. And see cases under § 386 et seq. Vol. 1-23 401 § 3S5. CONDUCT OF THE BUSINESS. that tho firm had given B. collaterals on part of which he had realized, but had not credited the amount on the firm's notes. It appeared that P., who was B.'s son-in-law, and an executor of her husband's estate, and her manager, had taken notes and mort- gages made to the firm and set them aside as collaterals to tho firm's debt to B., and had received payments on them, for which, however, he had not accounted to B., and had received a convey- ance to himself in payment of one of the mortgages. B. never had possession of any of the collaterals and never authorized P. to hold them for her. M. now claimed credit for the payments and deed to P. Held^ after the dissolution, one partner cannot act as agent of a creditor in holding obligations due the firm as coUat- eral for the creditor; he cannot act as agent for both sides. Such conveyance and payment may inure to the benefit of the firm, but not of B.' A promise by one partner, after dissolution, to pay a debt due by the firm is the promise of the firm. As where a debtor of the firm, in payment, transferred his claim against another firm, one of the partners in which promised the creditor firm to pay it to them;' or where partners are engaged with others in operating a lottery scheme, and the plaintifi" delivered his lottery ticket to one partner, who promised to pay him the benefits, the whole firm is liable for the prize drawn by it.^ § 385. Release of one partner Iby creditor. — The general rule, both of law and equity, that a release of one joint debtor from liability releases all, a fortiori applies to dis- charge copartners.* 1 Whether a partner can keep a Elliott u Holbrook, 33 Ala. 659, 667; debt alive for his own benefit after Kendrick v. O'Neil, 48 Ga. 631 ; Will- he has paid it, see § 531. iamson v. McGinnis, 11 B. Mon. 74; 2 Lacy V. McNeile, 4 Dow. & Ry. 7: Tuckerman v. Newhall, 17 Mass. 581 ; Peyton v. Stratton, 7 Gratt. 880. American Bank v. Doolittle, 14 Pick. 3 Anon. V. Layfield, Holt, 434. As 123, 126; Rice v. Woods, 21 id. SO. to the effect of a promise by one 33; Le Page v. McCrea, 1 Wend. 164; partner upon the statute of limita- 19 Am. Dec. 469; Burson u. Klncaid, tions, see S§ 702-705. 1 Pa. (Pen. & W.) 57. To be effect- * Cocks V. Nash, 9 Bing. 341 ; ual, such a release must have a Cheetham v. Ward, 1 B. & P. 630; consideration, but the promise of United States v. Thompson, Gilpin, the other partners to be sofely re- 614; Willings v. Consequa, Pet. C. C. sponsible is a consideration. See 301, 307; Gray i;. Brown, 22 Ala. 262; §505. Whether release of a per- 402 FARTICULAR POWERS BEFORE DISSOLUTION. § 3S5. Only a technical release of one joint debtor is available as a de- fense to his co-debtors. A mere promise to release a partner, where the promise is not acted on, and no security is parted with, is a nudum pactum, and no defense, eitlier lor such partner or his copartners, unless under seal so as to import consideration.' An agreement to save harmless or indemnify is not a release, and, therefore, no defense to the copartner; even though, to save cir- cuity of actions, it might be so treated if there were only two per- sons concerned." A covenant not to sue one partner does not release the other, for its effect is merely an agreement to indemnify against the consequences of a suit.^ An agreement of partnership creditors to look only to the part- nership property and to discharge one partner does not give the separate creditors any additional rights, for it does not injure them, nor does it bind the other partner if he pays.* son includes debts owed by him Am. Dec. 584); Keudrick v. O'Neil, jointly with another depends on the 4S Ga. G31; Sliotweli v. Miller, 1 N. intention of the parties as shown by J. L. 95 [81]. the terms of the release. A release ^Dean v. Newhall, 8 T. R. Ifi8; of all causes of actions, suits, debts, Walmesly v. Cooper, 11 Ad. & El. etc., which the releasors now have 216; Roberts v. Strang, 38 Ala. 566; or ever have had in respect to any Mason v. Jouett, 2 Dana, 107 ; Walker matter from the beginning of the v. McCulloch, 4 Me. 421; Luut v. world, includes h'abilities as partner, Stevens, 24 id. 534 ; McLellan v. Cum- Hall V. Irons, 4 Up. Can. C. P. 351. berland Bank, 24 Me. 5G6; Shaw v. A release of a partner from all Pratt, 22Pick. 305; Bemisv. Hoseley, claims individually, and as one of 16 Gray, 63; Berry v. Gillis, 17 N. H. the firm, is a discharge of him in 9 (43 Am. Dec. 584); Harrison v. his capacity of surviving partner, Close, 2 Johns. 44y; Rowley r. Stod- the copartner having subsequently dard, 7 id. 207 ; Catskill Bank v. Mes- died, Beam v. Barnum, 21 Conn, senger, 9 Cow. 37; Bank of Chenango 200. A release of all demands, made v. Osgood, 4 Wend. 607; DeZeng v. to a debtor after he had assigned all Bailey, 9 id. 336; Hosack v. Rogers, of his property to a preferred cred- 8 Paige, 229. See, also. Clayton v. itor, for the benefit of his creditors, Kynaston, 2 Salk. 573; Lacy v. Kyn- is void for fraud, if such preferred aston, id. 575 ; 1 Ld. Raym. G88 ; Hut- creditor was the debtor's dormant ton v. Eyre, 6 Taunt. 289; Price v. partner and this fact was concealed. Barker, 4 E. «fc B. 760; Durell v. Carter v. Connell, 1 Whart. 392. Wendell, 8 N. H. 369; Couch v. Mills, 1 Evans v. Carey, 29 Ala, 99; Fagg 21 Wend. 424. V. Hambel, 21 Iowa, 140. * Witter v. Richards, 10 Conn. 37. 2 Berry v. GiUis, 17 N. H. 9 (43 403 § 387. CONDUCT OF THE BUSINESS. § 380. reserving claim against rest. — If the release is clearly intended not to prevent an action against all the debtors including the releasee, and is for his benefit alone, it is no discharge of the debt, as where there is a reservation of the right to sue all. This is in effect an agreement not to make the debt out of the private property of the releasee. • So if one of the partners is severally as well as jointly liable, as where one partner is drawer or acceptor of a bill on or by the firm, a release of the other partners is not a release of him,' nor is a release of the drawer a release of his liability in the capacity of one of the drawee firm.' In Gilpatrick v. Hunter, 24 Me. 18, it was held that, in case of tort against the person, the damages can be neither estimated nor divided, and a release of one releases all; but in McCrillis^;. Hawes, 38 Me. 566, it was held that if the tort was conversion of property, a settlement with one partner for his half did not preclude an ac- tion against the other, and the declaration could be for conversion of half, although it was agreed that under such declaration but half of the half could be recovered. A release of a partner, reserving the claim against the other, is no discharge of the latter's hability on whatever re- mains due.* § 387. Statutes. — Many of the United States have stat- utes enabling a creditor to compromise and settle with or 1 Solly V. Forbes, 2 Brod. & Bing, ler r. Herrick, 19 Johns. 129; Bank 38. And see the following cases: of Chenango v. Osgood, 4 Wend. Thompson v. Springall, 3 C. B. 540; 607; Greenwald v. Raster, 86 Pa. St. Willis u. DeCastro, 3 C. B. N. S. 216; 45; Williams v. Hilchings, 10 Lea Price V. Barker, 4 E. & B. 760. And (Tenn.), 326. And see Kirby u. Tay- see Bateson r. Gosling, L. R. 4 C. P. 9. lor, 6 Johns. Ch. 242; Lysagt v. 2 Hartley v. Manton, 5 Q. B. 247. Phillips, 5 Duer, 106. But see Parme- 3 Pearce v. Wilkins, 2 N. Y. 469. lee v. Lawrence, 44 111. 405. A re- ■* Browning v. Grady, 10 Ala. 999; lease of all claims against J. S. was Northern Ins. Co. v. Potter, 63 Cal. held not to be a release of J. S.'s 157; Beam v. Barnum, 21 Conn. 200; firm, in Reading R. R, v. Johnson, 7 Seymour r. Butler, 8 Iowa, 304; W. & S. 317. The other partners are Gardner v. Baker, 25 id. 343 ; Clagett only liable for the balance, although V. Salmon, 5 Gill & J. 314, 351 ; their ratable proportion exceeds it. Shed V. Pierce, 17 Mass. 623; Good- Lowell Nat'l Bk v. Train, 2 Mich, nowv. Smith, 18 Pick. 414; Chand- Lawyer, 37. 404 ^ PARTICULAR POWERS BEFORE DISSOLUTION. § 388. release one joint debtor without prejudice to his claim against the rest.^ These statutes apply to partnerships, for partners are joint debtors.^ If one partner is thus released iiendente lite and dismisserl from the case the issue is not changed, and depositions already taken are competent, and if notes are sued upon they in effect stand for the balance due.' Under these statutes a release may be made in and under the law of one state and sought to be availed of in another state. In such case its construction, at least inter se, would be governed by the law under which it purported to be made.* But its effect on the other partner would be controlled by the law of the forum. ** § 388. Inter se. — In Lord v. Anderson, 16 Kan. 185, a partner sued his equal copartners for an accounting and settlement, and pending suit settled with one of them for $100 for his share of the estimated balance. It turned out that the entire balance due the complainant from the two defendants was $1,281. It was of course held that this released one-half the debt, and he could only recover $640.50 from the other defendant. 1 This is true of California, Con- 109. And although the considera- NECTICUT, Dakota, Kansas, Michi- tion of the release was taken out of GAN, JIlNNESOTA, MISSISSIPPI, Mis- partnership funds. Stitt v. Cass, 4 souRi, Montana, Nevada, New Barb. 92. That "joint debtors" in a Jersey, New Yors:, Ohio, Penn- statute includes partners is shown sylvania, Rhode Island, South elsewhere by the cases on statutes Carolina, Vermont, Virginia, Wis- allowing service of summons on one CONSiN. And that the settlement is joint debtor to bind the rest. in full of each partner's entire share SHoldridge v. Farmers' & Mech. of liability, whetlier in fact so or Bank, 16 Mich. 66. not, is enacted in MICHIGAN. MiNNE- 4 Seymour v. Butler, 8 Iowa. .304; SOTA. Montana, New Jersey, Ohio, Holdridge v. Farmers' & Mech. Bank, Rhode Island, South Carolina, 16 Mich. 66. Vermont. The copartners' right to 5 Seymour v. Butler, supra; Green- call upon such pai'tner for their pro- wald v. Kaster, 86 Pa. St. 45; but see portion is reserved in Kansas, Mich- Beam v. Barnum, 21 Conn. COO; Rice igan, Minnesota, Missouri, Mon- r. McMartin, 39 id. 573; HoMridgeu. tana, New Jersey, New York, Farmers' & Mech. B"k, 16 Mich. 66, Ohio, Pennsylvania, South Caro- which seem to regard the effect of LINA. the release on the other partners as 2 Northern Ins. Co. v. Potter, 63 not a matter of remedy and to be Cal. 157 ; Grant^ v. Holmes, 75 Mo. governed by the lex loci contractus. 405 § 389. CONDUCT OF THE BUSINESS. In a foot-note tlie reporter suggests a supposed case, viz.: Had tLe partners believed that ^1,200 would be fouud due the complain- ant and one of them had settled with him for ^600, and it was found that but SiOO in all was due him, would he be allowed to re- cover half of this from the other partner and thus receive $800 where only $100 was due? Clearly the payment by the released partner was at his own peril, and whether he could recover it back or not is, as to the other defendant, res inter alios acta} NOTICE TO ONE. § 380. is notice to all. — Resulting from the agency of a partner, it follows that notice to one member of a firm of matters within the scope of the business, or in reference to a partnership transaction, and which it is his duty to com- municate to his copartners, if he is within reach and able to tell them, is notice to all. In such cases, if he fail to notify the other partners, they cannot avail themselves of their io;norance of the transactions of one of their number in act- ing as their agent. Thus, notice served upon one of the defendant partners to take depositions is notice to all; ^ and notice of appeal by one partner is notice to all.' If partners have signed a submission to arbitration, notice to one partner thereafter is sufficient.'* Notice to one of a firm of consignees or factors to sell is notice to all.' If partners are lessees, no doubt notice to one to terminate the tenancy is suf- ficient.® Plaintiff's acceptance of a guaranty made by a firm, noti- fied to the partner who delivered it to him, is notice to the firm of the acceptance.' So of a demand on the firm in the scope of its business; as Avhcre a firm of attorneys receives money belonging to a client who de- mands it of one, this is a demand on the firm.' And if partners are • A mere majority has no power to 5 Howland v. Davis, 40 Mich. 545. release the liability of one partner to <>See Walker v. Sharpe, 103 Mass. the fum. § 433. 154. 2 Cox V. Cox. 2 Porter (Ala.), 533; "i New Haven Co. Bk. v. Mitchell, Spaulding v. Ludlow Woolen Mill, 36 15 Conn. 2013, 219. Vt. 150. 8 McFarland v. Crary, 8 Cow. 253 3 Miller v. Perrine, 1 Huu, 620. (aff'd, 6 Wend. 297). •Haywood v. Harmon, 17 111. 477. 406 PARTICULAR POWERS BEFORE DISSOLUTION. § 390. mortgagees, a request to one to cancel tlie mortgage is a request to all, so as to make tliem liable to a statutorj' penalty.' So demand upon and refusal by one partner is competent evidence of a conversion by the firm.* § 3 90. So of knowledge of one partner. — Where one partner of a legal firm had drawn up the defendants' articles of partnership and knew that certain partners were not liable for the services sued for, this is knowledge on the part of all the plaintiffs,' Where the debtor of a firm paid the debt to one partner, but told another that he had not paid, whereupon the other, in winding up the firm, sued him, he is not precluded to deny his latter statement; the other should have known.* Where D. bought land of a person, giving his notes with sureties, and agreed with the sureties to secure the notes by shipping bark to the firm of B. & Co., the proceeds to be applied to take up the notes, and B. had notice of the purpose of the shipments, B. & Co. having bought the notes, cannot sue the sureties in violation of the agreement." A firm bought logs on credit and sought a rescission on the ground that it was represented that the logs were afloat, but one pnrtner knew they were not afloat; this is knowledge on the part of .,11 « F. was trustee of Mrs. T. to manage a fund free from her hus- band's control ; he loaned the trust money to his firm, who secured it by a note and mortgage payable to Mrs. T. Paj'ments were made on the note to her husband without her authority. F.'s knowledge of the husband's disability to control her property is notice to the firm.'' A. & B., partners, bought lumber of the defendant. B. measured the lumber before dissolution and found a deficiency in quantity. iRinfrov. Adams, 63 Ala. 302. it into ties or staves and the firm 2Nisbet V. Pattou, 4 Rawle, 120; purchased it after one partner had Holbrook V. Wight, 24 Wend. 169; notice. Tucker r. Cole, 54 Wis. 539 ; Mitchell V. Williams, 4 Hill, 13; ex- Gerhardt v. Swaty, 57 id. 24. cept where the taking or detention is sBurritt v. Dickson, 8 Cal. 113. not a pari nei ship act, as in Taylor v, * Bigelosv v. Henniger, 33 Kan. 363. Jon.'s. 42 N. H. 2'). So if the firm 5 Baugher v. Duphorn, 9 Gill, 314. purcliases property from a person sHubbardston Lumber Co. v, whom one partner knows to have ob- Bates, 31 Midi. 158. tained it by trespass, as wliere the ■? Tucker u. Bradley, 33 Vt. 324. seller cut plaintifl's timber and made 407 § 392. CONDUCT OF THE BUSINESS, A., after dissolution, paid the note. The knowledge of the former is that of the latter; A. cannot sue for money had and received. The court say B. knew it, therefore A. knew it.* § 31)1. Notice before the partnership is formed. — Incom- ing partners may be likewise affected. Where H. contracted to deliver glass to defendants at a certain pric?, and afterwards proposed a different price, to which they did not accede, and H. then transferred the contract to his firm, and they, supposing the price to be that last mentioned, filled the or- der, they are affected with notice of all that he knew, and can only recover the contract price.* Where W. was teuant in common of oyster beds with R., who lived in another town, and W. took in D. as a partner, and shipped R.'s share of the oysters to D., W.'s knowledge is notice to D., and R. can compel D., as surviving partner, to account.' But notice before the firm is formed is not sufficient. Where M. and G. were negotiating to form a firm, pending which G. was negotiating to buy premises for the future firm, and on the day before the purchase M. learned that the seller was de- frauding his creditors in this disposition of his property, this does not affect G. The court say the authorities are limiting the doctrine of constructive notice, and that they will not stretch it to affect an innocent man who pays cash down, even though the other partner was to get an interest in the purchase.'' And where a person holds property with notice of an unrecorded license to use it, and another, without such notice, is about to form a partnership with him, and buys an undivided interest in the property, to be held by both for the use of the firm, he holds his share free from the incumbrance, for they were not then partners; but if he afterwards buys out his partner, he holds as tenant in common with the licensee, having had notice on buying the second half.' §1^92. On purchases of property. — So, where partners make a purchase, the knowledge of one of their number iSnarrv. Small, 13 Up. Can, Q. B. 283, 289 (reversed on oilier points. 125. in 28 id. 614). ^Holtonv.McPike, 27Kan. 286. < DuffiU v. Goodwin, 23 Grant's 'Ruckman v. Decker, 23 N. J. Eq. Ch (Up. Can ) 431. 5 Herbert v. Odlin, 40 N. H. 267. 408 PARTICULAR POWERS BEFORE DISSOLUTION. § 393. of a claim or lion upon the property is knowledge of the firm. Thus, where partners took a mortgage upon land, and one partner knew of a prior mortgage upon it, the record of which was not constructive notice because of defective execution, this is notice to all.^ B. owed H. ^205, aud in payment conveyed land to him, tak- ing back a bond for reconveyance on repayment, but never re- corded the bond, and conveyed the land to the defendant firm, in payment of his debt to them, C, the active partner, having notice of the bond. B. paid C. the §205, and C. agreed that a reconveyance should be made, instead of which the firm dissolved, C. deeply in- debted to another partner, J., to whom he conveyed the land, J. having no knowledge of the bond or the payment. J. is affected with notice, and is bound to carry out C.'s agreement to reconvey.* § 3i)3. Of defenses to mercantile paper. — So, where a partnership becomes possessed of mercantile paper, the knowledge of defenses on the part of one partner is notice to the firm. As where one partner knew that a note dis- counted by him for the firm was void for usury,' or where an accommodated party is a member of a firm to whom the paper subsequently comes, the firm has notice that it is ac- commodation paper.* So, if a note is made to one partner, and he transfers it to the other, or to his firm, the latter is not a bona fide holder without notice.^ In Llddell v. Grain, 53 Tex. 549, it was held that, where one partner made false representations in a sale of his individual inter- est in the partnership property, for which he received the buyer's note, the other partner could have the rights of an innocent holder 1 Watson V. Wells, 5 Conn. 468; Stockdale v. Keyes, 79 id. 251 ; Pease Herbert v. O llin, 40 N. H. 2G7. v. McClelland, 2 Bond, 43, where 2 Barney t\ Currier, 1 D. Chip. (Vt.) they were partners for that trans- 815 (6 Am. Dec. 739); and another action only; Hubbard u. Galusha, 23 example of such notice will be found Wig. 398. In Stockdale v. Keyes, in Marietta & Ciu. R. R. v. Mowry, where a factor of a firm collubively 28 Hun, 79. procured the firm's signature to an ' Powell r. Waters, 8 Cow, GG9, 691. accommodation note, and a banking * Sparrow v. Chisman, 9 B. & C. partnership in which he was a mem- 241; Quinu v. Fuller, 7 Cush. 224. ber discounted it, his knowledge was * Otis V. Adams, 41 Me. 258; held to be theirs. McClurkan v. Byers, 74 Pa. St. 405 ; 409 § 394. CONDUCT OF THE BUSINESS. of the note, if lie had no notice, because the sale, being of his indi- vidual interest, and not of partnership property, was not a trans- action in the scope of the business. Where the burden of proof is upon partners who are plaintiffs, as indorsees of a note, in an action upon it, to show that they took it in good faith, they must prove that all the partners were ignorant of the fraud or defense between the maker and payee, for, as notice to one is notice to all, ignorance of one cannot be ignorance of all. Otherwise an ignorant partner could be put forward to purchase because of his innocence.' § 394. KnoAvledge obtained in other capacities.— Where a partner was the director and vice-president of a bank, in which the firm owned stock, and the firm sold its stock to one H., who was indebted to the bank, and H. sold the stock to the bank, and got credit for money to pay the firm for it, upon which he checked in favor of the firm, the director partner is affected with knowledge that 11. had no funds, except what he got from the sale of the stock, and the bank had no power to buy its own stock; therefore, the bank can compel the firm to take back the stock and return the money to it.* Transfer of a note to a firm, one of its members being trustee of the company owning the note, is with notice of want of authority in the company to transfer it.^ D. was a director in a corporation which was indebted to the firm of D. & Co., of which he was a member, and the corporation made a note payable to a bank, agreeing that if its discount was procured they would pay D. & Co. their debt. The note was delivered to D. to procure such loan, and the bank discounted it and handed him the proceeds; but he paid only part of the debt to D. & Co., and used the balance for other purposes. Here it was held that the debt was not paid, because D. took the note, and received the money in the capacity of director, and not of partner, and it was therefore the defendant's mone}-.'' So where one firm receives a note indorsed by another firm, in payment of the individual debt of a member of the latter, and therefore knows the note is unauthorized, and the firm sold the 1 Frank v. Blake, 58 Iowa, 750. » Smith v. Hall, 5 Bosw. 819. 2 Savings Bank u. Wulfekuhler, 19 ^Duncklee v, GreenfielJ Stearu Kan. GO. See, also, Merchants' Bank Mill Co. 3 Foster (23 N. H.), 245. V. Rudolf, 5 Neb. 527. 410 PARTICULAR POWERS BEFORE DISSOLUTION. § 395. note to a banlc in which one of its partners was director, his knowl- edge is not its knowledge, because not acquired in its business.' § 305. As affected by scope of business. — The notice to a partner, to affect the firm, must be a notice in reference to a transaction within the scope o£ the business.^ In Bignold v. Waterhouse,' one member of a firm of carriers colhisively agreed, lor a consideration for his own benefit, to carry- parcels for B. free of charge. B. was aware of a rule of the firm not to be liable for parcels of over £5 value, without notice of the fact and entry of the parcel as such. Here the agreement to carry free of charge being outside the scope of the partner's authority, such partner's knowledge of the value of the parcel is not notice to the firm.'' So where he has trust funds in his hands, and uses them for the firm, his knowledge as trustee of the abuse of trust is not notice to the firm of the nature of the funds.^ And for the same reason notice to a firm will not, as a construct- ive notice, aff'ect the separate individual interests or rights of a member not connected with those of the firm.* Of course where an averment charges partners with notice, the default of one part- ner is not an admission of notice against copartners who plead want of it.' And vice verm if one partner is the agent of a third person, his knowledge of the limitations upon the powers of the partners is not knowledge of such person in matters not relating to the agency. As where T. & Co , being agents of the plaintiff, dissolved, and T. formed the new firm of W., T. & Co., the new firm agreeing not to deal in repairs, and T. then obtained a renewal of the agency from the plaintiff, and receipted to the plaintiff for work done in repair- ing, T.'s knowledge as a member of the firm is not the knowledge 1 Atlantic State B'k v. Savery, 83 other partner of the character of the N. Y. 291 (aff. 18 Hun, 36). funds, notice to the firm. Evans v. 2 Coon V. Pruden, 25 Minn. 105. Bidlemau, .3 Cal. 435. s 1 M. & S. 255. 6 Coon v. Pruden, 25 Minn. 105; < And see Lacey v. Hill, 4 Ch. D. Boiling v. Anderson, 4 Baxt. (Tenn.) 537, that knowledge of the clerks of 550. the firm, of the guilty partner's con- " Pengnet v. McKenzie. G Up. Can. duct, is not notice to the firm. C P. oOS ; Petty v. Hauuum, 3 8 See § 481. Nor is notice to an- Humph. 103. 411 § S»G. CONDUCT OF THE BUSINESS. of the plaintiff, for in contracting to form the relation of principal and agent, they are in antagonistic positions.' Where a member of two firms made a note in the name of one firm, payable to a member of the other for a loan by him to it, and the articles of the maker firm were claimed in argument to exclude the power to borrow, it was urged that the knowledge of the com- mon partner was notice to the payee, but a recovery was allowed by the court without noticing the point.' A., being indebted to B. & C, proposed that B. &C. should make advances to him against consignments l)y him to his agents abroad, the proceeds of sales above the advances to be credited on the debt. And B. & C. accordingly made the advances, and afterwards di- rected the consignees to remit to the firm of C. & D., bankers, instead of to themselves; C. being a common partner in both firms. B. & C. became bankrupt. It was held that C. & D. had notice through the common partner that the remittances were appropri- ated: 1st, to repay the advances (which had been made by accept- ances); 2d, to discharge the old claim against A.' § 390. As affected by duty and opportunity to oonimuni- cate. — The knowledge of an absent partner, where it is not of a matter which it was his duty to communicate to his copartners, as in some business done or commenced by him, is not constructive notice to the firm. Thus, where defendant buys goods of a firm, without disclosing that he is buying as agent of another, he is personally liable therefor, although on a previous occasion he had notified the now absent partner that he desired to buy as such agent, which was then refused because the firm did not have the goods on hand.'* So, where the firm of R., H. & E. having hay to sell, the defend- ant L. asked R. to sell to him, stating that he desired to purchase as the agent of K. R. replied that the hay was not ready, and L. said he would call again. Four weeks afterwards L. bought the hay of H., another partner, not disclosing that he purchased as agent. L. was held personally liable as an agent dealing in his own name, 1 Aultman & Taylor Mfg. Co. v. Gano v. Samuel, 14 Oli. 593, that tlie Webber, 4 111. App. 437. partner had power to borrow, 2 Moore v. Gano, 12 Oh. 300. It 3 Steele v. Stuart, L. R. 2 Eq. 84. was subsequently held, however, in * Baldwin v. Leonard, 39 Vt. 2C0. 412 PARTICULAR POWERS BEFORE DISSOLUTION. g 398. the agency being unknown. The prior conversation with U. is not part of the bargain, because R. was not in duty bound to communi- cate it, and could assume that L. would notify the other partners if he bought from them.' § 397. Protesting notes, etc.; demand on one. — If tho firm is the maker of a note or acceptor of a bill, presentation to one partner or demand of payment upon one is sufficient to cliarge the indorsers. ^ And after dissolution a demand upon one is a demand upon all to charge indorsers. This follows from the author- ity of each partner to wind up, and in so doing to pay debts, and hence each represents all* § 398. notice to one of indorsing firm. — If the firm is an indorser, notice of non-payment or protest served upon one partner binds the firm.* If, however, one partner lives where the note is protested, and the other has moved away, it is not due diligence to send notice only to the one abroad, and the one at home is not bound by it.* Where C, in S.in Francisco, was a partner in the house of Page, Bacon & Co., of St. Louis, and drew a draft in their names, notice of dishonor on the firm in St. Louis binds the partners there.* 1 Baldwin v. Leonard, 39 Vt. 260. makers, who suffer judgment by de- 2Porthouse v. Parker, 1 Camp. 83; fault, service of a rule nisi upon one Mt. Pleasant Branch of State Bank of the defendants to compute prin- V. McLeran, 26 Iowa, 306; Shed v. cipal and interest is service upon all, Brett, 1 Pick. 401; Hunter r. Hemp- because they are as to it partners. Btead, 1 Mo. [67J, 4S (13 Am. Dec. Collyer on Part. § 443, citing Fig- 468); Erwiu v. Downs. 15 N. Y. 575. gins v. Ward, 2 Cr. & M. 424; Carter 3 Brown v. Turner, 15 Ala. 832; u. Southall, 5 M. & W. 128. Barry v. Crowley, 4 Gill, 194; Gates ^Hume v. Watt, 5 Kan. 34; Nott V. Beecher, CO N. Y. 518 (19 Am. v. Douming, 6 La. 084; Magee v. Rep. 207) (infra, 3 Th. & C. 404); Dunbar, 10 id. 546; Dabney u. Stid- Fourth National Bank v. Heu- ger, 4 Sm. & Mar. 749 (with a doubt, schen, 52 Mo. 207. And demand upon however, in case the indorsement is the agent of one partuer when both not joint); Bouldin r. Page, 24 Mo. are absent is sufficient. Brown v. 594; Miser v. Trovinger, 7 Oh. St. Turner, sitpra. Demand after death 281, 287; Burnet t7. Howell, 8 Phila. should, of course, be upon the sur- 531. vivor. Cayuga Co. Bank u. Hunt, » Hume r. Watt, 5 Kan. 34. 2 Hill, 635. So under the old EngUsh « Bouldin v. Page, 24 Mo. 594. practice, in an action against joint 413 § 399. CONDUCT OF THE BUSINESS. Statutes malving partnership contracts joint and several affect the remed}' only, and do not alter the rule that notice to one is notice to all.' And notice of protest to one partner of non payment of a note or bill maturing after dissolation is notice to all, for the same reason that demand upon one is demand upon the firm.- And after death of a partner, notice to the surviving partner binds the estate of the decedent.* § 399. dispensed witb.— One partner of an indorsing firm may waive demand and notice," even after dissolution, provided the note be not yet matured, because it is not a new contract, but a dispensing with certain evidence;* or may direct the particular mode or place of notice.^ If the dravv^er is partner of the acceptor firm, or if a part- ner draws upon his firm, the dishonor of the bill need not be notified to the drawer; the knowledge of the firm is his knowledge.'' So of a draft by the firm upon one partner.^ 1 Dabney v. Stidger, 4 Sin. & Mar. son Nat'l Bk. 6G M.l. 488. Hence, an 749. admission of liability l.y one partner 2 Coster V. Thomason, 19 Ala. 717 ; was held competent evidence as tend- Nott V. Douming, 6 La. 684; Slocumb ing to prove notice or waiver. First V. Lizardi, 21 La. Ann. 355; Hub- Nat'l Bk. v. Carjjenter. U Iowa, 4o3. bard u. Matthews, 54 N. Y. 43 (13 If the note was indorsed for accom- Am. Rep. 562), where the dissolution modation, and the lioMer knew this, was by war, and the partner in hos- it was held that one partner could tile territory was held bound by not bind another by any promise as notice on the residents; Bank of to its payment, because as to this Commonwealth v. Mudgett, 44 N. Y. they are not partners. Baer v. Lep- 514, on the facts; Burnet v. Howell, pert, 12 Hun, 516. 8 Piiila. 531. 6Nutt v. Hunt, 4 Sru. &. Mar. 702; »Dabiley v. Stidger, 4 Sm. & Mar. Windham Co. Bk. v. Kendall, 7 R. 749. See Cocke v. Bank of Tenn. 6 I. 77. Humph. 51. 7porthouse v. Parker, 1 Cnnip. 82; ^Star Wagon Co. v. Swezey, 53 Rhett v. Poe, 2 How. 457; Fuller u. Iowa, 394; s. C. 59 id. 609; Darling Hooper, 3 Gray, 334; Gowan r. Jack- V. March, 22 Me. 184; Farmers' & son, 20 Johns. 176; West Branch Mer. Bk. v. Lonergan, 21 Mo. 46; Bank v. Fulmer, 3 Pa. St. 3!:9; Har- Windham Co. Bank v. Kendall, 7 R. wood v. Jarvis, 5 Sneed (Tenn.), 37."). !• "^T- 8 Porthouse v. Parker, 1 Camp. 83 ; 5 Darling v. March, 22 Me. 184; Star N. Y. & Ala. Contrac. Co. v. Meyer, Wagon Co. v. Swezey, 52 Iowa, 394; 51 Ala. 325. S. c. 59 id. 609 ; Seldner v. Mt. Jack- 414 PARTICULAR POWERS BEFORE DISSOLUTION. § 400. § 400. partner common to two firms. — So if a part- nereliip draws on another partnership and the latter accepts, if one of the partners is a member of both firms, no notice of dishonor is necessary to charge the drawers.* Where one partner made a note to the order of his firm and they indorsed it over, but the maker did not pay it and it was not pro- tested, the release of the firm by not protesting does not release him as the origiual promisor; nor does his knowledge of the dis- honor bind them, for his promise as maker is distinct from their liability as a firm. Their contract is to be liable on condition of demand and notice, and performance of the condition is not ex- cused by the relation between them. The firm would not have been charged by actual information of dishonor.' And if one firm makes a note to another firm having a partner common to both, the latter firm are not liable as indorsers unless there has been due demand and notice.* So if maker and indorser are or had formerly been partners and the note was for a partnership debt.* The difference between the last three cases and those which pre- cede is this: In the last, 7ion constat but that if the note had been presented it would have been paid, for the parties previously liable may have funds of which the drawer or indorser has no knowledge. But in the former cases of a draft by a partner on his firm, he knows at the time of drawing whether they are solvent or not, or whether they have funds belonging to him with which to meet the paper. Deeds. — See Sealed Instruments, § 413. Delivery. — § 375; tender to one partner, § 390. Guaranty, security and accommodation. — The want of power in a partner to use the firm name for such purposes 1 N. Y. & Ala. Contracting Co. v. 3 Dwight v. Scovil, 2 Conn. 654; Selma Sav. Bk. 51 Ala. 305; 23 Am. Poland v. Boyd, 23 Pa. St. 476. Tliat Rep. 552 ; Woodbury v. Sackrider, 2 the indorser was a member of the Abb. Pr. 402 ; West Brancli Bank v. maker firm does not excuse want of Fulnier, 3 Pa. St. 399. In Taylor v. protest, though the firm was insolv- Young, 3 Watts, 339, the bill by au ent and the indorser knew the note outgoing partner upon his firm was was not paid. Re Grant, 6 Law Re- professedly on his own behalf and porter, 158. protest was held necessary. * Morris v. Husson, 4 Sandf. 93. * Coon V. Pruden, 25 Minn. 105. 415 § 401. CONDUCT OF THE BUSINESS. as these was considered, for the sake of convenience, with the power to make hills and notes. ^ Indorse, power to. — As a power of disposition, § 401; in accommodation, § 349. Insure. — Power to procure insurance on property, § 409. To mortgage personal property, §§ 403, 400 et seq. To pay.— See § 384, et seq. To pledge.— §406. PERSONAL PROPERTY, POWER OVER. * § 401. Power to sell. — Each partner has, hy reason of his agency, power to sell any specific part of the partner- ship property which is held for the purpose of sale, and make a valid transfer of the entire title of the firm in it.- Some of the cases and many of the dicfa seem to apply this rule to chattels of every kind, whether held by the firm for purposes of sale or not.* Thus, a sale or mortgage of a ship by one partner in the firm name has been held good.'* But I have no doubt but that the power of sale must be confined to those things held for sale, and that the scope of the business does not include the sale of property held for the purposes of the business and to make a profit out of it, and that this only is the true rule.* The power of disposition is not confined to tangible chat- tels, but extends to choses in action. Each partner has the same power to sell and assign them that he has over other 1 § 849 et seq. 5 Hewitt v. Sturdevant, 4 B. Mon. 2 For power to contract to convey 453, that a sale of a steamboat real estate, see § 299. owned for profit is void. Cay ton v. 3 Clark V. Rives, 33 Mo. rm. Hardy, 27 Mo. 536, that a sale of * Ex parte Howden, 2 Mont. D. & working oxen by one of a farming De G. 571; Lamb v. Durant, 12 Mass. parLnersiiip is void. Mussey v. Holt, 54, 57 (7 Am. Dec. 31); Patch v. 24 N. H. 248 (55 Am. Dec. 234), of Wheatland, 8 Allen, 102 {contra, a lease of partnership real estate by Hewitt V. Sturdevant, 4 B. Mon, one partner. Hudson v. McKenzie, 453); The Wm. Bagaley, 5 Wall. 377, 1 E. D. Smith, 358. These questions 406. But a sale by a partner in charge have more frequently arisen on at- of a ship at sea will give title as tempts to sell the entire effects of against a prior sale of the partner the firm and will be considered more at home. Lamb v. Durant, supra. fully in treating of such attempts. 416 PARTICULAR POWERS BEFORE DISSOLUTION. § 401. personal property;^ as to change the bank account of a firm conducted in the name of one partner to a distinctively firm account.^ So a member of a mining partnership can agree that ore shall be delivered to a mill in sufiBcient quantities/ Each partner has the same right to sell and indorse over mercantile paper belonging to the firm that he has to sell any other property before dissolution.* , An indorsement of a note payable to the firm by one partner in his individual name, though it does not convey the legal title in the note, is a good assignment and conveys the entire beneficial in- terest of all the partners.^ So where a note was payable to Propeller Ira Chaffee, an indorse- ment of it in that name by the managing partner binds the firm.* An indorsement thus: " I hereby assign," etc., signed in the firm name, conveys the firm's title.' Where the partners divide the notes of the firm between them, each can indorse the firm name on his own notes to perfect his own title.* As attorneys sell claims when authorized, a sale of notes by one of the firm, if within the apparent scope of the business, may bind the owner of them and the copartners, although there was in fact no right to sell them.' Where a note was made to partners in their individual names, ICuUum V. Bloodgood, 15 Ala. 34; Alabama Coal Min. Co. v. Brainard, Caulfield v. Sanders, 17 Cal. 569 ; 35 id. 476 ; Manning v. Hays, 6 Md. Mills r. Barber, 4 Day, 428 ; Randolph 5; First Nat'l B'k v. Freeman, 47 Bank v. Armstrong, 11 Iowa, 515, Mich. 408; Commercial B'k u. Lewis, assignment of a judgment; Everit v. 13 Sm. & Mar. 226; Windham Co. Strong, 5 Hill, 163; McClelland u. B'k r. Kendall, 7 R. L 77; Walker v. Remsen, 36 Barb. 622 ; 14 Abb. Pr. K^e, 14 S. Ca. 142 ; 16 id. 76 ; Barrett 331 ; 23 How. Pr. 175; 3 Keyes, 454; v. Russell, 45 Vt. 43. 3 Abb. App. Dec. 74; Kull v. Tliomi> & Planters' & Mer. Bank v. Willis, son, 38 Mich. 685; Clarke v. Hoge- 5 Ala. 770; Alabama Coal Min. Co. man, 13 W. Va. 718. v. Brainard, 35 id. 476. See § 194. 2 Commercial Nat'l B'k v. Proctor, 6 First Nat'l B'k v. Freeman, 47 98 111. 558. Mich. 408. 3 Pearson v. Post, 2 Dak. 220, 249. 7 George v. Tate, 102 U. S. 564. 4 Planters' & Mer. B'k t?. Willis, 5 s Mechanics' B'k v. Hildreth, 9 Ala. 770; Cullum v. Bloodgood, 15 id. Cash. 356. 34 ; Halstead v. Shepard, 23 id. 558 ; » Pierce v. Jarnagin, 57 Miss. 107. Vol. 1 — 27 417 § 40J. CONDUCT OF THE BUSINESS. and the partner assigns it by indorsing the firm's name, this proves title in the assignee as against the maker.' § 402. sales with warranty. — The usual rule of agency, that a power to sell implies a power to warrant quality or soundness, obtains in sales by one partner.^ So of a sale of notes falsely stating the indorser and maker to be worth a certain sum. The firm was held liable on the warranty.^ But the contrary has been held of a sale of a judgment guarantying its payment without proof of usage.* In Jordan v. Miller, 75 Va. 442, a partnership was formed to bay cattle in Tennessee, and bring them to Virginia for sale, and cattle were purchased, but the price in Virginia was found to be very low, and neither sales nor pasturage could be obtained. Under these circumstances some of the partners made a contract to sell the cat- tle, guarantying a certain profit at the end of the next year, and under the circumstances this was held not to be in excess of pow- ers. § 403. Power to sell the whole property. — As a partner has the power to sell whatever is held for sale, and as it is impossible to say at what point the power ceases, it follows that he has the power to sell all such property in bulk or as an entirety. But one of the reasons which forbid him to assign all the property for the benefit of creditors without the consent of his copartners, if they are accessible, viz. : that this is not transacting the business of the firm, but destroy- ing it, applies here to limit the power of selling to carrying out the business of the firm, and furthering its objects. On principle it would seem to make no difference whether the property is real or personal. If it is property in the con- tinued use of which the transaction of the firm's business depends, he has no implied power to sell it, whether it be the store or factory in which the trade is carried on, or the office furniture or safe, or partnership books,' or the ploughs, 1 Mick V. Howard, 1 lad. 250. 6 The case of Dore v. Wilkinson, 2Diumright v. Philpot, IG Ga. 434; 2 Stark. 287, is not to the effect that 60 Am. Dec. 738. a partner can sell the books, but the 3 Sweet V. Bradley, 24 Barb. 549. dictum is that if tlie purchaser from * Hamilton u. Purvis, 2 Pa. 177. a partner had bought a new set of 418 PARTICULAR POWERS BEFORE DISSOLUTION. § 40:j. horses or implements of a farming partnership, or the tools and machinery of a mechanical occupation, or the library and instruments of a professional one. It is, or until a recent date was, a very common assertion, that each partner had the power to dispose of the entire partnership effects. In the note are collected not only the decisions, but most of the dicta sustaining this power more or less broadly.^ A partner has a power to mortgage the entire stock, sub- ject to the same limitations, doubtless, as in selling the- whole.^ Many authorities, recognizing that this assertion is entirely too broad, have stated it in a narrower shape, namely, that every part- books, even as agent of the selling v. Clark, 1 Biss. 128, 136); Graser v. partner, he would have a lien on Stellwagen, 25 N. Y. 315; Wetter v. them to the extent of his outlays Schlieper, 4 E. D. Smith, 707, 717; made in the business since his pur- Willett v. Stringer, 17 Abb. Pr. 153. chase. See High v. Lack, Phil. (N. Ca.) Eq. 1 Lambert's Case, Godbolt, 244; 175; McGregor v. Ellis, 2 Disney, Fox V. Hanbury, Cowp. 445, 448; 286; Deckard v. Case, 5 Watts, 22, Pearpoint v. Graham, 4 Wash. C. C. 24; 30 Am. Dec. 287; Dickinson v. 232 ; Anderson v. Tompkins, 1 Brock. Legare, 1 Desaus. 537 ; Mygatt v. 456, 459; Halstead v. Shepard, 23 Ala. McClure, 1 Head, 495, 497; Barcroft 558, 573; Hyrschfelder v. Keyser, 59 v. Snodgrass, 1 Cold. 430. 444; Will- id. 338; Mills v. Barber, 4 Day, 428, iams v. Roberts, 6 id. 493; Lasell v. 430; Drake v. Thyng, 37 Ark. 228; Tucker, 5 Sneed, 33, 36 ; Schneider v. Mason v. Tipton, 4 Cal. 276; Crites Sansom, 62 Tex. 201; 50 Am. Rep. V. Wilkinson, 65 id. 559; Williams 521; Williams v. Sommerville, 8 V. Barnett, 10 Kan. 455; Lamb v. Leigh, 415, 430; Forkner v. Stuart, 6 Durant, 12 Mass. 54, 56; Montjoys Gratt. 197; Fox u. Rose, 10 Up. Can. V. Holden, Litt. Sel. Cas. 447; 12 Am. Q. B. 16; Paterson v. Maughan, 39 Dec. 331 ; Arnold v. Brown, 24 Pick. id. 371. 89; 35 Am. Dec. 296; Tapley v. But- 2 Osborne v. Barge, 29 Fed. Rep. terfield, 1 Met. 515; 35 Am. Dec. 725; Wilcox u Jackson, 7 Colorado, 374; Kirby v. Ingersoll, 1 Doug. 521; McCoy v. Boley, 21 Fla. 803; (Mich.) 477, 488 (aff. s. c. Har. Ch. 172) Bull v. Harris, 18 B. Mon. 195; Tap- (see Sirrine v. Briggs, 31 Mich. 443, ley v. Butterfield, 1 Met. 515; 35 Am. 444); Whittou v. Smith, 1 Freem. Dec. 874; Holt v. Simmons, 16 Mo. (Miss.) Ch. 231; Cayton v. Hardy, 27 App. 97; Willett v. Stringer, 17 Abb. Mo. 536; Holt v. Simmons, 16 Mo. Pr. 152; Arnold v. Morris, 7 Daly, App. 97, 114; Mabbett v. White, 12 498; Paterson v. Maughan, 39 Up. N. Y. 442 (explained in Pettee v. Can. Q. B. 371. Orser, 6 Bosw. 123, 137 ; and Bowen 419 § 40-t. CONDUCT OF THE BUSINESS. ner has tlie power to sell or transfer tlie entire personal propert}', excluding the real estate, thus seeming to put a generally just and proper restriction on the power of sale upon the mistaken ground of the nature of the property and the technical rules of convey- ancing, which require a deed signed by each partner who holds the legal title, instead of on the ground of want of power to act out- side of the scope of the business.' Other autliorities have sought to find the limit to the general power of selling in the doctrine that the power is to be exercised in subordination to the joint benefit.'' This limitation, in so far as it applies, extends to sales of property held for sale where the gen- eral power of disposition is undisputed, for even of such property a conveyance to pay a private debt of the selling partner, or with an intent to defraud the other partners known to the buyer, is not within the power; but the limitation as above expressed would permit the sale of any property provided it be for joint benefit, and under it a partner could transfer property held for continued use to pay debts or to raise money to pay debts, without the assent of his copartners. § 404. The true principle, undoubtedly, is that stated above (§ 401), that the scope of the business gives an im- plied power of sale only of the property held for the pur- pose of sale, or which appears to the buyer to be such, and that property owned for continued use cannot be sold with- out express authority from the copartners. The following cases, as well as the doctrine against the power to assign for benefit of creditors, explain and enforce this doctrine. In Sloan v. Moore, 37 Pa. St. 217, the partnership was in run- ning a newspaper, and being about to close, or having already closed, one partner sold out the whole concern. It was ruled that 1 Barcroft v. Snodgrass, 1 Cold. 558, 573 ; Williams v. Roberts, 6 (Tenu.)430, 444; Williams v. Roberts, Cold. 493. A sale of the whole, being 6 id. 493; McCullough v. Sommer- an unusual transaction, may excite ville, 8 Leigh. 415, 430; Tapley v. suspicion and may be found not to Butterfield, 1 Met. 515, 519 (35 Am. be bo7ia fide. Stegall v. Coney, 49 Dec. 374); Goddard v. Reuner, 57 Miss. 761. And if sold at half prio«s, Ind. 533 ; Keck v. Fisher, 58 Mo. 533, notice that it is not in the course of 535; Weldu. Peters, 1 La. Ann. 433. business may be implied. Walla.f"« 2 Williams v. Barnett, 10 Kan. 455, v. Yeager, 4 Phila. 251. 458; Halstead v. Shepard, 23 Ala. 420 PARTICULAR POWERS BEFORE DISSOLUTION. § 404. where a partnership is formed not to buy or sell, but for a business in which continued ownership is indispensable, neither can sell, even to pay creditors, and an injunction was allowed. In Myers v. Moulton (Cal.), 12 Pac. Rep. 505, it was held that a partner had no power to sell a stallion kept for breeding, the only property of the firm, because it was not merchandise. In Cayton v. Hardy, 27 Mo. 536, a partner in a farming part- nership attempted to sell a yoke of working oxen. It was held that this was not within the scope of the business, which did not contemplate such sales, and that the sale was void. The court said the same rule would apply to an attempt to sell the farm, the brood mares and the utensils. In Drake v. Thyng, 37 Ark. 228, one partner in the business of making brick, in the temporary absence of his copartner, sold the whole concern, including bricks made and partly made, implements, lease, fire-wood, etc., the buj'er knowing it was partnership prop- erty. It was held that if selling is in the scope of the business one partner could sell part or all of the efiiects intended for sale, but not the business itself, nor the effects, including the means necessary to carry it on, and that the buyer would be held to a strict accountability as a trustee for the assets of the firm that had come to his hands, and the sale would be canceled. So in Grossman v. Shears, 3 Ont. App. 583, it was held that one of the partners in managing a hotel could not sell out the lease and furniture, and that the other was not estopped by having re- mained passive.' In Blaker v. Sands, 29 Kan. 551, in a partnership at will in the increase and improvement of a flock of sheep, there being no sales intended, except of culls of the flock, it was said that one partner had no power of sale of the flock, being indispensable to the firm, for there is no agency in one partner to destroy the firm b}'' strip- ping it of its property, and the sale does not bind the copartner. In Shellito v. Sampson, 61 loAva, 40, the question was raised whether one partner can bind the firm by an agreement to rescind a contract, the business under which constitutes the whole busi- ness of the firm, and a rescission of which would work a practical dissolution. iSee, also, Goddard v. Renner. 57 brewery could not sell the brewery Ind. 532, holding that a partner in a lot. 421 § 405. CONDUCT OF THE BUSINESS. In Ilunter v. Waynick, 67 Iowa, 555, it was said that one part- ner has no power to sell the entire property of the firm where the other partner lived only seventy-five miles away, with a telegraph and daily mail communication between the towns. In Hefiderson v. Nicholas, 67 CaL 152, it was held that one part- ner could not convey the interest of both in a water right acquired by them by appropriation. § 405. The power to sell even property held for sale must be exercised in the course of business; hence if the dissent of the copartner in a firm of only two is known to the buyer, the power is revoked;^ or if the sale or transfer is to pay the private debt of the selling partner,^ or if there is fraudulent collusion, the sale is void.^ Hence, a sale of the whole stock by a single partner while abroad, to secure a creditor, is void in the absence of assent by the copartners.* A sale, in order to break the firm, has been held void,* and it has been doubted whether a partner could terminate the partnership by a sale of all its effects.* In Arnold v. Brown, 24 Pick. 89 (35 Am. Dec. 296), the firm's business was to buy goods and sell them at retail; one partner ab- sconded and creditors were threatening, and the remaining partner sold the entire stock as an entirety to one person. The court said that while the ordinary business of the firm was to buy in large quantities and sell in small quantities, yet this could not restrain the general power to buy and sell; that the authority to sell will expand or contract according to emergencies that may arise; thus, if a favorable opportunity occurred, one partner could sell a great part or the whole at once, and here an exigency had arisen which rendered a sale highly expedient, and the sale was held valid.' lSee§325. feuse was want of insurable inter- 2§ 410. est, one partner having previously 3 Hale u. Railroad, 60 N, H. 333; sold out the insured property. Edgar v. Donnally, 2 Munf. (Va.) * Pearpoint v. Graham, 4 Wash. C. 387; Fox V. Rose, 10 Up. Can. Q. C. 232; Osborne v. Barge, 29 Fed. B. 16. Rep. 725. See Sirrine v. Briggs, 31 * Dickinson v. Legare, 1 Desaus. Mich. 443, 444. 537. 'And see, also, as to absence af- 6 Kimball v. Hamilton F. Ins. Co. fectiug autliority. Lamb v. Durant, 8Bosw. 495. This was an action on a 12 Mass. 54, 56 (7 Am. Dec. 31) ; Hun- fire insurance policy, and one de- ter i'. Waynick, cited in the previous 423 PARTICULAR POWERS BEFORE DISSOLUTION. § 40G. § 406. Power to pledge or mortgage. — The power to bor- row and the power to pay debts both imply a power to pledge or give a mortgage upon the property of the firm ■which is held for sale, or any part of it,^ or to secure future advances of merchandise,^ or work to be performed upon the articles pledged to secure payment for the work,' and for this purpose may assign notes and claims,* or may sell and deliver goods to a creditor in payment.^ A tender by one partner is tender by the firm,* and a refusal to pay by one partner on demand of the creditor, though the firm had previously tendered the amount, is a refusal by the firm.' The power of one partner to make a chattel mortgage is the same as a power to pledge, and is involved in the power of a partner to sell and pay debts,^ and the power to incum- ber the entire stock is involved in the power to sell the whole stock. ^ eection ; Forkner v. Stuart, 6 Gratt. Mills v. Barber, 4 Day, 438 ; Com- 197. For the remedy of the injured mercial B'k v. Lewis, 13 Sm. & Mar. (partners, see §§ 276, 1035-1048. 226 ; McClelland v. Remsen, 36 Barb. 1 Nelson v. Wheelock, 46 111. 25 ; 622; 14 Abb. Pr. 331 ; 23 How. Pr. Fromme v. Jones, 13 Iowa, 474; Gal- 175; 3 Keyes, 454; 3 Abb. App. Dec. way V. FuUerton, 17 N. J. Eq. 389; 74. McGregor v. Ellis, 2 Disney, 286; sscott v. Shipherd, 3 Vt. 104; Bos- €uUum V, Bloodgood, 15 Ala. 34; well u. Green, 25 N. J. L. 390; Fork- Mills V. Barber, 4 Day, 428 ; McClel- ner v. Stuart, 6 Gratt. 197. land V. Remsen, 3 Keyes, 454 ; 3 Abb. 6 Douglas v. Patrick, 3 T. R. 683. App. Dec. 74; 30 Barb, 622; 23 How. ^Peiise v. Bowles, 1 Stark. 323. Pr. 175; 14 Abb. Pr. 331; George v. » Gates v. Bennett, 33 Ark. 475; Tate, 102 U. S. 564; Milton u Mosher, Wilcox v. Jackson, 7 Colorado, 521; 7 Met. 244; Roots v. Salt Co. 27 W. McCoy u Boley, 21 Fla. 803; Fromme Va. 483, 493; Tapley V. Butterfield, 1 v. Jones, 13 Iowa, 474; Nelson v. Met. 515, 518(35 Am. Dec. 374); Holt Wheelock, 46 111. 25; Stockwell V. V. Simmons, 16 Mo. App. 97; Arnold Dillingham, 50 Me. 442; Tapley v. V. Morris, 7 Daly, 498. And see Butterfield, 1 Met. 515 ; 35 Am. Dec. Richardson v. Lester, 83 III. 55; 374; Patch v. Wheatland, 8 Allen, Morse v. Richmond, 6 III. App. 166 102; Keck u. Fisher, 58 Mo. 532; Holt (aff'd, 97 111. 303), of a real estate v. Simmons, 16 Mo. App. 97; Willett mortgage to secure a loan. v. Stringer, 17 Abb. Pr. 152 ; Roots v. 2Keegan v. Cox, 116 Mass. 289; Salt Co. 27 W. Va. 483, 492. McGregor v. Ellis, 2 Disney, 286. • 9 As to which, see § 403. As to sCarnesv. White, 15 Gray, 378. the power of a surviving part- Weston v. Ketcham, 39 N. Y. Su- Planters' Bank of Miss. 7Sm. & Mar. perior Ct. 54. 192 (45 Am. Dec. 310). 8 Crossman v. Shears, 3 Ont. App. 'Barnard v. Lapeer, 6 Mich. 274; 583. 443 § *ao. CONDUCT OF THE BUSINESS. knowledge of an intended sale of the whole assets by one partner an assent.' § 429. Acting under unauthorized contract. — Accepting the benefits or acting under the disputed contract tends to prove a ratification,'- but not if in ignorance of the source of the benefit;^ and so of acquiescence in one partner engag- ing the firm in a new enterprise with others.* An ofiPer by the other partner in trying to collect the amount due the firm to allow the set-off, if the debtor will pay the balance, is not a ratification,' but paying a subsequent debt so created is evidence of assent.* § 430. Practice. — Assent of the copartner maybe shown to validate the appropriation, and a subsequent ratification is as effect- ual as prior assent; ' but au assent after an assignment by the firm for the benefit of creditors is too late, and will not relate back.* The bur- 1 Sloan V. Moore, 37 Pa. St. 217. 2 Drumright v. Philpot, 16 Ga. 434 (GO Am. Dec. 738), dividing pro- ceeds of an unauthorized contract of sale ; Michigan Air Line R'y v. Mel- len, 44 Mich. 321, dividing bonds taken for a debt in lieu of cash, by one partner; Banner Tobacco Co. v. Jenison, 48 Mich. 459; Levick's Ap- peal (Pa.), 2 Atl. Rep. 532, dividing the avails of an unautliorized sale of the whole assets; Waller v. Keyes, 6 Vt. 257, accepting a deed for an unauthorized land purchase ; Lynch V. Flint, 50 Vt. 46 ; Burnley v. Rice, 18 Tex. 481, 494. 3 Briggs V. Hubert, 14 S. Ca. 620 ; Hotchin v. Kent, 8 Mich. 526, of a silent partner drawing share of profits partly derived from unau- thorized speculations; Eaton v. Tay- lor, 10 Mass. 54, partial payments on a note given after dissolution ; Clark V. Hyman, 55 Iowa, 14, accepting se- curity against an unauthorized guar- anty given by one partner in the firm name; Holmes u. Kortlauder(Mich.), 31 N. W. Rep. 532, partial payments to an attorney employed by the other partner in a matter not strictly in the scope of business but beneficial to it; Jones v. Clark, 42 Cal. 180, paying interest on a note given by the managing partner of a mine for a purchase of property; Livingston V. Pittsb. & Steub. R. R. 2 Grant's Cas. (Pa. ) 219, permitting stock sub- sci'ibed for without authority to be voted; Porter v. Curry, 50 111. 319, selling a chattel bought by the co- partner without authority or for himself. 4Tabb V. Gist, 1 Brock. 33; Mason V. Connell, 1 Whart. 381; Wood v. Counell, 2 id. 542; Buckingham v. Hanna, 20 Ind. 110. 5 Hurt V. Clarke, 56 Ala. 19 (28 Am. Rep. 751). 6 Carter v. Beeman, 6 Jones (N. Ca.), L. 44. 7 Noble V. Metcalf, 20 Mo. A pp. 360. « Clark V. Sparhawk, 2 Weekly Notes (Pa.), 115. But see the case cited, supra, p. 122, notes. 444 PARTICULAR POWERS BEFORE DISSOLUTION. § 430. den of proof is on the person claiming the existence of such authority or assent to show it, for such appropriation is prima facie fraudulent and collusive.' That the assent must be clearly and distinctly proved.'' If the property delivered to one partner is such as he would need for partnership purposes, as provisions where he boarded the shop hands, assent will be presumed.^ Where the action is on a note signed in the firm name, an answer of one partner that it was made by the other partner, without knowledge and consent, for his separate debt, is sufficient without averring that the firm did not assume it. The plaintiff must reply the assumption in order to rely upon it.* The fact of ratification is a question for the jury,^ and whether the act was in the scope of the business is a question for the jury.' 1 Johnston v. Crichton, 56 Md. 108; 5 Johnson v. Crichton, 56 Md. 108; Kemeys-r. Richards, 11 Barb. 312; Hewes v. Parkman, 20 Pick. 90; Corwin v. Suydam, 24 Oh. St. 209. Windham Co. Bank v. Kendall, 7 R. 2 Hamilton v. Hodges, 30 La. Ann. I. 77 ; Jones v. Booth, 10 Vt. 268. Part n, 1290; Haynes u, Sechrest, 13 SMaltby v. Northwestern Va. R. Iowa, 455; Wise v. Copley, 36 Ga. R. Co. 16 Md. 422; Hodges v. Ninth 508; Gray v. Ward, 18 111. 32; Ke- Natl B'k, 54 id. 406; Briggs y. Hubert, meya v. Richards, 11 Barb. 312. 14 S. Ca. 620; Crozier v. Kirker. 4 3 Greeley v. Wyeth, 10 N. H. 15. Tex. 252 (51 Am. Dec. 724) ; McNeish < Fordice v. Scribner, 108 Ind. 85. v. HuUess Oat Co. 57 Vt. 316. 445 CHAPTER VII. POWER OF A MAJORITY. § 431. As to third persons. — Whatever a single partner can do a majority can do. The power of an individual partner to bind the firm to third persons depends on the nature or scope of the business, as well as upon the powers conferred, and this subject has been treated of in the pre- ceding pages. But the converse of this is not so true, that is, it cannot be said always that the revocation of power, which one partner can exercise in a firm of two, would bind the majority. This is particularly noticeable in two aspects. In a firm of two, one partner may prevent a change of the internal arrangement or management, because of the prin- ciple of in re communi potior est conditio prohibentis; and yet a majority could overrule such objection, if it be one not fundamental. Again, one partner in a firm of two can, by notice to third persons, revoke the agency of the other in minor matters, in which a majority could overrule the objection.^ § 432. Inter se. — The power of a majority of the part- ners to act against the wishes of the minority must be con- sidered in two classes: 1st. In matters of administration of the business. 2d. In matters of a permanent or fundamental character. As to the tiansaction of the ordinary business of the firm, and the carrying out of the declared ol)jects of its forma- tion, in the usual way, within the scope of the business, it follows of necessity that the majority must control, and that the minority cannot arrest the business or suspend its operations. If there are no stipulations or covenants as to 1 Nolan V. Lovelock, 1 Montana, Iowa, 504. See Anon. v. Layfield, 1 224, 227; Jolmsion v. Dutton, 27 Ala. Salk. 202; and Cuirithers v. Jarrell, 245 ; Western Stuge Co. v. Walker, 2 20 Ga. 842. 446 . POWER OF A MAJORITY. g 433. particular practices or mode of conducting ordinary trans- actions, or regulating the internal affairs of the partnership, the majority must decide.' A majority may order a division of profits, while debts are un- provided for,' but not a dividend out of capital, no profits being made;' or may settle and agree upon an account of the profits of a voyage,^ but not for a return of capital/ So, if the majority decide to sell the stock which is held for sale, the decision being in perfectly good faith and not to oppress the minority, they are not accountable for not getting a better price than they did/ § 433. Illustrations.— In Kirk v. Hodgson, 3 Johns. Ch. 400, the firm employed a clerk for two years, with an agreement for an increase of his compensation as business increased. During the third year he was found to have appropriated moneys; nevertheless the majority continued him in the firm's employ, and he was held entitled to the increased compensation. The act of the majority binds, good faith being all that can be required, and their continu- ing him is an admission that he has not forfeited the increase. So, where partners in the business of conducting a newspaper had agreed that a publisher should be selected for a term not ex- ceeding five years, they have fixed the maximum and not the mini- mum term, and a publisher having been selected for no fixed time, and he neglects his duties and is engaged in other enterprises, the action of the majority in turning him out and selecting another publisher must control the minority.' In a mining partnership the majority can control the method of 1 Const V. Harris, Turn. & R. 496 ; 4G5 ; and see Stupart v. Arrovvsmith, Blisset V. Daniel, 10 Hare, 493; John- 3 Sm. & G, 176. ston V. Dutton, 27 Ala. 245; Western SGansevoort v. Kennedy, 30 Barb. Stage Co. V. Walker, 2 Iowa, 504; 279. Nolan V. Lovelock. 1 Montana. 224, ^ staples v. Sprague, 75 Me. 458; 227; Zabrislvie V. Hackensack & N. Western Stage Co. u. Walker, 2 Iowa, Y. R. R. 18 N. J. Eq. 178, 183; Kirk 504. t'. Hodgson, 3 Johns. Ch. 400, and "Peacock r. Cummings, 46 Pa. St. cases cited below. 434; also reported in 5 Phila. 253. 2 Stevens v. South Devon R'y Co. But the majority in certain cases 9 Hare, 313, 326. may not have power to change the sMacdougall v. Jersey Imperial management. C, B. & Q. R. R. v. Hotel Co. 2 Hem. & M. 528. Hoyt, 1 111. App. 374. « Robinson v. Ihompson, 1 Vernon, 447 § 434. CONDUCT OF THE BUSINESS. workinj^ and the conduct, of the business, provided the exercise of such power is within the limits of what is necessary and proper to carry on the enterprise for the benefit of all.' The majority, however, must exercise its powers, whether ex- pressly conferred or existing by implication of law, in good faith for the interest of the firm, and not for the interest of any part of the members or from personal motives,* The dissenting partner has a right to be heard and an opportunity to urge his objection.* Thus, an agreement between some of the partners to overrule the rest, whatever thej' might wish, is not in good faith, and the court could compel them to rescind such agreement.^ § 434. in fiiiulamental matters. — While the limits of justifiahle deviation are difficult to define, there are cer- tain conditions in the relationship of partners of the char- acter and authority of permanent constitutional restrictions or fundamental limitations, and whether they belong to this class from the nature of the partnership or by the express provisions of the articles, they bind all as a solemn contract, alterable only by unanimous concurrence. Even if the articles provide that the majority shall gov- ern,^ or that a general meeting may amend, alter or annul the articles, it seems that this class of limitations cannot be invaded by any number less than the whole. ^ A majority cannot take up a new kind of business or change the nature of the business. The partnership being formed to pursue one kind of business, the right to confine it to that is a fundamental part of the contract rights of 1 Dougherty r. Creary, 30 Cal, 290. 2 Const v. Harris, Turn. & Russ, "Where the majority of stockholders 496, 518, 525; Blisset v. Dauiel, 10 in a mining corporation which had Hare, 493, 523, 527. leased its hind bouglit out tlie lessee 3 Const v. Harris, Turn. & R, 496; and formed a partnership, agreeing Western Stage Co. v. Walker, 2 to vvorli. together as shareholders in Iowa, 504. electing directors favorable to tliem- . ^ Const v. Harris, Turn. & R. 496, selves, and not to sell or buy its 518. stock except on joint account, this 5 Livingston r. Lynch, 4 Johns. Ch. is not against public policy, but a 573. prudent management, no other stock- » Smith v. Goldsworthy, 4 Q. B. holder being injured or complaining. 430, where it was sought to reduce Faulds V. Yates, 57 111. 416. the capital. 448 POWER OF A MAJORITY. g 435. ■each partner;^ or engage the firm in another partnership;' or reorganize the partnership and increase the number of shares,' or reduce the capital;^ or agree to dissolve and re- pay one funds he had advanced;^ or make a loan outside the scope of the business.** If persons subscribe to form a joint stock partnership and the majority procured the incorporation of the company, the subscrip- tions cannot be collected from those who did not assent.' A stipulation against trading in spirituous liquors, if put in the articles, is made fundamental and material, and if the majority cliange it a non-assenting partner may withdraw and dissolve the firm.* Nor can a majority release a partner from his contingent liability to the firm.' Nor will a final settlement of accounts between two of three partners bind the third.'" § 435. We have elsewhere shown that a majority cannot convert the joint assets into separate property by dividing up any part of it, for the equitable lien of each partner ex- tends to the whole property. Thus, two of three partners in the purchase and subdivision of a tract of land cannot, without the consent of the third, agree that one of them shall have a particular part of it, although the court may protect his improvements by awarding him this part if con- sistent with the rights of the third partner; " nor assign a claim to one partner if there is a dissenting partner.'^ If the articles iNatusch V. Irving, 2 Cooper's ■? Southern Steam Packet Co. v. Ch. 358; Const r. Harris, Turn. & R. Magrath, McMull. (S. Ca.) Eq. 93. 517, the two leading cases, both by 8 Abbot v. Johnson, 32 N. H. 9. Lord Eldon ; Zabriskie v. Hacken- 9 Bill v. Porter, 9 Conn. 23. sack & N. Y. R. R. Co. 18 N. J. Eq. lOChadsey v. Harrison, 11 111. 151; 178, 183. Cooper v. Frederick, 4 G. Greene, 2Tabbr. Gist, 6Call(Va.), 279. 403; Lamalere v. Caze, 1 Wash. C. 3 Livingston v. Lynch, 4 Johns. C. 435. See Gansevoort v. Kennedy, Ch. 573. 30 Barb. 279. * Smith V. Goldsworthy, 4 Q. B. ^^ Cooper v. Frederick, 4 G. Greene 430. (Iowa), 403. And see Gregory v. * Gansevoort v. Kennedy, 30 Barb. Patcliett. 33 Beav. 595. 279. 12 Bird v. Fake, 1 Pin. (Wis.) 290 ; "Cooke V. Allison, 30 La. Ann. Horback v. Huey, 4 Watts, 455; Bun Part II, 903. V. Morris, 1 Caines, 54. Vol. I — 29 449 436. CONDUCT OF THE BUSINESS. provide that in case of sale of the firm's mill before dissolution the proceeds should be divided equally between the three partners, this is made a property right, and two cannot give the proceeds to one of them and deprive the third of his agreed share, though he had assigned his share as security to such one;' nor agree that a purchaser from the firm could settle his debt by crediting it on his individual account against one partner." Nor can a general meet- ing transfer the available property to certain shareholders in lieu of their shares, practically putting an end to the companj'- and throwing the debts on the rest.' So there are other rights and duties, as the duty to observe good faith and not to compete, etc., of which no number of partners less than all can permit a violation.'' So no majority could bind the members of the firm jointly and severally by contracts even in the scope of the business, but jointly only. So no majority could admit a new member. * The non-consenting partner or partners may retire,' or may obtain an injunction;' but failure to object after knowledgCj if amounting to acquiescence, will supply the want of authority.* 1 Moore v. Knott, 12 Oregon, 260. porations than to the powers of part- 2Harter v. Wrigley, 48 Ga. 495. ners. They can be found in Lindley 2 Gregory v. Patchett, 33 Beav. 595. on Partnership, pp. 604-5. * See generally under Good Faith. ^ Abbot v. Johnson, 32 N. H, 9. 5 In the English decisions are many ^ Natusch v. Irving, 2 Cooper's Ch. interesting cases as to the powers of 358. a majority in joint stock associa- 8 Natusch v. Irving, supra; Tabb v. tions. These are analogous rather Gist, 6 Call (Va.), 279. And see Ab- to the doctrine of ultra vires in cor- bot v. Johnson, 33 N. H. 9. 450 CHAPTER VIII. CONTRACTS WITH ONE PARTNER. §436. General rules of agency. — 1st. On contracts not under seal and other than negotiable paper, if the principals are disclosed it is their contract, and so if the fact of agency is disclosed but not the name of the principal. If the fact of agency is not disclosed and the agent acts as if he were principal, the person dealing with him may, on discovery of the principal, hold either at his election. 2d. If the contract is under seal, and is executed by the agent in his own name, he alone can sue or be sued upon it, even if the fact that he is but an agent be disclosed. 3d. If the contract be negotiable paper, only the persons named in it can sue or be sued on the paper, though the paper does not necessarily merge the liability on the original consideration. The case of a partner contracting jn his own name, though gen- erally called a case of undisclosed principal, is not strictly such, but is rather a case of an agent of two principals, one an individual and the other composed of several joint principals, including the individual principal, thus raising the question whether he acted for his sole principal or for the body. For a partner is not agent of the others or of each of them, but for the firm as a body, including himself, and either represents all or himself alone. §437. Simple contracts other than mercantile paper. — Apart from sealed instruments and mercantile paper, simple contracts entered into in the name of one partner will bind the firm, if he was in fact acting on its behalf, although the other party was not aware of the existence of the partner- ship. This is on the ground that such partner is an agent acting for an undisclosed principal. So if a partner makes an oral contract, saying nothing as to whether it is for himself or for the firm, if it be in fact 451 § 437. CONDUCT OF THE BUSINESS. oa behalf of the firm, or in the scope of its business, it will be deemed to be a partnership transaction. Thus a sale to a partner of goods for the firm is prima facie a sale to the firm.^ A sale by a partner of merchandise of the firm is a sale by the firm.- A contract by a partner with reference to the business is the contract of the firm.^ An employment of one partner in the scope of the busi- ness is deemed to be the employment of the firm. Thus, where a person employs an attorney, it is ordinarily an employment of the firm, so that the client may pay any partner, and any partner may perform the services.'' The employment, of course, may specially stipulate that one partner alono is to perform the service, and in such case if another partner attend to the case it is a breach of contract, but the damages are only nominal, if no injury is sustained, the value of the services not being in the name, as in a work of art; and if the particular partner die, the client may go elsewhere, on payment to the survivor for the services as far as rendered.^ But the contract is partnership property, although one partner is specially employed, and all must sue upon it.' In Spruhen v. Stout, 52 Wis. 517, plaintiff was in the employ of a partnership in work upon a mill, and part of the time was di- rected by one partner to get brick from ruins belonging to such partner, some of which material did not go into the mill. There was no notice to the plaintiff that this work was for the partner in- dividually, and he was held entitled to assume that he was in the partnership employ all the time, and can look to the firm and have a lien upon their building for the whole amount. So a contract made by one partner in his own name, if in fact a partnership transaction, must be enforced in the names of all the partners.'' And any promise to one partner inures to the benefit 1 Mills V. Barber, 4 Day, 430 ; Dou- De Tastet v. Carrol, 1 Stark. 88 gal V. Covvles, 5 id. 515; Booe v. Clement v. British Amer. Assur. Co, Caldwell, 13 Ind. 12; Walden v. 141 Mass. 208. Sherburne, 15 Johns. 422; Augusta < Williams v. More, 63 Cal. 50 Wine Co. v. Weippert, 14 Mo. App. Harris v. Pearce, 5 111. App. 622 483. So of a loan, ' Sherwood v. Eggleston v. Boardman, 37 Mich. 17, Snow, 46 Iowa, 481 ; 26 Am. Rep. 155. 5 Smith v. Hill, 13 Ark. 173. 2 Lambert's Case, Godbolt, 244; 6 Jackson u. Bohrman, 59 Wis. 422 Badger V. Daenieke, 56 Wis. 678. 7 Gage v. Rollins, 10 Met. 348; 3 Anon. V, Layfield, 1 Salk. 291 ; Jackson v. Bohrman, 59 Wis. 422. 452 CONTRACTS WITH ONE PARTNER. § 438. of all;' hence, a law firm may sue upon the special employment of one partner." The most usual instances of contracts by one partner upon which the entire firm is held arise where the copartners are either actually dormant, or the existence of the partnership is unknown to the other party, in which case they are treated as dormant as to him. § 438. Sealed instruments in the name of one partner. — It is to be noticed that we are considering the liability on contracts made in the name of a single partner. If the con- tract is in the name of the firm, it purports on its face to be intended as a partnership act, and the question then raised is as to the power of a partner. For this subject see Sealed Instrument. Applying the rules stated in § 436 to partnerships, if a partner contracts in his own name under seal, he alone and not the firm is bound.^ Thus where a partner gives his in- dividual bond or note under seal, it cannot be shown that credit was given to the firm.^ So of a lease by one partner in his own name,^ or a purchase, and bond and mortgage to secure the price, all in the name of one partner.® 1 White V. Williams, Willm. Woll. illegal. Hopkinson v. Smith, 1 Bing. & Hod. 53. This subject will appear 13. more fully when we come to consider 3 Hancock v. Hodgson, 4 Bing. 269; who may be plaintiffs. § 1019. Hall v. Bainbridge, 1 M. & G. 43. zjacksou tj. Bohrman, 59 Wis. 422. * Tom r. Goodrich, 2 Johns. 213; But where an attorney keeps an of- Willis v. Hill, 2 Dev. & Bat. (N. Ca.) fice in a town other than that in L. 231; Moore v. Stevens, CO Miss, which he practices, which is in 809; United States i;, Atstiey, 3 Wash. charge of a clerk, and the attorney C. C. 508 ; North Pennsylvania Coal is employed in that town, but the en- Co.'s Appeal, 45 Pa. St. 181; Krafts tire service is pei'formed by the clerk, v. Creighton. 3 Rich. (S. Ca.) L. 273; collection of fees was defeated either and see Walden v. Sherburne, 15 on the ground of public policy, the Johns. 423; Butterfield v. Hemsley, courts desiring to keep the profes- 12 Gray, 226; Harris v. Miller, Meigs sion pure, and not allow employ- (Tenn.), 158 (33 Am. Dec. 138). ments to be attended to by clerks, 8 Tuttle V. Eskridge, 2 Munf, 330. who should be with the attorney re- 6 Williams v. Gillies, 75 N. Y. 197 ceiving instruction, or on the ground (rev. 13 Hun, 422). Contra, if he that there was a partnership between was authorized to make the transac- the attorney and the clerk, which is tion, Morse v. Richmond, 97 111. 303 (aff. 6 111. App. 166). 453 §439. CONDUCT OF THE BUSINESS. This rule does not apply if the copartner was secret, else the latter could always escape liability.^ § 439, Nogotial)Ie paper made in the name of one partner. A fii'in name being the agreed sytnbol representing all the partners, whether named in it or not, is the signature of all. whether they be ostensible or dormant or nominal (see under Name), even though the firm name be the name of one partner alone, as to which see hereafter. But where there is a firm name which is other than the name of the partner, and a creditor takes negotiable paper bearing the name of one partner alone, the general rule is that the firm cannot be held as parties to such paper. '^ Thus, where a note was taken in the name of one partner, evi- dence of the maker's declarations at the time cannot be given to show a loan to the firm, where the other partner had not consented to notes being given in the name of one alone, and the payee knew the firm name was not that of such partner.' I Chamberlain v. Madden, 7 Rich. L. 395. Contra, see Davidson v. Kelly, 1 Md. 492. 2SiflFkin v. Walker, 2 Camp. 308; Emly V. Lye, 15 East, 7; Lloyd v. Ashby, 3 C. & P. 138; Ex parte Bo- litho, Buck. 100; Bevan v. Lewis, 1 Sim. 376; Driver v. Burton, 17 Q. B. 989 ; Nicholson v. Ricketts, 2 E. & E. 497; Williams v. Thomas, 6 Esp. 18; Murray v. Somerville, 2 Camp. 99; Bottomley v. Nuttall, 5 C. B. (N. S.) 122; Miles' Claim, L. R. 9 Ch. 035; Le Roy V. Bayard, 2 Pet. 186 ; Coote v. Bank of U. S. 3 Cranch, C. C. 95 ; Re Herrick, 13 Baukr. Reg. 312; Ripley u. Kingsbury, 1 Day, 150, n. a; Strauss ]v. Waldo, 25 Ga. 641; Macklin v. ' Crutcher, 6 Bush, 401 ; Ostrom v. Jacobs, 9 Met. 454; Uhler v. Brown- ing, 28 N. J. L. 79 ; Graeff v. Hitch- man, 5 Watts, 454; Farmers' Bank v. Bayless, 35 Mo. 428; Dryer v. San- der, 48 id. 400; Coster v. Clarke, 3 Edw. Ch. 411; Allen v. Coit, 6 Hill, 318; Siegel v. Chidsey, 28 Pa. St. 279; National Bank v. Thomas, 47 N. Y. 15; Holmes v. Burton, 9 Vt. 252; 31 Am. Dec. 621 ; Cunningham v. Smith- sou, 12 Leigh (Va.;, 32 ; Goldie v. Max- well, 1 Up. Can. Q. B. 424. Contra, Seekel v. Fletcher, 53 Iowa, 330; Paine v. Dwinel, 53 Me. 52; Tucker v. Peaslee, 36 N. H. 167 ; Hill v. Voor- hies, 22 Pa. St. 68; Puckett v. Stokes, 2 Baxter (Tenn.). 442; Burnley v. Rice, 18 Tex. 481, 497; Sessums v. Henry, 38 id, 37; Foster v. Hall, 4 Humph. (Tenn.) 340. Where two establishments in the same place and same business were conducted by the same person as proprietor of one and partner in the other, and ho obtains money from a bank on checks signed by him as agent, the firm may show that they do not owe the bank. Mechanics & Traders' Bk. V. Dakin, 24 Wend. 411. 3 Ostrom V. Jacobs, 9 Met. 454; Coote V. Bank of U. S. 3 Cranch, C. 454 CONTRACTS WITH ONE PARTNER. § 440. In Crozier v. Kirker, 4 Tex. 252, 257 (51 Am. Dec. 724), it was said that if the note signed by one partner appear on its face to have a joint operation and to be on partnership account, the payee can sue the maker or all the partners at his election. In Lemon v. Fox, 21 Kan. 152, the manager of a bank, author- ized to sign certificates of deposit in his own name, omitted the designation " manager " on signing one, with the intention of tak- ing the money as a loan to himself, the depositor, however, intend- ing it as a deposit, and not noticing the change, and all the partners were held liable on the certificate. If the paper given is not negotiable paper the question does not arise. Thus, weighers' tickets addressed only to the purchasing partners is not an agreement to look to them alone.' And so of a receipt in the name of one partner.* § 440. Liability of firm on original consideration when not bound by the paper. — Where the individual paper of one partner is taken, yet if the sale was made to and upon the credit of the firm, the other partners will be liable for the original consideration as for money lent or goods sold, although they are not liable upon the paper, which is merely collateral.' In Sorg V. Thornton, 1 Cint. Super. Ct. Rep. 383, T., P. & Co., who had been in the habit of borrowing from the plaintiff, took in a new partner, D., and the name was changed to P. & Co. T., who was still a partner, applied to the plaintiff for a loan for the C 95; Uhler v. Browning, 28 N. J. ^ Ex parte Bvown, cited in 1 Atk. L. 79. Yet whetlier a personal cheek 225 ; Siffkin v. Walker, 2 Camp. 308 ; for the loan was payment so as to Denton v. Rodie, 3 Camp. 493; Maffet take away recourse on the firm or v. Leuckel, 93 Pa. St. 468; Burns v. not was held a question of intention Parish, 3 B. Mon. 8 ; Mackliu v. or agreement, to be left to the jury, Crutcher, 6 Bush, 401 ; Allen v. Coit, in Smith v. ColUns, 115 Mass. 388. 6 Hill, 318; Smith v. Collins, 115 As to. the effect of an indorsement Mass. 388; Duval v. Wood, 3 Lan- over by one partner in his own name sing, 489; Graeff v. Hitchman, 5 of a note in the name of the firm, see Watts', 454; Hoeflinger v. Wells, 47 § 200. Wis. 628 ; Sorg v. Thornton, 1 Cint. 1 Smith V. Smyth, 42 Iowa, 493. Super. Ct. Rep. 383; Weaver v. Tap- '-JReevs v. Hardy, 7 Mo. 348; Her- scott, 9 Leigh (Va.), 424; Cuuuing- som V. Henderson, 3 Foster (23 N. ham v. Smithson, 12 Leigh, 32. And H.). 498, 504; Brown v. Lawrence, 5 see Beebe v. Rogers, 3 G. Greene Conn, 397. (Iowa), 319. 455 § 441. CONDUCT OF THE BUSINESS. new firm, the plaintiff being ignorant of the change of name, and gave him a note in the name of the old firm. The new firm was held liable for the loan, for T. had power to borrow, and his giving a worthless note does not exonerate the firm from liability for money lent. So the note of one partner may be taken as collateral and not as payment unless paid. In Emly v. Lye, 15 East, 7, a leading case, Geo. Lye and E. L. Lye, partners as Geo. Lye & Son, employed Home as their boo,k- keeper, and he procured the discount of bills from one Borrough, some drawn in the firm name and some in the names of G. Lye only and of E. L. Lye only. The proceeds of all the bills were used for the partnership and Borrough believed the firm was held on all. In an action against both partners on bills by E. L. Lye, the count on the bill was abandoned and reliance was placed on the money counts alone, which Lord Ellenborough held to be proper, unless it was desired to pursue E. L. Lye only, as the names of others than the signer could not be supplied by intendment. So in Siffkin v. Walker, 2 Camp. 308, Walker & Roulstone being indebted to the plaintiff, a note for the debt was given him signed by Walker, and both were sued upon it, but it was held that the remedy was either against both on the debt, or against Walker alone on the note as a separate security for a joint debt. §441. Bills on, or to account of, the firm.— As a bill could be accepted orally, an acceptance of a draft upon the firm by one partner in his own name binds the firm, unless the statute requires an acceptance to be in writing.^ Bat 1 Wells V. Masterman, 2 Esp. 731 ; Up. Can. C. P. 230, on the ground Mason v. Rumsey, 1 Camp. 384; Jen- that a partner can only bind the kins V. Morris, 16 M. & W. 879; Dol- firm in the firm name. In the latter man r. Orchard, 2 C. & P. 104; May case, however, the payee had con- V. Hewitt, 33 Ala. 161; Dougal v. structive notice that the acceptance Cowles, 5 Day, 511, 515; Pannell r. was unauthorized for other reasons. Phillips, 55 Ga. 618; Beach v. State And see Taber v. Cannon, 8 Met. 456. Bank, 2 Ind. 488; Cunningham v. In Markham v. Hazen, 48 Ga. 570, Sinithson, 12 Leigh, 32; Tolman v. a bill was drawn upon a firm in its Hanrahan, 44 Wis. 133. But contra, correct name, The Republican Asso- where the acceptance is required to ciation, whoso business was the pub- be written, Re Adansonia Co. L. R. lication of a newspaper called Tlie 9 Ch. App. 635; Ileenan v. Nash, 8 Opinion. One partner accepted tlio Minn. 407, and Hovey v. Cassels, 30 bill thus: " Accepted for The Opinioii 456 CONTRACTS WITH ONE PARTNER. § 441. the accepting partner may be sued separately if his accept- ance was unauthorized and not binding on the firm.^ Where a partner accepts in the firm name, and adds his own name also, no individual liability is created.^ If a partner draws a bill in his own name on his firm for its use, it is, in legal contemplation, an acceptance of the firm, and the firm can be sued upon it.' In Bank of Rochester v. Monteath, 1 Den. 402 (43 Am. Dec. 681), the partnership did business in Rochester in the name of John Allen, and in Albany in the name of Wm. Monteath, and the former drew a bill on the latter, who accepted; it was held to be a bill on themselves on which both could be held as drawers or indorsers as well as for money lent.* So if a partner authorized to raise money draw on a debtor or correspondent of the firm, directing the amount to be charged to the firm's account, the payee can recover of the firm on the draft.^ But .the draft of a third person on one partner "on account of " the firm, and accepted by him in his own name, was held to be his personal acceptance only, though the firm might be liable for ita amount.* If a bill is drawn upon a firm by an incorrect name, but is accepted in the right name, the firm is bound. ^ newspaper," and signed his initials. ^s. P. Wright v. Hooker, 10 N. T. This was held sufficient, but was put 51, approving the above case, and upon the ground that it sufficiently disapproving Allen v. Coit, 6 Hill, identified the firm. 318, and Rogers v. Coit, id. 323, if lOwen V. Van Uster, 10 C. B. 318. they are inconsistent with it. 2i2e Barnard, 33 Ch. D. 447; Mai- sheimsdyk v. Kane, 1 Gall. 630; colmson v. Malcolmson, 1 Irish L. R. Farmers' Bank v. Bayliss, 41 Mo. Ch. D. 228, where he accepted for 274, 287. And see Beebe v. Rogers, the M. Spinning Co. and self. For 3 Iowa, 319; Morse r. Richmond, 97 cases of use by a partner of a name 111. 303 (aff'd, 6 111. App. 166), where varying from the firm name, see a partner holding the title to real es- § 199. tate was authorized to borrow and SDougal V. Cowles, 5 Day, 511; signed in his own name as "trustee," McKiuney v. Bradbury, Dallam « Cunningham v. Smithson, 12 (Tex.), 441 ; Beach v. State Bank, 2 Leigh, 32. Ind. 488. And see Denton v. Rodie, "As where a bill was drawn upon 3 Camp. 493, where the firm was Ashbj' & Rowland in the name of held liable not on the paper but as Ashby & Co., but accepted as Ash by for a loan to it. & Rowland, the acceptance binds all 457 § 413. CONDUCT OF THE BUSINESS. But a bill drawn upon one partner and accepted by him in the name of the firm will not bind the firm.' § 44:2. Renewal of firm debt by individual note.— Where a firm debt is renewed on the individual note of a single partner, with tlie assurance that the other is to sign, and the latter com- plained of the omission of his name, as showing a desigii to cheat him out of the profits, the firm continues liable.'' After the retirement of a partner known to the creditor, the effect of an extension of the debt to the continuing partner belongs to another subject. See §§ 532-534. § 443. Firm in the name of one partner. — But the name of one partner may itself, by prior agreement, represent all the partners, as where it is the usual firm name, or has been permitted to be used as such for certain purposes, of w^hich the act in question is one. Where this is the case, his signature to a note or contract, or any other act done by him or in his name, may be an individual act or a partner- ship act, and hence is necessarily equivocal. The guides for determining whom the name represents are as follows: 1. Prima facie, that is, in the absence of all other evi- dence, the signature of the individual is taken to be what it purports to be, his personal act. In other words, the name presumptively represents the person, and not the firm.^ the partners, Lloyd v. Ashby, 2 B. & 369); Etheridge v. Binney, 9 Pick. Ad. 23. See Faith v. Richmond, 11 272, 274; U. S. Bank v. Binney, 5 A. «& E. 339. An order on H., "gen- Mason, 17G; Gernon v. Hoyt, 90 N. eral partner," and accepted in the Y. 031; Buckner v. Lee, 8 Ga. 285; firm name, is an order on the firm, Strauss v. Waldo, 25 Ga. 041; Boyle which consisted of H. and a special v. Skinner, 19 Mo. 82; Mercantile B'k partner, Carney v. Hotchkiss, 48 v. Cox, 38 Me. 500, 50(5 ; Oliphant v. Mich. 276. Mathews, 16 Barb. 008 (cited appro v- iNicl.olls V. Diamond, 9 Ex. 154; ingly in Yorkshire Banking Co. v. Mare v. Charles, 5 E. & B. 978. Beatson, 4 C. P. D. 204); Nat'l Bank 2 Horsey v. Heath, 5 Oh. 353; v. Ingraliam, 58 Barb. 290; Puckett McKee v. Hamilton, 33 Oh. St. 7. v. Stokes, 2 Baxter, 442 ; and see ^Ex parte Bolitho, Buck. 100; Williams v. Gillies, 75 N. Y. 197 (rev. Yorkshire Banking Co. v. Beatson, 4 13 Hun, 422). Contra, that it is pre- C. P. D. 204; Bank of Rochester v. suinably a partnership act, MilBln v. Monteath, 1 Den. 402, 405 (43 Am. Smith, 17 S. & R. 165 (svhich was Dec. 681); Manufacturers', etc. Bank doubted in Burrouglis' Appeal, 26 V. Winship, 5 Pick. 11 (16 Am. Dec. Pa. St. 204, but said in Jones v. 458 CONTRACTS WITH ONE PARTNER. § 443. In Fosdick v. Van Horn, 40 OIi. St. 459, L. & E. were doing sev- eral kinds of business in the same firm name, and Fosdick was a dormant partner in one of them, and a note was given in the firm name, and it was held that this note is presumed to he the note of the firm not containing the dormant partner, unless it be proved to have been on the credit or for the business of the other firm, and this may be proved by representations made at the time of borrow- ing, o^ by other circumstances; and the dormant partner, on his side, may show that the books of his firm contain no entry of the trans- action.' If the partnership is not a trading one, or a partnership where there is implied power to give notes, the note is an individual mat- ter, unless there was special authority to make it; and so if the transaction was not within the scope of the business.'' If there is evidence that the transaction was a partnership matter, as where the partner declared the purchase or loan was for the business, or for the firm, if the plaintiff knew there was a firm, or if the plaintiff kimself at the time avowed to the partner that he was dealing with him in the capacity of partner or was trusting the firm, this shows the transaction to be a partnership one, and the name then represents and binds all the jDartners.'' Sv5 if mercantile paper payable to one partner belongs to the firm, whose name is also his name, the fact of the partnership be- ino- concealed, his indorsement of the notes renders his secret part- ners liable.* Fegely, 4 Phila. 1, 2, never to have ney, 5 Mason, 176 •, Wiusliip v. B'k been overruled); Yorkshire Banking of U. S. 5 Pet. 539 532. See Tlieilen Co. t?. Beatson, 4 C. P. D. 204; 5 id. v. Hann, 27 Kan. 778; Macklin v. 109, presumed to be for the firm, if Crutcher, 6 Bush, 401; Moaler. Hol- maker had no other business. lins, 11 Gill& J. 11 ; Getchell v. Fos- 1 S. P. In re Munn, 3 Biss. 442. So ter, 106 Mass. 42; Thorn v. Smith, 21 of insurance on partnership prop- Wend. 364, 36 J-7; National Bank v. erty. Ingraham, 58 Barb. 290; Crocker 2 As in Marvin v. Buchanan, 62 v. Colwell, -^6 N. Y. 212; Gernon v. Barb. 468. Hoyt, 90 N. Y. 631 ; Gavin v. 3 Stephens v. Reynolds, 5 H. & N. Walker, 14 Lea, 643. 513; 1 F. & F. 739; 2 id. 147; York- 4 Mohawk Nat'l B'k r. Van Slyck, Bhire Banking Co. v. B atson, 4 C. P. ,29 Hun, 1S8. D. 204; 5 id. 109; U. S. Banku Bin- 459 g 444. CONDUCT OF THE BUSINESS. Of course, if tlieve is a firm name, a partner cannot cast upon the firm tlio burden of loans incurred by himself in his own name by declaring they were for the firm.' If the partner borrows on his own account, merely representing that the money is to be used in the firm's business is not sufficient. The lender must understand that he is dealing with the firm^ through the partner.* That insurance upon partnership property of a partnership, where the firm name is the name of one partner, and the insurance is taken in his name without disclosure of the fact of partnership, which was a limited one, will cover the entire interest, and a proof of loss, stating that such partner is the sole owner, is not false swearing, for the property belongs to the firm of that name.* It has been also held that, if the maker has no other business, his signature to a note will be deemed to represent the partnership.* § 444-. These rules also apply where the partners have not adopted the name of one as their firm name generally, but it is so used with their express or implied authority.^ As if the partners sometimes dealt in the name of one partner as a firm name, this may be left to the jury as evidence that it was the firm name in the transaction in question;^ or where no firm name had been agreed on, each partner can use his individual name to represent the firm;' so where the acting partner, no name hav- ing been agreed on, introduced a name without the concurrence of the rest.* 1 Uhler r. Browning. 28 N. J. L. 79; reconciles any seeming inconsist- Dryer v. Sander, 48 Mo. 400. ency in the decisions as to the lia- 2 Ah Lep V. Gong Choy, 13 Oregon, bility of the firm of Jolin Winship in 205. Manufacturers', etc. Banii v. Wm- 3 Clement v. British Am. Assur. ship, 5 Pick. 1 (16 Am. Dec. 3G9), and Co. 141 Mass. 298. A note given by Winship v. Bank of U. S. 5 Pet. 539. the ostensible partner in whose namo 5 Jn re Warren. 2 Ware, 322 ; South the firm was carried on, to his dor- Carolina Bank v. Case, 8 B. & C. mant partner, for the amount of 427; 2 Man. & Ry. 459. See Morse v. capital the latter had contributed, is Richmond, 97 111. 303 (aff. 6 111. App. tlie maker's individual note. i?e 166). Waite, 1 Low. 207. 6Le Roy r. Johnson, 2 Pet. 186, ♦ Bank of Rochester v. Monteath, 1 200. Den. 402 (43 Am. Dec. 681); York- ^Kitner r. Whitlock, 88 III. 513-; shire Banking Co. v. Beatson, 4 C. Getcliell v. Foster, lOG Mass. 42. P. D. 204 ; s. C. 5 id. 109. And this « Holland v. Long, 57 Ga. 36, 40. 460 CONTRACTS WITH ONE PARTNER. § 445. Ill Crocker v. Colwell, 46 N. Y. 212, the firm of Colwell & Dim- mick kept their bank account in the name of Dimmick alone, and hence all checks were drawn in his name; hence, where Dimmick drew his check, with the amount left blank, for the purchase of stock for the firm, and an agent of the firm filled up the amount and procured the plaintiff to cash it, and the agent claimed to have lost part of the amount, Dimniick's name was held to be the firm name for the purpose of drawing checks, and the firm was held liable on the check. So if all the partners assent to the use of the name of one to des- ignate the firm in certain transactions, though there be a firm name,' or even in a single transaction," or where the bank account is kept in the name of one partner alone, his check on partnership account binds the firm.^ § 445. dormant and undisclosed partnerships. — If the plaintiff did not know of the existence of a partnership, as where the other partner was a dormant one, or though an active partner was not disclosed to the plaintiff, or the partner w^as authorized by the firm to use his own name in a class of transactions, and the plaintiff did not know of the existence of a firm, here the rules of agency as to the liability of an undisclosed principal for acts of the agent in his own name, of which the principal gets the benefit, ap- ply.* In other words, a person dealing with a firm is pre- sumed to trust to all who composed it, known or unknown. 1 Palmer v. Stephens, 1 Den. 471. 244; Tucker v. Peaslee, 36 N. H. 167; 2 Seekel v. Fletcher, 53 Iowa, 330; Baxter v. Clark, 4 Ired. (N. Ca.) L. Sprague v. Ainsworth, 40 Vt. 47. 127; Poole v. Lewis, 73 N. Ca. 417; And see Folk v. Wilson, 21 Md. 538. Reynolds v. Cleveland, 4 Cow. 2!!<3 3 Crocker v. Colwell, 46 N. Y. 212. (15 Am. Dec. 369); Howell v. Adams, «S, Ca. Bank v. Case, 8 B. & C. 427; 68 N. Y. 314, 320; Poillon v. Secor, Vera v. Ashby, 10 B. & C. 288; LI. 61 id. 456; Crockery. Colwell, 46 id. & W. 20; Wintle v. Crowther, 1 Cr. 213; Everi'tt v. Cliapman, 6 Conn. & J. 316; 9 L. J. Ex. 65; Jn re War- 347; Graeff v. Hitchman, 5 Watts, ren, 2 W^are, 322; Palmer v. Elliot, 1 454; Mifflin v. Smith, 17 S. & R. 165; CliiT, 63; ^-jcj^arfe Law, 8 Deac. 541; McNair v. Rewey, 62 Wis. 167; Bigelow V. Elliot, 1 Cliff. 28 ; Bisel v. Holmes v. Burton, 9 Vt. 252 (81 Am. Hobbs, 6 Blackf. 479; Morse r. Rich- Dec. 621); Strauss v. Jones, 37 Tex. mond, 97 111. 303 (aff. 6 111. App. 166); 313; Davidson v. Kelly, 1 Md. 493; Richardson v. Farmer, 36 Mo. 35; Kennedy v. Bohannon, 11 B. Mon. Smith V. Smith, 7 Foster (27 N. H.), 118; Farr v. Wheeler, 20 N. H. 569; 461 § 446. CONDUCT OF THE BUSINESS. This does not mean that every note by a person having a dor- mant partner, for a purchase of goods to be put into the firm, is a partnership liability. If the signer intended the note to be his in- dividual liability, the payee must sue the firm on the original lia- bility and not on the note.' And so held even when the lender or seller believed it was for the firm, in the absence of any act of the partner inducing such belief.' In Ontario Bank v. Hennessey, 48 N. Y. 545, one partner was au- thorized to draw drafts to pay for purchases and did so. There was no firm name and the lender did not know there any partners. It was held that his name was to all intents the name of the firm and the draft was deemed to be a firm act, and that the question need not be submitted to the jury.^ In Poole v. Lewis, 75 N. Ca. 417, 423, where the firm of P., Y. & Co. was a member of the firm of P., L. & Co., and bought goods to be put into the latter firm, and the vendor charged them to the former firm, it was said that, to show that the vendor credited the buyer also, where the fact of a partnership was not disclosed, he must be proved to have known of the partnership and to have elected to look to the buyer alone, be- cause he will not be supposed to have taken less security than he was entitled to. In the cases where the fact of partnership was unknown to the other party, he can sue the person who contracted with him alone. (See Defendants, § 1052.) § 446. Firm not liable by getting benefit of contract of partner. — The mere fact that the firm received the benefit of a loan to or pm'chase by an individual partner does not make it liable. The debt being his debt, his disposition of the proceeds or consideration has no effect on the creditors' Hersom v. Henderson, 3 Foster (23 mant. Contra, Miller v. Manice, 6 N. H.), 498, r)04. The New Hamp- Hill, 114. shire cases seem to go a little farther l Palmer v. Elliot, 1 Cliff. 63. than the others in holding the firm 2 Manufacturers', etc. Bank v. Win- liable. Griffith uBuffum, 22 Vt. 181 ship, 5 Pick. 11 (16 Am. Dec. 369); (54 Am. Dec. 64); Goddard v. Brown, Buckner v. Lee, 8 Ga. 285. But see 11 Vt. 278, that tlie partner cannot g 447. object to being sued alone. Alexan- 3 One judge dissented, and the case der V. McGinn, 3 Watts, 220, that he is questioned in Williams v. Gillies, can object where the other partners, 75 N. Y. 197. though not disclosed, were not dor- 463 CONTRACTS WITH ONE PAETNER. § 446. relations to the debt or debtor, and does not enable the creditor either to look to the firm or to share pari passu with partnership creditors in the distribution of its assets. He can look only to the person he trusted, unless that per- son was in fact an agent, and it is in the determination of this fact that the difficulty lies; but assuming that the con- tracting partner was acting for himself alone and was the sole debtor, no subsequent enjoyment or benefit of the pro- ceeds implicates the firm, except the partner from whom it receives the contribution.* Thus, where a partner borrows money or procures merchandise for the purpose of contrib- uting it as the share of the capital agreed to be paid in by him.^ So if a person borrows money or purchases goods and afterwards takes in a partner, and the firm gets the ben- efit of the loan or purchase, this does not make the incoming partner liable.' Thus, where Hunter & Co. had ordered goods for shipment to and sale in the Baltic, and afterwards agreed with Hoffman & Co. to share the profit and loss of the adventure with them, they are not liable to the seller.* Even though the purchase was made in the name of the expected firm, if the incoming partner does not ' This doctrine is considerably mod- 20 New Brunswick, 267. On this ified in Louisiana, if the firm has re- principle it was decided in Barton v. ceived the benefit. Roth v. Moore, Hanson, 2 Taunt. 49, that, if several 19 La. Ann. 86; Penn v. Kearny, 21 persons haul with their individual id. 21 ; Lagan v. Cragin, 27 id. 352. horses the several stages of a coach, 2 Evans v. Winston, 74 Ala. 349; sharing the profits, they are not Person V. Monroe, 1 Foster (21 N. H.), jointly liable for the feed of the 462; Elliot v. Stevens, 38 N. H. 311, horses. McLinden v. Wentworth, 51 Wis. 3 Young v. Hunter, 4 Taunt. 582; 170; Logan v. Bond, 13 Ga. 192; Mat- Atwood v. Lockhart, 4 McLean, 350; lack V. James, 13 N. J. Eq. 126, Pol- Smith v. Hood, 4 III. App. 360; Watt lock r. Williams, 42 Miss. 88; Burns v. Kirby, 15 111. 200; Duncan v. V. Mason, 11 Mo. 469; Wittram v. Lewis, 1 Duv. (Ky.) 183; Ketchum v. Van Wormer, 44 111. 525, Bank v. Durkee, Hoffm. (N. Y.) 538; Brooke Sawyer, 38 Oh. St. 339, 342; Valen- v. Evans, 5 Watts, 196; Doually v. tine V. Hickle, 39 id. 19, 27, Donally Ryan, 41 Pa. St, 306; Bank v. Gray, V. Ryan, 41 Pa. St. 306; Foster v. 12 Lea (Tenn.), 459; Taggart v. Barnes, 81 id. 377; McNaughton's Phelps, 10 Vt. 318 ; Howell v. Sewing Appeal, 101 id. 550; Stebbins v. Wil- Machine Co. 12 Neb. 177, 179. lard, 53 Vt. 665 ; Robertson v. Jones, * Young v. Hunter, 4 Taunt. 582. 463 g44G. CONDUCT OF THE BUSINESS. authorize it.' But the principle was held not to apply where the delivery of the articles so purchased was made to the firm and on its credit,* unless made to the partner alone.' Yet if the firm gets the benefit of the transaction, and it is but justice that it assume the debt, such assumption has been held to convert it into a claim against the firm.* So where a partner borrows money on his own responsi- bility and credit, from one who has knowledge of the exist- ence of the firm, and uses the money for the firm or pays it into the firm, it is his debt alone.* So if a person receives money not in the scope of the business, and uses it for the benefit of the partnership, this does not charge the other partners. In Pickels v. McPherson, 59 Miss. 216, P., be- ing indebted to the firm of D. & M., delivered to D. a note made by a third person, to collect, it being outside the scope of the busi- ness to take notes for collection; D. agreed to pay the debt due to the firm out of the avails, and give P. the balance; but D. used the balance in the firm's business, by paying its debts with it. The claim for the balance Avas held to be D.'s individual debt, and for which M. was not liable.^ • iGaus V. Hobbs, 18 Kan. 500. In Wiggins v. Hammond, 1 Mo. 121; Evans v. Winston, 74 Ala. 349, 352, a Asbuiyr. Flesher, 1 1 Mo. GIG; Farm- mortgage was made b\' one partner ers' Bank v. Bayless, So Mo. 428; in consideration of $150, loaned by tbe mortgagee to tlie mortgagor, "then entering into a partnership with R. in the name of R. &N.," and the court said that this might mean in order to replenish the stock, Farmers' Bank v. Bayliss, 41 Mo. 274; Tucker v. Peaslee, 36 N. H. 167; Cos- ter V. Clarke, 3 Edw. Cli. 411 ; Ryder V. Gilbert, IG Hun, 163; National Bank v. Thomas, 47 N. Y. 15; Willis V. Hill, 2 Dev. & Bat. (N. Ca.)L.231; which would be a partnership debt ; Peterson v. Roach, 33 Oli. St. 374 or to provide his share of the capital, (30 Am. Rep. 607); Bank v. Sawj'er, which would be his individual debt, and there was an equipoise. 2 Watt V. Kirby, supra. aid. ; Taggart v. Phelps, supra. 4 See 5^515. s LeRoy v. Johnson, 2 Pet. 186, 199 Smith V. Hoffman, 2 Cranch, C. C G51 ; Guicc v. Thornton, 76 Ala. 466 Mechanics' & T. Ins. Co. v. Richard son, 33 La. Ann. 1308 (39 Am. Rep, 290); Green v. Tanner, 8 Met. 411 Goodrich v. Leland, 18 Mich. HO S8 Oh. St. 339; Ah Lep v. Gong Choy, 13 Oregon, 205 ; Graeff v. Hitchman, 5 Watts, 454; Foster i: Hall, 4 Humph. (Tenu.)346; Union & Planters' Bk. v. Day, 12 Heisk. 413 ; McLindeu v. Wentworth, 51 Wis. 170, 181; Willis v. Bremuer, 60 Wis. 622; McCord v. Field, 27 Up. Can. C. P. 391. 6Hogan V. Reynolds, 8 Ala. 59; Dounce v. Parsons, 45 N. Y. 180. 464 CONTRACTS WITH ONE PARTNER. § 447. So if a sale of goods is made, with knowledge of the ex- istence of the firm, but on the individual credit of one part- ])QV alone, though the goods are turned over by him to the tii-m, or bought with that intention.^ One partner purcha'^ed flour on his own behalf, but this being tlie business of the firm, the firm claim the benefits of it; but this light cannot avail any one else, and hence the seller cannot hold the firm.* ^ 447. When the firm is trusted, and when one partner only. — As already suggested, difficulty, especially on oral contracts, frequently attends determining whether credit was in fact given to the individual partner or to the firm. The question is one of intention to be determined by the jury from the circumstances, unless the contract is written, and is on its face conclusive, which it sometimes is, though oftener not. If the contract is within the scope of the business, the mere fact that a single partner is dealt with is immaterial, where not expressly on his individual credit, and the con- tract will be deemed to be with the firm unless the contrary appears.' So a person paying money at the request of a member of a firm for an apparently firm purpose, as on a note signed by the firm, can 1 Law V. Cross, 1 Black, 533, fol- tlie contract does not bind the firm, lowed without comment in Simpson the partners are liable in proportion V. Baker, 3 id. 581 ; Bird v. Lanius, 7 to their number for the benefits re- Ind. 615; Wittram v. Van Wormer, ceived. Lallande v. McRae, 16 La. 44 111. 525; Lafon v. Cliinn, 6 B. Ann. 193. Mon. 305; Bracken v. March, 4 Mo. 3 church u. Sparrow, 5 "Wend. 223 74; Gates v. "Watson, 54 Mo. 585; "Walden u. Sherburne, 15 Johns. 409 Nichols V. English, 3 Brewster (Pa.), Hamilton v. Einer, 20 La. Ann. 391 250; McDonald v. Parker, Sneed Sleeker v. Smith, 46 Mich. 14; Au- (Ky.), 208 ; Macklin v. Crutcher, 6 gusta "Wine Co. v. "Weippert, 14 Mo. Bush, 401; Venable v. Levick, 2 App. 483; McKinney v. Bradbury, Head (Tenn.), 351 ; Holmes v. Bur- Dallam (Tex.), 441 ; Allen v. Owens, ton, 9 Vt. 252; 31 Am. Dec. 621; 2 Spears (S. Ca.), 170; Stark r. Corey, Chapman v. Devereux. 32 "Vt. 616; 9 45 111. 431 ; Steel v. Jennings, Cheeves Am. Law Reg. (O. S.) 419. (S. Ca.), 183; Venable v. Levick, 3- 2Lockwood V. Beckwith, 6 Mich. Head (Tenia.), 351. 163. In Louisiana, however, while Vol. 1 — 30 465 § 448. CONDUCT OF THE BUSINESS. hold the firm, unless he knew that it was an individual matter or a forgery.' In Baker v. Nappier, 19 Ga. 520, the plaintiff sold goods to K., supposing in the exercise of ordinary care that they were for the firm of K. & A., but K. intended them for K. & B., and it was ruled that he could hold K. & A., the goods being suitable for that firm; though the general rule is that ordinary care on the part of the seller, knowing of the existence of both firms, requires him to in- quire which firm is intended, if the buyer does not indicate which. So of a loan of money; the lender may assume it is for the firm, unless it is stated to be for individual purposes.** In Mills V. Bunce, 29 Mich. 364, it was said that in determining whether the firm or one partner was dealt with, a considerable de- gree of latitude in the proof tending to show that the other part- ner knew the plaintiff understood himself to be dealing with all should be allowed. If the contract on which it is sought to hold the firm was a matter not connected with the business, it is presumptively a' per- sonal contract with the individual partner, though in the firm name.* § 448. evidence eliarging the firm. — Merely that the other partners were aware that the money was to be borrowed or contract made does not make the borrower an agent of the firm in the matter; * nor a mera request that plaintiff become surety on the note of the borrowing partner, for that is not a promise to in- demnify, and does not make the loan a partnership debt; * yet the acquiescence of the other in plaintiff's performing for the firm serv- ices contracted for with one partner is evidence of joint liability.* The firm may assume the dehi with the creditor s assent. Here the consideration must be considered to be the release of the in- iBlinn v. Evans, 24 111. 317. for the balance, yet it was held that 2 Sherwood r. Snow, 40 Iowa, 481 C. could recover the balance from (26 Am. Rep. ISo). In Rose v. Baker, the firm. 13 Barb. 230, A. & P., in 1847, were SRulledge v, Squires, 23 Iowa, 53; partners in buying wheat. C. let A. and see generally under Scope of the have $.300, which was used to pay Business, and §§ 340, 421. for wheat bought for the firm. A * Farmers' Bank v. Bayliss, 41 Mo. few days afterwards A. gave C. 274. his individual note, and a year after- 6 Asbury v. Flesher, 11 Mo. 610. wards, and after dissolution, A. paid <»Bo\vne v. Thompson, 1 N. J. a part and gave his individual note L. 2. 466 CONTRACTS WITH ONE PARTNER. § 448. dividual liability of the borrowing partner, since the past benefit or moral consideration is not sufficient.' In Union Bank v. Eaton, 5 Humph. (Tenn.) 501, it was held that if money was borrowed by a partner on his own credit, and his own note was given, but the money went to the use of the firm, it was no fraud on his copartners to substitute the firm note afterwards for his own, and if the money was borrowed for and on the credit of the firm, the firm is liable on a partnership note sub- stituted for the individual note, though there was no proof that the money was actually so applied.* But in McCord v. Field, 27 Up. Can. C. P. 391, where a partner borrowed money, giving his individual notes, and used it for the firm, and to secure them signed another note in the firm name, it was held that there could be no recovery on the latter against the firm.^ And in Gansevoort v. Williams, 14 Wend. 133, it was held that a note of the firm to renew a note of one partner did not have the appearance of being the act of the firm, and that the creditor must show that it was authorized. In Meader v. Malcolm, 78 Mo. 550, the lender took the individual note of the partner, not noticing the signature, and not so intend- ing, but afterwards, on discovering this, immediately insisted upon and procured a note signed in the firm name by such partner, and it was held that the facts could be shown and the firm made liable on the latter note. And after the partner who made the note has paid it it is ex- tinguished, and an assignee of it from him cannot recover on the naked promise of the other partner to pay it.* In Ostrom v. Jacobs, 9 Met. 454, the action was on a note signed by one partner in his own name alone, and evidence that one of the other partners recognized the note as a firm debt, and tried to borrow money to pay it, was held not admissible against a third partner, unless it is shown that he consented to or knew this. 1 Barcroft v. Snodgrass, 1 Cold. 2 gee, also, Hurd v. Haggerty, 24 (Tenn.) 4E0; Nichols v. English, 3 111. 171 ; Davidson v. Kelly, 1 Md. Brewster (Pa.), 260; Siegel v. Chid- 492. sey, 28 Pa. St. 279; Smith v. Turner, 3 See, also, Guice v. Thornton, 76 9 Bush, 417; McCreary v. Van Hook, Ala. 466. 35 Tex. 631 ; Hotchkiss V. Ladd, 36 < Sprague v. Ainsworth, 40 Vt. 47. Vt. 593; 43 id. 345. 467 § 449. CONDUCT OF THE BUSINESS. In Benninger v. Hess, 41 Oh. St. 6-4, a partner borrowed money, saying it was for the firm, and two days afterwards brought his in- dividual note indorsed in the firm name. This was held not conclu- sive of notice that he borrowed for himself because the note was not delivered until after the loan was made. If the borrowing partner give as security the firm's acceptance of another's draft, this is evidence that the loan was made to the firm.' Especially where similar prior partnership indorsements had been paid by him.* §449. admissions In books and letters. — That the plaintiff had charged the goods furnished or money loaned on his books to the individual partner is not conclusive to exonerate the firm.' And that the firm have the debt en- tered on their books as a liability is not conclusive against them that it is so. Where the maker of the note is, as to the creditor, the only debtor, the manner of keeping books is not conclusive, though competent evidence, as an admis- sion, as is any evidence that it was treated as a firm debt.^ Letters addressed by the lender to the managing partner, who had appropriated the loan to his own use personally, do not show him to be the sole borrower, for it is natural to write to the manager." The stub or counterfoil of the lender's check book was held competent as evidence that the credit was to the firm. The check was payable " to currency." ^ The books of the firm were held competent in their own favor to show that the partner alone was credited with the amount where the creditor was aware that the other partner, who had also signed the note, was surety only and the creditor had extended the time without his consent,' or to show that no entry of the transaction was made upon them of any kind." iSaltmarsh v. Bower, 22 Ala. 221. the clerk made the entry withoni, 2 Bank of Commonwealth v. Mud- din^ctions. gett, 44 N. Y. 514 (aff. 45 Barb. 063); * Tucker v. Peaslee, 36 N. H. 167; but see Davis v. Blackwell, 5 111. Strong u. Baker, 25 Minn. 442; Wil- App 32. lis V. Bremner, 60 Wis, 622; Scott v. s Richardson v. Humphreys, Minor Shipherd, 3 Vt. 104. (Ala.), 388; Baring v. Crafts, 9 Mot. s Stark v. Corey, 45 111. 431. 380; Braclies v. Anderson, 14 Mo. ^ Id. sedqu. 411; Gates i'. Watson, 54 Mo. 585; ^ strong v. Baker, 25 Minn. 443. Bracken v. March. 4 Mo. 74, where ^Fosdick y.Van Horn,40Oh.St.459, 468 CONTRACTS WITH ONE PARTNER. §451. § 450. contemporaneous declarations. — Declarations of the contracting partner, at the time of procuring the goods or money, that it was for the use of the firm, are com- petent and cogent evidence that the credit was given to the firm.^ On the other hand, in Mills v. Kerr, 32 Up. Can. C. P. 68, where the pa^^ee of a note signed in the firm name refused to treat with the firm, and declared that he looked only to the partner who ex- ecuted it and would have nothing to do with the others, it was held that he could not rank with creditors of the partnership on distri- bution. § 451. The individual partner and Ms sureties. — As be- tween the contracting partner who has pledged his sole credit, and his firm, who received the benefit of it, such benefit is regarded as an advance by him to the firm.^ It is, of course, inaccurate to say, as some of the cases do, that as between the partners such partner is a creditor of the firm, for that depends upon what a general balance would show, and such balance may fluctuate daily; hence, a surety for such partner who pays his note is not a creditor of the firm, for his principal, the in- dividual partner, is not a creditor.^ And if such surety became such on the assurance of the contracting partner that it was a firm debt and the usual way of signing partnership notes, and that the co- partners would also sign, such surety, after paying the debt, is a iTremper v. Conklin, 44 N. Y. 58 (30 Am. Rep. 607); Asbury u. Flesher, (aflf. 44 Barb. 450); Crocker, v. Col- 11 Mo. 610; Moore v. Stevens, 6U well, 46 N. Y. 213; Smith v. Collins, Miss. 809; Tom v. Goodrich, 2 Johns. 115 Mass. 388; Benninger v. Hess, 41 213; Krafts v. Creighton, 3 Rich. L. Oh. St. 64; Stockwellv. Dillingham, 273. In Walden v. Sherburne, 15 CO Me. 442 ; Peterson v. Roach, 32 Oh. Johns. 423, it was held that if the St. 374 (30 Am. Rep. 607); Mafltet v. debt of the partner is a sealed ob- Leuckel, 93 Pa. St. 468. Declarations ligation for customs duties, given by or admissions of a partner after the him in his own name because the fact stand on a d life reut|ground. See other partner was abroad, although Admissions, §§ 331-2. had the surety on such bond paid it 2 Green v. Tanner, 8 Met. 411; he could have recovered only from Dewey v. Dewey, 35 Vt. 555, 559; such partner, yet if he furnishes the Sprague v. Ainsworth, 40 Vt. 47; partner with money to pay it, can Farmers' Bank v. Bayhss, 41 Mo. 274. hold the firm for the loan, since it is "Peterson v. Roach, 32 Oh. St. 374 a partnership charge. 469 § 452. CONDUCT OF THE BUSINESS. creditor of the firm; for the request of one partner of the firm within the scope of the business is the request of the* firm, and on the principle stated in the preceding section.' So, if a partner hire slaves with the consent of and for the firm, but gives his own note, although the firm is not bound by the note, yet the consider- ation is their debt, and a surety who pays the note can hold thi' firm.* But a mere statement of the contracting partner, to induce one to become surety, that the firm wanted money for its business, is not sufficient to control or vary the written evidence of the in- dividual note.' The question whether the contract is one of the individ- ual partner on behalf of the firm, or on his own behalf, is a question of fact for the jury.' §462. Note signed by eacli individually. — Allied to the preceding subject is that of the liability of the firm on notes signed by each and all of the partners individually, instead of in the collective or firm name. The importance of the question arises when the holder of such note seeks to rank with partnership creditors, in insolvency or in any distribu- tion of the assets of the firm; for, if he is a creditor of the individual partners and not of the firm, he cannot share pari passu with the creditors of the firm. It may also arise where a partner, on buying out copartners, assuiues all the liabilities of the firm. A note signed by each member of the firm purports, of course, on its face to be the note of a number of individuals, and the mere fact that a partnership exists between them does not connect the note with the firm, and such fact alone is immaterial. Prima facie, therefore, the note is the sev- 1 McKee V. Hamilton, 33 Oh. St. 7. Johnson, 2 Pet. 186. 20O; Poole w. 2 Burns v. Parish, 3 B. Mon. 8; Lewis, 75 N, Ca. 417; Benninger v. Weaver v. Tapscott, 9 Leigh (Va.), Hess, 41 Oh. St. 64. Tlie evidence ot 424. a witness that the partner contracted 3Uhler V. Browning, 28 N. J. L. individually is not conclusivo, for it 79. is matter of opinion rather than ol < Smith V. Collins, 115 Mass. 388; fact, and is the very point in dis- Stecker r. Smith, 46 Mich. 14; Bowne pute. Stecker v. Smith, 46 Mich. V. Thompson, 1 N. J. L. 2 ; Le Roy v. 14. 470 CONTRACTS WITH ONE PARTNER. § 453. eral obligation of each, whether it be in terms joint, or joint and several,^ Separate notes by each partner for his portion of a debt due by the firm are not partnership habiUties/ but the debt itself remains a partnership debt.^ In Hilliker v. Francisco, 65 Mo. 598, a contract in the names of the individual partners, though signed in the firm name, was held to be the contract of the individual partners, and not of the firm, and hence the objection that a third partner should have been co- plaintiff in an action upon it is not sustainable, nor will the part- nership assets be applied in equity to pay it. § 453. May be shown to be a partnership note. — Such note may, however, be shown to be the note of the firm in certain cases. A mere intention that it shall be a firm debt is sufficient inter se, but this is not sufficient as against firm creditors on distribution, unless it is equitable that it should be so by reason of the consideration or use of the note having been for partnership purposes.* 1 Re Roddin, 6 Biss. B77: De Jar- 3 Taylor v. Farmer (111.), 4 N. E. nette v. McQueen, 31 Ala. 230; Free- Rep. 370. See Gandolfo v. Appleton, man v. Campbell, 55 Cal. 197; Pahl- 40 N. Y. 533. manv. Taylor, 75 111. 629; Mack v. * Ex parte Stone, 8 Ch. App. 914; Woodruff, 87 id. 570; Wellman v. i^e Warren. 2 Ware, 332; Trowbridge Southard, 30 Me. 425; Ex parte u. Cushinau, 24Pick. 310;Maynard v. Weston. 12 Met. 1 (cited in Harmon Fellows. 43 N. H. 255; Gay v. John- V. Clark, 13 Gray, 114); Ensign v. son, 45 N. H. 587; Kendrick v. Tar- Briggs, 6 Gray, 329; Duunica v. bell, 27 Vt. 512; Mix v. Shatluck, 50 Clinkscales, 73 Mo. 500; Buffum v. id. 421 (28 Am. Rep. 511); Berkshire Seaver, 16 N. H. 160; Turner v. Jay- Woolen Co. v. Juillard, 75 N. Y. 535; cox, 40 N. Y. 470 (dtc;?/m is explained 31 Am. Rep. 488 (aff. 13 Hun, 506); in Berkshire Woolen Co. v. Juillard, Nelson v. Healey, 63 Ind. 194 ; Spald- 75N. Y. 535;31 Am. Rep. 488);Gan- ing u Wilson, 80 Ky. 589, 595; dolfo V. Appleton, 40 id. 533; Ellin- Mitchell v. D'Armond, 30 La. Ann. ger's Appeal (Pa.), 7 Atl. Rep. 180. P. I, 396; Clanton v. Price, 90 N. Ca. And seeMcKenna's Appeal, 11 Phila. 96, 99; Richardson v. Huggins, 23 N. 84, and Dabuey v. Stidger, 4 Sm. & H. 122; Carson v. Byers, 67 Iowa, Mar. 749; Fowlkesu Bowers, 11 Lea. 606; McKee v. Hamilton, 33 Oh. St. 144; Walsh v. Moser, 38 Tex. 290. 7, 12; Turner v. Jaycox, 40 N. Y. And see cases cited in the next sec- 470; In re Waldron, 98 N. Y. 671; tion. Frow, Jacobs & Co.'s Estate, 73 Pa. 2 See Emanuel v. Martin, 12 Ala. St. 459; In re Thomas, 8 Biss. 139; 233. 17 Bankr. Reg. .54; De Jarnette v. 471 § 453. CONDUCT OF THE BUSINESS. Where no firm name had been adopted, a note signed by each partner for a partnership debt binds the firm.^ And though they had a firm name, but their customary way of executing partnership notes was in the individual names, and the note in question was so intended.^ And so of a note or other instrument signed by one partner with the individual names of each, for a partnership purpose, is the same as if the firm name were signed.'' But prosecuting an action against one partner alone is treating the note as the debt of the partners and not of the firm;* and if such note was made before the partnership was formed, but the avails of it were treated as a partnership fund, it is a partnership debt."^ A note signed by one partner and indorsed by the other, if for partnership purposes, may be treated as a debt of the firm.^ So of a draft by one partner on the other to pay for goods bought on McQueen, 31 Ala. 230, 231; Crouch 2McKee v. Hamilton, 33 Oh. St. V. Bowman, 3 Humph. 209. And see 7, 12. Smith V. Felton, 43 N. Y. 419; Filley 3 Norton v. Seymour, 3 C. B. 793; V. Phelps, 18 Conn. 294, and Aga- IG L. J. C. P. 100; 11 Jur. 312; Hoi- warn Bauk v. Morris, 4 Cush. 99. den v. Bloxum, 35 Miss. 381 ; Patch Conira, that a joint and several note u Wheatland, 8 Allen, 102; Crouch signed by the partners individually v. Bowman, 3 Humph. 209; McGregor and by other makers is the several v. Cleveland, 5 Wend. 475. See note of each, and not provable Austin v. Williams, 2 Oli. 61. against the joint estate, Be Hoi- ^Page v. Carpenter, 10 N. H. 77; brook, 2 Low. 259. And though the Gay v. Johnson, 45 id. 587. payee refused to receive the note in si^e Thomas, 17 Bankr. Reg. 54; 8 the firm name, Kendrick v. Tarbell, Biss. 139. 27Vt. 512. And BO though made after 6 City Bank of New Haven's Ap- dissolution, De Jarnetteu. McQueen, peal (Conn.). 7 Atl. Rep. 548; Ex 31 Ala. 230. But compare Ensign v. parte First Natl. Bank, 70 Me. 3G9 ; Briggs, 6 Gray, 329. Or though sub- Smith v. Folton, 43 N. Y. 419; stituted after dissolution for a note Thayer u. Smith, 116 Mass. 363. See, in the firm name, this does not show also. Booth v. Farmers' & Mech. an intent to make it an individual Bank, 74 N. Y. 228 (aff. 11 Hun, debt, the form of negotiable paper 258), where four partners signed the being very slight evidence, Maynard note and the fifth indorsed it; and V. Fellows, 43 N. H. 255. Contra, see Ladd v. Griswold, 9 111. 25 (46 Crooker v. Crooker, 52 Me. 267. Am. Dec. 443). » Ex parte Nason, 70 Me. 363 ; Ex parte First Natl. Bank, 70 Me. 369. 473 CONTRACTS WITH ONE PARTNER. § 4oba. joint account.' So if the note for a partnership debt is signed by one partner as principal and the other as surety.' In Filley v. Phelps, 18 Conn. 291, three persons formed a part- nership in the livery business and bought out a stable, giving their joint and several notes. These were held partnership debts, en- titled to rank on the joint estate to the exclusion of separate cred- itors of each. So in Frow, Jacobs & Co.'s Estate, 73 Pa. St. 459, the joint and several obligation of continuing partners, signed individually, to the retiring partner, to pay the debts and indemnify him, is inferred from the nature of the transaction to be a partnership and not an individual obligation, and the retiring partner, having paid the un- paid debts, is entitled to a dividend from the assets of the new firm in insolvency. If the note was given for a purpose not connected with the partnership business it will be treated as the separate debt of the individuals.^ It was so held where the partners had signed as sureties,* and where one partner made a loan, giving his individual note which the other partner also signed or indorsed.* §453 a. election to treat it as separate or joint. — If the note by being for partnership purposes is a debt of the firm, it is such at the election of the creditor — certainly in states where separate creditors of each partner do not have a priority in his in- dividual assets over partnership creditors — and the creditor can rank on the separate or joint estate, but not on both. Suing the members jointly and not as partners is an election to treat the note as a separate debt, for as the note does not appear to be a partner- ship act, it must be declared on as such to hold the firm.® A note signed both in the individual names and in the firm's i Addison v. Burckrayer, 4 Sandf. ^Re Bucyrus Machine Co. 5Bankr. Ch. 498. Reg. 303; Drake v. Taylor, 6 Blatch. 2PoIlard V. Stanton, 5 Ala. 451. 14; Ex parte Stone, L. R. 8 Ch. App. •Forsyth V. Woods, 11 Wall. 484. 914; Maynard v. Fellows, 43 N. H. ♦Spalding v. Wilson, 80 Ky. 589, 255; Page v. Carpenter, 10 id. 77; 595 ; Ex parte Weston, 12 Met. 1. Ex parte First NatT Bank, 70 Me. • Pahlman v. Taylor, 75 111. 629; 369. Compare Agawam Bauk v. lill V. Egan, 89 111. 609 ; Burns v. Morris, 4 Cush. 99. Mason, 11 Mo. 469. 473 § 453a. CONDUCT OF THE BUSINESS. name may be held both ways. If the creditor can get the addi- tional security he is is entitled to it.' In Donley v. Bank, 40 Oh. St. 47, 51, a note signed in the firm name was indorsed by the partners individually, and it was said that generally such double execution was to dispense with proof of the membership of the firm; bat it was also said that the indi- viduals are sureties for the firm. But in Taten v. Ryan, 1 Spears (S. Ca.), 240,' one of the part- ners indorsed his individual name on the firm's note, and it was held that he was not chargeable, either as iudorser or maker; that nothing was thereby added to his liability. Where a bill is drawn on a firm and is accepted in the firm name by a partner who adds his individual name underneath, no separate liability is created thereby.^ No agreement can be inferred from signing a note for a partner- ship debt individually, that the parties are to contribute to each other, but the usual rule that one cannot sue the other at law for a firm matter applies.'* A letter thus: " We hereby guaranty," signed in the firm name and also by each partner, was held to be the contract of the firm and of each partner separately.* iFowlkea v. Bowers, 11 Lea, 144; SiJe Barnard, 33 Ch. D. 447; Mal- ice Farnum, 6 Law Rep. 21 ; Re colmson v. Malcolmson, 1 Irish L. R. Bradley, 2 Biss. 515; Re Adams, 29 Ch. D. 228. Fed. Rep, 843; National Bank v. < De Jarnette v. McQueen, 31 Ala. Bank of Commerce, 91 111. 271. 230, 232; Booth v. Farmers' & Mech. 2iJe Blumer, 13 Fed. Rep. 622; Bank, 74 N. Y..228 (aff. 11 Ilun, 258). Fayette Nat'l B'k v. Kenney, 79 Ky. And see Kendrick v. Tarbeil, 27 Vt. 133. And see Stevens v. West, 1 512. How. (Miss.) 308. ^ Ex parte Harding, 12 Ch. D. 557. 474 CHAPTER IX. DEGREE OF LIABILITY ON CONTRACTS. § 454. Contracts are joint, and not joint and several. — In the eye of the law, as distinguished from equity, partner- ship contracts are considered to be joint; but it is often said that in equity they are joint and several, and it is certainly true that death does not in equity release the estate of the deceased partner from liability, and, in this sense, the con- tract is in equity deemed to be joint and several; but it seems not in any other sense, either to permit a set-off in equity of partnership and individual debts or otherwise; and the latest expression of eminent English judges is that the phrase partnership debts are in equity joint and several is not to be understood in the proper and technical sense of the words, but refers only to the remedy and not the nature of the debt.^ iSee the opinions of Lord Cairns, v. Graham, 46 Miss. 425, 427 (but see Lord Hatherley, Lord O'Hagan and Keerl v. Bridgers, 10 Sm. & Mar. Lord Selborne in Kendalls. Hamil- 612); Bowen v. Crow, 16 Neb. 556; ton, L. R. 4App. Cas. 504; s. C. 3 C. Tinkum v. O'Neale, 5 Nev. 93; Cur- P. D. 403. And see Beresford v. tis v. Hollingshead, 14 N. J. L. 402, Bi owning, L. R. 20 Eq. 564, 573, 577, 409; Marvin v. Wilber, 52 N. Y. 270; where the doctrine of joint and sev- Cowdin v. Hurford, 4 Oh. 132; Weil eral liability was affirmed as to com- v. Guerin, 42 Oh. St. 299, 802; Kamni mercial firms, but the M. R. was v. Harker, 3 Oreg. 208; Wiesenfeld non-committal as to any other part- v. Byrd, 17 S. Ca. lOG, 112-14; Davis nerships. That partnersliip con- v. "Willis, 47 Tex. 154; Washburn v. tracts are at law joint only was held Bank of Bellows Fulls, 19 Vt, 278, in Harrison v. McCormick, 69 Cal. 288. As a consequence, all the part- 616; Currey v. Warrington, 5 Harr. ners must sue and be sued, and the (Del.) 147; Wiley v. Sledge, 8 Ga. property of one cannot be attached 532; Thornton v. Bussey, 27 id. 302; if he is a non-resident, as will be Crosby v. Jeroloman, 37 Ind. 264; elsewhere shown. In Strong u. Niles, Boorum v. Ray, 72 id. 151; Scott v. 45 Conn. 52, a firm of four dissolved, Colmesnil, 7 J. J. Mar. 416; Will- three of them forming a new part- iams V. Rogers, 14 Bush, 776 ; Irby nership and employing the formey 475 g 455. CONDUCT OF THE BUSINESS. In law a partnership contract is several to the extent that if a single partner or a number less than all are sued and do not plead non-joinder of the others, a recovery against him or them alone may be had.' We have already seen that a partner is agent for all, and not for each, and cannot therefore, without special authority, make joint and several contracts; but if he does so, he is severally liable upon them and the firm jointly only. § 455. Ijiter se. — The balance owed b}' debtor partners to a creditor partner on final accounting is owed by them each for his own amount, and a decree against them jointly is erroneous;* ex- cept where they have in bad faith excluded him from participatio)i in the business and profits, and from knowledge of the books, in which case they have been held jointly and severally liable for his final balance;" or used the assets to pay the debts of their former firm, of which he was not a member;'* or where surviving partners book-keeper, who transferred to his Woodworth v. Spafford, 2 McLean, own account in the new firm a bal- 168. Lord Mansfield's dic^(«/rt in Rice ance due him by the old for salary, v. Shute, 5 Burr. 2G11, tliat it is Joint The new firm afterwards paid him and several, means so only to the their account without knowing that above extent. it consisted in part of the debt of the 2Starr v. Case, 59 Iowa, 491 ;Rhiner old firm. The i)ayment was partly v. Sweet, 3 Lans. 886 ; Portsmouth r. in cash and partly by a note. In an Donaldson, 82 Pa. St. 202; Raiguel's action by him on the note the de- Appeal, 80 Pa. St. 234, 250; 9 Phila. fendants attempted to offset the 275. And so where two partners buy cash, but it was held that the plaint- out the interest of a third, signing in iff could retain the cash payment, their individual capacities, each is The court say this is because they liable for half, and not in soUdo. are jointly and severally liable. Lush v, Graham, 21 La. Ann. 159. which is not true. In fact, tlic as- Unless by the agreement of dissolu- Bets of the new firm were thus ap- tion, the continuing partners have plied to discharge a debt of the part- jointly covenanted with the retiring ners as individuals and not a firm partner, a'bd he stands on the cove- debt. The word joint, in the sense nant. Wilmer v. Currev, 2 DeG. & tliat death released one of the joint Sm. 347; Beresford v. Browning, 1 promisors entirely so that his estate Ch. D. 30, wliero the covenant was was liable neitlier to the creditor nor held to be joint and several, to contribute to payments by the 3 Bloomfiild v. Buchanan, 14 Ore- survivors, is perliaps nearly obsolete gon, 181; Allison u. Davidson, 2 Dev. except in so far as it affects the Eq. 79. remedy. nVentworth v. Raiguel, 9 Phila, iMason V. Eldred, 6WalI. 231, 235; 275; Raiguel's Appeal, 80 Pa. St. Barry v. Foyles, 1 Pet. 311, 317; 234, 470 DEGREE OF LIABILITY ON CONTRACTS. §457. have divided up the assets among themselves, they are jointly liable to the executor for the decedent's share.' § 456. Contra by statute. — The statutes of several states have, however, made joint debts joint and several, and this applies to partnerships. Such are the statutes of Alabama, Arkansas, Colorado, Georgia, Iowa, Illinois, Kansas, Kentucky, Missis- sippi, Missouri, Montana, New Jersey, New Mexico, North Carolina and Tennessee.* A statute that contracts by several persons shall be joint and several does not apply to partnerships.' When such a statute is in force, an action on a foreign judgment rendered against partners need not be brought against them all.^ § 457. In solido. — Each partner is liable in solido for all debts of the firm. This does not mean that one partner can be sued alone, which depends upon whether the liability is joint or several, but means that the entire fortune of each partner, not only that embarked in the business, but what- ever he may own, is liable to make good the firm's debts, whether the other partners are able to contribute or not; and regardless of the amount or proportion of his interest in the firm, whether it be large or small, the consequence is the same.* 'Currey v. Warrington, 5 Harr. (Del.) 147; Kamm v. Barker, SOreg. iBundy v. Youmans, 44 Mich. 376; Birdsall v. Bemiss, 2 La. Ann, 449. 2 See Conklin v. Harris, 5 Ala. 213; 208, Travis v. Tartt, 8 id. 574; Pearce v. ^Bellerville Sav, Bk, v. Winslow, Shorter, 50 id. 318 ; Hall v. Cook, 69 30 Fed. Rep. 488. id. 87; Hamilton?;. Buxton, 6 Ark. 24; 5 gee, for example. Rice v. Shute, Burgen u Dwinal, 11 id, 314; Kent 5 Burr. 2611; Abbott'. Smith, 2 Wra V. Walker, 21 id. 411; Cannon v. Bl, 947; Wright v. Hunter, 1 East Dunlap, 64 Ga, 680; Williams v. 20; Doddington v. Hallet, 1 Ves, Sr, Muterbaugh, 29 Kan. 730; Wright v. 497; Rex v. Dodd, 9 East, 516; Sal Swayne, 5 B. Mon. 441 ; Williams v. toun v. Honstoun, 1 Bing. 433, 444 Rogers, 14 Bush, 776; Nutt u. Hunt, Medberry v. Soper, 17 Kan. 369 4 Sm. & Mar. 702 ; Miller u. Northern Benchley v. Chapin, 10 Cush, 173 Bank, 34 Miss. 412; Wilson v. Home, Morrell v. Trenton Mut. L. & F, Ins 37 id. 477; Griffin v. Samuel, 6 Mo. Co. 10 Cush. 282; 57 Am. Dec. 92 30; Putnam r. Ross, 55 id. 116; Gates Hanson v. Paige, 3 Gray, 239, 243 V. Watson, 54 id, 585, 595; Simpson Collins v. Charlestown Mut, F. Ins V. Schulte, 21 Mo, App, 639; Logan Co, 10 Gray, 155; Nebraska R. R V. Wells, 76 N. Ca. 416; Gratz v. Co. r. Colt, 8 Neb. 251; Judd Lin- Stump, Cooke (Tenn.), 493, 496. seed & Sperm Oil Co. v. Hubbell, 76 477 § 469 CONDUCT OF THE BUSINESS. Hence a creditor of the firm lias an insurable interest in the life of one of the partners, although the other is solvent.^ And hence if one partner becomes assignee in insolvency of a creditor of the firm, he must charge himself in the account with the full amount of the debt and not with the proceeds merely of a sale of it. Thus, in Benchloy v. Chapin, 10 Cush. 173, where B., of B. & J., a firm, became assignee in insolvency of one L., and among the assets of L. was a note and mortgage made by B. & J., and B., as such assignee, sold the note at auction, and it was bought for half its amount, and he charged himself with the proceeds in his account, it was held that he must charge himself with the whole amount. For as partner of B. & J. he is liable in snlido for its debts; therefore it is his own debt. The person to whom he sold is entitled to collect the whole, therefore the creditors would lose one-half, if this sale is allowed, and that, too, through the default of the person who should protect their rights. Hence, also, the lien of a corporation on stock in the name of a person will secure debts owing to it by his firm as well as by himself.'' And, as we shall see, a judgment creditor of the firm can levy execution for the entire debt upon the property of any of the partners. § 458. Joint stock companies. — This doctrine of unlimited liability applies also to all unincorporated joint stock com- panies as well as to ordinary partnerships.' § 451). Limited by contract. — There is no reason why the liability may not be limited, if so agreed by all parties, in- N. Y. 543; Allen v. Owens, 2 Spears i Moirell v. Trenton Mnt. L. & F. (S. Ca.), 170. In Louisiana, however, Ins. Co. 10 Cush. 282; 57 Am. Dec. partners in commercial partnerships 92. are liable in solido. Villa v. Jonte, ^Re Bigelow, 1 Banki*. Reg. 6G7. 17 La. Ann. 9; Gumhel v. Abrams, SLindley on Partnership, p. 37R. 20 id. 508. But in onlinary partner- See, also, Ilnrlgson v. Baldwin, 65 111. ships each is liable only for his share. 532; Greenup i\ Barbtv, 1 Bibb, 320; Jones u. Caperton, 15 La. Ann. 475; Wright v. Swayne, 5 B. Mon. 441; Hyams u. Rogers, 24 id. 230; Payne Robinson v. Robinson, 10 Me. 240; V. James, 36 La. Ann. 476, a plant- Frost v. Walker, 60 id, 468; Hess r. ing partnership; Hardeman u. Tab- Werts, 4 S. & R. 148; Whitman v. ler, 36 La. Ann. 555, a partnership Porter, 107 Mass. 522, 524; Cutler v. to construct a railroad. But may Thomas, 25 Vt. 73; First Nat. Bank become liable in solido by special v. Gofl, 31 Wis. 77; Coleman v. Bell- contract, Payne v. James, 30 La. house, 9 Up. Can. C. P. 31. Ann. 476. 478 DEGREE OF LIABILITY ON CONTRACTS. § 400. eluding the creditor. A provision in the articles that one partner shall not be generally liable for losses will be of no effect as to creditors who did not have notice of this pro- vision at the time of contracting. - And that the partner whose liability is attempted to be limited is a dormant partner does not relieve him.^ The stipulation is valid inter se, and the partner who is not to share losses may r;^- quire reimbursement if compelled to pay.* And the burden to prove notice of the restriction is upon the partner who claimj it. And a particular creditor may agree with one partner not to hold him liable for the debt.* § 4:00. statutory; limited partnersliips.— There is a stat- utory form of partnership based on a limited liability, called limited partnership, provided for by statute in Upper Canada or On- tario, and the District of Columbia, and in all the states of the Union, and in all the organized territories except Arizona, Idaho and New Mexico,^ in which some of the partners, called special, risk merely their capital, and the others, called general, incur an unlimited liability. Limited partnerships arose in Italy in the early middle ages, and are much in vogue in the continental European countries. They were first introduced here in New York, but in this country they diflFer from the European system in the great strictness with which statutory requiremeuts of paying in the cap- ital, recording, advertising and non-interference of the special part- ner and suppression of his name must be observed, for the special partner is not allowed to take any part in the management of the business, lest an appearance of being a general partner be held out. 1 Ala. Fertilizer Co. v. Reynolds, 79 270; Gillan v. Morrison, 1 DeG. «& S. Ala. 497 ; Phillips v. Nash, 47 Ga. 218; 431. Saufley v. Howard, 7 Daua, 307; * Batty u. McCundie, 3 C. & P. 20;J ; Williams v. Rogers, 14 Bush, 77G; Cannop v. Levy, 11 Q. B. 769. See Perry v. Randolph, 6 Sm. & Mar. 335 ; Hart's Case, 1 Ch. D. 307. It has been Lynch v. Thompson, 61 Miss. 354; held that a person dealing witli a Coleman v. Bellhouse, 9 Up. Can. C. joint stock company of a kind where P. 31. • unlimited liability is generally stipu- zPhiUip* V. Nash, 47 Ga. 218. See lated against, is affected with notice Winsbip v. U. S. Bank, 5 Peters, of such custom, but this doctrine is r29. not favorably regarded. 5 Geddes v. Wallace, 2 Bligh's Rep ^ Alaska and the Indian Territory not being organized. 479 § ICO. CONDUCT OF THE BUSINESS. There is also another form of limited association permitted by stat- ute in Michigan, New Jersey, Ohio, Pennsylvania and Virginia, wherein all the partners are special, governed by managers, and the name of which must be followed by the word " limited." There is a large body of law relating to these various limited partnerships, which has been made the subject of a separate treatise by the author of this work. 480 CHAPTER X. LIABILITY FOR TORTS. § 461. Each partner being the agent of the firm, the firm is Hable for his torts committed within the scope of his agency, on the principle of respondeat superior, in the same way that a master is responsible for his servant's torts, and for the same reason the firm is liable for the torts of its agents or servants. On the other hand, if the tort was not committed in the prosecution of the joint business or within its scope, the mere relation of partners does not make the conduct of the individual imputable to the firm, unless it was authorized by the copartners. The test is often laid down that partners are not liable for each others' wilful torts. Many of the cases in this chapter are entirely inconsistent with such a distinction, unless wilful is strained into the meaning of outside the scope of business. If the partner goes out of his way to commit the tort, whether wilful or not, the other partners are not liable for it.' The effect of subsequent approval, and the consequences if the innocent partners get the benefit of the act, knowingly or not, will be herealter considered. § 462, Illustrations— In Moreton v. Hardern, 4 B. & C. 223; 6 Dow. & Ry. 275, all members of a firm of stage-coach propri- etors are liable to an action on the case for the negligent driving of one who ran iuto the plaintiff and broke his leg. Trespass would have lain against the negligent partner, but not against the innocent ones. So for injury to a passenger by one owner of a line of coaches.* Where one of a firm of common carriers took freight to be put off at a particular place and the boat neglected to stop 1 Pollock's Dig. of Partn. art. 24. 2 Champion v. Bostwick, 18 Weod. 175 (31 Am. Dec. 376). Vol. 1 — 31 481 § 4G2. CONDUCT OF THE BUSINESS. there, it was urged that he had no right to so agree, but the act being within the apparent scope of the business all were held liable.' In Fleteher v. Ingram, 46 Wis. 191, plaintiff's property in the custody of another was attached as the property of third persons and bought in by the custodian and sold by him to a member of the defendant's firm and paid for out of their funds and resold by the firm; all the partners are liable for the conversion. If a part- ner borrows a horse to be used in the partnership business, and by negligence loses him, the firm is liable.* So if one partner put property hired for the use of the firm to a use not stipulated, both are liable.^ Or tore out inside partitions of leased property for the benefit of the firm."* Where one partner knew that certain lumber was made by a trespasser out of timber belonging to the plaintiff, the firm having bought and received them from the trespasser is liable for conversion." In Gwynn v. Duffield, QQ Iowa, 708, one member of a firm of apothecaries negligently permitted the plaintiff to help himself to a dose of medicine, without paying for it, and by mistake plaintiff took a poison and became sick. The copartner was held not liable, on the ground that giving away medicines was not part of the firm's business. But the tort of a partner of one firm is no defense to an action by another firm, in which there is a partner common to both firms. Thus where the plaintiffs, part- ners, sued a railroad company for neglect to receive and carry their grain, the fact that another firm, of which one of the plaintiffs was 1 Heirn v. McCaughan, 32 Miss. 17. Co. to cure pork for the Confederate 2Witcher v. Brewer, 49 .4.1a. 119. troops, and on the retreat of the lat- 'Myei's V. Gilbert, 18 Ala. 467. ter burned down the establishment < Brewing v. Berryman, 15 New to prevent its falling into the hands Brunswick, 515. of the Union army. It was held * Tucker V. Cole, 54 Wis. 539; Ger- that Bruce was a co-trespasser with hardt v. Swaty, 57 id. 24. In Lucas the Confederate general, and he and V, Bruce (Louisville Chancery Ct. his non-resident partners, who were 1864), 4 Am. Law Reg. (N. S.) 95, a innocent of the matter, further than Confederate general took possession that they had formed the firm to of a town where Lucas' pork pack- make money out of the Confeder- ing establishment was, and, at the ates, were liable to Lucas, altliough instigation of Bruce, compelled Lu- Lucas, had he remained, would have cas to rent the premises to Bruce & also furnished pork to them, 482 LIABILITY FOR TORTS. § 465. a member, had by its neglect to receive its grain blockaded tbe rail- road, is no defense.' § 403. Negligence of servants. — A partnership is liable for the negligence of one of its servants acting within the scope of his employment.^ In Linton v. Hurley, 14 Gray, 191, the defendants were partners as stevedores, and while oue partner was unloading a vessel, in the absence of the other, the plaintiff's leg was broken, through the nesliffence of servants acting under him. It was contended that the absent partner was not liable. But it was held that the firm was liable for injuries by negligence of servants employed by both or by one of the defendants, while acting within the scope of the partnership and transacting the business of the firm. Even where the servant is employed and paid exclusively by one partner who has sole charge of a branch of the partnership busi- ness, as a section of a line of coaches, the copartners are liable.* § 4(>4. Scope of authority. — The great difficulty is to de- termine whether the tort was committed within the scope of the partner's representative authority. Upon this it may- be said generally that all the partners are liable, if they would be liable had the same act been committed by an agent intrusted with the management of its business. Where one partner purchases goods with the fraudulent intention of not paying for them, the other, who was ignorant of the in- tent, is liable only on contract, and not for the fraud.* § 465. in collecting debts. — Where a partner is en- gaged in collecting a debt due to the firm by the usual methods, legal process, and in so doing commits or author- izes the commission of a tort in regard to the subjection of property to the debt, he is deemed to be acting within the scope of his agency, and the firm is liable. In Loomis v. Barker, 69 111. 360, a firm of three persons, having got judgment against a person, one of the partners caused execu- 1 Cobb V. I. C. R. R. Co. 38 Iowa, 601. 3 Champion v. Bostwick, 18 Wend. 2St:.bles V. Eley, 1 C. & P. 614; 175 (31 Am. Dec. 376); Laugher v. Bowas V. Pioneer Tow Line, 2 Sawy. Pointer, 5 B. & C. 547, 570. 21 ; White v. Smith, 12 Rich. L. 595; * Stewart v. Levy, 36 Cal. 159. Woodu Luscomb, 23 Wis. 287. 483 § 4G5. CONDUCT OF THE BUSINESS. tion to be levied upon property in the debtor's hands, which be- longed to a third person; the property Avas sold, and the firm got the proceeds. It was held that the plaintiff was entitled to recover against the firm. The judgment was put not on the ground that the firm received the benefit, in which case they would have been exonerated had the partner appropriated the proceeds, but on the ground that a tort had been committed in the course of business.' In Harvey v. Adams, 32 Mich. 472, an execution in favor of a firm was levied, with the assent of one partner, upon property upon which the plaintiff had chattel mortgages, in disregard of the mort- gages, and with knowledge of them. It was held that the firm was liable for the sheriff's acts, authorized by one partner, in collecting a debt, and that the firm who desired to get the benefit of the act, if justified, could not repudiate it if tortious. Rolfe V. Dudlej', 58 Mich. 208, held that if one member of a cred- itor firm received property on a void judgment, and refused to give it up, and the other member referred the owner to the former, both were liable; and it was said that whatever one did in the collection of a debt was presumed to be with the assent of the other. In Kulin V. Weil, 73 Mo. 213, all the partners were held liable for a wrongful attachment by one partner in an action in the name of the firm to collect a debt; and the same ruling was made in Gur- ler V. Wood, 16 N. H. 539, where it was added that any doubt of the liability of the others, arising from their non-concurrence, was removed by the application of the proceeds of sale to the benefit of the firm. In Taylor v. Jones, 42 N. H. 25, however, the sheriff levied upon goods marked with the debtor's name, but, in fact, belonging to a third person, who demanded them of one partner. The latter's neglect or refusal to give them up was held not to make the co- partner liable merely because he was partner, but that the question whether the other was acting in the proper scope and business of the partnership must be left to the jury. The tort here was not in the levy, but in the refusal to release. In Durant v. Rogers, 71 111. 121, one partner caused the seizing of the property of another person for a debt due the firm, and being sued alone on the appeal bond, his surety had to pay; it was held 1 s. p. Chambers v. Clearwater, 1 Keyes, 310 ; 1 Abb. App. Dec. 341 (affg. 41 Barb. 200). 484 LIABILITY FOR TORTS. § 466. that tlie surety could not recover. But in s. c, 87 111. 503, it hav- ing appeared that the firm had received the avails of the property, thereby increasing its assets, the other partners were held liable. In McClure v. Hill, 36 Ark. 268, a debtor of a firm mortgaged his horse to the firm as security; on default one partner took the horse illegally by force or fraud. It was held that both were liable, the trespass being committed in the course of the business. In this case the firm got the benefit of the act, for the other partner know- ingly participated in its fruits. Each partner in eJBFecting a compromise of their debts is the agent of the firm, and any dishonest act or misrepresentation in carrying out the agreement avoids it as to both.' In Mcllroy v. Adams, 32 Ark. 315, a note belonging to a third person came into the hands of a member of a firm of brokers and bankers, and he sued the makers of it in the firm name without knowledge of his copartners, and, by swearing that the firm owned the note, deprived the makers of a good defense available to them against the real owner, and levied execution upon the maker's prop- erty, greatly injuring it. The innocent partner was held liable for the injury caused by the unauthorized act. It is, however, difficult to see how the use of the firm name for the convenience of another can be within the scope of the business. § 466. But whatever be the extent of implied authority in collecting a debt, it does not extend beyond the ordinary ways of collection to render an innocent copartner charge- able for unusual methods of extortion. Thus in Woodling v. Knickerbocker, 31 Minn. 268, one member of a firm of furniture dealers put a placard upon a table in the store, thus: " Taken back from W. Moral: Beware of deadbeats." It was held that, there being nothing in the furniture business to warrant one partner to bind another by uttering libel, a partner who did not know of the act is not liable, but one who knew and did not remove the table is liable. In Rosenkrans v. Barker, 115 111. 331, the malicious arrest and im- prisonment of a debtor of the firm by one partner, in absence and without the consent or knowledge of a copartner, was held not to make him liable, the act failing to be of any benefit to the firm. It 1 Doremus v. McCormick, 7 Gill, 49 ; Pierce v. Wood, 3 Foster (23 N. H.), 519. 485 § 4G7. CONDUCT OF THE BUSINESS. was also lield that, even if the innocent partner sulDScquently ap- prove the act, exempLary damages cannot be recovered from him.' Nevertheless, the firm was held liable in the two following cases: In Robinson v. Goings, 63 Miss. 500, a firm had a deed of trust on cotton of plaintiff, grown on certain property, but owed noth- ing to the firm, and one partner, having met a wagon containing other cotton of plaintiffs, compelled the driver to take it to the firm's warehouse and leave it there, saying they had a deed of trust of it, and would hold it till hell froze over. The cotton was not that covered by the deed of trust, and the plaintiff owed the firm noth- ing. It was held that the partner acted as agent of the firm, and in the prosecution of its business, and under a claim of title for the firm, and that all the partners were liable and in punitive damages. In Vanderburg v. Bassett, 4 Minn. 242, property had been re- plevied from a firm, and hence the remedy by replevin had been exhausted; nevertheless, one partner, in the firm name, replevied the property again; his non-resident copartner was held liable for the conversion. § 467. wilful torts and violations of statutes.— The scope of the business does not generally make copartners liable by imputation for the wilful or malicious torts of one member of the firm, but, as pointed out above, the state- ment in the following cases, that the copartners are not liable because the tort was wilful, is inaccurate; it is because the tort is not in the scope of employment; such as a malicious prosecution by one partner on a charge of steal- ing partnership property,^ committing a libel upon a non- paying customer; ^ a wrongful ejectment by one of a firm of real estate agents.* In Grund v. Van Vleck, 69 111. 478, R. & J. had been agents for the owner of property in renting a house. The tenant not paying, J., on behalf of the landlord and in the absence of R., had the ten- ant expelled and his goods removed. This was held not to be in the ordinary course of business, nor in the nature of a taking which is available to the partnership, and is ratified, and R. was held not 1 And see Arbuckle v. Taylor, 3 3 Woodliug v. Knickerbocker, 31 Dowl. 160. Minn. 268. 2 Ai buckle v. Taylor, 3 Dowl. 160; ^And see Petrie v. Laraont, 1 Car. Rosenkrans v. Barker, 115 III. 331. & M. 93. 486 LIABILITY FOR TORTS. § 468. liable in trespass. It was also said that R. would not have been liable even if he had afterwards sanctioned the act, which, however, he had not done. In Abraham v. Hall, 59 Ala. 386, one partner in a mercantile house took possession of a bale of cotton on which the complainant had a landlord's lien and marked his own initials upon it. The mere fact of partnership does not make the copartners liable unless the act is shown to be in the scope of the business. In Crumless v. Sturges, 6 Heisk. 190, the government postoffice was kept in the store of a partnership by one of the firm's clerks for the absent postmaster. One partner is not liable for the illegal act of the other in using the postoffice money; nevertheless, if •clearly committed in the prosecution of the business and for its benefit, all may be liable. Thus in Lothrop v. Adams, 13i Mass. 471 (43 Am. Rep. 528), the business of the firm consisted in the ownership of a newspaper, and all were held liable for a libel published by one partner with ma- licious intention. The test of liability for a partner's acts was said to be, would they be liable if an agent intrusted with the man- agement of the business had committed the tort? And if the lia- bility of the principal be limited to cases where he derives benefit from the agent's act, there is a benefit in this case shared by all.' § 468. An act which is illegal as being contrary to a stat- ute will not be regarded as within the scope of the business to charge the other partner by construction merely. • Thus in Graham v. Meyer, 4 Blatchf. 129, where a statute makes a usurious loan void, one partner took a chattel mortgage on a steamboat to secure a usurious loan made by him without the co- partner's knowledge. In an action against the partnership as for ■conversion of the boat, it was held that the innocent partner would not be held liable in tort for a violation of law without proof of authority or ratification, and the loan will not be regarded as in the scope of the business. So in Schreiber v. Sharpless, 6 Fed. Rep. 175, a qui tam action was brought against one partner for the act of another in permit- ting lithographic copies of a copyrighted photograph belonging to a third person to be printed on goods of the firm. The statute under I See, also, Robinson v. Goings, 63 Miss. 500. d 487 § 4G8. CONDUCT OF THE BUSINESS. which the action was brought being penal, the innocent partner?^ were held not liable. If one partner is guilty of a breach of the revenue laws in conducting the firm's business the copartners are liable for the amount and for penalties whether they knew and con- sented or not. The penalties in such cases are no doubt re- garded as indemnity to the government for its trouble.* In Stockwell v. United States, 13 Wall. 531 (aff. 3 Cliff. 284), one partner purchased goods for the firm on which he knew the gov- ernment had been defrauded of revenue, and the firm received the property and had the profits of its sale. The firm was held liable for the statutory penalty of double the value without proof of knowledge on the part of the other partners, for the goods them- selves became liable to seizure, and the act of the partner was an interference with the government rights of property, and the lia- bility is not penal, but indemnity only.' Exemplary or punitive damages, it has been held, can be recov- ered from the firm for the tort of one partner in a proper case; * but as he is not a participant in the fraud of his copartner he is not to be subject to arrest on civil process for fraud,** nor to be found guilty of actual fraud," nor liable for penalty,® nor subject, if an attorney, to summary application to pay money appropriated by his copartner, he being neither guilty nor negligent.' 1 Attorney-General v. Strangforth, did not know it, but afterwards as- Bunb. 97; Attorney-General v. Bur- sented. Exemplary damages were ges, id. 233; Attorney-General v. allowed against liim. See Peckham Wcekes, id. 233; Rex v. Manning, Iron Co. v. Harper, 41 Oli. St. 100, Comyn, 016; Stockwell v. United 109. Contra, see Rosenkrans r. Bar- States. 13 Wall. 531 (aff. s. C. 3 Cliff, ker, 115 111. 331. 284); United States v. Tliomasson, 4 ^McNeely v. Haynes, 76 N. Ca.. Biss. 99; Graham v. Pocock, L. R. 3 123; National Bank of Common- P. C. 345. wealth v. Temple, 39 How. Pr. 432. 2 But see Rex v. Manning, Comyn, 6 Stewart v. Levy, 36 Cal. 159. 616. 6 Porter v. Vance, 14 Lea, 627, that s Robinson v. Goings, 63 Miss. 500 an attorney is not liable for penaltv (in full, § 466); Brewing v. Berry- and disbarment for his partner's fail- man, 15 New Brunswick, 515; here ure to pay over collections, an active partner tore out inside par- T Ex parte Flood, 23 New Bruns- titions of leased property for the wick, 86. benefit of the firm. The copartner 488 LIABILITY FOR TORTS. § 471. § 469. Ratification. — On the principle that a person does not make himself liable by ratifying an illegal act of another unless the act was done on his behalf or for his benefit, if a partner commit a tort outside the scope of the business and of no benefit to the firm, nor on its behalf or in its interest, his copartner's subsequent approval of it will not make him liable.^ In Riley v. Noyes, 45 Vt. 455, plaintiflF's cow trespassed upon a farm managed by defendant and his son in partnership. The son, instead of taking the cow to the pound, locked her up in the barn and refused to allow plaintijff to remove her unless he paid for the damage she had done. It was not decided whether the defendant's interest in the damages would have alone rendered him liable for his partner's acts, but his assent to the detention was held to ren- der him liable, because of such joint interest in the detention as a mode of recovering the damages. § 470. Nominal partner.— In Stables v. Eley, 1 C. & P. 614, a retired partner whose name remained on the wagon which was driven over the plaintiff by an employee of the continuing part- ner was held liable. A person is liable by holding out only upon the ground of estoppel. It cannot be said that if the name had not been on the wagon the plaintiff could have avoided being run over. The only estoppel apparent in the case is that he was in- duced to sue the retired partner supposing him to be a member of the firm, which is not sufficient, or upon the ground that suffering the name to continue proves a partnership in fact and not by es- toppel. §471. Liability is joint and several. — The liabiHty of partners for the tort of one member of the firm or for the Tort of a servant is, as in all cases of torts, joint and sev- eral. This is not a violation of the rule that a partner is the agent of all and not of each, but rests on the usual doc- trine of torts that joint principals are jointly and severally liable for torts. Hence the action may be against all the partners or against one, or against some of them less than all.^ 1 Wilson V. Turnman, 6 M. & G. 2 Edmonson v. Davis, 4 Esp. 14; 236 ; Grund V. Van Vleck, 69 111. 478 ; Attorney-General v. Burges, Bunb. Rosenkrans u. Barker, 115 111. 331. 223; Stockton v. Fry, 4 Gill, 406; 48J §472. CONDUCT OF THE BUSINESS. FRAUDS AND MISREPRESENTATIONS. § 472. Deceit in regard to their own property. — The sub- ject of the hability of partners for the deceits, frauds or misrepresentations of each other is separated from their liabihty for other torts because, unlike the latter, the lia- bility for deceits cannot be joint and several, but joint only. This seems apparent from the fact that the partners are held to the truth of the appearances they have made, and are not liable to a greater extent for the falsity than they would have been had the appearances been as represented. I have no authorities on the distinction, however. The firm is liable for the frauds and misrepresentations of one partner in the disposition of partnership property held for sale, for such representations are within the apparent scope of the business. Thus in Chester v. Dickerson, 54 N. Y. 1; 13 Am. Rep. 550 (aff'g 52 Barb. 349), a partnership existed in the business of buy- ing and selling lands. One partner, by pouring coal oil upon a tract of land and passing it off as oil land, procured a sale. All the partners were held liable, although the others are entirel}' in- nocent. So where commodities are agreed to be sold by the firm or by a partner, and one partner substitutes different or inferior articles, the firm is liable.' In Cook V. Castner, 9 Cush. 266, 276, the partner making a sale stated to the buyer that his copartner had told him that he (the copartner) had examined the property and found it sound and right, and referred the buyer to the copartner. This is a misrep- resentation, and the rule that a person is not bound by statements made as received from another to whom he refers does not apply, for if the copartner had not so informed him both are bound by Head v. Goodwin, 37 Me. 181 ; Berryman, 15 New Brunswir-k, 515. McCrillis u. Hawes, 38 id. 566 ; Howe Aud so for fraud or inisappropria- V. Shaw, 56 Me. 291; Morgan v. tion or conversion. Sadler v. Lee, 6 Skidraore, 55 Barb. 263; Roberts v. Beav. 324. Johnson, 58 N. Y. 613; Mode v. Pen- i Locke v. Stearns, 1 Met. 560 (35 land, 93 N. Ca. 292; Wliite v. Smith, Am. Dec. 382); Wolf v. Mills, 56 111. 12 Rich. (S. Ca.) L. 595; Wood v. 360. Luscomb, 23 Wis. 287; Brewing'?;. 490 LIABILITY FOR TORTS. § 473. his false statement, and if tlie copartner had made the statement then the latter's misrepresentation bound both. In Strang v. Bradner, 114 U. S. 555 (aff 'g Bradner v. Strang, 89 N. Y. 299), phiintiffs, who had been in the habit of lending their notes as an accommodation to the firm of S. & H., by request, delivered to S. & H. four notes, to be used by S. & H. in their busi- ness. Afterwards S., without H.'s knowledge, falsely represented I). at they liad been unable to negotiate the notes because made payable at the office of S. & H., and requested other notes in their i)lace. in reliance on which plaintiffs sent other notes, and S. procured tJie discount of them all and put the avails iato the firm's business. The fraud being in the course of business was held to render the innocent partner liable. In Thwing v. Clifford, 138 Mass. 482, a broker employed to sell a house agreed with another broker to divide the commissions if the latter procured a purchaser. The second broker, purporting to represent possible purchasers, got the owner to name a price by assuring him that no other broker had anything to do with the trade, and a sale was effected. The innocent partner's action for commissions prosecuted for joint benefit was held to be defeated by the fraud. In Hawkins v. Appleby, 2 Sandf. 421, plaintiffs sold goods to a firm, and were induced to take the note of a third person in pay- ment on the representation of one partner that it was good, he knowing the maker to be insolvent. All the partners are liable in case for deceit as well as in assiiinp-^itiov the value of the goods.' So the representations of a partner to third persons about to purchase notes made by the firm,'' as to their validity, bind the firm; but not if such partner did not know the inquiry was made with a view to purchase.^ So in selling notes belonging to the firm, rep- resentations of a partner as to the maker's solvency bind the firm.'' § 473. Other frauds. — So of other misrepresentations and frauds in the conduct of the business of the firm, all the partners are estopped by the false representations of a paii- ner if they would have bound the firm if true. ' See Reynolds u. Waller, 1 Wash. ^ In re Schuchardt, 15 Bankr. (Va.) 1C4. Reg. 161. 2 French v. Howe, 15 Iowa, 563; < Sweet u. Bradley, 24 Barb. 549. McKee v. Hamilton, 33 Oh. St. 7. 491 § 473a. CONDUCT OF THE BUSINESS. Rapp r. Latham, 2 B. & Aid. 795, is a leading and very severe ap- plication of this rule. There the firm of P. & L., liquor merchants, were employed by the plaintiff to buy and sell wine for him. P., the active partner, desiring to raise money, wrote to the plaintiff that the firm had effected a purchase for him, and the plaintifi' re- mitted the necessary money. P. afterwards wrote him that the wine had been sold at a profit, and remitted the profits. A number of purchases and sales were reported as made, and sums were remitted by P. In fact, however, all the purchases and sales were fictitious, but more money had been remitted to the plaintiff than he had ad- vanced; yet it was held that both partners were estopped to deny that the transactions were actual, and were hefd liable for the re- ported profits in addition to the original advance. In Coleman v. Pearce, 26 Minn. 123, C. consigned wheat to 0. to sell on commission when ordered. 0. took in P. as a partner, and both notified D. thereof, and accounts were rendered to him in the firm name, showing that the property and account was transferred to the new firm, in reliance upon which the plaintiff did not order a sale for several months, and then learned that 0. had converted the wheat to his own use prior to the formation of the partner- nership. Both partners were held estopped to deny the truth of their false representations. In Griswold v. Haven, 25 N. Y. 595, the managing partner of a firm of warehousemen issued certificates showing the deposit of grain when none had been deposited. A person who had loaned money to a holder of one of these over-issued certificates upon its security can hold the firm liable for conversion for refusal to de- liver the grain, the partners being estopped to deny its existence. § 473a. A partner's fraud in selling an individual interest in the partnership is not chargeahle to his copartners, for it is not an act in the conduct of tlie business, nor a sale of its property, but is in the sale of the property of the individual. Thus in Schwabacker v. Riddle, 84 111. 517, F., a member 3f a firm, persuaded R. to buy out the partners of F., agreeing that he could buy at the invoice price, and fraudulently representing thq.t the invoice was $14,000, when it was in fact but $11,000. The other partners, who were ignorant of the deceit, are not liable, for F. was not their agent in the sale. In Chamberlin v. Prior, 2 Keyes, 539; 1 Abb. App. Dec. 338. a 492 LIABILITY FOR TORTS. § 474. sale of an interest in a firm was made by the ostensible partners by- fraudulent statements. A dormant partner innocent of the fraud was held not to be liable in damages therefor. MISAPPLICATIONS OF MONEY OR PROPERTY. § 474. If the firm has charge or obtains possession of the money or property of others, or, what is the same thing, if property is delivered to one partner as representative of the firm, to dispose of it in a way that is within the apparent scope of the business, all the partners are liable for the mis- application or conversion of the same by one partner to such uses as cause its loss to the owner. ^ In Sadler v. Lee, 6 Beav. 32 1, stock was sent to a banking firm to receive dividends and sell. One partner clandestinely sold it and the firm had credit for the proceeds. The partners were held liable severally, and the court said would have been held though the proceeds had not been put to the firm's credit. In Hammond v. Heward, 11 Up. Can. C. P. 261, plaintiff made two notes to the order of the firm of H. & G., defendants, brokers, to get discounted for him. The defendants did not get them dis- counted before dissolution, and after dissolution Gr. indorsed the firm name, procured a discount of the paper and applied the pro- ceeds to his own use. Both partners were held liable to the plaint- iff, who had been compelled to pay the notes.^ In Peckham Iron Co. v. Harper, 41 Oh. St. 100, one partner of a firm employed to sell the plaintiff's iron, finding tiie market to be rising, procured a third person to purchase it for the benefit of such partner and reported to the plaintiff that it was sold, the 1 Ex parte Biddulph, 3 De G. & iff sued H. & G. for money had and Sm. 587; Sadler v. Lee, 6 Beav. 324; received and for negligence in in- Nisbet V. Patton, 4 Rawle, 120 (26 dorsing before dissolution, and were Am. Dec. 122); Blair v. Bromley, 3 held not liable on either count, for Ph. 354; 5 Hare, 542; St, Aubyn v. the money was not received by the Smart, L. R. 3 Ch. App. 646; Pluraer firm but by G., holding that it was V. Gregory, L. R. 18 Eq. 621. not negligence or breach of duty in 2 In Hammond v. Heward, 20 Up. G. to discount the notes, that being Can. Q. B. 36, the facts are about tlie the purpose for which he held them, same as in the foregoing case, except and for the wrong of not paying only that the firm's indorsement was over the proceeds H. was not lia- made before dissolution. The plaint- ble. 493 § 475. CONDUCT OF THE BUSINESS. other partners being innocent of the facts. All the partners were held liable. So in Castle v. Bullard, 23 How. 172. The firm held goods of the plaintiff to bs sold on commission. One or two of the partners induced the plaintiff to consent to a sale of the goods to an insolv- ent person by false and fraudulent representations as to his charac- ter and standing. All the partners were held liable for the loss. It was on this principle that the series of cases arising out of the Fauntleroy forgeries ' were decided. Fauntleroy (who was after- wards tried and executed for one of these crimes) and others, being trustees of stock under a will, forged the names of his co-trustees upon the certificates to enable a banking firm in which he was a partner to sell the stock. The bank sold the stock through a broker, who deposited the proceeds to the credit of the bank in another bank, which was its agent and with which its accounts of sales of stock were kept. The proceeds of the sale were thus in the custody of the former bank. Fauntleroy drew it out for his own purposes, on checks made by him in the firm name. On the bank- ruptcy of the bank the trustees were held entitled to prove the amount against its estate as a debt. Had the money been deposited in the names of the trustees, Fauntleroy could not have drawn it out in his capacity of partner in the bank. The fact that the other partners were not aware of the sale and receipt of the proceeds makes no difference, because it is part of the ordinary business of bankers to sell stock.* § 475. Where the property of a person is in the custody 1 Stone V. Marsh, Ry. & Moody, placed the ruling on the ground of 364; 6 B. & C. 551; 8 Dow. & Ryl. negligence, in tliat the money having 71 ; Keating v. Marsh, 1 Mont. & A. come into the custody of the firm 582 ; aff. on app. Marsh u. Keating. 1 the other partners should have Bing. N. C. 198; 2 CI. & Fin. 250; known of it; and not having been Ex parte Bolland, Mont. & Mac. 315 ; placed to the account of the trustees, 1 Mont. & A. 570; Hume v. Bolland, must be taken to have remained in Ry. & Moody, 370; 1 Cr. «fe M. 130; the custody of the house. Mr. Pol- 2 Tyr. 575. lock, in his admirable Digest of Law 2 This explanation of these cases, of Partnership, article 24, note, says: that it is because the scope of the "One can hardly see what the businc^Bs included sales of stock, is knowledge or means of knowledg<' not original with rae, but is given has to do with it, if covered by the by Sir N. Lindley and was that given scope of the business." in the later cases. The earlier cases 494 LIABILITY FOR TORTS. g 476 ot a firm and the owner gives to one partner a special au- thority to act in regard to it, which the other partners do not have, and such partner uses the power to appropriate the property to his own uses, the mere fact that his mem- bership in the firm afforded the opportunity is ^lot sufficient to make the partnership hable. Ex parte Eyre, 1 Ph. 227 (aff' g 3 Mont. D. & DeG. 12), is the leading case upon this subject. There a customer deposited with his bankers a box containing certain securities, and afterwards loaned some of the securities to one of the partners for his own pur- poses, upon his substituting in their place other securities to secure the replacement of those borrowed. The borrowing partner after- wards secretly removed the substituted securities for his own pur- poses and put in their place others of less value. The firm was held not liable for a loss resulting from this conversion, they having re- ceived no benefit, and the transaction having been with the partner in his individual capacity, and the securities being in effect in his individual custody.* In Pierce v. Jackson, 6 Mass. 242, 245, a firm made a note pay- able to a company, and one of the partners forged the name of the company upon it to give the plaintiff title to sue upon it; this fraud was held to give the plaintiff no cause of action against the other partner. But see the comments on this case in Locke v. Stearns, 1 Met. 564. § 476. If money or property is procured by a partner, os- tensibly on behalf of the firm and within the apparent scope of his authority, it is within the custody of the firm, and the firm is liable for it, although he misappropriates it. Thus, if part of the business of a firm is investing money for others, and money is received to be invested in a mortgage, and one of the partners forges a mortgage without the other's knowledge and keeps the money, the other is liable.^ So of an attorney who collects money for a client and absconds with it, his partner is liable.' In Alexander v. Georgia, 56 Ga. 478, a firm was selling merchan- 1 See, also, Coomer r. Bromley, 5 2 Willet v. Chambers, Cowp. 814. DeG. & Sm. 532; Bishop v. Countess SMcFarland v. Crary, 8 Cow, 253; of Jersey, 2 Drew. 143. Dwight v. Simon, 4 La. Ann. 490. 495 § 477. CONDUCT OF THE BUSINESS. dise to the W. & A. R. R., the bills being paid by the state. The active partner, bj'' duplicate bills and bogus accounts, defrauded the state out of a lai-ge sum; the innocent copartner was lieLl liable to refund, bat contra o£ bills outside of and unconnected with the partnership business; and if the paying agent of the state knew the partner was a'cting in violation of his duty to the firm, the innocent partner would not be liable. It did not appear that the money went into the firm.' § 4^77. If money or property comes into the hands of a partner for purposes not within the scope of the business, his misuse of it does not affect the innocent copartners. Where a firm of solicitors are acting for an estate, and bonds payable to bearer are deposited with one partner individually with- out the knowledge of the copartners and he misappropriates them, the firm is not liable.^ So .where money is paid to or borrowed by one of a firm of solicitors, to be invested in mortgages, and is mis- applied by him, the firm is not liable, without evidence that the scope of the business included investing.^ The facts that letters referring to the matter are copied into the firm's letter-book and included in the firm's statement of account to the estate, and that the partner paid some of the interest by drawing a firm check, but on each occasion repaid the amount to the firm by his private check, were held to be too ambiguous to affect the other partners with acquiescence in such partner's custody being the firm's business.'' In Bounce v. Parsons, 45 N. Y. ISO, M.. H. & Co. dissolved by the retirement of one partner and the coming in of a new member, the new firm using the same name as the old. B., one of the orig- inal and continuing partners, informed plaintiff that the debts of the old firm could be bought at a discount, and plaintiff advanced him money to buy them up. B. then drew up notes in the firm name, dated back, and gave them to plaintiff as being the debts of the old firm. B. placed the money of plaintiff thus obtained in the new firm and got credit for it on their books, and used it to pay the 1 See, also, Royer v. Aydelotte, 1 3 Harman v. Johnson, 2 El. & Bl. Cint. Superior Ct. Rep. 80, cited 61 ; Plumer v. Gregory, L. R, 18 Eq. under g 480. 621. 2 Cleather v. Twisden, 24 Ch. D. * Cleather v. Twisden, supra. 731 ; 28 id. 340. 496 LIABILITY FOR TORTS. § 478. debts of the old firm. His partners knew nothing of the arrange- ment or the deception, and the new firm was held liable to plaintiff. There was either a loan to B., outside of the firm's business, or B. was trustee of the money and put it into the new firm as his own. The fraud was not in the procuring of the money, but in the means used to conceal its misappropriation. In Adams v. Sturges, 55 111. 46S, the owner of shares of stock gave a power of attorney for their sale to a person who then trans- ferred them to his firm, and then in the firm's name transferred them and took them back himself; the copartners, knowing nothing of the matter, are not liable for the conversion. In Toof V. Duncan, 45 Miss. 48, F., a member of a cotton ship- ping firm, being sent out on a trading expedition for the firm, was asked by one D. to collect a draft for him, which he drew payable to F. F. indorsed the draft to the firm, requesting to have it put to his credit. The firm collected the draft, and F. withdrew the amount and did not pay it over to D. The partners are not liable to D., though had the draft been payable to the firm it would have been otherwise. In Linn v. Ross, 16 N. J. L. 55, R., being indebted to the firm of L. & H., handed a note owned by him to L. to collect for him and either hand him the proceeds or apply it on the debt. L. did not account for the proceeds, and it was held that the firm was not liable. MONEY OR PROPERTY WROXGFULLY OBTAINED BY ONE PART- NER FOR THE FIRM. § 478. A firm has frequently been held liable for the torts^ or frauds of a partner, of which it received the benefit, not committed in transacting the business of the firm or within ■ the apparent scope of his agency. As where a partner ob- tains money by crime or fraud, or converts property and • uses the fund for the firjTi, either by direct contribution or paying its debts, where it is manifestly just that the de- frauded person should be deemed a 'creditor of the firm; and not merely of the guilty partner. Liability in such cases has been sometimes put upon the ground of an im- plied ratification, arising from receiving a benefit. But this ground is not the true one. Ratification never takes place Vol. 1 — 33 497 g 479. CONDUCT OF THE BUSINESS. ■without knowledge, and we have already seen that, in cases of contract, a partnership never becomes debtor by receiving the benefit of a transaction made on the credit of an indi- vidual partner. In the case of money which has no ear-marks, and to which, therefore, the wrongful holder can pass a good title, yet the wrong- ful holder himself cannot be said to have title, and perhaps a gra- tuitous transferee would have no better right to retain the benefit of it. Where, therefore, a partner wrongfully obtains money for the firm, tlie innocent partners are obviouslj' not liable ex ddido, but the firm is chargeable for money had and received. In the case of property tortiously obtained for the firm by one partner, without complicity on the part of his copartner, if no title has passed, the firm may be liable for a conversion; and if use Badger v. Daeuieke, 58 Wis. 678. 508 PAYMENT, NOVATION AND MERGER. § 491. changed them to another account. It was held that the entries were not conclusive upon him until he had communicated the fact to the debtor. Where a partner shipped lumber of the firm, and also some of his own to one E., to sell, without notifying E. of the different ownerships, in consequence of which E. kept no separate accounts of the lots, here the last amount paid by E. to such partner will be considered as the avails of the partnership lumber, but here the presumption was raised against the partner because of his negli- gence.' Where the partners by arrangement with the creditor divide the debt, each assuming half, each is entitled to have subsequent pay- ments made with partnership assets credited equally to each, for one partner alone has no right to dictate the entire appropriation, and such would be the presumed intention of the debtors.^ §491. Firm antl one partner as (lel)tors. — Thus, if the firm and also one partner are debtors of a person, a pay- ment generally by the debtor partner may be applied by the creditor to either debt.^ And if, after dissolution, one part- ner continues to deal with a creditor of the firm and makes payments generally, the creditor may apply them to the individual debt.'* Where two firms, in both of which one B. was a partner, owe the same creditor, and B. in part payment gives his individual notes to the creditor, if the creditor proves the note against B.'s administrator, disclaiming any particular application, he does not waive his claim against either firm.' "o"- 1 Russell u. Green, 10 Conn. 269. 3 Brown v. Brabham, 3 Oh. 275; 2 Moore v. Riddell, 11 Grant's Ch. Logan v. Mason, 6 W. & S. 9. And Up. Can. 69, where one partner gave see cases under § 314. If these their creditor a mortgage on his were partnership funds the payment separate property for half the debt, would undoubtedly be controlled by and the other gave an indorsed note the rule in § 494. for the other half. Subsequent pay- * Sneed v. Weister, 2 A. K. Mar. ments out of the firm's assets were (Ky.) 277; Fitch v. McCrimmon, 80 applied by the creditor upon the note. Up. Can. C. P. 183; Simson v. Ing- but it was held that the mortgagor ham, § 501, infra. was entitled to liave half of them SYoumans v. Heartt, 34 Mich, credited upon his mortgage. 397. 509 § 494. CONDUCT OF THE BUSINESS. § 49,3. Partnersliip money to be applied to partnership debts.— III. It is a general rule that if a person owes debts in two capacities and makes a payment the credit will be upon the debt in the capacity in which the money is held. Where a payment is made by a partner to one who is cred- itor both of himself and of the firm, if the payment is made with partnership funds it must be credited to the partner- ship debt. If the creditor knew of the nature of the fund the rule is imp irative and controls Rules I and II above, for otherwise the creditor would be participant in a fraud- ulent use of the funds of the firm. Thus, S., being indebted to C, took in F. as a partner, S. be- ing the managing partner. C. then sold goods to the firm, and S. made payments to C. upon his individual account in checks signed in the firm name. In an action by C. against the firm it was held that these payments must be credited upon the firm's debt; thatC. was put upon inquiry by the signature of the checks.* So, where one who is surety both for a firm and one partner re- ceives partnership funds and applies them to the individual debt, and afterwards pays the partnership debt with his own money, his rights are the same as if he had paid the latter debt with the firm's money.* §494. if creditor has no notice of nature of the fund.— The rule is doubtless the same when the creditor is not aware of the nature of the fund and attempts to appro- priate it to the individual debt of the partner from whom he received it. We shall hereafter see that an unauthor- ized application of partnership property to pay a separate debt is held in not a few cases to give the creditor no right to hold the property as against the firm, irrespective of his knowledge of the fraud. These cases are all authorities to sustain the above proposition, which, however, may be true without relying upon them, since the court can rectify the fraud without material injury to the creditor by applying the fund to the joint debt. 1 Cornells v. Stanhopp, 14 R. I. 97; case is modified in other respects by Davis V. Smith, 27 Minn. 390 (this S. C. 29 id. 201). 2 Downing v. Linville, 3 Bush, 472, 510 PAYMENT, NOVATION AND MERGER. § 49o. In Thompson v. Brown, 1 Mood. & Malk. 40, Brown was in- debted to the plaintiffs and took Weston into partnership. The phaintiffs continued to furnish goods to the firm. Brown paid the plaintiff on general account a check of £60. The firm was after- wards dissolved, Brown became insolvent, and the plaintiffs sued to recover their claim, claiming that they had a right to apply the check to the oldest item of the account; but Abbot, C. J., rule that if the money paid be the money 6f the partners the creditor not at liberty to apply it to the payment of the debt of the in- dividual, and left it to the jury to say whose property the check was, and the jury found for the defendants. So in Wiesenfeld v. Byrd, 17 S. Ca. 106, where a surviving part- ner made payments generally from partnership funds, the creditor must apply them to the partnership debt and not to the surviving partner's individual debt.' So in St. Louis Type Foundry Co. v. Wisdom, 4 Lea, 695, where successive firms of the same name, but in part of different mem- bers, had a running account with a creditor, payments made during the last firm must be credited to the account of the firm whose funds are thus used. In Fitch V. McCrimmon, 30 Up. Can. C. P. 183, however, C. & L., partners, dissolved, L. agreeing to pay the debts, and C, to whom the firm was indebted, taking the assets and continuing the busi- ness. C. made purchases on his own account from a creditor of the firm, and payments by him, it was held, could be credited upon his individual account, although, with money derived from the sales of the partnership goods. L., however, assented. § 495, indivitlual money.— In the case of individual money it is a little different. No doubt a payment by a partner is presumptively on private account. 2 'See, also, McClean v. Miller, 2 ally and as executor, Goddard v. Cranch, C C. 620. Cox, 2 Stra. 1194; Sawyer v. Tappan, 2 So held in Gass v. Stinson, 3 14 N. H. 352; Fowke v. Bowie, 4 Sumn. 98, 109. And see Sneed v. Harr. &. J. 566. See Scott v. Ray. Wiester, 2 A. K. Mar. 277; Baker v. 18 Pick. 300, where a payment to an Stackpoole, 9 Cow. 420 (18 Am. Dec. assignee for creditors, who was also ."iOS). Such would be the rule as to a himself a creditor, was ordered cred- ;>ayment by one who owes individu- ited on both accounts equally, 511 § 497. CONDUCT OF THE BUSINESS. But even then it would not be applied to sucli individual dcbt^ as were afterwards created.' Where a partner gives security to pay both debts, its proceeds have been held first applicable to discharge his individual items.* In Johnson v. Boone, 2 Harr. (Del.) 172, it was held that as a payment generally, if of jiartnership money, must be applied to the joint debt, so, vice versa, if out of individual money it must be applied on the individual debt, unless the debtor's assent to the con- trary application is shown. This, however, is not consistent with the cases under § 491. § 496. If neither party specify appropriation. — IV. In the absence of intention appearing from the acts of the parties, the law will presume an intention to appropriate as follows: 1. To pay interest before principal. 2. To pay an unsecured debt before a secured debt, unless the security be a third person or his property;' but money realized from a security will be applied to the debt it secures.* 3. To pay legal and not illegal items.' 4. To pay matured as against unmatured debts." 5 To pay the earlier items of an entire account in prefer- ence to the later. § 497. Running acconnt. — The rule applying general pay- ments to the earliest items of an entire account, or, as otherwise expressed, the presumed intent that the first credit item shall go to discharge the first debit item, raises the very important question in partnership matters, what constitutes a running account in case of dissolution when the business is continued? The various cases under the head of Devaynes v. Noble, 1 Mer. 529 (aff'd 2 E. & M. 4;i5), are loading cases on this sub- 1 Baker r, Stackpoole, s«2>'"; Milrs ^SuulerH v. Knox, 57 Ala. 80; V. Ogtlen, 54 Wis. 573. Jnncs v. Benedict, 83 N. Y. 79. 2 Lee V. Fontaine, 10 Ala. 755 44 ^ Uunbar v. Garrity, 58 N. H. 575. Am. Dec. 505). <> Richardson v. Coddington, 49 3 Garrett's Appeal, 100 Pa. St. 507; Midi. 1. Tlie Schooner Stuelnian, 5 Iluglies, C. C. 210. 512 PAYMENT, NOVATION AND MERGER § 497. ject. There were five partners in the banking business; one, Devaynes, died, and the surviving partners continued busi- ness in the old name, without opening new books or making a rest in the accounts. On becoming bankrupt, those who had been customers, both of the old and new firm, claimed the right to resort to Devaynes' estate for the balances on their running accounts. These creditors were divided into classes. In Sleech's Case, Miss Sleech had continued to deal with the new firm, by drawing out and not depositing. No appropriation of these payments having been made at the time, it was held to be too late then to make them, and they were applied to extinguish the balance as it stood at De- vaynes' death, and his estate was held to be subject to the residue. In Clayton's Case, which represented the class of creditors whose continued dealings consisted both in draw- ing out and paying in, the balances constantly fluctuating, but on the whole being increased, no specific appropria- tion of payments having been made, it was held that the payments made not only before further deposits must be credited, as in Sleech's Case, on the old balance, but that the payments made after additional deposits were also to be credited to the oldest items, and as they exceeded the old balance, Devaynes' estate was wholly discharged. Under the same principle, where, on the death of a person, his account with a creditor was balanced, and formed the first item of the new account with his widow, who continued the business, pay- ments by her go to discharge the estate of the decedent.' So where a partner retires, and another partner continues the busi- ness, making purchases from an old creditor, the accounts being blended in an unbroken series, payments may be credited on the firm's debt.° So if a continuing partner assumed the old debts.* So in case of a dormant partner, the dealings being continued after his retirement as an unbroken account, payments will be applied 1 Sterndale v. Hankinson, 1 Sim. Cush. 323; Birkett v. McGuire, 31 393. Up. Can. C. P. 430 ; Fitch v. McCrim- 2 Smith V. Wigley, 3 Moo. & Sc. mon, 30 id. 183. 174; Hooper v. Keay, 1 Q. B. D. 178; 3 Baker v. Stackpoole, 9 Cow. 420 City Discount Co. v. McLean, L. R. (18 Am. Dec. 508) ; Lockw. Rev. Cas. 9 C. P. 692, 701 ; Alcott v. Strong, 9 380. Vol. 1 — 33 513 g 499. CONDUCT OF THE BUSINESS. to the earlier items, although this relieves the partner of whose existence the creditor was ignorant,' or if the creditor does not know of the addition of the incoming partner.** In Toulmin v. Copland, 2 CI. & Fin. G81; 3 Younge &C. Ex. Q'^Q, one partner was to contribute, as his share of capital, £10,000 in good debts, and persons owing him this amount to become custom- ers of the firm, and their old and new debts were kept in a contin- uous account. Payments by such customers to the extent of £40,000 were made, and it was held that they should be applied to the earliest items, and therefore in discharge of the partner's obli- gation, and not of the later debts due the firm. So where a person is surety to P., for advances to be made by him to J. & T. T. having died, and thus released the surety from liability for further advances, but the dealings being continued as if nothing had happened, subsequent remittances not specifically appro- priated will be applied to the earlier items, thus relieving the surety.^ § 498. Change in debtor firm. — Where the change in the debtor firm is by the introduction of a new partner, pay- ments generally by the new firm cannot be credited upon the old account, without the incoming partner's assent to a blinding of the accounts. Thus, where A. buys out B.'s business, and assumes his debts, and continues to deal with a creditor of B., a general payment on account by A. cannot be credited on the debt of B., without A.'s consent;* unless the accounts are blended with his assent. See Beale v. Caddick, § 499, and two cases where the change of the debtor firm was by it becoming incorporated, the corporation as- suming the debts of the firm." § 499. Change in a creditor firm. — The same principles apply where the change is in the creditor firm. So where a person owes a firm, and, one member dying, he sub- sequently incurs a debt to the surviving partner, payments by him not appropriated by either party will be credited upon the older account.* 1 Brooke v. Enderby, 2 Bred, & B. 5 Whitwell v. Warner, 20 Vt. 425; 70; Newmarch u. Clay, 14 East, 239. Allen v. Frunet Min. & Smelt. Co. •■i Scott V. Beale. 6 Jur. N. S. 559. 73 Mo. 688. »Simson v. Cooke, 1 Binp^. 452. « Starr v. Case, 59 Iowa, 491. * Burland v. Nash, 2 F. «fc F. 687. 514 PAYMENT, NOVATION AND MERGER. § 500. In Bodenhara v. Purchas, 2 B. & Aid. 39, P., being indebted to the firm of B,, C, & D., bankers, gave tliera a bond, with surety, to pay the debt, and such other sums as they might advance. D. died, and G. was taken into the firm and the name was changed, but the old balances were carried into the new account without change. Payments after D.'s death were required by the court to be credited on the old account. Whether these payments were be- fore G. became a partner does not appear, but that this makes no differeT'Ce was held in the following cases, if the account is con- tinuous: In Pemberton v. Oakes, 4 Russ. 151, A. was indebted to B., C. & D., bankers; B. died, and E. took his place in the firm, and A. con- tinued dealing with them. It was urged that his payments to the new firm, having a new partner, could not be applied by mere in- tendment of law to the debt of the old firm, but it was held the rule in Clayton's Case applied, and the oldest items were discharged by it. If a new partner is added, and a debt against an old customer is carried forward and treated as part of the accounts of the new firm, general pa3'ments by him will be applied to the old balance if uo rights of sureties or third persons are involved.' In Beale v. Caddick, 2 H. & N. 326, the firm of H. & C. owed R., its banker; R. transferred the account to the M. bank, H. assent- ing, which one partner has the right to do; the M. bank had an option to decline any account within a j'ear. Subsequent pay- ments to the M. bank must be credited on the old account, and the bank cannot thereafter exercise the option and credit the payments to their own loans to H. & C. § 500. account not continuous. — But where the ac- count does not appear to be continuous the new firm is entitled to appropriate general payments. In Jones v. Maund, 3 Younge & Coll. 347, the change was in the creditor firm. A. owed a secured debt to B., C. & D., coal mer- chants, trading as B. & Co. B. and C. died, and D. afterwards retired, selling her interest to E., who, with F., continued the busi- ness as B. & Co., and A. continued dealing with them and made payments. It not being shown that A.'s debt to the original firm had been made an item in the new account, it was held that A. 1 Morgan v. Taxbell, 28 Vt. 498 ; Bradley v. Richardson, 23 id. 720. 515 § uOl. CONDUCT OF THE BUSINESS. had no right to require his general payments to be credited on the old secured debt. In Taylor v. Post, 30 Hun, 44G, A. borrowed money from a firm, giving it a mortgage for §4,000 for the present debt and future advances; one partner died, and his administrators and surviving partners, together with new partners, continued the business, and it was agreed that the mortgage should secure further loans. Pay- ments by A. cannot be applied to the old debt, for the second firm is not the same as the old, nor a continuation of it. S 501. The creditor, however, mav dissent from con- tinning the account. If he does not assent to making the old balance an item in the new account, payments Avill not necessarily go upon the old account. Following is the lead- ing case on this point, B. & J. Ingham, bankers, at Huddersfield, were indebted to Bruce & Co., bankers, in London, on a running account for ad- vances to them and their customers on their account. B. Ingliam died, but his surviving partners continued business. Bruce & Co. at first continued the account without a break, crediting subse- quent payments generally, but without notifying the debtors thereof; but by the advice of their solicitors changed this and sent an account to the debtors thus, "Debtors, Messrs. B. & J. Ingham & Co. (old account), in account with Bruce & Co., creditors," and the first item on the debit side was the last balance sent previous to the death of B. Ingham. They also sent a second account in the same form, styling it the " new account," and kept the accounts separate on their books. The debtors did not object to this, but on their own books kept but one account. The court held that where the account is continued without a break b}' both parties payments must go against the oldest item; but that the plaintiffs had the right to distinguish, and were not precluded by the entries in their private books not communicated to the debtors.' In Burns v. Pillsbury, 17 N. H. 6Q, a person who had made con- signments to a firm, and was its creditor on account thereof, con- tinued to consign after dissolution, of which he had notice, to the continuing partner. A distinction was made between the case and 1 Sinison v. Ingham, 2 B. & C. 65; change in creditor firm by the ad- 3 Dow. & R. 249. See, also, Morgan dition of a partner, the accounts V. Tarbell, 28 Vt. 498, 501, of a being separated. 516 PAYMENT, NOVATION AND MERGER. § 503. cases of banldng liouses, which are often eontiuned through gpn- erations, and it was held that the consignor was not compelled to credit remittances to the old account unless proved to be of money of the old firm. This case proceeds on the basis that transactions, after a change of firm, ^xq prima facie deemed to be the independ- ent transactions of the new firm, except in banking houses, and that merely striking a balance and carrying it to the new account does not affect the original debt. This distinction might also rec- oncile Pemberton v. Oakes and Jones v. Maund, supra. In Botsford v. Kleinhaus, 29 Mich. 332, plaintiffs were shipping wheat to B., B. & H. as their factors; afterwards H. retired and the firm became B. & B. Plaintiffs continued their shipments, and B. & B. transferred the old account to their books and continued it without change. On the old firm being sued by plaintiffs, it was held that plaintiffs' assent to the transfer and continuance of the account must be shown in order to include inquiry into the deal- ings with the new firm in the action, and that the plaintiffs had a right to assume that the business would be kept separate and were not bound by the unauthorized entries. NOVATION. § 502. When a firm dissolves, whether the dissolution be by the retirement of an old partner or the introduction of a new one, or both, and one partner or the new firm assumes the debts of the old, the dissolution and agreement do not ipso facto release the old liability to the creditor nor create a new one. To accomplish that result action or assent on the part of the three parties: the original debtors, the person or persons who assume the debts, and the creditor, is necessary. We have already seen that the release of one partner by a creditor may release the entire firm,^ when not accompanied by a promise of the other partners to pay or a reservation of rights as against them.^ The question in this chapter is, what is a sufficient substitution of debtors or agreement to look to some of the partners and discharge the others? § 503. Creditor must assent. — An agreement between the old and new partners that the latter will assume or will 1 § 385. 2 § 387. 517 § 603. CONDUCT OF THE BUSINESS. pay their share of the dehts, or that the new firm will as- sume the debts, if made witliout the creditor being a party, or without notice to or consultation with and assent by him, cannot be taken advantage of by him. It does not convert the separate into a joint debt, but is merely like tlie agree- ment of one partner with another to pay a debt of the firm. The principle that a promise made to one person for the benefit of another can be sued upon by the latter does not apply, for this is clearly not a promise between the partners for the benefit of the creditor, but is purely for their own benefit, and as to him is res inter alios acta} Where the joint property is a leasehold, and one assigns his in- terest to the other, the landlord may recover the entire rent from the latter, for he is liable for half as tenant in common by privity of estate and of contract, and half by privity of estate.' In Wild V. Dean, 3 Allen, 579, it was held that the rule that a creditor cannot prove his debt against the separate estate of a part- ner who had bought out his copartner and given him a bond to pay all the debts is not changed by the creditor's having notified such partner, or both of them, that he elected to treat it as the separate debt of such partner, without proof of the latter's assent. 1 Following are cases where the Following are cases where the dis- new firm included an incoming part- solution was by the retirement of a ner: Ex parte Williams, Buck, 13; partner without the addition of a Ex parte Freeman, id. 471 ; Ex parte new one: Ex parte Bradbury, 4 Deac. Fry, 1 01. & J. yO; Ex parte Venker, 203; Robb v. Mudge, 14 Gray, 534; 2 M. D. & D. 511; Ex parte Peele, C Wild v. Dean, 3 Allen, 57U; Fowle v. Ves. G02; Vera v. Ash by, 10 B. & C. Torrey, 131 Mass. 289; Ay res v. Gal- 288-. Re Isaacs, 3 Sawy. 35; 6 Bankr. lup, 44 Mich. 13; Spaunhorst v. Link, Reg. 92; Lee v. Fontaine, 10 Ala. 4li Mo. 197; Merrill v. Green, 55 755; 44 Am. Dec. 505; Hicks v. Wy- N. Y. 270; Macintosh v. Fatman, 38 att, 23 Aik. 55; Goodenow v. Jones, How. Pr. 145; Campbell v. Lacock, 75 111. 48; Locke v. Hall, 9 Me. 133; 40 Pa. St. 448. In Shoemaker v. Manny r. Frasier, 27 Mo. 419; Farm- King, 40 Pa. St. 107, a firm sold out alee v. Wiggenhorn, 5 Neb. 323; its entire business to a third person, Morehead v. Wristou, 73 N. Ca. 398; who assumed the debts, and a cred- Torrens V. Campbell, 74 Pa. St. 470; itor attempted to sue the buyer and Kounlz V. Holtliouse, 85 id. 233; failed. Piano Co. v. Bernard, 2 Lea, 358, 3G0 ; 2 Dwight v. Mudge, 13 Gray, 23. McKeand v. Mortimore, 11 Up. Can. Q. B. 423. 518 PAYMENT, NOVATION AND MERGER. § 504. As the debtor cannot convert a joint into a separate debt without the creditor's assent, neither can the creditor without the debtor's assent. The agreement is only a private executory agreement be- tween the partners, to regulate their duties between themselves, to which the creditors were neither parties nor privies. The cases which have gone the farthest show a promise by the partner to take on himself the burden of payment. In Parmalee v. Wiggenhorn, 5 Neb. 322, C. had agreed to sell all the produce of his mill for a year to the plaintiff. He then sold half the mill to W. and formed a partnership with him and con- tinued to deliver to plaintiif. He then sold the other half to Gr., who knew of the contract and assumed all C.'s responsibilities, and W. & Gr. agreed to continue to deliver the produce, but after- wards refused to do so. These facts were held not to show a cause of action against the new firm in favor of plaintiff, for there must be a novation of all the parties, extinguishing the old contract and creating a new liability on some consideration, and a mere receipt of payment by the new firm does not raise a presumption of an agreement to be liable for the breach.* § 50i. -contrary authorities. — Some other states, however, repudiate this doctrine, in part at least, that the creditor cannot take advantage of the agreement between the new and old firms, by which the latter assumes the debts and agrees to pay them.^ And others hold that where the new firm receives assets for which their assumption of the debts was part considera- 1 Where a partner, indebted to one there was no incoming partner: Y., retired, in consideration of wliich Hood v. Spencer, 4 McLean, 108; Hoyt the remaining partners assumed this v. Murphy, 18 Ala. 316, allowing a debt to Y.. and Y. thereupon orally set-off of the claim; Devol v. Mcln- released tlie retiring partner, and an tosh, 23 lud. 529; Hardy u Blazer, agent of the remaining partners by 29 id. 226; Dunlap v. McNeil, 35 id. mistake placed the amount of tlie 316; Haggerty u. Jolmston, 48 id. 41; debt on the books to the credit of X. Way v. Fravel, 61 id. 162; Powers u & Y.. instead of to Y. alone, but X. Fletcher, 84 id. 154. Following are claime 1 no interest in it, Y. can the cases where there was an incom- avail himself of the credit and hold ing partner: Poole v. Hintrager, 60 the remaining partners. There is a Iowa, 180; Colt v. Wilder, 1 Edw. complete novation. York v. Orton, Ch. 484; Arnold v. Nichols, 64 N. Y. 65 Wis. 0. in. See Smead v. Lacey, 1 Disney, 2 Following are the cases where 239, noticed fully under § 510. 519 § 605. CONDUCT OF THE BUSINEiS. tion, and agrees to apply these assets to the debts, this prom- ise inures to creditors,^ In Arnold v. Nichols, 64 N. Y. 117, a person in business by himself took in a partner and transferred the assets to the firm in consideration that the firm would pay the debts of the business and apply the assets to such debts. It was held that a creditor could sue the firm on such an agreement, as being made for hib oene- fit, for the agreement was not primarily for the benefit of the original debtor.'' In Odborn v. Osborn, 36 Mich. 48, C, of A., B. & C, sold his in- terest to D., who assumed C.'s share of the liabilities and took his place in the firm. A creditor of A., B. & C, then sued A., B. & D., averring a promise by them to pay the debt, and it was held she could recover, but that this was not on the principle of a promise made between the partners for her benefit, and that payments on the debt by the new firm was evidence of a substitution by consent of both parties. That her husband, who was also a member of the firm, made the payments is immaterial, since this is supposed to be known to all the partners where no circumstances of secrecy are shown. It is to be noticed of this case, however, that the retiring partner had assigned to the creditor all claim he had against the new partners on the agreement between them. In Francis v. Smith, 1 Duv. 121, the retiring partner having obtained a judgment against the incoming partner on his agree- ment to pay debts, a creditor of the firm was, on the retiring partner's consenting thereto, entitled to be substituted to such judg- ment. § 505. Consideration. — The creditor's promise to one part- ner to release him, although made after dissolution upon 1 See Torrens v. Campbell, 74 Pa. effects. On taking the effects he br- St. 470, 474-6 ; Kountz v. Holthouse, comes liable to the attorneys. McKil- 85 Pa. St. 233; and Arnold v. Nichols, lip v. Cattle, 13 Neb. 477. 64 N. Y. 117. And see Hopkins v. ^S. P. Turner v. Jaycox, 40 N. Y. Johnson, 2 La. Ann. 842; Sedam v. 470, 474; but contra, where there Williauis, 4 McLean, 51 ; Marsh v. was no incoming partner, Merrill v. Bennett, 5 id. 117. A firm indebted Green, 55 N. Y. 270. Possibly Ala- for legal services was dissolved by bama and Michigan also make a dis- decree fixing the shares of each part- tinction between cases whi-re there ner, and adjudging tliat one partner is and is not an incoming partner. on paying this debt should take the Compare the foregoing list of cases. 520 PAYMENT, NOVATION AND MERGER. § 500. the retirement of such partner, when nol accompanied by a promise of the other partner to the creditor to assume the entire debt, or by a change of security, is a nudum imctum, because founded on no consideration whatever.^ So a mere promise by the new concern to pay the debt is a nudum pac- tum; as where a firm indebted to the plaintiff became incor- porated, the president of the corporation promised a creditor of the firm that it would pay the debt, the promise is with- out consideration.^ But if the other partner promise the creditor to assume and pay the entire debt, and the creditor promises to look to him alone, a substitution of debtors is effected, and the other partner is released. This is founded on the doctrine that the sole liability of one of two debtors may, under many circumstances, be more beneficial and convenient than the joint liability of two, and therefore the change is founded upon a valuable consideration; and whether it was actually a benefit in each particular case will not be looked into, but the agreement will be sustained.' § 506. Original debtor still liable.— In the absence of a novation, the original debtor or debtors continue liable, of course, for a debtor cannot affect his own sole liabihty by 1 Thomas v. Shillabeer, 1 M. & W. Early v. Burt, 68 Iowa, 716; Wild v. 124; Clark v. Billings. 59 Ind. 508; Dean, 3 Allen, 579, 581. And see Eagle Mfg. Co. v. Jennings, 29 Kan. Walstrom v. Hopkins, 103 Pa. St. 657 (44 Am. Rep. 6J8); Chase v. 118; and Clark v. Billings, 59 Ind. Vaughan, 30 Me. 412; Wildes v. 508. Clark v. Brooks (Pa. Com. PI. Fessenden, 4 Met. 12; Walstrom v. 1887), 19 Weekly Notes, 333, that a Hopkins, 103 Pa. St. 118; Collyer v, reltase of retiring partner, and tak- Moulton, 9 R. I. 90. ing note of the new firm, is not sus- 2 Georgia Co. v. Castleberry, 43 Ga. tained by any consideration if no new 1S7. partner has come in. The cases of « Thompson v. Percival, 5B. & Ad. Lodge v. Dicas, 3 B. & Aid. 611, and 935; Lyth v. Ault, 7 Ex. C67; Re David^v. Ellice, 5 B. & C. l9o ; 7 Dow. Clap, 2 Low. 226; Backus v. Fobes, & Ry. 690; aff' g 1 C. & P. 368, which 20 N. Y. 201; Collyer v. Moulton, 9 also held that such mere promise, no R. I. 90; ^tna Ins. Co. v. Peck, 28 note being given, was not a consid- Vt. 93. Contra, that being merely a eration, are in this respect overruled promise to pay his own debt, it is no by Thompson v. Percival, 5 B. & consideration for a release of the co- Aid. 925 ; Lyth v. Ault, 7 Ex. 667, partner where no new note or exteu- and Hart v. Alexander, 2 M, & W. sion of time or other change is made, 484. 521 § 507. CONDUCT OF THE BUSINESS. going into partnership. And the same principle apphes to executory contracts; as where services are agreed to be rendered to a person, or goods supphed to him, and he takes in a partner, and the services or goods are received by the partnership, the original debtor still continues chargeable on the contract. Thus, where the plaintiff contracted to enter the emplojnnent of defendant, and defendant took in a partner; or, if a firm, and it took in a new partner, and the services were then rendered to the firm, the original contract is not extinguished, and a new one with the firm substituted, and the continuance of his duties by the em- ployee is not a waiver of the contract.' So, where T. engaged P. to board one of his hands, and T. after- wards took in C. as a partner, and the hand became the employee of the firm, P. can sue T. alone for subsequent board, until he has knowledge of such facts as render it imperative upon him to change his mode of charging.* So, if a tenant from year to year takes in a partner in the busi- ness for which the premises were used, this does not alter his sole liability to his landlord.' §507. Incoming partner not liable for old debts. — The more difficult question arises, what facts are sufficient to show an agreement 'by the creditor to discharge some of the partners and look to the rest as his sole debtors? A substi- tution of debtors does not require an express agreement, but results from the intention of the parties gathered from their acts and declarations, inconsistent with a continuance of the original liability. A person becoming a member of an existing firm, or form- ing a pai-tnership with another in the latter's existing busi- ness, does not thereby become liable for the debts already incurred, nor does the new firm become liable for them. An agreement, express or implied, is necessary to create such liability, not only between the creditors and the new firm but also as between the jDartners; that is to say, the pre- iFifieia V. Adams, 3 Iowa, 487; SBarlovv v. Wainwright, 23 Vt. 88 Froun u. Davis, 97 Ind. 401. (53 Am. Dec. 79). See § 503. 2Taggart v. Phelps, 10 Vt. 318. 533 PAYMENT, NOVATION AND MERGER. )07. sumption is against the assumption of such hability, and the burden to prove it is upon the one who asserts it. This is hke the principle governing the cases where a contract is made with one partner, or a credit is extended to one of a firm, upon which the copartners are not Hable.^ In Gaus v. Hobbs, 18 Kan. 500, P. and H. met on September 9tli, and conversed about forming a partnership but came to no agreement. Sliortly afterwards P. bought from plaintiffs the goods for which this action was brought, in the name of P. & H. On October 19th, P. and H. met again and formed a partnership, P. putting in the goods as part of his capital, H. being ignorant of the facts of the purchase, and it was held that H. was not liable. It was further said, p. 501, that even had H. learned of the facts, he would not have been bound to repudiate accountability, for an incoming partner is not obliged to act to prevent responsibility, but must act in order to incur one. In Shafer's Appeal, 99 Pa. St. 246, Shafer owed the banking firm lAtwood V. Lockliart, 4 McLean, 350; Butler v. Henry, 48 Ark. 551; Citizens' Bank v. Hine, 49 Conn 236; Bryan v. Tooke, CO Ga. 437; Bracken V. Ellsworth, 64 id. 213; Morris v. Miirqueze, 74 id. 86; Watt v. Kirby, 15 111. 200; Wright v. Brosseau, 73 id. 381 ; Goodenow v. Jones, 75 id. 48 ; Smith V. Hood, 4 111. App. 360; Wheat V. Hamilton, 53 Ind. 256; Tifield V. Adams, 3 Iowa, 487; Steru- burg V. Callanan, 14 id. 251 ; Cad- wallader v. Blair, 18 id. 420; Waller V. Davis, 59 id. 103; Cross u. National Bank, 17 Kan. 336; Gaus v. Hobbs, 18 id. 500; Duncan v, Lewis, 1 Duv. (Ky.) 183; Meador v. Hughes, 14 Bush, 653; Mosseau v, Thebens, 19 La. Ann. 516; Beall v. Poole, 27 Md. 615; GudJ V. Belcher, 119 Mass, 257; Lake v. Muuford, 4 Sm. & Mar. 312; Fagan v. Long, 30 Mo. 222; Deere v. Plant, 43 id. 60; Wiigus v. Lewis, 8 Mo. App. 336; Parnialee v. Wiggenhorn, 6 Neb. 322; Howell v. Sewing Machine Co. 12 id. 177; Durand v. Curtis, 57 N. Y. 7 ; Sizer V. Ray, 87 id. 220 ; Fuller v. Rowe, 57 id. 23; Pierce v. Alspaugh, 83 N. Ca. 258; Brooke v. Evans, 5 Watts, 196; Babcock v. Stewart. 58 Pa. St. 179; Sham burg u Ruggles, S3 id. 148; Hart V. Kelley, 83 id. 286 ; Morrison's Appeal, 93 id. 326; Shafer's Appeal, 99 id. 246; Holmes v. Caldwell, 8 Rich. (S. Ca.) L. 247; Piano Co. v. Bernard, 2 Lpa(Tenn.), 358: Bank v. Gray, 12 id. 459; Adkins v. Arthur, 33 Tex. 431, 440; Hart v. Tomlinson, 2Vt. 101; Poindexter r. Waddy, 6 Munf. 418 (8 Am. Dec. 740); Peters v. McWilliams. 78 Va. 567; McLinden V. Wentworth, 51 Wis. 170, 181; Hine v. Beddome, 8 Up. Can. C. P. 381; McKeaiid v. Mortimore, 11 Up. Can. Q. B. 428. For Louisiana law as to liability of widow who has ac- cepted the succession of her husband for prior debts of the firm, see Hen- derson V. Wadsworth, 115 U. S. 264 523 § 508. CONDUCT OF THE BUSINESS. of D. & Co. on a note on which he had paid them usurious inter- est. One of the partners having died the survivors and another formed a new firm under the old name, but assumed none of the old debts. Shafer borrowed money of the new firm wherewith to pay his debts to the old. It was held that he could nut compel the application of the usury paid the old firm on account of the debt to the new. The new partner cannot be prejudiced by the claim against the old firm. In Morrison's Appeal, 93 Pa. St. 326, B., of B. & L., bought out L., but, while still in debt to L. fur part of the purchase money, failed. While B. was still in business he gave accommodation notes to L., then trading under the name of L. & W., which L. agreed to protect. Afterwards L. took in T. and M. as partners, still under the name of L. & W. As the note matured, B. gave other notes to L. & W. to take up the old ones, and the new firm indorsed and used them for that purpose, and when B. failed these notes were proved against his estate. As the new firm of L. & W. received none of the proceeds of the renewal notes, it was held that they owed nothing to B., and therefore could prove against his estate a claim for goods sold by them to B. Where a claim was placed for collection in the hands of a firm of attorneys who afterwards dissolved and formed a new firm with another partner, and the new firm dissolved before any steps to collect the claim were taken, and the collection was then made by the original partner of the new firm, the incoming partner was held not to be liable to the client for the amount,' § 508. Even where the partners have before forminjij the partnership made contracts, each upon his individual credit, though with the intention and under the agreement to con- tribute the goods or money thereby obtained to the projected firm, and has brought them in as agreed, the firm or the other partners are not liable on such contracts. The part- nership until actually formed is inchoate, and the ngency of each partner to act for the others has not begun. The fact that the new firm received the benefit of the contracts does not create a liability. These principles have been ex- amined in treating of contract with one partner, and inchoate "partnerships. 1 Ayrault v. Chamberlin, 26 Barb. 83. 524 PAYMENT, NOVATION AND MERGER. § 508. A quite usual application of the doctrine is where a person leases property for the purposes of his business, and then takes in partners. The latter do not thereby become liable for the rent merely by becoming partners and occupying.^ Where the order is for a definite quantity of goods, the incoming partners are, of course, not liable for subsequent de- liveries under the contract under the principles stated in the foregoing sections; "' but even here, if the subsequent dehvery be made to and on the credit of the firm, and received by them, not on behalf of the original contractor, but on joint account, at the request of the original contractor, for the latter, such request renders the firm liable for the price, for the contractor has the same power to receive them on joint account, wdiere the title has not already passed to him, that he has to'make a new contract of purchase for the firm.'' Where the contract is not for the delivery of a definite number or amount of goods, but is a continuing contract for delivery at a certain price, the goods supplied after the partnership has been formed are deemed to be delivered as upon a tacit contract with the new firm.* And in such cases, if the change is in the retirement of a partner, he is not exonerated by the fact of notice to the shipper that the iDurand v. Curtis, 57 N. Y. 7; into partnership. Subsequent de- Pierce v, Alspaugh, 83 N. Ca. 258; liveries were held to be on the credit Brooke v. Evans, 5 Watts, 196 ; Bar- of the firm and on its implied agree- low V. Wainwright, 22 Vt. 88 (52 men to pay for them; although had A. Am. Dec. 79). And see Lucas v. contracted at first for the entire quan- Coulter, 104 Ind, 81; Wilgus v. tity, he alone would have been liable Lewis, 8 Mo. App. 336; Jackson v. for them. Helsby r. Mears, 5 B. & Salmon, 4 Wend. 327. C. 504 (as explained in Beale v. 2Goodenow u Jones, 75 111.48; Mouls, 10 Q. B. 976), where the Duncan v. Lewis, 1 Duv. 183; Beale owner of certain coaches contracted V. Mouls, 10 Q. B. 976. with B. for the carriage of parcels » Smith V. Hood, 4 111. App. 360; which B. was in the habit of send- Watt V. Kirby, 15 ILL 200; Johnson ing to various places. This contract V. Barry, 95 id. 483. was held to bind incoming partners. 4 Dyke r. Brewer, 2 Car. & K. 828, Compare, also, Winston v. Taylor, where bricks were to be supplied by 28 Mo. 82, noticed at the end of this plaintiff to A. at a certain price, but section. s of no definite quantity. A. took B. 525 § 509. CONDUCT OF THE BUSINESS. property so bailed is turned over to the new firm, for he cannot release himself without the consignor's assent.' But in Winston v. Taylor, 28 Mo. 82, where cattle were delivered to be herded, and some were lost after one bailee had retired, it was held that if property is not bailed for a definite time, the bailor, on notice of retirement of a partner, must remove his property within a reasonable time, or look to the new firm alone. Directing the new firm to sell and remit was held to be taking a control that absolves the ex-partner.' And where a person holds the merchandise or other prop- erty of another for sale for him, for example, as agent or factor, and takes in partners, and the new firm sells the goods so consigned, they are liable for the proceeds to the consignor or owner, for the firm only takes the title of the original consignee.'' § 509. note of new firm without consent of incoming partner. — If, after the new partner is taken in, one or all of the original partners make a note or bill in the name of the new firm for a debt of the old, without the assent of the in- coming partner who had not assumed the old debts, this note is in violation of the rights of the new firm, and is governed by the same rules that apply to any other note or use of the partnership name by one partner without au- thority for his own benefit. That is, the note does not bind the non-assenting partners in the hands of the payee or any one holding under him, other than a bona fide indorsee be- fore maturity without notice.* Where, however, the members of C. & Co., with other persons, formed another firm of H. & Co., and C. & Co. had a sum standing to iDean v. McFaul, 23 Mo. 76; Wilson v. Bailey, 9 Dowl. P. C. 18 Holden V. McFaul, 21 id. 215; Hall Citizens' Bank u. Hine, 49 Conn. 236 V. Jones, 56 Ala. 493. Baxter v. Plunkett, 4 Houst. 450 2 Hall V. Jones, 56 Ala. 493. Bryan v. Tooke, 60 Ga. 437 ; Wright »Dixv. Otis, 5 Pick. 38 ; Piano Co. v. Brosseau, 73 111. 381; Waller r. V. Bernard, 2 Lea, 358. Davis, 59 Iowa, 103 ; Guild v. Belcher, ♦Sliirreff u. Wilks, 1 East, 48; £"03 119 Mass. 257; Fagan v. Long, 30 parte Goulding, 2 Gl. & J. 118; Wil- Mo. 222; Howell v. Sewing Machine son V. Lewis, 2 M. & G. 197; s. c. as Co. 12 Nebr. 177. 526 PAYMENT, NOVATION AND MERGER. g 510. its credit on the books of H. & Co., and C, of both firms, drew on the new firm in favor of a creditor of C. & Co. for an amount less than the credit on the books, and accepted the draft in the name of the new firm, the new firm is bound by the draft, for this is merely paying the debt of the new firm to the old.* Where the new note includes a debt of the new firm with that of the old, the payee can recover upon it against the new firm to the extent of the valid consideration, the payee having acted in good faith in receiving the note.'' § 510. may adopt old debts. — The incoming partner may, however, become liable for the existing indebtedness by an express promise to pay it, or by an assumption of the debt on proper consideration.' 1 Hester v. Lumpkin, 4 Ala. 509. Curtis, 57 N. Y. 7 ; Arnold v. Nichols, 2Guild r. Belcher, 119 Mass. 257; 64 id. 117; Bate r. McDowell, 17 Jones Wilson V. Lewis, 2 M. &G. 197; S. C. & Sp, 106; Abpt v. Miller, 5 Jones as Wilson v. Bailey, 9 Dowl. P. C, 18. (N. Ca.), L. 32; Broaddus v. Evans, 63 'Burritt v. Dickson, 8 Cal. 113; N. Ca. 638; Morehead u. Wriston, 73 Markham v. Hazen, 48 Ga. 570; Wil- N. Ca. 398; Smead v. Lacey, 1 Disney, son V. Dozier, 58 id. 602; Bracken v. 239; Torrens v. Campbell, 74 Pa. St Ellsworth, 64 id, 243; Morris v. Mar- 470; Shamburgv. Ruggles, 83 id. 148; queze, 74 id. 86 ; Warren v. Dickson, Hart v. Kelley, 83 id. 286 ; Kountz v. 30 111. 363; Goodenowu. Jones, 75 id. Holthouse, 85 id. 233; White v. Thiel- 48; Silverman v. Chase, 90 id. 37; ens, 106 id. 173; Earon v. Mackey, Johnson r. Barry, 95 id. 483; Frazer 106 id. 452; Updike v. Doyle, 7 R. L V. Howe, 106 id. 563 ; McCracken v. 446 ; Piano Co. v. Bernard, 2 Lea Milhous, 7 111. App. 169; Lucas v. (Teun.), 358; Wallace v. Freeman, 25 Coulter, 104 Ind. 81; Sternburg v. Tex. Sup. 91; Allen v. Atchison, 26 Callanan, 14 Iowa, 251; Preusser v. Tex. 616, 628; Hobbs v. Wilson, 1 Henshaw, 49 id. 41 ; Poole v. Hin- W. Ya. 50 ; Jones v. Bartlett, 50 Wis. trager, 60 id. 180 ; Cross v. National 589 ; Hine v. Beddome, 8 Up. Can. C. Bank, 17 Kan. 336; Beall v. Poole, P. 381. In Smead v. Lacey, 1 Dis- 27 Md. 645 ; Shaw v. McGregory, 105 ney, 239, this assumption of old Mass. 96; Botsford v. Kleiuhaus, 29 debts by the new firm was held in- Mich. 333; Osborn v. Osborn, 86 ferable from the facts that the Mich. 48; Coleman v. Pearce, 26 course of business was to pay old Minn. 123; Mueller v. Wiebracht, 47 debts indiscriminately, without Mo. 468; Baum v. Fryrear, 85 id. charging them up to the old firm, 151; Parmaleev. Wiggenhorn, 5Neb. and no account of stock was taken 322; Howell u. Sewing Machine Co. on the new partner coming in, or any 12 id. 177; Morrison v. Blodgett, 8 change made in the books or new N. H. 238 (29 Am. Dec. 653) ; Colt v. ones opened, and old and new cred- Wilder, 1 Edw. Ch. 484 ; Durand v. itors were held to be payable equally 527 § 51 1. CONDUCT OF THE BUSINESS. A mere promise by the incoming partner alone to a cred- itor to pay the debt where the original liabilit}'^ of the former partners is not released is within the statute of frauds as a promise to pay the debt of another.^ There must b^ a prom- ise to the creditor upon a new consideration or a release of the prior individual or former firm.^ A promise, however, by the new firm which the creditor accepts, and in doing so releases the former debtor or debtors, is not collateral and not within the statute of frauds.'' § 511. Assumption shown by acts; estoppel.— But the as- sumption of the debts in favor of the creditor may be im- plied from acts and conduct towards the creditor.^ The incoming partner may also become liable by so acting towards the creditor as to be estopped to deny an assump- tion of the debt by him. In Burritt v. Dickson, 8 Cal. 113, the creditor demauded his debt, and the new partner, knowing the creditor did not know whether the new firni was or was not liable, did not deny the liability, and the creditor was thus induced to sue the new firm. This was ruled to constitute an estoppel, though on rehearing the judgment was set aside, as the plaintiff was found to have drawn the partnership articles and therefore knew that there was no liability. In Coleman v. Pearce, 26 Minn. 123, C. consigned wheat to 0., to be sold when ordered by him, on commission. Before order to sell, 0. took in P. as partner, both of them notifying C. thereof, and accounts were rendered in the firm name to C, showing that C.'s account and the consigned property had been transferred to the firm. C, trusting to the firm's responsibility, did not order on the insolvency of the new firm. 2 Morris v. Marqueze, 74 Ga. 86; It nowhere appears from the report Goodenow v. Jones, 75 111. 48; Shoe- that the old creditors assented to the maker v. King, -^0 Pa. St. 107. novation. 3 Wallace v. Freeman,' 25 Tex. 1 Bracken v. Ellsworth, 64 Ga. 243; Supp. 91 ; Shoemaker v. King. 40 Pa. Sternburg v. Callanan, 14 Iowa, 251. St. 107. See White v. Thielens, 106 But see Poole v. Hintrager, CO Iowa, Pa. St. 173. 180. But after payments by the new * McCracken v. Milhous, 7 111. App. firm, credited by their agreement on 109; Lucas v. Coulter, 104 Ind, 81 ; the old account, it is too late to raise Beall v. Poole, 27 Md. 645; Updike tlie question of tlie statute of frauds, v- Doyle, 7 R. I. 44(5 ; Piano Co. v. Mueller v. Wiebracht, 47 Mo. 468. Bernard, 2 Lea, 358, 360. 528 PAYMENT, NOVATION AND MERGER. § 511. sale for several months, and then learned that 0. had converted the wheat to his own use prior to forming the partnership. It was held that both partners were estopped to deny the truth of their false representations. Slight evidence will be sufficient to warrant the court in infer- ring that the incoming partner or the new firm has assumed the debts of the old, especially if he or they have received the benefit of those debts.' If, on the death of a partner, his widow takes his place in the firm, intending there shall be no change in the business operations, and a current contract is continued to be carried out, and she de- rives a benefit from it, the conclusion may be drawn that she intended to assume the same burdens that the husband would, if living, have had;* and if she gives a mortgage for his partnership debts, it will be presumed that she intended to become liable for them; and that the mortgage is on valid consideration, as against other creditors.^ So writing to the creditor, recognizing the debt, and scheduling it as a partnership debt, shows an assumption.* But a mere statement by the new partner, that he would like to give new notes for the old, and had no loose money about him, is not an assent to the making of notes, any more than a willingness to lend credit is authority to use the firm name;' and agreeing with the former partners, that the cost of fitting up the premises shall be considered as expenses, before dividing profits, is not as- suming the debt therefor, except so far as there may be profits out of which to pay it.^ A rendering of an annual account, by the new firm, with the old' balance as part of it, does not make the new firm liable; ' but if sO' done at the creditor's suggestion, or with his assent, is evidence of his adoption of the new firm as his debtors, if they had assumed-^ the debt.» 1 Ex parte Peele, 6 Ves. Jr. 603, 2 Frazer v. Howe, 106 111. 563. 004; Ex parte Jackson, 1 id. 131; » Preusserv. Henshaw, 49 Iowa, 41. Wheat V. Hamilton, 53 Ind. 256; * White v. Thielens, 106 Pa. St. 173. Cross V. National Bank, 17 Kan. 336. 5 Howell v. Sewing Machine Co. 12 See Smead v. Lacey, 1 Disney, 239, Nebr. 177. abstracted in § 510. Contra, that he 6 Hart v. Kelley, 83 Pa. St. 286. should not be held liable on slight "^ Ex parte Parker, 2 M. D. & D. circumstances. Bracken v. Ells- 511. worth, 64 Ga. 243; Beall v. Poole, 27 8 Hine v. Beddorae, 8 Up. Can. C. Md. 645. P. 381. Vol. 1 — 34 529 § 612. CONDUCT OF THE BUSINESS. So payment of interest, or a partial payment, to the creditor, by the new firm, though it may be some evidence of an assumption by it of the debt, as between the partners, is not with the creditor.' And where the new firm agreed with the retiring partner to continue delivery of produce, under a contract with plaintiff, the mere re- ceipt of payments from the plaintiff does not raise a presumption that the new firm had agreed to be liable to the plaintiff for refusal to continue delivery.* § 512. entries on boots of new firm. — Entering the old debt in the books as a debt of the new concern fixes upon the incoming partner the consequences of a knowl- edge that it is claimed to be their debt, and is evidence that it is so;' but contra if the incoming partner had no access to the books, and did not know of such entries.^ So carrying on the accounts of the new firm in the old books, without any line of demarcation or distinction be- tween the payments, balances, debts or assets of the old and new concerns, as a continuous business, may be evidence of an assumption of the earlier part of a continuing unbroken account.' The doctrine of the application of payments, where an account is kept on in an unbroken line, through changes in the membership of firms, has been already considered. > Ex parte Parker, 2 M. D. & D. Cross v. National Bank, 17 Kan. 336; 511; Beale v. Mouls, 10 Q. B. 97(5; Abpt u. Miller, 5 Jones (N. Ca.), L. Morehead V. Wriston, 73 N. Ca. 5598; Zi; Updike v. Doyle, 7 R. I. 446; Shamburgw. Ruggles, 83 Pa. St. 148. Piano Co. v. Bernard, 2 Lea, 358; Contra, that it is evidence of a nova- Hine v. Beddorae, 8 Up. Can. C. P. tion by consent of both parties. Os- 381. born V. Osborn, 86 Mici). 48; Cross < £"0; parfe Peele, 6 Ves. 602 ; Piano V. National Bank, 17 Kan. 336. Co. v. Bernard, 2 Lea, 358. 2Parmalee v. Wiggenhorn, 5 Neb. & Rolfe v. Flower, L. R. 1 P. C. 40; 322. And see Goodenow v. Jones, Bate v. McDowell, 17 Jones & Sp. 75 III. 48. 106; Stnead v. Lacey, 1 Disney, 239; * Ex parte Kedie, 2 Deac. &. C. 321 ; Sliamburg v. Ruggles, 83 Pa. St. 148; ^icparfe Whitmore, 3 M. & A. 627; Earon v. Mackey, 106 Pa. St. 452; 3 Deac. 365; s. c. on appeal as Ex Updike v. Doyle, 7 R. I. 446. But parte Jackson, 2 M. D. & D. 146; will not control other improbabili- Rolfo V. Flower, L. R. 1 P. C. 27 ; ties, Ex parte Sandham, 4 Deac & Ex parte Griffin, 3 Ont. App. 1 ; Ch. 812. 630 PAYMENT, NOVATION AN£) MERGER. §614. § 513. examples of agreements inter se. — A written agreement between the owner of a business carried on in a store leased by him and an incoming partner, that the partners should be equally liable for debts and liabilities suffered or created on account of the firm, does not include the rent accruing after dissolution of the new firm, and the incoming partner is not liable for it, although there had been a prior parol agreement that the firm should be liable for the rent during the whole unexpired term.' Where H. bought half of B.'s business and went into partnership with him, agreeing to assume and pay half the debts owing on thf* stock, but having failed to do so, and B. having paid nearly all the debts, it was held that a debt due from B. for work in the store could be proved against the firm's assignee for creditors; that the words owing on the stock should not receive a narrow construc- tion, but should be held to mean incurred on account of the con- cern.* Where one partner of an existing firm assigns part of his inter- est to a person by agreement, constituting such person ''a partner in the firm to the amount of one-eighth of all its profits and losses from the time the firm began business," and such person is received by the firm as a member, he is a partner from the b,eginning and liable for existing debts. No other construction is reasonable, especially where there is no change of name or of accounts or new books.* Where a person bought out the business of Z. & C, a partnership, and C. & T. then formed a partnership and bought out from him the same business under articles providing that C. & T. would as- sume the debts of Z. & C, it was held that T. could show by parol that he was induced to enter the contract by C.'s exhibiting to him a list of the debts of Z. & C, from which one debt was omitted, as evidence that, as between the partners, that debt was not assumed.* § 514. fraud on the incoming partner. — Where fraud has been practiced on the incoming partner to induce him to enter the firm and assume part of the debts, he can make any defense against the claim of a creditor of the former firm that he could if his copartner were suing him on the contract to assume, where the creditor is seeking to recover on the contract between the 1 Durand v. Curtis, 57 N. Y. 7. < Torrens v. Campbell, 74 Pa. St. 2 Jones V. Bartlett, 50 Wis. 589. 470, 474. 3 Earon v. Mackey, 106 Pa. St. 453. 531 § 516. CONDUCT OF THE BUSINESS. partners, for the creditor's claim is subject to any weakness in sucli contract, as fraud, mistake, want of consideration, and the like.' But the incoming partner must have repudiated or rescinded the contract on discover}' of the fraud, otherwise he cannot make such defense, for he cannot retain the fruits of it, especially where the assets transferred were sufficient to pay the debts, and refuse to per- form.* § 515. note for debt assumed by new firm. — If a partnership is formed before goods purchased by one of the partners are paid for, and the partners agree that the new firm shall use and pay for the goods, and one -of them gives the firm's note or acceptance to the seller in payment, this binds the firm. It is held to be on a perfectly good consid- eration, and it is but just that the firm should assume the debt.' If a note is given by one partner for the debt of the prior firm, a recognition of the note and promise to the creditor to pay it on the part of the new partner is evidence that he assumed the debts and makes the note valid.* Or an assent to the issu- ing of the new note by being present when its propriety was dis- cussed." If, after a partner has sold out to a third person who forms a new firm with the continuing partner, execution against the old firm is levied on the goods, and the new firm receipts to the sheriff and promises to pay or re-deliver, the promise is good, for the goods ought to pay the debt.* » §516. assent of creditor. — Except in those few states where the creditor can sue the new firm on their as- sumption of the debts of the old without his being a party to such change, a request to the creditor and his assent are necessarv in the above cases to render the new firm liable « Torrens v. Campbell, 74 Pa. St. Barry, 95 id. 483; Rice u. Wolff, 65 470, 474. And see Morris v. Mar- Wis. 1. queze, 74 Ga. 80. ^ Wilson v. Dozier, 58 Ga. 603; 2 Arnold v. Nichols, 64 N. Y. 117. Cross v. National Bank, 17 Kan. 336. SMaikham v. Hazen, 48 Ga. 570; » See Shaw r. McGregory, 105 Mass. Morris t'. Marqueze, 74 id. 86; Silver- 96. man v. Chase, 90 111. 37; Johnson v. 6 Morrison v, Blodgett, 8 N. H. 238 j 29 Am. Dec. 653. 533 PAYMENT, NOVATION AND MERGER. g 618. to him on its agreement to pay the debts of the old. With- out this there is no novation. Sucli assent may be proved by acts. Thus, where the creditor, on request of the new firm, made up his account and drew on the new firm for the amount, this is evidence of assent.' A former at- tachment by the creditor for the same debt against the new firm is evidence of his intent to release the retiring partner and charge the new firm.' It is too late for the creditor to assent to holding the new firm liable in place of the old after the incoming partner has retired from the new firm;' or after the bankruptcy of the new firm, for they cannot then contract.'' The fact that the creditor was a lunatic makes no difference.' § 517. practice. — A declaration against four persons as partners for goods sold and delivered, money lent, work done, etc., will sustain proof that the debts were incurred by two partners, and that the other two subsequently joined the firm, and the new firm agreed to pay. This is not a variance, it not being averred that they were partners at the date of the delivery or lending.' But where there are retired partners, as well as new ones, there can be no action against all jointly unless there was a joint prom- ise by all, for either the old firm or the new is liable.'' §518. Change without incoming partners. — Where a firm is dissolved by the retirement of a partner, no new partner coming in, a creditor's continued dealing with the 1 Ex parte Jackson, 2 M. D. & D. point, but illustrates the principle. 146; s. C. in the court below as Ex There S., of R. & Co., retired and B. parte Whitmore, 3 M. & A. 627 ; 3 took his place, the firm name re- Deac. 365; or included the old bal- niaining the same, but no notice of ance in the new account at his re- dissolution was given, and an old quest, Hine v. Beddome, 8 Up. Can. customer, ignorant of the change, C. P. 381. sold goods to the last firm. It was 2Baum u. Fryrear, 85 Mo. 151. held that the liability of the old SMcKeand v. Mortimore, 11 Up. firm was by estoppel to deny a con- Can. Q. B. 4~'8. tinuance of the agency of the part- * Ex parte Freeman, Buck, 471. ners to bind it, and that of the new » £'a:;par^e Parker, 2 M. D. &D. 511. firm was on the facts, and there 6 Beall 17. Poole, 27 Md. 645. could not be a joint liability of old f See Scarf v. Jardine, L. R. 7 App. and new partners, but the creditor Gas. 345. This is not directly in must elect. 533 g 619. CONDUCT OF THE BUSINESS. new firm is not alone sufficient to show an intention on his part to deprive himself of a right to resort to the retired partner and to look to the new firm alone; and where the dissolution is without a continuance of the business and no new dealing, his treating a partner who had assumed the debts as his sole debtor would seem to be still less final as an evidence of such intention. Where several persons were in partnership and one dies or re- tires, customers who, knowing of the change, continue to deal with the surviving partners who carry on the same business with- out a break, can hold the estate of the deceased partner liable for the balance due at his death, deducting subsequent payments.' Such estate is liable for securities wrongfully sold in the life-time of the decedent, for the additional reason that the customer could not elect to discharge it without knowledge of the misappropria- tion.'' Where the creditor, after dissolution, by which one partner as- sumed the debts, had transferred upon his books the account against the firm to the account of such partner, with whom he had had intermediate dealings without the privity of any of the partners, this does not prevent his recharging the firm and holding them.* So where the creditor stated an account against the partner who had assumed the debts, this does not discharge the other partner; nor although in stating an account against the firm he omitted Buch debt;* or drew upon him;* or dealt with him in finishing a contract of employment made with the firm as attorneys to con- duct a suit.* § 511). And slight circumstances only are required to justify a finding that a creditor of the former firm, who had knowkdge of iDevaynes v. Noble, Sleech's Case, 6 Waldeck v. Brand e, 61 Wis. 579. 1 Mer. 539,569; id. Clayton's Case, Where partners claim in defense that id. 572, 604; Botsford v. Kleinhaus, the plaintiff had agreed to transfer 29 Mich. 332. the amount due him to the account 2 Clayton's Case, 1 Mer. 579. of one partner as a debt due tlie lat- 3 Barker v. Blake, 11 Mass. 16, it ter from the others, their book was was said that there was no consider- held admissible in evidence to show ation for the change; but this is performance of the agreement on not so. their part. Moore v. Knott, 14 Ore- * Averill v. Lyman, 18 Pick. 346. gon, 35. »Skannel v. Taylor, 12 La. Ann. 773. 534 PAYMENT, NOVATION AND MERGER. §610. the dissolution and assumption of debts, has accepted the new firm in place of the old as his debtor.' Merely crediting the new firm, which had assumed the debts of the old, with payments by them, is no evidence that the creditor relinquished his claim against the old firm and the retiring part- ners,' nor is expressing satisfaction at the change.^ Merely accepting payments from the continuing partners, though at an increased rate of interest, does not show an agreement to release the retired partner,* or even taking new security from them/ In Wildes v. Fessenden, 4 Met. 12, F. & S. owed W. for loans, and P. also had an individual account with him. S., who had funds in F.'s hands, requested F. to remit them to W. and close the account of F. & S. F. remitted to W. with a request to credit the remit- tances to F. generally, and to debit the loans of F. & S. to F. indi- vidually. S. saw these letters. W. answered that he had received the letter and " noted its contents." F. failed, largely indebted to S., and after four and one-half months of silence, W. sued both F. & S. on his account. W.'s letter was held not to be an agreement to discharge S. The phrase " contents noted " does not imply a 1 Regester v. Dodge, 6 Fed. Rep. 6 ; not to exonerate him. Scull v. Alter, 19Blatchf.79;61 How. Pr. 107, hold- 16 N.J. L. 147. See Botsford v. ing that proving the debt in bank- Kleinhaus, 29 Mich. 333. ruptcy against the new firm, and an 3 Smith v. Rogers, 17 Johns. 340; omission during the life- time of the Clark v. Billings, 59 Ind. 508; Chase retiring partner to allege a claim v. Vaughan, 30 Me. 412; Lewis v. against him, and a delay of five Westover, 29 Mich. 14; VValstrom i'. years to look to his estate, by which Hopkins, 103 Pa. St. 118. the retiring partner had been de- 4 Heath v. Percival, 1 P. Wms. prived of the opportunity to partici- 683; 1 Stra. 403. Here E. & P., part- pate in the distribution in bank- uers. dissolved in 1693, dividing the ruptcy, were held sufficient. Shaw stock between them, and giving V. McGregory, 105 Mass. 96, 102, hold- notice to creditoi's either to receive ing that receiving and discussing the their money or look to E., who had old and new bills without objection agreed with P. to pay all debts. In was sufficient. Both these cases state 1708 a bond creditor renewed his that slight evidence will justify the debt with E., at six percent, interest, inference that the new firm assumed In 1711 E. became insolvent. The the old debt. creditor could have collected his debt 2 Hall V. Jones, 56 Ala. 493, where before. It was held that P. was still the creditor demanded payment fx'om liable, but only at five per cent. And the new firm, and received pay- see Harris v. Farwell, 15 Beav. 31. ments from them, and made no de- s Thompson v. Percival, 5 B. & maud on the ex-partner, was held Ad. 925. 535 § 520. CONDUCT OF THE BUSINESS. promise, and if he had promised there was no consideration to support the promise. And the course of dealing may be looked to to ascertain the in- tent, and if thus shown, an agreement need not be proved.' Thus, proving a debt against the estate of the partner who had assumed the debts might be equivocal, but receiving a dividend discharges all claim against the other partner. ** Receiving a dividend and re- leasing the new firm releases the retiring partner,^ unless the cred- itor shows that he did not know of the dissolution and thouirht it was the old firm that had gone into insolvency.^ A former attach- ment against the new firm for the same debt is evidence of an intent to release the retired partner.* In Gates v. Hughes, 44 Wis. 332, it was said that if the evidence was conflicting as to whether the note of a former partner was taken as payment, the amount and value of the property received by him, he having agreed to assume the debts, and his ability to pay the creditor, is material evidence as to whether the creditor discharged the other partner. Where a new note has been taken from the continuing partners when they have assumed payment of the debts, to the prejudice of the retired partner, another element is introduced, viz., as to how far a retired partner can claim the rights of a surety, which has been elsewhere considered. (§§ 532-534.) § 520. We have elsewhere seen that an incoming partner does not become liable for the old debts, unless he expressly agree to be so. But if the new firm does assume the debts of the old, a tacit agreement on the part of the creditor, to substitute them as his debtors, and discharge the retired partners, can be perhaps more easily inferred. In Shaw v McGregory, 105 Mass. 96, 102, holding that slight evidence would justify the inference that the new firm assumed the debt of the old, it was ruled that receiving and discussing the old and new bill together, without objection that part was for the old firm, was sufficient. 1 Bell V. Barker, 16 Gray, 62. 3 Bank of Wilmington v. Almond. ZBucklinr. Bucklin, 97 Mass. 256; 1 Whart. 1G9. that proving the debt is sufficient, * Buxton v. Edwards, 134 Mass Regesteru. Dodge, 19 Blatchf. 79; 6 567. Fed. Rep. 6; 61 How. Pr. 107. sBaum v. Fryrear, 85 Mo. 151. 536 PAYMENT, NOVATION AND MERGER. § 620. In Hart v. Alexander, 2 M. & W. 481 (7 C. & P. 746), A., B., C. and D. were bankers, as A. & Co. A. retired and E. took his place. The p'aintiif, a depositor with the original firm, constantly received accounts current from the new firm, and they paid him interest from time to time at varying rates. The court found that the creditor had knowledge that A. had retired, and that the new firm had assumed the debts, and held that the discharge of A. followed from the new dealings, with knowledge of this fact.' Oakeley v. Pasheller, 10 Bligh, N. R. 548; 4 CI. & Fin. 207, is like Hart v. Alexander, except that the dissolution was by death ot a partner, in whose place a new partner was taken in, and the plaintiff thereafter received accounts in which the old and new debts were united, and was paid interest. In Harris v. Lindsay, 4 Wash. C. C. 98, 271, A. & B. dissolved, A. assuming the debts, of which plaintiff, a creditor, had notice. A. formed a new partnership, to which the plaintiff gave credit, and it dissolved in debt to him. Notes were given for the consolidated amounts of the old and new debts, but none oi the notes corre- sponded with any of the balances due from A. & B., and the plaint- iff agreed to credit A. with the notes when paid. B. was held to be dischai-ged. In Watts V. Robinson, 32 Up. Can. Q. B. 362, where one part- ner retired, and a third person took his place, and the new firm assumed the debts, a creditor of the old firm taking the note of the new, with knowledge of these facts, releases the retiring partner. In Heroy v. Van Pelt, 4 Bosw. 60, Van Pelt and N. E. Smith were partners, as Van Pelt & Smith. Smith retired, and J. B, Smith became partner in his place; the old name being retained. Van Pelt gave plaintiff a note signed in the firm name, for a debt of the old firm. Plaintiff sued the old firm for goods sold, and N. E. Smith claimed the note was a payment. This question was left to the jury. Here it appeared that plaintiff did not know of the change of membership. Where a firm indebted to the plaintiff took in a new partner, who brought in no capital, and the new firm assumes the debts of the old, and the accounts are continued without change, and 1 Parke, B., p. 492, doubts David v. former and Lodge v. Dicas are much Ellice, 5 B. & C. 196; 7 D. & R. 690, shaken by Thompson v. Percival, 8 and Kirwan v. Kir%van, 2 C. & M. Nev. & M. 167; 5 B. & Ad. 925. 617; 4 Tyr. 491, and says that the 537 § 521. CONDUCT OF THE BUSINESS. the creditor is partly paid out of the blended assets of the new and old firms, and continues his dealing, knowing of the change, and treating the new firm as his debtors, he can hold them liable for the balance.' In Thomas v. Shillabeer, 1 M. & W. 124, the plaintiff, an em- ployee of S. & M., a firm, deposited with it a sum of money, as security for good conduct. The firm dissolved and divided the business, each partner agreeing to employ part of the servants, and pay part of the debts; M. to take the plaintiff and pay his debt. A verdict was ordered for the plaintiff against S. non obstante^ on a plea that plaintifi' had assented to discharge S.; for a mere assent is not an agreement, whereby, in consideration of releasing one partner, the other undertakes to pay. § 521. Old firm must be discharged. — But evidence of a willingness on the part of the creditor to look to the new- firm is not sufficient without some evidence of an intention to discharge the old firm, and of an intention on the part of the new firm to be liable to him, shown by acts that extend beyond merely carrying out their agreement with the old firm, to assume the debts. In Kirwan v. Kirwan, 2 Cr. & M. 617, plaintiff had money de- posited with a firm of three partners, A., B. & C, and annual accounts were rendered to him. B. and C. successively retired, and A. took in K. as a new partner, with a large amount of capital. The plaintiff's account was transferred to the new firm, and plaintiff said he had no claim upon the retired partners. The firm sent an- nual accounts, and paid interest and part of the principal to the plaintiff. There was held to be no evidence of assent by the plaint- iff to look to the new firm alone, and in the absence of such assent it could not be inferred that K. intended to assume the debt. Bol- laud, J., said that it was conceivable, also, that K. may have known nothing about the account, and doubted whether plaintiff could have sued the new firm.^ In Lewis v. Westover, 29 Mich. 14, a debtor of a firm sold an interest owned by him, to one of the partners, on his personal ac- count, the partner agreeing, as part payment, to settle the debtor s 1 Rolfe V. Flower, L. R. 1 P. C. 27. 2 See, also, Gough v. Davies, 4 And see Smead v. Lacey, 1 Disney, Price, 200 ; Blew v. Wyatt, 5 C. & P. 239, noticed in § 510. 397. 538 PAYMENT, NOVATION AND MERGER. § 623. note held by the firm. The fact that the firm was pleased with the arrangement, and hoped payment of the note from it, and per- mitted delay in that hope, does not show an agreement to accept the partner as their debtor, in place of the maker, and the maker and indorsers are still liable. § 522. As against sureties. — As against sureties, however, a more plain expression of intention than appears from mere inference may be required. In Cochrane v. Stewart, 63 Mo. 424, the firm of S. & A. owed plaintiffs, among other persons, for sewing machines. H. bought out A.'s interest, and the firm of S. & H. was formed, and the new- firm received the machines from the old firm, and assumed its debts. S. & H. then gave a bond to plaintiffs, conditioned to pay them all the debts of the new firm existing or to be incurred. It was held that the bond would not be construed to bind the sureties for the debts of S. & A. to plaintiffs. See, also, Childs v. Walker, 2 Allen, 259, where C. & C. had given notes for a firm debt, and then W. joined the firm, which then be- came C, C. & Co., and the new firm assumed the payment of the notes. Afterwards one of the C.'s retired, and the two others, C. and W., gave him a bond to pay the debts of C, C. & Co. The retired partner was compelled to pay one of the notes, and thereupon sued on the bond. It was held he could not recover; the reason given being that the assumption by C, C. & Co. of the debts of C. & C. did not bring those debts within the terms of the bond until the creditors had agreed to the substitution. § 523. Note or bill as evidence of novation. — It is certain, however, that if the agreement to accept one partner as sole debtor and release the other is accompanied by a change in the form of the debt, or by new security or additional or other sureties, the substitution is valid. Thus, if the cred- itor promises to release one partner and takes the note of the other for the entire debt, it is a valid substitution of debtors and the other partner is released.^ 1 Thompson v. Percival, 5 B. & Ad. Farwell, 15 Beav. 31 ; Benson v. Had- 925; Evans V. Drummond, 4 Esp. 89; field, 4 Hare, 32; Harris v. Lindsay, Reed v. White, 5 id. 122; Kirwan v. 4 Wash. C. C. 98 and 271 ; Re Clap, 2 Kirwan, 2 Cr. & M. 617; Hart v. Lowell, 226 ; Tillotson v. Tillotson, 34 Alexander, 2M. & AV. 484; Harris v. Conn. 335; West v. Chasten, 12 Fla. 539 § 51' I. CONDUCT OF THE BUSINESS. The creditor's agreement with one partjier, that, if he gives notes for one-half the debt and pays them, he will release him from the other half, is on valuable consideration and binding. The reasons assigned in the case cited below are that it gives the creditor equal- it}^ in the separate estate with individual creditors, and the maker's time being extended, he cannot pay and sue his partner for contri- bution.' It may be observed of these two reasons that the former would apply to a mere promise to release when there were but two partners, and the latter reason would not apply when cash instead of notes is given. An agreement between two partners and a creditor to submit to arbitration to divide the assets and determine which partner should pay the creditor is suflScient consideration for the creditor's releas.^ of the other.'' § 524. Note of one partner before dissolution. — Merely taking the individual note of one partner while the firm is going on is not deemed to be payment of a partnership debt so as to be evidence of an intention or agreement to release the copartners, but collateral merely, and if taken in renew^al of a firm note is not deemed a payment unless such inten- tion is proved; while an original transaction contracting with or charging one partner or sending an account to him personally has great force in showing that credit was given to him alone. But the taking security for an existing part- nership debt, or changing the form of the original charge, is of very little weight.'^ Even though such partner give ad- 315; Hopkins v. Cair, 31 lad. 260; 431; Hoskissoa v. Eliot. 62 Pa. St. Maeklin v. Crutcher, 6 Bash, 401; 393; Nichols v. Cheaiis, 4 Sneed, 229; Smith r. Turner. 9 id. 417; Tiinibow Stephens v. Thompson, 28 Vt. 77; V. Broach, 12 id. 455; Williams v. Bowyer v. Knapp, 15 W, Va. 277; Rogers, 14 id. 776;Hoopes v. McCan. Gates u. Hughes, 44 Wis. 332; Hoef- 19 La. Ann. 201; Meyer u. Atkins. 29 linger u Wells, 47 id. 028; Port Dar- id. 5S(); Folk v. Wilson. 21 Md. 538; liugton Harbour Co. v. Squair, 18 Hotchin v. Secor, 8 Mich. 494; Up. Can. Q. B. 533. Keerlt;. Bridgets, 10Sni.& Mar. 612; i Ludington v. Bell, 77 N. Y. 138 Moore V. Lackman. 52 Mo. 323; (33 Am. Rep. 601). See, also, Max- Titus V. Todd, 25 N. J. Eq. 458; well u. Day, 45 lud. 509. Waydell v. Luer, 3 Den. 410; Gan- 2 Backus v. Fobes, 20 N. Y. 204. dolf V. Appleton, 40 N. Y. 533; Lud- SLoveridge v. Lamed, 7 Fed. Rep. ington V. Bell, 77 N. Y. 138 (33 Am. 294; Tyner v. Stoops, 11 Ind. 22; Rep, 601); Bank v. Green 40 OIi. St. Maxwell v. Day, 45 Ind. 509; Lingen- 640 PAYMENT, NOVATION AND MERGER. §625. ditional security, as a mortgage upon his own individual property.^ The individual note of one or all the partners may be pay- ment, and the debt of all may become the debt of one if so agreed by the creditor. The question of such intent is one of fact for the jury.^ § 525. Note of ostensible partner. — Taking the note of ostensible partners is no discharge of a dormant partner, for the creditor cannot be regarded as intending to part with a security of which he was ignorant.' Nor will any of the felser v. Simon, 49 id. 82; Harrison that taking a mortgage from one V. Pope (Iowa Dist. Ct. 1855), 4 Am. Law Reg. (O. S.) 313; Folk v. Wil- partner is an extinguisliment of the debt, Loomis v. Ballard, 7 Up. Can. son, 21 Md. 538; Hotchin v. Secor, 8 Q. B. 866. Mich. 494; Keerl v. Bridgers, 10 Sm. 2 Thompson v. Percival. 5B. & Ad. & Mar. (18 Miss.) 613; Rose v. Baker, 925; Hopkins v. Carr, 31 Ind. 260- 13 Barb. 230; Wilson v. Jennings, 4 Maxwell v. Day, 45 id. 509; Hotchin Dev. L. 90; Horsey r. Heath, 5 Oh. v. Secor, 8 Mich. 494; Keerl u. Bridg- 353; McKee v. Hamilton, 33 Oh. St. 7; Tyson v. Pollock, 1 Pa. 375; Allen V. Owens, 2 Spears (S. Ca.), 170; Nich- ols V. Cheaii's, 4 Sneed, 229 ; Dillon v. Kauffman, 58 Tex. 696; Hoeflinger v. Wells, 47 Wis. G28 ; Booth v. Ridley, 8 Up. Can. C. P. 4U; Port Darlington Harbour Co. v. Squair, 18 Up. Can. ers, 10 Sm. & Mar. 612; Mason v. Wickersham, 4 W. & S. 100; Tyson V. Pollock, 1 Pa. 375; Stephens v. Thompson, 28 Vt. 77 ; Dages v. Lee, 20 W. Va. 584; Port Darlington Har- bour Co. V. Squair, 18 Up. Can. Q. B. 533. In Rose v. Baker, 13 Barb. 230, A. & B., being partners in buying Q. B. 533. Contra, Anderson v. Hen- wheat, C. let A. have $o00 wiiich was shaw, 2 Da3% 272. In Maine, Massa- used in buying gi'ain for the firm, chusetts, Vermont, and formerly in and was i-egarded by the court as Arkansas (but not now, see Brug- constituting a partnership debt. A man v. Maguire, 32 Ark. 733), giving few days afterwards A. gave C. his a note is prima facie absolute pay- individual note, and a year after- ment, though rebuttable. If paper wards, and after dissolution, A. paid is outstanding in the hands of third part and gave his individual note for persons, it is to be allowed for as a the balance. It was held tiiat C. still part payment, Getchell v. Foster, 106 had a claim against the firm. Mass. 42. * Robinson v. Wilkinson, 3 Price, iLoveridge v. Larned, 7 Fed. Rep. 538; Sneed v. Wiester, 2 A. K. Mar. 294; Maxwell v. Day, 45 Ind. 509; 277; Scott v. Colmesnil, 7 J. J. Mar. Harrison v. Pope (Iowa Distr. Ct. 416; Baring r. Crafts, 9 Met. 380, 394; 1855), 4 Am. Law Reg. (O. S.)313; Watson r. Owens, 1 Rich. L. Ill; Baxter v. Bell, 86 N. Y. 195; Pierce Nichols tj. Cheairs, 4 Sneed, 229; Vac- V. Cameron, 7 Rich. L. 114; Dillon euro u. Toof, 9 Heisk. 194. V. Kauffman, 58 T( x. 096. Contra, 541 §526. CONDUCT OF THE BUSINESS. acts which arc usually held to be a discharge have that effect upon a dormant partner for the same reason.^ Perhaps even though the note be under seal.'' § 520. Note in firm name after dissolution. — As a partner has no power after dissolution to bind the firm by new con- tracts, a note in the firm name after dissolution, unless made with the assent of all the partners, binds only the per- son who made it. Such* a note, therefore, does not extin- guish the debt, for the firm cannot insist that it is bad to create a debt and yet good to pay one, and the creditor not having what was designed, namely, a partnership note, no intent to release the other partners will be presumed on his part, although he may have surrendered the original paper.' In Miller v. Miller, 8 W. Va. 542, M., of M. & Co., in order to raise money for the firm, procured R. M., who did not know who the other partners were, to indorse its paper, and K. cashed the paper, knowing who they were, and the proceeds went into the firm; then C, one of the partners, retired, publishing a notice of dissolution; then K. agreed to reneAv the note with the same in- dorser, and R. M. indorsed the renewal, not knowing of any change 1 Robinson v. Wilkinson, 3 Price, Perrin v. Keene, 19 Me. 355; 36 Am. 538. Whether a sealed note by one Dec. 759 ; Parliam Sewing Mach. Co. partner in the firm name, without v. Brock, 113 Mass. 194; Goodspeed authority, will merge the antecedent v. South Bend Plow Co. 45 Mich. 237; or contemporaneously incurred debt, Yarnell v. Anderson, 14 Mo. 619; see § 420. Moore u. Lackman, 53 id. 333; Ver- 2 Chamberlain v. Madden, 7 Rich, non v. Manhattan Co. 23 Wend. 183; (S. Ca.) L. 39.">; B.'ckford v. Hill, 124 17 id. 524; Gardner v. Conn, 34 Oh. Mass. 588. Contra, that the sealed St. 187; Burris v. Whitner, 3 S. Ca. instrument merges the simple con- 510; Seward v. L'Estrange, 36 Tex. tract debt. Davidson u. Kelly, 1 Md. 295; Torrey v. Baker, 13 Vt. 453; 492; Ward v. Mutter, 2 Rob. (Va.) Parker v. Cousins. 2 Gratt. 373; 44 536. But a subsequent firm note re- Am. Dec. 388; Miller v. Miller, 8 W. vives the original debt again. David- Va. 542. Co?ifr(f, that it merges the son V. Kelly, 1 IMd. 493. debt. Fowler v. Richardson, 3 Sneed, 3 Spenceley v. Greenwood, 1 F. & 508. In an action upon such note re- F. 297, where it seems to have been covery upon the original considera- left to the jury; Myatts v. Bell, 41 tion may be had. Perrin v. Keene Ala. 222; Ray burn v. Day, 27 111. 46; and Burris v. Whitner, supra. Turnbow v. Broach, 12 Bush, 455; 542 PAYMENT, NOVATION AND MERGER. § 627. in the firm, and ultimately had to pay it. He can recover of the firm, including C, for the renewal is not payment. In Goodspeed v. South Bend Plow Co. 45 Mich. 237, a firm gave an order for goods payable in a note without interest, and the firm dissolved without notice to or knowledge of the vendor, who shipped the goods after dissolution, and the partner who had ordered them sent a note bearing ten per cent, interest after the vendor had notice of the dissolution. The retiring partners are not liable on the note, for, although agreed to be given, it varied from the pro- posed terms, and hence was not binding after dissolution and is not payment, and they are liable on the original account. § 527. Nor is the individual note of one partner after dis- solution payment of a firm debt without proof of agreement to that effect,^ especially if the partnership note is not sur- rendered.'^ But a mere neglect to surrender the partnership note does not invalidate an agreement to accept the note of one partner with a third person, as payment, nor constitute failure of consideration.' Acts and declarations inconsistent with an intent to take the note merely as collateral ma}' be shown.'' And a surrender of the partnership note and marking it canceled, and taking the note of an individual partner, was held to be meaningless unless done for payment;* and the note of a third person in exchange for the firm's 1 Swire u. Redman, 1 Q. B. D. 536; discharged by an extension of time Medberry v. Soper, 17 Kan. 369 ; to the primary debtor. § 534. And Yarnell v. Anderson, 14 Mo, 619; where a note is considered as higher Leabo v. Goode, 67 id. 126; Ells- security than a simple contract debt wanger v. Coleman, 7 Mo. App. 583 ; it may be a merger of it. Isler v. Rose V. Baker, 13 Barb. 230; Leach Baker, 6 Humph. 85. V. Kagy, 15 Oh. St. 169; Little v. 2 Estate of Davis, 5 Whart. 530 ; 34 Quinn, 1 Cint. Superior Ct. Rep. 379; Am. Dec. 574; Little v. Quinn, 1 Estate of Davis, 5 Whart. 530 (34 Cint. Superior Ct. Rep. 379. And see Am. Dec. 574) ; Mason v. Wicker- Kimberly's Appeal (Pa.), 7 Atl. Rep. sham, 4 W. & S. 100; Nightingale v. 75. Chaffee, 11 R. I. 609 (23 Am. Rep. SDages v. Lee, SO W. Va. 584. r31). See, also, Featherstone u. Hunt, ^Bank v. Green, 40 Oh. St. 431. 1 B. & C. 113; 2 Dow. & Ry. 233. And see Hoopes v. McCan, 19 La, Unless, in many states, he assumed Ann. 201. all the debts, so that the other part- 5 Moore v. Lackman, 53 Mo. 323. ner became in effect a surety, who is 643 § 528. CONDUCT OF THE BUSINESS. paper was held to be a discharge, except where some of the names were forged." So if the note is accepted as a payment or merger of the debt the other partner is released." Exchanging a partnership note after dissolution for a note signed by each partner was held to have converted the debt into the separate debt of each partner/ And so is taking the note of each partner for a proportion of the debt.^ Where a firm of two partners assigned for benefit of creditors, with a condition that the assignment should inure to those alone who would look to each partner individually for half the balance, and the creditors covenanted to look to each for the half only, this was held to be no severance of the debt until or unless the part- ners covenant individually to pay the half, and hence an action must be against both.' § 528. Of coiitiuiiiii? partner who assumed debts. — Where one of the partners retires and the other assumes the debts and continues the husiness, the creditor taking the paper of the continuing partner shows an assent to the change and will be deemed to look to the latter alone. This also involves in many jurisdictions the position of the retir- ing partner as a surety, who is released by an extension of time to the principal. This will be next examined. Thus, in Evans v. Drummond, 4 Esp. 89, two partners gave a bill and dissolved, and it was renewed by the continuing partner. The creditor knowing of the change in the firm, the other partner was held to be released.* In Thompson v. Percival, 5 B. & Ad. 925, A. & B., partners, dis- 1 Pope V. Nance, 1 Stew. (Ala.) 354; » Le Page v. McCrea, 1 Wend. 164 Nance v. Pope, id. 230. (19 Am. Dec. 469). 2 Smith V. Turner, 9 Bush, 417; ^This was followed in Rred v. Bowyer v. Knapp, 15 W. Va. 277 ; White, 5 Esp. 122, and Springer v. Macklin v. Crutciier, 6 Bush, 401. Shirley, 11 Me. 204. In Hoopes v. aCrooker v. Crooker, 52 Me. 267; MeCan, 19 La. Ann. 201, the note Bowyer v. Knapp, 15 W. Va. 277; was in full settlement. Townsenda Arnold v. Camp, 12 Jolins. 409. v. Stevenson, 4 Rich. (S. Ca.) L. 59, * Maxwell v. Day, 45 Ind. 409 ; but here the firm's notes were sur- Luddington v. Bell, 77 N. Y. 138; 33 rendered on taking those of the con- Am. Rep. (101 (rev. 11 J. & Sp. tinuing partners. Contra, Keating v. 557). Sherlock, 1 Cint. Superior Ct. Rep. 257. 644 PAYMENT, NOVATION AND MERGER. § 529. fiolved, B. continuing tlie business and assuming all the debts, and having sufficient partnership assets left with hira for the purpose. C, a creditor, who knew of these facts, was informed that A. did not know that the firm was indebted to him and that he must look to B. alone, and he assented and drew on B., who accepted the bill. This was held evidence to go to the jury of C.'s assent to look to B. alone. • The court, Denman, C. J., cites Evans v. Druminond and Reed v. White, and express disapproval of David v. Ellice.' But, even in this case, if the creditor expressly reserves his claim against the other partners, the note is not a payment.'' And merely drawing on the continuing partners docs not establish a novation." § o'lS). Note of surviving partners. — A note by surviving partners for a partnership debt will not be deemed a pay- ment unless such was the agreement,"* though the creditor continue to deal with the surviving partner and receive par- tial payments from him.^ An agreement to accept the new firm must be clearly proved.® If the creditor did not know of the death or other dissolu- tion, and the new firm is in the same name as the old, their note is, of course, not an extinguishment of the debt.' 'In David u. Ellice, 5 B. & C. 196; Leach v. Cluircli, 15 Oh. St. 1G9; 7 D.& R. 690, affiimiug 1 C. & P. 308, Titus v. Todd, 20 N. J. Eq. 438; Boat- A., B. & C, partners, were indebted men's Sav. Instit. v. Mead, 52 Mo. to D. A. retired. B. & C. abSiimed 518, but iiere there was a special the debts, of which D. had notice stipulation that the estate of the de- and assented to a transfer of his cedent should not be discharged, claim upon tlie books of B. & C. to See Thompson v. Percival, 5 B. «fc themselves. lie afterwards drew on Ad. 925. the new firm and they accepted, paid 5 Hamersley v. Lambert, 2 Johns, part, and became insolvent. It was Ch. 508; Fogarty v. Cullen, 49 N. Y. held that A. was liable, and so al- Sups-rior Ct. 397. though D. could have collected his 6 Fogarty v. Cullen, 49 N. Y. Su- debt before. perior Ct. 1G9; Lrach v. Church, 15 2 Bedford v. Deakin, 2 B. & Aid. Oli. St. 1G9; Bank v. Green, 40 Oh. 210; Boatmen's Sav. Instit. v. Mead, St. 431. Contra, that a note of tbe 53 Mo. 543. new firm is prima facie a payment. 3 Skannel v. Taylor, 12 La. Ann. Lewis v. Davidson, 39 Tex. GGO. 773. 1 Mason v. Tiffany, 45 111. 392 ; Ber- 4 Re Clap, 2 Low. 226, although the nard v. Torrance, 5 Gill & J. 383 • old note was surrendered ; Thompson Buxton v. Edwards, 184 Mass. 567; V. Briggs, 8 Foster (28 N. H.), 40 ; First Nal'l Bk. v. Morgan, 73 N. Y. Mebane v. Spencer, 6 Ired. L. 423 ; 593 (aff. G Hun, 346). Vol. 1 — 85 545 § olio. CONDUCT OF THE BUSINESS. § 530. Creditor and debtor becoming partners.— Compli- cations of an interesting sort occasionally arise by the forma- tion of a partnership between a debtor and creditor. If the debt is not implicated in the partnership, no reason is per- ceived why it is not still enforcible at law as any cause of action between partners dehors tlie firm may be, as will be shown hereafter. And if the debt is contributed by the cred- itor as his share of the capital, the debtor partner is debtor to that extent still, and the note representing his debt is still in force. In Cunningham v. Ihmsen, 63 Pa. St. 351, A. gave to liis cred- itor I. a bond and warrant to confess judgment. A. & I. then formed a partnership, I. contributing the bond as his share of the capital, it being agreed that on dissolution he should have it back. On dissolution and redeliverj'^ of it to I., he entered up judgment on it, and issued execution, and a subsequent execution creditor of A. attacked its validity. The court held that, not being fraudulent in fact as to creditors, it was not merged in the partnership, and a stranger could not assail it on that ground. In Mitchell v. Dobson, 7 Ired. Eq. (N. Ca.) 3i, A. & B., partners, gave a partnership note to their creditor C, and then dissolved, B. assuming all the debts. B. & C. afterwards formed a partnership, B. contributing the note as part of his capital. The note was held not to be thereby extinguished. In Gulick V. Gulick, 16 N. J. L. 186, A. & B., partners, made a note to the plaintiff. They then dissolved by A. buying out B. and assuming all the debts, and giving his note for the purchase money to B. with the plaintiff as surety. A. and the plaintiff then went into partnership in the same kind of business. It was held that plaintiff could enforce his note against A. & B. His going security for A. & B. does not release their joint liability. He had a right to go into partnership with A., and his doing so does not make the joint liability several. In an action on a partnership note against the surviving partner, the fact that the plaintiff and the deceased partner had covenanted to indemnify the surviving partner against debts of the firm, and all actions on them, was held a bar to the suit to avoid circuity of ac- tions.' » Whitaker r. Salisbury, 15 Pick. 534. 546 PAYMENT, NOVATION AND MERGER. . § 531. Where D., b3ing indebtel to 0. and others, conveyed all his business to 0., who then conveyed it to F.,iu trust to pay D.'s debts, and hold the balance for D. 0. then went into partnership with F. in the businass for some years. Losses having occurred, 0. was hehl estoppsd to enforce the trust, for he has rendered it impossible, and F. having conveyed the property back to D., and hence O.'s creditors cannot enforce the trust and collect payment therefrom.' § o.'Jl. Payment by one extinguishes debt as to all. — Part- ners being all liable for debts, and being unable to sue each at law, for reasons elsewhere given, it follows that if one part- ner pays a debt or judgment he cannot keep it alive by sub- rogation, bat the liability is extinguished, and the payment is a mei'e item in the general account.^ There is no reason, however, for extending the rule to the purchase by one firm of a note made by another firm hav- ing a common partner with it, and though the former firm is under a disability to sue its indorsee is not.' On the other hand, where the protection of the partner who pays a debt of the firm makes it equitable, he has been allowed to keep the debt alive and to be subrogated to the IWilkins r. Fitzhugh, 48 Mich. 78. took to keep the judgment alive ZBaillett V. Waring, 4 Ala. 688, against the bail of the other partner, where the fidminiblrator of a de- Holding also that after such pay- ceased partner paid a judgment i"t*nt the bail cannot arrest the other against liimself and the survivor, partner, for the debt is paid. Dana (Coji^m, Sells r.Hubbell, 2 Johns. Ch. v. Conant, 30 Vt. 246, where one 394); Hoganu. Reynolds, 21 Ala. f)6 (56 of an indorsing lirm took up the Am. Dec. 230), where one partner fur- note, and subsequently reissued it nished money to a stranger to pay to his individual creditor. Hardy the judgment and hold it alive over v. Norfolk Mfg. Co. 80 Va. 404, the others; Le Page v. McCrea, 1 where the partner who paid a debt Wend. 164(19 Am. Dec. 409), where secured by mortgage took assign- the creditor, after compromise by ment of it, and attempted to reas- one partner against the other, under- sign it to another person. Conrad took to keep the other alive. Booth v. Buck, 21 W. Va. 396, where the V. Farmers' & Mech. Bk. 74 N. Y. 228 assignee of one partner for benefit (aflf. 11 Hun, -iSS), a judgment on a of creditors paid a firm note to pre- note Kigned by four partners, and vent its being sued in order that he indorsed by the filth; the latter paid might sell property at his leisure; it; he cannot hold it over tiie others, ho does not become assignee of the Hinton v. OJenheimer, 4 Jones, Eq. note. 408, where the paying partner under- spulton v. Williams, 11 Cush. 108. 547 § 531. CONDUCT OF THE BUSINESS. securities or the judgment incident to the debt. This is not allowed that he may make a profit out of it, but solely as a protection.' Thus where a partner pays a debt of the firm out of his own money which the firm should have paid, he can do so in such a way as to show an intent to keep the debt alive." So an administrator of a partner who paid the whole of a part- nership debt has been substituted to the creditor's place to recover contribution from the surviving partner.' Or if a partner pays a mortgage on joint property which the other should have paid, he can require indemnity through the mortgage;'' and so if he pays a judgment note which it was agreed on dissolution should be paid by the copartner." Where a note, and mortgage on partnership property securing it, were made by a firm, a partner was deemed entitled to insist on foreclosure before personal judgment against him on the note, and if sued on the note, and has to pay it, it was held would be subro- gated to the mortgage.' But a partner who has partnership funds in his hands has no such right. Thus where a firm, with others, became incorporated, but by reason of continuing business in the firm name are made liable to a creditor of the corporation; and after the death of one partner the corporation assigns for the benefit of creditors to the surviving partner, and he pays a judgment creditor in full, having assets of the corporation to do it with, but for fear of being liable 1 Coleman v. Coleman, 78 lud. 344; signee could. He was not an active Booth V. Farmers' & Mech. Bank, 74 partner. Cliappell v. Allen, 38 Mo. N. Y, 228 (aff'g 11 Hun, 258), where 213, where a partner who iiud taken a judgment was allowed to stand as up partnership notes with liis own security for any balance that might money was allowed to assign them be found due on an accounting. to pay his private debt. niclntire v. Miller, 13 M. & W. 3 In Sells v. Hubbell, 2 Johns. Ch. 725, where a member of a joint stock 394; Dahlgren v. Duncan, 7 Sm. & company, making such payment, Mar, 280; but contra, Bartlett v. had the debt transferred to a trustee Waring, 4 Ala. 688, supra. for himself. Kipp v. McChesncy, 06 ^Laylin v. Knox, 41 Mich, 40. Ill, 400, where a partner in a sort of * Brown v. Black, 96 Pa. St. 482 ; joint stock concern bought its notes Suydam v. Cannon, 1 Houst, (Del.) with his own money as an invest- 431, and see the cases cited in the ment, it was held that, though he next section. could not sue upon them, his as- ^ Warren v. Hayzlett, 45 Iowa, 235. 548 PAYMENT, NOVATION AND MERGER. § 632. to other creditors of the corporation seeks to charge the payment as made by himself instead of by the fund, and attempts to re- cover one-half of it from the estate of the deceased partner, it was held that he should have charged the fund and could not recover.' RETIRING PARTNER AS SURETY. § 532. Inter se. — Where a partner retires from the firm under an agreement by the continuing partners to assume or pay all liabilities, he acquires as between the partners, ^respective of the rights of creditors, which will be here- after considered, the rights of a surety. Hence, if he is compelled to pay a debt of the firm, he can set off the amount against the continuing partners' claim against him.* And a debt of the firm which he is compelled to pay will be kept alive for his benefit, or he can have the judgment as- signed to him;^ and he is entitled to be subrogated to all securities held by or for the creditor,* and to participate with creditors of the new firm on distribution of its assets in insolvency or bankruptcy.' On being sued, he can apply to court to compel the continuing partners to pay debts.' If the continuing partners have given the retired partner a bond, with security, conditioned to pay off liabilities and become 1 Willey V. Thompson, 9 Met. 339. Frow, Jacobs & Co.'s Appeal, 73 Pa. aRotlgers v. Mdw, 15 M. & W.444; St. 459; Scott's Appeal, 86 id. 173. S. C. 4 Dow. & L. 06; or sue them in spiow, Jacobs & Co.'s Appeal, assumpsit, Shamburg v. Abbott, 113 siqjra; Moody v. King, 2 B. & C. 558. Pa. St. 0; Hupp v. Hupp, 6 Gratt. «See g§ 554, 634-641, and West v. 810. Chasten, 12 Fla. 315; and see Kin- sSuyd.im v. Cannon, 1 Houst. ney r. McCullough, 1 Sandf. Ch. 370; (Del. )'131, of a judgment; Chandler queried but not decided in Croone V. Higgiiis. 109 III. C02; Layliu v. v. Bivens, 3 Head, 339; and so Knox. 41 Mich. 40; Frow, Jacobs & though the others have not assumed Co.'s Ai)peal, 73 Pa. St. 459; Brown the debts, Morss V. Gleasou, 04 N. V. Blick, 96 id. 482; Redfield, C. J., y. 204 (aff. 3 Hun, 31 ; 4 Tliomp. & In ^tna Ins. Co. v. Wires, 28 Vt. 93.' C. 274); Ketcimm v. Durkee, Hotf. And see Scott's Appeal, 88 Pa. St. Ch. 538; and if they misapply the 173. assets ai'e individually bound to re- That neglect to pursue a surviv- Hun, 103); Palmer v. Purely, 83 id. ing partner is no discharge of the 144; Morrison v. Perry, 11 Hun. 3*; estate of the deceased partner, see Doild t>. Dreyfus, 17 Hun, 600; 57 How. Surviving Partner. Pr- 319 (latter report is best); Math- 2Stone V. Chamberlin, 20 Ga. 2^)0; ews v. Colburu, 1 Strob. (S. Ca.) L. Hoopes V. McCan, 19 La. Ann. 201; 258; Johnson v. Young, 20 W. Va. Barber 17. Gillson, 18 Nev. 89; Bell r. 614; Gates u. Huglies, 44 Wis. 332; Hall, 5 N. J. Eq. 477; Wilde v. Jen- Birkett v. McGuire,31 Up. Can Com. kins. 4 Paige, 481 ; Tliurber v. Corbin, PI. 430. And see Smith v. Shelden, .35 51 Barb. 215; s. C. as Tliurber u. Jen- Mich. 42, and cases cited in g 533. kins, 36 How. Pr. 66; Maier u. Cana- In Bays v. Conner, 105 Ind. 415, the van. 8 Daly, 272; Savage r. Putnam, creditor had apparently agreed to 82 N. Y. 501 ; Miilerd v. Thorn, 56 id. the substitution of debtors. 40-2; Colgrove v. Tollman, 67 id. 95 3 Hill v. Trainer, 49 Wis 537; Ex (23 Am. Rep. 90); (afT. 2 Lans. 97; 5 par/e Jacobs, 10 Ch. App. 211. 552 PAYMENT, NOVATION AND MERGER. § 534. ner that all debts should be paid, he has released the retiring partner. Agreeing with the latest English doctrine, and holding that mere knowledge on the part of a creditor of the new arrangement of the partners does not make him a party to it, and that they cannot change their relation towards him without his assent, are the cases in the subjoined uote.^ Nor can he notify the creditor to sue pursuant to the statute, for the statute only applies to those who were sureties from the bo- ginning.' In Rawson v. Taylor, supra, it was said that such agreement, with notice, would impose on the creditor the duty of acting in good faith and with reasonable diligence in the preservation of liena and application of payments. In Faulkner v. Hill, lOi Mass. 188, partners pledged goods as collateral for a debt then due and dissolved, conveying all the assets to one who agreed to pay all the debts, and they empowered him to wind up, execute releases, etc., of all of which the pledgee had notice, but did not agree to substitute L. as his debtor. L. paid part of the debt and took back from the pledgee what was thought to be a proportional part of the value of the collateral, but in fact a much more valuable part; hence the sale of the rest did not pay the remainder of the demand, L. having died insolvent; but this excessive delivery to L. was held not to be such a dealing with the collateral as to make the pledgee answerable for more than he had received — the syllabus adds, the invoice not showing that it was excessive, but this is not in the opinion. Where one partner retired, leaving assets with the other partner for the purpose of paying debts, and a creditor covenanted with the latter partner, on receiving security for part of the debt, not to sue him, and consented to his delivering part of the assets to a surety for the firm, this does not release the retired partner be^'^ond the 1 Mason v. Tiffany, 45 111. 393; Will- Barb. 461, and Ward v. Woodburn, iams V. Boyd, 75 Ind. 286; Aiken v. 27 id. o46, which of course nre not Thompson, 43 Iowa, 506; Smith v. law in bo far as inconsistent wiili tlie Shelden, 35 Mich. 42; 24 Am. Rep. holdings of the court of appeals given 529; Hayes v. Knox, 41 id. 529; Raw- in a preceding section. See also. Nor- 8on V. Taylor, 30 Oh. St. 389; 27 Am. ton t\ Richards, 13 Gray, 15, as liin- Rep. 464 ; Whittier v. Gould, 8 Watts, ited by Fisher v. Tiff C, 127 JIass. 313. 485. See, also, Umbarger V. Plume, 26 2Fenslerv. Prather, 43 Ind. 119. 553 § 535. CONDUCT OF THE BUSINESS. secured part of the debt, because the assets delivered to the surety were not lost to the defendant partner. The fact that the surety did not use them to pay debts makes no difference, for that is not the creditor's fault.' MERGER. The subject of the merger of a debt m a sealed instrument has already been treated. ^ § 535. Jiulgnieiit against one partner. — The doctrine of tlie merger of a debt in a higher security applies to a judg- ment on a partnership debt obtained against one or less than all the partners. The nearly universal rule is that this ex- tinguishes recourse on the partners who were not made parties, though judgment is not collectible on execution. The contrary rule laid down in Sheehy v. Mandeville, 6 Cranch, 254, after being disapproved in England and in nearly every state of the Union, has been since in effect overruled by the supreme court of the United States.' » Roberts v. Strang, 38 Ala. 5G6. 2 i^ 420. 3 Brown v. Wooton, Cro. Jac. 73; Kend;i!l v. Hamilton, 4 App. Cas. 604 ; S. C. below, 3 C. P. D. 403 ; Ex parte Higsins, 3 DeG. & J. 33; Cam- befort V. (Jliapnian, 19 Q. B. D. 239; Musou V. Eldicd, G Wall. 2il ; 7 Am. Law Reg. (N. S.) 402; Wood worth v. Spnfford, 2 McLean, 1G8; Sedam v. Willi.iins, 4 id. 51; Re Herrick, 13 Bnnkr. Rig. 312; Filley v. Piielps, 18 Conn. 291, oO."); Suydam v. Cannon, 1 Houst. 431 ; Nicklatis v. Roach, 3Ind. 78; North v. Mudge, 13 Iowa, 596; Wiinn r. MeNulty, 7 111. 35o; 43 Am. Dec. 58; Thompson v. Kmraert. 15 id. 415; Cnisliy v. Jeroloman, 37 Ind. 264; Bninett v. Juday. 38 id. 8G; Hol- man v. Langtree, 40 id. 349; Lingen- felser v. Simon, 49 id. 82; Scott v. Colniesnil, 7 J. J. Mar. 4lG; Moale v. IIol litis. 11 Gill & J. 11; Loney V. Bailey, 43 Md. 10; Ward v. John- son, 13 Mass. 148; Tinkum v. O'Neale, 5 Nev. 93; Stevenson v. Mann, 13 id. 2G8, 274; Nat'l Bank v. Spnigue, 20 N. J. Eq. 13, 31 (reversed on other points, in 21 id. 530) ; Robertson v. Smith, 18 Johns. 459; Penny v. Mar- tin, 4 Johns. Ch. 566; Peters v. San- ford, 1 Den. 224 ; Averill v. Loucks, 6 Barb. 19; Olmstead v. Webster, 8 N. Y. 413; Suydam v. Barber, 18 id. 468 (rev. 6 Duer, S4); Sloo v. Lea, 18 Oh. 279 ; Anderson v. Levan, I Watts & S. 334; Smith v. Black, 9 Serg. &R. 142; 1 1 Am. Dec. 686 ; Nichols v. Anguera, 2 Miles (Pa.), 290; Gaut v. Reed, 24 Tex. 46, 55; How v. Kane, 2 Pin. (Wis.) 531; s. c. 2Chaad. 222; 54 Am. Dec. 1")2. Thci'e are a few author- ities to the contrary. Sheehy v. Man- deville, G Cranch, 254 (now overruled, as already staled); Watson v. Owens, 1 Rich. (S. Ca.) L. Ill, and Union Bank v. Hodges, 11 id. 480, in both of which cases tlie non-joined pait. 4 PAYMENT, NOVATION AND MERGER. § 537. Although the partners who were not made parties were secret partners, yet all claim against them individually is merged.^ § 530. A judgment against ostensible partners neverthe- less binds the interest in the partnership assets of dormant partners who were not made parties to the action.^ And where some of the partners plead the personal privilege of iafanc}'', and judgment is therefore against the adults only, it is a partnership debt, and entitled to share on distribu- tion pari passu with judgments where no such plea was interposed.* In Olmstead v. Webster, 8 N. Y. 413, it was held that the vacat- ing of the judgment by mutual agreement of the plaintiff and the defendant partner would not revive the cause of action against the other partner. Probably, however, this cannot be so; for aa the judgment no longer exists, the doctrine of merger cannot ap- ply; and on the doctrine of election, the right to retract is open until judgment, and besides there could be no election when as here the other partner was unknown. § 537. Where partners are jointly and severally liable. — A judgment against one partner upon a joint and several debt is not a merger of the several liability of the other partners.* ners were unknown to the plaintiff. Anguera, 2 Miles (Pa.), 290; How v. And, vice versa, it has been held that Kane, 2 Pin. 531 ; s. C. 2 Chand. 223 a joint judgment against all the part- (54 Am. Dec. 152); Mason v. Eldred, ners bars action ou a note given by 6 Wall. 231, 238; 7 Am. Law Reg. one or more of them for the same (N. S.) 403. Contra, Watson v. debt. Doniphan v. Gill, 1 B. Mon. Owens, 1 Rich. (S. Ca.) L. Ill, and 199. But see the principle stated in Union Bank v. Hodges, 11 id. 480. §537. 2 §1053. 1 Kendall v. Hamilton, 4 A pp. Gas. 3g 149. 504; Lingenfelser v. Simon. 41) Ind. ^Kmg v. Hoare, 13 M. & W. 495; 82; Scott V. Colmepnil, 7 J. J. M.ir. Traftou v. United States, 3 Story, C. 416; Moale v. HoUins, 11 Gill & J. C. 646; Sherman u. Christy, 17Iowa, 11; Penny v. Martin, 4 Jolms. Ch. 322; Pierce v. Kearney, 5 Hill, 82; 566; Robertson v. Smith, IS Johns. Oilman u. Foote, 22 Iowa, 500, where 459; Olmstead v. Webster, 8 N. Y. one partner individually signed a 413; Anderson V. Levan, 1 Watts & note made by his firm, and a judg- S. 334; Smith v. Black, 9 Serg. & R. ment on his several lability as 142 (11 Am. Dec. 686); Nichols v. maker was held not to merge the 555 g 538. CONDUCT OF THE BUSINESS. lu some states there are statutes providing that a firm debt, either generally or on negotiable paper, shall be re- garded as joint and several, or permitting a judgment to be had against some of the joint debtors without operating as a merger, as in Alabama, Arkansas, Colorado, Dela- ware, Illinois, Kansas, Kentucky, Maryland, Missis- sippi, Missouri, Montana, New Jersey, New Mexico, Pennsylvania and Tennessee.^ It was held, also, that where the other joint debtor was out of the jurisdiction a judgment against the resident was not a merger.* In Suydam v. Barber, 18 N. Y. 468 (reversing 6 Duer, 34), it was held that as a judgment in Missouri against one partner was not a merger the same effect would be given here to the judgment.' § 538. When the note of one partner is taken as collateral merely, or if the note of a new firm or of one partner after dissolution is not a payment of the original debt, a judg- ment upon the new note, if not paid, has no greater effect than the note itself had.* claim against the firm. But see the 2 Ells v. Bone, 71 Ga. 466; Yoho v. query in Smith v. Exchange Bank, McGovern, 43 Oh. St. 11 ; but in the 26 Oh. St. 141, 153, as to a judgment latter state at least, the proper course against a drawer who is also a mem- is to make all the partners parties, ber of the firm which accepted a take judgment against those on bill. wliom service was had, and file a 1 William v. Rogers, 14 Bush, 776; petition to make the others parties Bryant v. Hawkins, 47 Mo. 410, and to the judgment. Suydam v. Barber, 18 N. Y. 468, also Sg. p. Mason v. Eldred, and Reed on the Missouri statute; Loney v. v. Girty, 6 Bosw. 567, which case is Bailey, 43 Md. 10; Hyman v. Stad- a later stage of Suydam v. Barber, ler, 63 Miss. 362; Bennett v. Cadwell, supra. 70 Pa. St. 253; Lowry v. Hardwicke, McCormick v, McCormick, 7 Neb. here. 440, 564 CONVERSION OF JOINT INTO SEPARATE PROPERTY. § 547. seller's possession, and is rather a matter of form than a sub- stantial part of the conveyance; nevertheless it is necessary when required under the statute of frauds as applied to the law of sales; but of chattels scattered in different places a symbolic delivery is enough, or a delivery of part for all.^ Yet such conversion into separate property by division, or by sale from one partner to another without change of pos- session may be valid inter se and as to individual creditors; it has nevertheless been held void as to partnership cred- itors without notice thereof for want of change of possession.^ And conversely where a person buyg an interest in a firm, no formal delivery is necessary inter se.' In Birks v. French, 21 Kan. 238, B., of L., W. & B., bona fide bought a herd of cattle then in pasture from his firm, and after- wards L., in the name of the firm, sold the same herd to F., a former dealer with the firm, who had no notice of the change of title. F.'s title was held better than B.'s. The reason given was that the sale to B. was a dissolution of partnership as to this herd, and not bind- ing on a prior dealer until notice. Where the firm shipped articles to a partner who had purchased them from it, and on the same day both went into insolvency, the actual appropriation is sufficient to constitute them part of his separate estate while in transit.^ Where one partner goes away, and the other takes possession and pursues and buys out the former, the title of the buyer is complete without further delivery under the statute of frauds as against an attachment.'' The mere fact that the purchasing partner by agreement contin- ues business in the same name, sign, business cards and same form of bank account, and employing the outgoing partner as clerk at a salary, was held not to warrant the inference that the property 1 Shurtleff u. Willard, 19 Pick. 203. Wagon Co. 121 U. S. 310, because a 2 Page V. Carpenter, 10 N. H. 77; creditor who has no lien cannot ob- Criley V. "Vasel, 52 Mo. 445 ; Newell u. ject to changes of ownership; but Desmond, 63 Cal. 242; Re Tomes, 19 this is different from change of pos- Bankr. Reg. 36 ; Moline Wagon Co. session. See § 105. V. Rummell, 2 McCrary, 307; 13 Fed. 3 Ritchie v. Kinney, 46 Mo. 298. Rep. 658; 14 id. 155; but this case is ^ Fisher v. Minot, 10 Gray, 260. reversed as Huiskamp v. Moline sBoynton v. Page, 13 Wend. 425, 565 § 518. CONDUCT OF THE BUSINESS. was still that of the outgoing partner transferred in fraud of cred- itors, and is not, therefore, subject to levy by a subsequent cred- itor.' Whore L., of L, & M., who owned lumber in partnership, sold out his interest to D., and the lumber was marked D. & M., and M. thereupon employed L/s as his agent to take charge of his interest, here L.'s continued possession does not make his sale to D. void as to his creditors, for D. could do no more; he could not exclude M.'s agent from possession,* § 548. sale by one partner to a tliird person.— Where a partner sells or assigns his share to a third person in a partnership, change of possession is not possible and manual delivery is not essential to the validity of the con- veyance. The ground upon which this is based in some of the cases below is not the true one. The parties are not tenants in coinmon, but the assignment conveys a right in the nature of a chose in action not capable of delivery, and notice of the assignment to the holder of the fund or to third persons is all that is essential, and even that as be- tween the assignor and the assignee is not necessary. In Whigham's Appeal, 63 Pa. St. 19i, H., T. & A. were partners in a portable saw-mill, A. beiug the manager and in possession. H. sold his interest to W. and A. recognized W.'s title, but there was no change of possession. The sale was held valid against creditors of H. because not capable of further delivery, and because the possession of one tenant in common is the possession of all. In Raiguel's Appeal, 80 Pa. St. 234, 2iT-8, one partner assigned all his interest in a dissolved partnership to a creditor as security. The master held this to be valid against the execution sale of his interest by another creditor, and the buyer, ou execution, took nothing. In Wallace's Appeal, lOi Pa. St. 559, A., while indebted to S. for $9,500, and having §3,000 capital in a firm, in order to increase his interest in the business borrowed $14,500 of W., and to secure it gave W. a written transfer of all his interest in the firm, with a clause that on default W. could take possession. S. got judgment iHamill v. Willett. 6 Bosw. 533; ^Pieru Duff, 63 Pa. St. 59. Crilej V. Vasel, 53 Mo. 445. 666 CONVERSION OF JOINT INTO SEPARATE PROPERTY. § 548. against A. aud A.'s interesf, was sold on execution, his copartners buying it in for §10,000, W. notifying all at the sale that it was pledged to him, and S. was paid in full oui; of the proceeds. On bill by W. for an accounting, it was lield that possession was not necessary to the pledgee's title, being impossible, and this is an ex- ception to the general rule, and that the pledge is good against every one but buyers without notice; that W.'s right to take pos- session meant a right to call for an account, and A.'s copartners as buyers of his interest only acquired any surplus in it, and must pay W. his claim if they desire to hold A.'s share.' In Collins' Appeal, 107 Pa. St. 590, A. borrowed money of B. for the purpose of forming a limited partnership, aud as security pledged all his interest in the future partnership. The partnership was formed, but under another than the then intended name and with additional parties, and at its expiration and winding up A.'s share was paid to his executors. It was held that a pledge could be made of a thing not- i)i esse, and the partnership formed being in fact the one intended, the pledge is good against general credit- ors of A. aud against all but buyers without notice, aud even against subsequent partnership creditors. The original draft of a notice of dissolution reading as follows: " B. having disposed of his interest in the firm of A. & B. to A., the firm is this day dissolved," etc., was held a sufiicient writing to transfer B.'s interest to A.^ In Whittle v. Skinner, 23 Vt. 531, an assignment by C, a part- ner, of all his interest in the firm, or in the unascertained balance that might be due him on settlement, as security for an individual debt, but with the assent of his copartner, was held to be void, be- cause it is an assignment of an unliquidated claim or a virtual sale of suits, which is void for maintenance, and also because an assign- ment by way of pledge is inoperative without delivery, and is therefore a mere agreement to assign ; and hence on subsequent settlement, a balance of §50 in the hands of his copartner being due C, an agreement by C. that it should remain in his hands and be credited on a note of C. to the partner is not interfered with by the attempted prior assignment. iThis case had a variety of 107 Pa. St. 590; and lastly as Wal- branches, viz.: in the Orphans' Ct. lace's Appeal, lOi id. as Hulse's Estate, 11 Weekly Notes ^ Armstrong u. Fahnestock, 19 Md. (Pa.), 499; then as Collins' Appeal, 58. 567 § 550. CONDUCT OF THE BUSINESS § 549. An offer by one partner to sell out to the other at a cer- tain sum, the oifer to continue for a certain time, but in the mean- time the business to go on, new debts being created and old ones paid, will be construed as an offer to sell the interest as it existed at that date, and an acceptance at the end of the time of the in- terest as it then stood, at the original price, is no acceptance.* Where a firm had valuable contracts for furnishing articles to be manufactured under its patents, and one partner having died, his executor sold to the surviving partner the decedent's half of the stock, fixtures, etc., according to a schedule, but no reference was made to the contracts, and afterwards sold to him all the decedent's interest in the patents and the lease of the place of business, the survivor assuming the payment of all salaries due since the death, the contracts being of no value apart from the patents, the infer- ence will be drawn that the executor intended to reserve no benefit in the fulfillment of the outstanding contracts and that the sur- vivor's continuance of business was on his own sole account.* An assignment by one partner of all his interest in a contract of partnership "by which he is entitled to one-third the net profits," was held not to transfer his right to a salary and expenses in managing the business.^ A conveyance of half a partner's in- terest in a gold company, with a subsequent clause that the buyer was not to be a partner but to have only half the seller's interest in the metals obtained, is modified by the subsequent clause and passes no interest in the outfit.* RETIRING partner's EQUITABLE LIEN. § 550. Retiring partner has no lien.— The right of a partner to have the assets applied to pay the debts ceases when he parts with his interest in the assets, as where part- ners convert their joint interests into separate interests. 1 Eggleston v. Wagner, 46 Mich, for five years, but at the end of a 610. year dissolved and sold out to the 2Collender v. Phelan, 79 N. Y. plaintiff all their rights secured by 3G6. the indenture, this conveys not only 3 Stewart V. Stebbins, 30 Miss. 66. the original contributions for the < Phillips V. Jones, 20 Mo. 67. rest of the five years, but also all Where partners who, by indenture, subsequent purchases made with had specified how much each should partnership funds, Caswell v. How- conlribute and agreed to continue ard, 16 Pick. 563. 5G8 CONVERSION OF JOINT INTO SEPARATE PROPERTY, § 550. Hence, where a partner retires from the firm, seUing or as- signing his interest to the continuing or remaining partners, he loses his equitable right and can no longer apply as part- ner for an accounting and receiver, but becomes a mere un- secured creditor for whatever may be or become due him, and, like any other creditor, has only the personal security of his former copartners to look to.^ Some cases, however, give the retiring partner, as a surety, rights and powers to compel application of assets to debts, which are nearly equivalent to the lien of a partner.^ Where one partner sold his entire interest to a third person; the other partner then used partnership funds to buy land in liis own name, the retired partner has no lien on the lands.^ A partner who conveys his interest in partnership land to his copartner is entitled to a vendor's lien for the price, provided there are no joint creditors;^ but any such lien or a mortgage to secure the purchase money would be subject to the claims of joint creditors/ But the mortgage in the hands of an assignee for value was held good against the attachments of joint creditors in Scudder v. Delashmut, 7 lo^^a, 39. In Seaman v. Huffaker, 21 Kan. 254, M., of H. & M., partners, owning real and personal property, sold in writing all his interest in the property to his partner, H., in consideration of H.'s promise to pay him §1,500 and to pay the debts. The real estate remained in the name of both and was mortgaged by H. to secure a partner- ship creditor. The creditor, having foreclosed, was held entitled to a decree for the title against both partners, for the entire equi- table title being in H., he could mortgage it, and the claim for a firm debt is prior to M's claim for $1,500, which is an individual debt. In Low V. Allen, 41 Me. 248, L. sold out to his partner A. all his interest in the firm of L. & A., A. giving him in payment notes iLiugen v. Simpson, 1 Sim. & Stu. here because not elsewhere specific- 600; Ex jparte Ruffin, 6 Ves. 119; ally noticed under this head. Jones V. Fletcher, 42 Ark. 423 ; Mar- 2 See g 534. lin V. Kirksey, 23 Ga. 164; Wilson v. SBarkley v. Tapp, 87 Ind. 25. Soper, 13 B. Mon. 411 (56 Am. Dec. ^Reese v. Kinkead, 18 Nev. 126. 573). And see § 189, and cases in sgeaman v. Hufifaker, 21 Kan, 254; the succeeding notes of this topic Low i". Allen, 41 Me. 248; Savage u. passim, the foregoing being cited Carter, 9 Dana, 408. 569 g 551. CONDUCT OF THE BUSINESS. and a mortgage upon the partnership property "to secure him for his liability on the debts and for the ultimate payment of the notes." The property being sold by consent and the proceeds coming into L.'s hands, it was held that he could appropriate it to partnership liabilities before app]3nng it to the notes. § 551. Coutiuuing partners assuming detots. — The fact that the continuing partner, or if a third person, who buys the interest and becomes a partner, assumes the debts and agrees with the retiring partner to indemnify or save him harmless or to pay the debts, does not preserve the lien. The contract is a personal obligation only, and is equivalent merely to deferring the payment of the consideration. Hence the property is converted into separate property and the buyers can deal with it as they please, for the retiring partner is a mere creditor, and not a cestui que trust} 1 Ex parte Ruffin, 6 Ves. 119, 126 ; Ex x>arte^N\\\mms, 11 id. 3; Crane V. IMorrisou, 17 Bankr. Reg. 893; Reese v. Bradford, 13 Ala. 837, 847; Griffin v. Ormaii, 9 Fla. 22; West v. Chasten, 12 Fla. 315; Ladd v. Gris- wold, 9 111. 25 (46 Am. Dec. 443j; Hapgood V. Cornwell, 48 id. 64; Goembelu Arnett, 100 id. 34; Will- iamson V. Adams, 16 111. App. 564; Trentman v. Swai'tzell, 85 Ind. 443; Maquoketa, City of, v. Willey, 35 Iowa, 323 ; Griffith v. Buck, 13 Md. 102; Armstrong v. Fahnestock, 19 id. 58; Robb v. Mudge, 14 Gray, 534; Howe V. Lawrence, 9 Cush. 553, 558 (57 Am. Dec. 68); Andrews v. Maun, 31 Miss. 322; Fulton v. Hughes, 63 id. 61; Vosper v. Kramer, 31 N. J. Eq. 420 ; Dayton v. Wilkes, 5 Bosw. 655; Cory v. Long, 2 Sweeny (N. Y.), 491; Weber v. Defor, 8 How. Pr. 502; Parks v. Comstock, 59 Barb. 16; Dimou V. Hazard, 32 N. Y. 65; Emerson v. Parsons, 46 id. 500 (aff'g 2 Sweeny, 447) ; Stanton v. Westover, N. Y. (1886)4 N. E. Rep. 529; Latham V. Skinner, Phil. (N. Ca.) Eq. 292 ; 5 Rankin v. Jones, 2 Jones (N. Ca.), Eq. 109; Allen v. Grissom, 90 N. Ca. 90; Miller v. Estill, 5 Oh. St. 508, 517-18; Baker's Appeal, 21 Pa. St. 76; Clarke's Appeal, 107 id. 436; Croone v. Bivens, 2 Head, 339; Smith V. Edwards, 7 Humph. 106; Hollis v. Staley, 3 Baxter, 167; White v. Parish, 20 Tex. 688 ; and see Wagner V. Wagner, 50 Cal. 76. Contra, De- veau V. Fowler, 2 Paige, 400; Olson V. Morrison, 29 Mich. 395. It wdll be remembei'ed that if a continuing partner agrees to pay the debts and not merely to indemnify, the retiring partner has a right of action against him upon non-payment, without himself having first paid anything (g 036). This, however, is an action at law for money damages and not an equitable right to have the spe- cific assets applied to partnership debts to the exclusion of separate debts, which is what we are here considering, and which carries with it a right to injunction and receiver, and which a court will enforce in favor of the firm creditors in case 70 CONVERSION OF JOINT INTO SEPARATE PROPERTY, g 551. Thus, in Griffitli v. Buck, 13 Md. 102, one partner sold out to the other, who assumed the debts and agreed that the hitter should be released therefrom. The continuing partner afterwards sold out the whole concern to G., leaving the debts unpaid. The creditors claimed that the retired partner had a lien to have the debts paid, which lien the creditors could use to set aside the sale to G. But it was held that the partnership effects on voluntary dissolution could be transferred bona fide to one or more partners or to a stranger, and though the consideration be that the buyer shall pay the debts this will not aid the creditors. In Lingen v. Simpson' the partners dissolved and divided up the tangible property of the firm between them, agreeing that the debts owing to the firm should be appropriated to pay those owing by it. This fund proved deficient, but it was held that neither partner had a lien upon the share of property alloted to the other for the deficiency. In Langmead's Trusts," one partner retired, assigning all his in- terest in the firm to the other, subject to debts, the other agreeing to pay debts and indemnify him. The continuing partner after- wards assigned a policy of insurance which had been an asset of the firm to a mortgagee Avith notice of the terms of dissolution. One judge held that no lien was intended to be reserved; the rest held that, whether intended or not, the mortgagee need not see to the application of the mortgage money. In Giddings v. Palmer,^ partners on dissolution divided the assets between them and each assumed specified liabilities. B., one of the partners, who had agreed to pay a partnership note due the assets are being judicially dis- his vendee, who had also bought out tributed. The above two cases of the other partnei-. It was also Deveau v. Fowler and Olson v. JMor- held there that the defendant could rison were covenants to pay the not insist that the creditors should debts, and the courts held that such first obtain judgment against the a covenant recognizes or preserves partners, for he had no right to re- the lien ; in the former case the re- quire those to be inirsued whom he tiring partner was allowed an in- had undertaken to relieve. See, also, junction and receiver on charges of g 929. insolvency and using the assets to i 1 Sim. &Stu. 600;S. p. Whitworth pay private debts, and in the latter v. Benbow, 56 Ind. 194; and see Rob- the ?firm creditors and the retiring ertson ?;. Baker, 11 Fla. 193. partner jointly obtained injunction 27 De G. M. &G. 353. and other relief in equity against 3 107 Mass. 269. 571 § 552. CONDUCT OF THE BUSINESS. to his father, instead of applying the assets allotted to him to its payment, devoted them to the dischai-ge of individual dehts which he owed his father. The father, who, at the time, knew of the agreement and its violation, brought an action on the note against the other partners. It was held that each partner received his al- lotted assets absolutely, and not subject to any trust, and each had released his lien to have them applied to debts and relied upon the other's promise, and the father could maintain the action. § 552. Retention of lien by the contract. — There seems, however, no reason why the retiring partner may not re- tain a lien h}'' agreement, and if the terms of sale so ex- press, or an intention to that effect appears, the lien will be preserved; ' and if the purchasing partner agrees to pay the debts with or out of the assets, or to apply the assets or the profits to the debts, a trust fund is created, or rather the retiring party has preserved his equity to insist upon an application of the assets to the debts, and the courts will enforce it.^ But a promise to do the best he could with the assets towards the firm debts creates no lien,' and it was doubted whether a sale " subject to the payment of debts " with an agreement of indem- nity shows an intention to reserve a lien ; ■* but if the sale is to a third person on such terms, the title was held not to have passed, 1 Savage v. Carter, 9 Dana, 408; (N. Y. ) 669 ; Cory v. Long, 2 Sweeny, Croonev. Bivens, 2 Head, 339; Grif- 491; Robb v. Stevens, 1 Clarke, Ch. fith V. Buck, 13 Md. 102, IIG; Rogers 195; Rogers v. Nichols, 20 Tex. 719; U.Nichols, 20 Tex. 719, 724. As to Shackelford u. Shackelford, 32 Gratt. the rights of a retiring partner in 481; and Roop v. Herron, 15 Neb. those states where he is regarded as 73, might have been put on this a surety to compel continuing part- ground. In this case, after a partner ners to pay the debts, see § 532. had retired, merely assigning liis in- 2 Payne v. Hornby, 25 Beav. 2S0 ; terest to his copartner, who agreed Kilseyu Hobby, IG Pet. 2G9; Mat- to pay the debts, the firm being ter of Shepard, 3 Ben. 347 ; Sedam u. insolvent, the counsel of the out- Williams, 4 McLean, 51 ; Marsh v. going partner was regarded as nee- Bennett, 5 McLean, 117; Talbot v. essary to a transfer of assets to pay Pierce, 14 B. Mon. 158; Bowman i>. the separate debt of the remaining Spalding (Ky.), 2 S. W. Rep. 911; partner. Harmon v. Clark, 13 Gray, 114; Top- 3 Hapgood v. Cornwell, 48 111. 64. liff u. Vail, 1 Harr. Ch. (Mich.) 310; ^Langmead's Trusts, 7 DeG. M. & Wildes V. Chapman, 4 Edw. Ch. G. 353. 572 CONVERSION OF JOINT INTO SEPARATE PROPERTY. § 553. and therefore not to be afifected by execution for a private debt of the buyer.' If the retiring partner reserves a lien for the payment of debts, such lien extends to the entire assets and not merely to his proportion of them or of the tangible property,^ but not to subsequent acquisitions.^ § 553. Illustrations. — Where the buying partner agrees to pay all the debts and wind up the business, applying the assets as fast as realized to the debts and keep an account, this shows an in- tention to preserve the lien, and the contract makes the buyer a trustee; hence on his death that part of his estate' consisting of the former partnership assets will be applied to the firm's debts/ In Menagh v. Whitwell,^ it was said by Allen", J., that the sale by one partner to another reserves no lien when new rights have attached by reason of such change of interest, as where the transfer is to a sole partner and the rights of his individual credit- ors have accrued, or the new firm has exercised the jus disponendi which they have, or there are creditors of the new firm. But there is no reason why, when no adverse or paramount rights have at- tached to the joint property, the same equity should not be recognized in the retiring partner as if he had been a continuing partner.* In Harmon v. Clark,' a dissolution and conveyance by one partner of all the assets to the other, who agreed to pay all the debts, and after their payment to convey one undivided half back to the retiring partner, was held not to be a conveyance and con- version of the joint property into separate property, leaving no duty on it, and taking only the personal agreement of the co- partner to pay debts, but it fixes a trust upon the property for tbe benefit of the retiring partner and creates a clear equity in his favor. The right to enforce this trust devolves, in case of insolv- ency, on the joint creditors, who can insist that the equitable claim 1 Stevenson u. Sexsmith, 21 Grant's 5 52 N. Y. 146,167 (11 Am. Rep. Ch. (Up. Can.) 355. 683). 2 Northrup V. McGill, 27 Mich. 234. ^This idea was also suggested 3 Kerr v. Bradford, 26 Up. Can. C. in Shackelford v. Shackelford, 32 P. 318. Gratt. 48], 503. < Shackelford v. Shackelford, 32 "13 Gray, 114. Gratt. 481. 573 § 5c4. CONDUCT OF THE BUSINESS. of the partner shall he worked out and the property applied to the paj'raent of the joint dehts and not to separate dehts. In Kitchen v. Lee/ K. & L, were partners, and L. was a minor. They dissolved, K. conveying to L. all his interest in the firm on condition that L, would pay the dehts. L. suhsequently refused to pay them on the ground of infancy. Here it was held that he could not retain the assets and refuse to pay the debts.' When, however, the retiring partner is to receive a bond to se- cure the purchase money agreed to be paid to him, the contract is executory until it is given, and his lien continues until then.' § 554. Remedies in such case. — If a lien is reserved it can be enforced against a voluntary transferee.* But a purchaser for value of an asset is not bound to see to the application of the purchase money, and is justified in assuming it will be properly applied.^ The lien being retained, it and a rem- edy upon it are the same as in case of dissolution without sale,^ and the rights of firm creditors to be subrogated to it when the court is administering the concern is the same as before.^ In Kellogg V. Fox,* K., of B. & K., sold out his interest in the firm to F. & M., with whom B. then went into partnership as B., F. & Co., the terms of sale being that the interest sold should remain K.'s property until paid for. Afterwards the new firm sold some of 111 Paige, 107. an adequate remedy at law, no dis- 2 Contrary to the above cases it covery being sought and the ac- was held in Clarke's Appeal, 107 Pa. counts being all on one side, nor St. 436, where the articles of part- could the bill be sustained on the nership provided that any partner ground of a trust. could sell his share, and in that case ^See g 540; Ex parte Wood, 10 Ch. the continuing partners and the D. 554 ; Fitzgerald v. Cross, 20 N. J. buyer of the share were bound to ex- Eq. 90. onerate him from all debts, and ap- * Wildes v. Chapman, 4 Edw. Ch. ply the assets to pay the debts. The CG9. plaintiffs sold their shares, but were 'Per Knight Bruce, L. J., in afterwards compelled to pay debts, Langmead's Trusts, 7 De G. M. & G. and applied to equity for reimburse- 353. ment; that equity had no jurisdic- 6 Rogers u. Nichols, 20 Tex. 719. tion to wind up and compel a reim- '' Buck Stove Co. v. Johnson, 7 Lea bursement ; that the plaintiffs were (Tenn.), 282. creditors and not partners, the same 8 45 yt. 348. as any partner who has sold and had 574 CONVERSION OF JOINT INTO SEPARATE PROPERTY. § 555. the property in good faith, but F. & M. appropriated the avails to their own use without paying K., who brought trover. It was hehl that the action would not lie. The reservation of interest by K. was only as partner of B., and B. had the same power of disposition after as before the dissolution, and F. & M. are not liable for par- ticipation in a sale which B. had the right to make. In McGown v. Sprague,' it was held that if the partner who buys out the other and assumes the debts, absconds without paj'ing debts, the selling partner could consider himself released from the contract, and a court would release him from it and reinstate him in his original rights as partner and restore his lien, and he could therenpou have the assets applied to the partnership debts prior to the individual debts of the copartner; Ligon, J., dissenting. A retiring partner who has reserved his lien can file a bill to have the assets applied to the firm's debts in case of breach of duty or contract, or in case of fraud; ^ though not on mere apprehension of loss without misconduct; ^ that he can file such a bill against the administrator of the continuing partner, who is under an insuffi- cient administration bond.* Where on dissolution a partner merely left an amount of assets equal to the debts in the hands of a copartner without selling to him, and the latter agreed to pay the debts but kept on in business, incurred new debts, and after execution had been levied on the stock assigned for the benefit of creditors, the former partner can insist on his lien." SUCCESSIVE FIRMS. § 655. The foregoing principles afford an easy solution to the question of the distribution of the assets of successive partnerships in the same business. These changes of part- nership may occur in various ways, as by a partner selling his interest to a third person who is taken into the firm in his place, or by a partner retiring or dying, the business 1 23 Ala. 524 5 Parker v. Merritt, 105 111. 293. 2 Darden v. Crosby, 30 Tex. 150. And see Williamson v. Adams, 16 3 Walker v. Trott, 4 Edw. Ch. 88. 111. App. 564. And see § 105. < Shackelford v. Shackelford, 33 Gratt. 481. 575 S 550. CONDUCT OF THE BUSINESS. being continued, or by a firm taking in a new partner with- out the retirement of any member. In all these cases the property of the old firm is converted into that of the new, and the partners in the new firm have an equitable lien to have it applied to the creditors of the latter firm, which lien the court will use in favor of such creditors until they are paid in full, to the exclusion of cred- itors of former firms. ^ § 55(). Illustrations; retirement of old witlioiit new part- ner. — We have already seen that a partner who retires suffering the continuing partners to go on with the old assets as a new firm has lost his equity to compel their ap- plication to the debts of the original firm.^ From this it follows that the original creditors whose priority is worked out through the partners' equity is also gone, and the prop- erty will be devoted first to the debts of the new concern.'' For example, if, of a partnership of five persons, two retire and tlie remaining three agree to pay the debts and form a new firm, then one of these retires and the other two form a firm with the remaining assets, but become insolvent and assign for the benefit of their creditors, creditors of the former firms cannot claim any part of the fund until those of the last firm are paid in full.* So where C. & Co., who were indebted to the plaintiff, dissolved, and two of its members formed a new firm as C. & B., taking the assets and assuming the debts, the plaintiff, hovvever, not assenting to the substitution of debtors, and C. & B. assigned for benefit of creditors and as a firm, this was held equivalent to three assign- ments, and the plaintiff cannot come in as a creditor of the firm of C. & B., for he is a creditor of C. and of B. as individuals.' 1 Camp V. Mayer, 47 Ga. 414 ; Gor- firm has no creditors, Dennis v. Ray, don V. Cannon, 18 Gratt, 887 ; Hobbs 9 Ga. 449. V. Wilson, 1 W. Va. 50; Tracy v. < Baker's Appeal, 21 Pa. Sfc. 76. Walker, 1 Flip. 41; 3 West Law » Scull v. Alter, 16 N. J. L. 147. Month. 574, and the illustx-ations in This case also held that plaintiff can- next section. not come upon the separate estates 2 § 550. until he has exhausted the partuer- 3 That the old creditors can compel sliip assets of C. & Co. or shown that the new firm to account if the new firm also to be insolvent. This is on 576 CONVERSION OF JOINT INTO SEPARATE PROPERTY. § 557. Hence, also, the assignment for creditors by the new firm must be for the creditors of the new firm and cannot provide for pay- ment of those of the okl on an equality with them." Where the dissolution is by the death of a partner, and the execu- tor does not part with his equitable right to require debts to be paid, a continuance of business by the survivor with the old assets cannot avail to postpone the old debts to the new ones.* And as the property of the creditors of the new firm may have added to the funds, both sets of creditors will share ^ari passu^ the representa- tives of the deceased partner who permitted the business to go on not being allowed to complain.^ In Hoyt V. Sprague,* the lien of the executor of a deceased part- ner who had acquiesced in the continuance of the business with the old assets is lost as to new property which, in the course of busi- ness, takes the place of the old, and he is not even a creditor of the new firm and cannot ^Xvcxre pari passu with the new creditors; but the opinion seems to regard his lien as continuing to exist in such of the old assets as remain in specie.* §557. New partner on retirement of okl. — An old firm dissolves, and a partner receives from it a specific portion of the assets, for which he is to pay a certain sum, but never does so, and these assets are transferred to him for the purpose of contributing them as his share of the capital of a new firm, composed of some the doctrine that a person having a 5 in New Hampshire, where the lieu upon two funds must exhaust creditors' priority is in some degree that first on which others have no inherent in themselves and not lieu, and is not universally accepted worlied out through a partner's as the rule. equity, their paramount right is not 1 Lester u. Pollock, 3 Robt. (N. Y.) intercepted by any management of 691 ; s. C. as Lester v. Abbott, 28 How. the surviving partners among them- Pr. 483; Smith v. Howard, 20 How. selves, and any property of the orig- Pr. 121. inal firm which can be traced through 2Deveau v. Fowler, 2 Paige, 400. successive fii-ms will be devoted to Here there was but one survivor, and the original creditors, as against later hence not a new firm. The act of debts or attachments or seizures by the executor here would not gen- creditors of the new firms. And the erally be regarded as a reservation of administrator's assent makes no dif- his lien. ference, as he has nothing to do with 3 Filley v. Phelps, 18 Conn. 294, 304. the assets. Benson v. Ela, 35 N. H. And see ^o; par ^e Chuck, 8 Bing. 469, 402. This rule would, perhaps, also cited in g 558. obtain in Vermont and Missouri. * 103 U. S. 613. Vol. I — 37 577 § 557. CONDUCT OF THE BUSINESS. members of the old firm and others, and are so contributed. But the new firm shortly dissolved, some of the members taking all the assets, and giving him a note for the valuation of all the goods he had so contributed, being the same amount which he owes the old firm for them. The proceeds of this note when collected belong to his personal estate, although the old firm is insolvent and his debt to it has not been paid.' X., of G. & X., sold out to H. all his interest in the firm, H. covenanting to pay debts and hold him harmless, and the partner- ship of G. & H. was then formed. G. & H. having assigned for the benefit of creditors, the creditors of G. & X. claimed a lien and charge upon the property of G. & X. and a right to follow that property into the new firm as against its creditors. But as the priority of creditors is only through the partners, no such relief can be granted.' Indeed, a person who transfers to another goods for the purpose of being contributed by the latter to the capital of a new firm of which he is becoming a member, cannot reserve a lien or claim or trust in the interest of such person in the new firm or in such property without the assent of the other partners.' But where the property to be contributed is not the entire in- terest, but a specific share, subject to a purchase money mortgage to the retiring partner, such mortgage will have priority over mortgages by the new firm to subsequent creditors. Thus, where by agreement of both partners of a firm of two, one sold out his interest to a third person, in order that the latter might form a partnership with the continuing partner, and deeded to him an un- divided half of the partnership real estate. The new partner mortgaged back the real estate to the retiring partner to secure the price and payment of his share of the debts. The new firm after- wards mortgaged the property to subsequent partnership creditors. * Richardson V. Tobey, 3 Allen, 81. ley v. Winkelmeyer, 56 Mo. 562; 2 Allen V. Grissom, 90 N. Ca. 90. Hart v. Tomlinson, 2 Vt. 101. Con- For other cases of one partner going tra, in New Hampshire, for in that out and a new one coming in, hold- state the creditors' priority is inher- ing as above, see Crane v. Morrison, ent in them and not entirely de- 4Sawy. 138; ITBankr. Reg. 393; Ut- pendent on the partner's equity, ley V. Smith, 24 Conn. 290 ; Menagh Spurr v. Russell, 59 N. H. 338. V. Whitwell, 53 N. Y. 146; McCauly 3 Richardson v. Tobey, 3 Allen, 81, V. McFarlane, 2 Desaus. (S. Ca.) 239; 83. Dayton v. Wilkes, 5 Bosw. 655 ; Ack- 578 CONVERSION OF JOINT INTO SEPARATE PROPERTY. § 5:)8. The former mortgage was held the superior lien, as not being a mortgage of the mere surplus or individual interest, but the in- terest in such property had in effect been converted into separate property, and the continuing partner had waived the lien in it as against the mortgage; hence the creditors could assert none.* § 558. New partner, no old one retiring. — Where a firm takes in another partner, the lien of one of the original partners to have the assets subjected to the debts of the old firm is lost, and after dissolution of the new firm by death of one of the original partners, and a finding by court of the amount due his administrator and its payment to him, such fund cannot be reached on behalf of creditors of the old firm.^ So, where C. & D., a firm, incurred a debt, then M. came into the firm, the business being continued in the old name, then the creditor attached; this is governed by the rules ap- plicable to the attachment of the interest of an individual partner for his separate debt, and the claims of the creditors of the new firm, including the claims of the new partner, will be protected as prior.' Where the incoming partner comes in as a secret partner, the assets will be treated as still those of the ostensible partners and both sets of creditors share pari passu^ And so if the new firm has assumed the debts of the old,* but not if the creditor has not iBeecher t;. Stevens, 43 Conn. 587. New Hampshire, where the cred- 2 Coffin V. McCullough, 30 Ala. 107. iter's priority is independent of the And see Meador v. Hughes, 14 Bush, partner's equitable lien, the creditors 653. of the old firm will share equally s Meyberg v. Steagall, 51 Tex. 351. with those of the new, for all assets See, also, Childs v. Walker, 2 Allen, and liabilities continue after the ad- 259, 262; Locke v. Hall, 9 Me. 133; mission of a new partner the same as Hurlbut V. Johnson, 74 111. 64, where before, and the creditors of the old a person in business and in debt took firm have rather the higher equity, in a partner and they bought more Shedd v. Bank of Brattleboro, 32 goods on credit, at least all the as- Vt. 709, 714; Spurr v. Russell, 59 N. sets, except the original partner's in- H. 338. terest in the prior goods so far as ^ Ex parte Chnck, 8 Bing. 469; and they can be identified, must be first see Filley v. Phelps, 18 Conn. 294, used to pay those who sold the new 304, cited in § 556. goods. In Vermont, however, as in 5 Smead v. Lacey, 1 Disney, 239. 679 § 559. CONDUCT OF THE BUSINESS. assented to the novation.' Hence, wliere a firm took in a new partner, the new firm receiving all the effects of the old, and the partners agreeing with each other to pay its debts, and the new firm became insolvent, and a creditor of the old attached its stock, and subsequently creditors of the new firm attached, the sheriff is not liable to the creditor of the old for giving priority to the latter attachments. The promise of the partners inter se to pay the old debts is not available to the creditor until he knows of and assents to it."* FRAUDULENT CONVEYANCES. § 559. Sale between partners. — It is clear that while the partnership is solvent and going on, the partners may by- unanimous assent or joint act do what they please with the assets, if the act is bona fide. The creditor has no equity against the property; and if one partner assigns his interest to the copartner, the creditor can obtain judgment against all, and levy on the property of each, and if the execution is against the partnership effects, he holds them not in respect of any interest as mere joint creditor, but by virtue of the execution. Where the assignment by one partner to the other is on a consideration paid, or, what is equal to con- sideration, an agreement to pay debts and indemnify against them, it is a change of joint into separate property. The only question is upon the bona fides of the transaction. If such an arrangement could not be made a partner never could retire. In Ex parte Ruffin, 6 Ves. 119, before Lord Eldon, 1801, a leading case, Thomas Cooper and James Cooper were partners, and dissolved, Thomas retiring and selling his interest to James at a valuation to be made, James covenanting to pay debts and indem- nify Thomas against them, and giving him a bond with surety for £3,000, the estimated value of his interest. A year and a half afterwards, James became bankrupt. The joint creditors claimed a priority on distribution in the partnership effects remaining in specie. Lord Eldon stating that creditors of a partnership had no lien, but only a right to sue, and that in case of dissolution by 1 Scull V. Alter, 16 N. J. L. 147 ; 2 Locke v. Hall, 9 Me. 133. Locke V. Hall, 9 Me. 133 ; and see § 503. 580 CONVERSION OF JOINT INTO SEPARATE PROPERTY. § 560. death or banlcruptcy, where the court administers, the joint credit- ors are first paid, in order to do justice to the partners themselves, the equity being that of the partners and not of the creditors; but where the dissohition is a partner's own act, and, instead of calling on the effects according to his equity to pay the debts, he assigns his interest to the other to deal with as he pleases, the equity is goae, the assignment not being made subject to the payment of debts, but in consideration of a personal obligation of the assignee to pay the debts. The creditors therefore cannot rest upon the equity of the partner going out.' § 5 GO. authorities holding it valid. — A sale for valuable consideration by one partner, not made in contem- plation of bankruptcy, to his copartner or to a third person, of all his interest in the firm, unlike the case of a gift or payment of the separate debt of a copartner, is as valid to transfer the entire property to the vendee as is a sale be- tween any individuals, although the buyer and seller are in- solvent and thus defeat their creditors; and as the firm creditors have no lien, the buyer can dispose of the prop- erty as his own and pay his separate creditors, to the ex- clusion of joint creditors, or vice versa.^ 1 Tliis case is approved and ex- Pfirrman v. Koch, 1 Cint. Superior plained further in E'xparfe Williams Ct. Rep. 460; Gallagher's Appeal llVes. 3. Also Huiskamp V. Moline (Pa.), 7 Atl. R. 237; Waterman v. Wagon Co. 121 U. S. 310 (reversing Hunt, 2 R. I. 298, 303; Shackelford S. c. as Moline Wagon Co. v. Rum- v. Shackelford, 32 Gratt. 481. mell, 2 McCrary, 307; 12 Fed. Rep. ^Ex parte Peake, 1 Mad. 346; Ex 658; 14 id. 155); Fitzpatrick v. Flan- parte Carpenter, Mont. & McA. 1; nagan, 106 U. S. 648, 655-6; Shimer Parker v. Ramsbottom, 3 B. & C. V. Huber, 19 Bankr. Reg. 414; Aus- 257; 5 Dow. & Ry. 138; Case v. Beau- tin V. Seligman, 21 Blatchf. 508; 18 regard, 99 U. S. 119; 1 W^oods, C. C. Fed. Rep. 519; Lamkin v. Phillips, 9 127; Fitzpatrick v. Flannagan, 106 Porter (Ala.), 98; Mayer v. Clark, 40 U. S. 648, 655-6; Huiskamp u. Moline Ala. 259; Robertson v. Baker, 11 Fla. Wagon Co. 121 U. S. 310 (reversing 192; McDonald v. Beach, 2 Blackf. S. c. as Moline Wagon Co. v. Rum- 55; Upson v. Arnold, 19 Ga. 190 (63 mell, 2 McCrary, 307; 12 Fed. Rep. Am. Dec. 302); Wilson v. Soper, 13 658; 14 id. 155); Re Bjornstad, 18 B. Mon. 411 (56 Am. Dec. 573); Coak- Bankr. Reg. 282; Be Downing, 1 ley V. Weil, 47 Md. 277; Parish v. Dill. 33; J2e Wiley, 4 Biss. 214, here Lewis, 1 Freem. (Miss.) Ch. 299 ; Field all the property was conveyed to one V. Chapman, 15 Abb. Pr. 434; partner and he became bankrupt; McGregor v. Ellis, 2 Disney, 286; Tracy v. Walker, 1 Flip. 41 ; S. C. 3 581 §560. CONDUCT OF THE BUSINESS. So one partner may buy out the other, and the property being thus his separate estate, may claim exemptions in lieu of execution or homestead in it,' West. Law Month. 574 ; Shimer v. 596 ; Dimon v. Hazard, 33 N. Y. 65, Huber, 19 Bankr. Reg. 414; Reese u here the buyer assigned for benefit Bradford, 13 Ala. 846; Lamkin v. of his creditors; Stanton v. West- Phillips, 9 Porter (Ala.), 98; McGown over (N. Y. 1886), 4 N. E. Rep. 529, V. Sprague, 23 Ala. 534 ; Mayer v. here the buyer was largely a cred- Clark, 40 Ala. 259, held to be sepa- itor of the firm; the firm was heav- rate property on contest between an ily in debt ; he transferred to a single execution creditor of the firm and a joint creditor; Rankin v. Jones, 2 mortgagee for a past debt of the Jones (N, Ca.), Eq. 169, here the transferee partner; Jones v. Fletcher, buyer assigned for benefit of credit- 42 Ark. 422; Allen v. Center Valley ors; Potts v. Blackwell, 4 Jones, Eq. Co. 21 Conn. 130 (54 Am. Dec. 333), 58; McGregor u Ellis, 2 Disney, 286; where the firm sold the property and Pfirrman v. Koch, 1 Cincinnati Su- divided the proceeds while insolvent; perior Ct. Rep. 460; Wilcox v. Kel- Upson v. Arnold, 19 Ga. 190 (63 Am. logg, 11 Oh. 394; Belknap v. Cram, Dec. 302), where -the buyer subse- n id. 411; Miller v. Estill, 5 Oh. St. queutly became insolvent; Hapgood 508,516-17; Clark v. McClelland, 3 V. Cornwell, 48 111. 64; Goembel v. Grant's Cas. (Pa.) 31, the buyer be- Arnett, 100 111. 34; Williams v. Ad- ams, 16 111. App. 564; Dunham v. Hanna, 18 Ind. 270; Trentman v. Swartzell, 85 lud. 443; George v. Wamsley, 64 Iowa, 175; Wilsson v. Soper, 13 B. Mon. 411 (56 Am. Dec. came insolvent; Waterman v. Hunt, 2 R. I. 298, 303; White v. Parish, 20 Tex. 688, 693 ; Shackelford v. Shack- elford, 33 Gratt. 481 ; David v. Birch- ard, 53 Wis. 492, 497. And see Vosper V. Kramer, 31 N. J. Eq. 420. See, 573) ; Armstrong v. Fahnestock, 19 also, the extreme cases under § 568. Md. 58, here all were insolvent and the buyer assigned all to an individ- ual creditor; Coakley v. Weil, 47 Md. 277 ; Guild v. Leonard, 18 Pick. 611; Richardson v. Tobey, 3 Allen, In Howe v. Lawrence, 9 Cush. 553, 557 (57 Am. Dec. 68), it was said that the right of a partner to sell out his entire interest to a copartner, wholly free from the claims of joint 81, here the firm was insolvent; creditors, since they have no lien, Kimball v. Thompson, 13 Met. 283; although the firm and both partners Howe V. Lawrence, 9 Cush. 553 (57 are insolvent, must be exercised bona Am. Dec. 68), here the firm and fide for the purpose of closing the both partners were insolvent; Rich- affairs of the partnership, ards V. Manson, 101 Mass. 483 ; Par- l Burton v. Baum, 33 Kan. 641 ish V. Lewis, 1 Freem. (Miss.) Ch. Worman v. Giddey, 30 Mich. 151 299; Fulton v. Hughes, 63 Miss. 61, State v. Thomas, 7 Mo. App. 205 here the buyer turned over the stock Mortley v. Flanagan, 38 Oh. St. 401 to his separate creditor as payment; Gill v. Lattimore, 9 Lea, 381; Griffie Robb V. Stevens, Clarke, Ch. (N. Y.) v. Maxey, 58 Tex. 210. Contra, 191, here the buyer assigned for that if the conversion from joint to creditors ; Sage v. Chollar, 21 Barb, separate is on the eve of insolvency 583 CONVERSION OF JOINT INTO SEPARATE PROPERTY. § 560. In Hapgood v. Cornwell, 48 111. 64, H., a private creditor of one of three partners, believing his debt to be in danger, persuaded the debtor to buy out his copartners, advancing to him over 810,000 for the purpose, and to turn the stock thus purchased over to him, whereupon a judgment creditor of the firm filed a bill against H. The transaction was held to be legal, and the buying partner to have received the stock discharged of any claim of partnership creditors, they having no lien except through the partners. In Second Nat'l Bk. v. Farr (N. J.), 7 Atl. Rep. 892, a partner personally liable for debts, by false statements of his ability to pay his separate and the firm's debts induced his copartner to sell out to him his interest in the partnership and then assigned for the benefit of creditors, thus letting in his separate creditors first. The sale was set aside at the suit of judgment creditors of the partner- ship, as in fraud of their rights. In Hawk Eye Woolen Mills v. Conklin, 26 Iowa, 422, J. and Y., partners, were indebted to the plaintiff. J. retired, V. agreeing to pay the debts. Y. then sold one-half the stock to C, and Y. and C. became partners. C. had to borrow to pay for his half, and Y. with one M. became his sureties, and Y. gave M. a mortgage on the partnership property to secure him as surety and the mortgage was foreclosed. Plaintiffs brought an action, claiming that as J. & Y.'s assets or Y.'s assets went to pay C.'s debt, he should have a claim against C. This was refused, the court holding that joint creditors have no lien and can work out their priority only through a partner, and if the partners make an absolute sale of the property, the creditors are cut off. The partners becoming incorporated and transferring the part- nership property to the corporation, taking stock in it in their individual names in exchange, is not jjer se fraudulent as to the joint creditors,* or for the purpose of enabling the S81 ; Chalfant v. Grant, 3 id. 118; partners to claim homesteads, it is Mortley v. Flanagan, 3S Oh. St. 401. fraudulent as against the joint cred- i Persse & Brooks Paper Works v. itors. Re Sauthoflf, 8 Biss. 35; 16 Willett, 1 Robt. 131 ; 19 Abb. Pr. 416; Bankr. Reg. 181 ; 5 Am. Law Rec. Beitman v. McKenzie, 11 Ohio 173; Commercial & Sav. Bk. v. Cor- Weekly Law Bulletin, 272; and see bett, 5 Sawy. 543; Re Melvin, 17 the facts in Case v. Beauregard, 99 Bankr. Reg. 543 ; Bishop u. Hubbard, U. S. 119, and see Francklyn v, 23 Cal. 514; Gill v. Lattimore, 9 Lea, Sprague, 121 U. S. 215, 228. 583 g 5G2. CONDUCT OF THE BUSINESS. § 561. Dividing up the assets.— So if the partners divide up the property between themselves, the same rule applies. This is in effect a sale by each to the other, the release of the separate interests being the consideration; neither has a lien on the share of the other, and the joint creditors therefore can obtain none.^ A sale or division of property could not become unlawful as to individual creditors of one of them, for the other part- ners in effect acquire no property in his share, but only separate their own from his.^ § 562. Authorities restricting the right to sell. — Many cases hold that if the firm is insolvent, or on the eve of in- solvency, and both partners are also insolvent, a purchase by one partner of the interest of the other in consideration of the formers assumption of the debts is upon a considera- tion which is of no value whatever, and, according to the English and many American authorities, no equivalent hav- ing been given, the transfer is in effect voluntary, and its only effect, if sustained, would be to hinder partnership creditors, and hence is deemed ineffectual to convert the joint property into separate property as against the cred- itors. 1 Lingen y. Simpson, 1 Sim, & Stu. Parks, 3 Humph. 95; Holmes v. 600; Crane u Morrison, 4 Sawy. 138; Hawes, 8 Ired, (N. Ca.) Eq. 21; 17 Bankr. Reg. 393; Moline Wagon McKinney v. Baker, 9 Oregon, 74 Co, V. Rummell, 14 Fed. Rep, 155; 12 (they divided assets, each assuming id. 658; 2 McCrary, 307 (reversed in certain debts and one assigning his part as Huiskamp v. Moline Wagon share for the benefit of his creditors) ; Co. 121 U. S. 310); Robertson v. Wiesenf eld t;. Stevens, 15 S. Ca. 554; Baker, 11 Fla. 192; Marlin v. Kirk- Burtus v. Tisdall, 4 Barb. 571; and' sey, 23 Ga. 164; Poole v. Seney, 66 see §282. Contra, Ransom v. Van Iowa, 502, they divided the prop- Deventer, 41 Barb. 307; Schiele v. erty and each mortgaged his share Healy, 61 How, Pr. 73 ; Wilkinson v. for individual debts, held not fraud- Yale, 6 McLean, 16, ulent perse; Jones v. Lusk, 2 Met, 2 Atkins v. Saxton, 77 N. Y. 195; (Ky.) 356; Mechanics' Bank u Hil- Weaver v. Ashcroft, 50 Tex. 427; dreth, 9 Cush. 356; Giddings v. Pal- Darland v. Rosencrans, 56 Iowa, 122; mer, 107 Mass. 269; Crosby v. Nichols, Griffin v. Cranston, 10 Bosw. 1 ; 1 id. 8 Bosw. 450; Sigler v. Knox Co. 281. Bank, 8 Oh, St. 511; Whitmore v. 584 CONVERSION OF JOINT INTO SEPARATE PROPERTY. S 56S OUtt. In Ex parte Mayou, 4 DeG. J. & S. mi\ 11 Jur. N. S. 433; 12 L. T. N. S. 629, the partners were in financial straits and were being sued, and having failed to obtain a renewal of accommodation, de- termined to dissolve, and one conveyed all his interest to the other, the latter expressing in the deed his intention of continuing the business and covenanting to pay all the debts within three years and to indemnif}^ the other against them; but as both partners were insolvent the covenant was worthless, and hence was not a consid- eration. A few days afterwards a petition in bankruptcy was filed against them and the deed was attacked as in fraud of creditors. The transfer Avas held fraudulent under the bankrupt law, and under the statute as to voluntary conveyances, "because it had for its immediate and necessary object and consequence the alteration of the property in such a manner as would defeat or delay the joint creditors." ' § 563. Examples. — In Sanderson v. Stockdale, 11 Md. 563, the court stating that partnership creditors have no greater rights or lien than do separate creditors in individual property, and that the joint property may therefore be bona fide assigned to one or more partners, say that a fraudulent assignment by an insolvent firm to de- fraud creditors will be relieved against, holding that on bill by a part- nership creditor charging that the firm is insolvent, that the effects 1 In re Caton, 24 Up. Can. C. P. 308, Caldwell v. Bloomington Mfg. Co. 17 following above case; Ex parte id. 489; Mooi*ehead y. Adams (Neb.), Walker, 4 DeG. F. & J. 509 ; Auder- 26 N. W. Rep. 243 ; Tenney v. John- Bon V. Maltby, 2 Ves. Jr. 244; Bulliter son, 48 N. H. 144; Caldwell v. Scott, V. Young. 6 El. & B. 40; Ex parte 54 id. 414; Burtus v. Tisdall, 4 Barb. Shouse, Crabbe, 482; Collins v. Hood, 571 ; Ransom v. Van Devonter, 41 id. 4 McLean, 186 ; Wilkinson v. Yale^ 6 307 ; Heye v. BoUes, 2 Daly, 231 ; 83 id. 16; In re Waite, 1 Low. 207; 1 How. Pr. 266; Menagh v. Whitwell, Bankr. Reg. 373; In re Cook, 3 Biss. 52 N. Y. 146, 163; 11 Am. Rep. 683 122; Re Long, 7 Ben. 141 ; 9 Bankr. (but in Stanton v. Westover, 4 N. E. Reg. 227; Re Tomes, 19 Bankr. Reg. Rep. 529, the transfer was sustained, 36 ; Johnston v. Straus, 26 Fed. Rep. both parties believing themselves 57; Conroy v. Woods, 13 Cal. 626; solvent and the buyer's failure not Saloy V. Albrecht, 17 La. Ann. 75; having occurred until five months Sanderson v. Stockdale, 11 Md. 563; afterwards, during all of which time Flack V. Charron, 29 id. 311; Phillips the property could have been levied V. Ames, 5 Allen, 183; Phelps v. on and he was ready to pay debts); McNeeiy, 66 Mo. 554; 27 Am. Rep. Weaver v. Ashcroft, 50Tex. 427; Da- 378; Roop v. Herron, 15 Neb. 73, and vid v. Birchard, 53 Wis. 492, 497. comments on this case in 17 id. 489 ; 585 § 563. CONDUCT OF THE BUSINESS. hare been and are being misapplied and appropriated to the private purposes of individual partners, by wliicli the creditors are hindered and defrauded, that a dissolution by the retirement of two partners was in furtherance of the scheme and irreparable damage is threat- ened; an injunction will be granted to prevent the transfer of all partnership effects, including those in the possession of any indi- vidual partner and those belonging to the late firm and conveyed by it to any partner by any act not bonafide^ and a receiver will be appointed if necessary'.' In Phelps V. McNeely, m Mo. 554 (27 Am. Rep. 378), where the firm was insolvent and one partner sold out to the other and re- tired, the latter agreeing to pay the debts, and afterwards mort- gaged all the assets for an individual debt incurred before dissolution, the dissolution and mortgage was held a nullity as against the prior claims of joint creditors. This case follows Tenney v. Johnson, 43 N. H. 1-14,^ but it -must be remembered that in New Hampshire the partnership creditors' equity is inherent in themselves and not en- tirely dependent upon the equity of the partners.^ In Marsh v. Bennett, 5 McLean, 117, the retiring partner as- signed all his interest to his copartner, " for the purpose of paying ofif the creditors," and the vendee's subsequent assignment for cred- itors with preferences was called a violation of the trust. In this action the firm was much embarrassed at the time of the sale, and eight months afterwards the continuing partner went into bank- ruptcy, and on distribution of the assets the sale Avas held void, as depriving the creditors of their priority over the separate creditors of the bankrupt. In Roop V. Herron, 15 Neb. 73,^ a retirement by one partner and conveyance by him of all his interest to the other, who agreed to pay the debts, but turned over $500 worth of assets in payment of a debt of $250 to his separate creditor, all the parties knowing the 1 S. p. Johnston v. Straus, 26 Fed. take all the assets and pay all the Rep. 57 : but Coakley v. Weil, 47 Md. debts, and thereupon his separate 277, recognizes an assignment for the creditors levied attachraeiits, but the equal benefit of joint and separate partnership creditors were neld to creditors. have superior rights. * 2 Tenney v. Johnson was where Sg. p. Collins v. Hood, 4 McLean, partners submitted their disagree- 186. ments to arbitration and an award ^ And comments on it in Caldwell was made that one partner should v. Bloomington Mfg. Co. 17 Nob. 489. 586 CONVERSION OF JOINT INTO SEPARATE PROPERTY. § 563. firm to be insolvent, was held void as against tlie joint creditors, who attached subsequently, the court saying that a partner in an insolvent firm could not divest the property of its distinctive char- acter by simply assigning his interest to the copartner. In Ex parte Morley, 8 Ch. App. 1026, by the articles of partnership between T. White, Sr., and his sons, on the death of T. White, Sr., all the property and business was to belong j^to his representatives, who were to continue the business, paying the junior partners cer- tain amounts for their interests, and the firm was insolvent at the death of T. White, Sr., and one son, who was the executor, con- tinued the business and bought more assets, it was held that the original assets which remained in specie continued joint property; that the deed did not change the right of the surviving partners, they being liable for the debts, to insist on the assets being applied to them. Perhaps in such a case the provision of the articles should be regarded as impliedly conditioned on insolvency of the firm.^ In Re Walker, 6 Ont. App. 169, the business was continued by one of the partners who assumed the liabilities, and original assets remaining in specie were held primarily applicable to the joint debts. The case follows Ex parte Morley, supra^ but the terms ot contract between the outgoing and continuing partners are not given. In Bank v. Smith, 26 W. Va. 541, the partners of an insolvent firm tried to convey away partnership real estate to avoid the judg- ment of debts, and the conveyances were set aside and the laud sold on application of the creditors. The court will grant the relief with- out decreeing a dissolution or settling the accounts of the partners inter se. A sale of his interest to his copartner by an insolvent copartner is void as in fraud of the bankrupt act, if within the forbidden period.' A conveyance by an insolvent firm to one partner in fraud of the bankrupt law can be assented to by the joint creditors, Avho can thus come upon the separate estate pari passu with the separate creditors.' 1 See In re Simpson, 9 Ch. App. 471 ; Crampton v. Jerowski, 2 Fed. 573; Ex parte Dear, 1 Ch. D. 519; Rep. 489; Re Johnson, 3 Lowell, Ex parte Manchester Bank, 13 id. 129. 917; Ex parte Butcher, 13 id. 46"i. 3i?eJolmson, 3 Low. 129; i2e Long, 2 Wilson V. Greenwood, 1 Swanst. 7 Ben. 141 ; 9 Bankr. Reg. 227. 587 § 664. CONDUCT OF THE BUSINESS. § 564. Withdrawing funds if a gift is fraudulent. — If the firm is insolvent, a withdrawal of the amount of funds or of his original capital by one partner, or otherwise drawing from the joint fund an amount in excess of what he is en- titled to, knowing that tlie joint creditors will nou have suf- ficient, whether this is by gratuitous permission of his copartners or under a right to do so given by the articles of partnership, is, as a matter of course, a conveyance in fraud of the rights of partnership creditors, and doubtless also of the separate creditors of the other partners, for it is in ef- fect a gift; and if the court can get possession of the fund before the retiring partner has collected it, they will treat it as partnershi]) assets. In In re Kemptuer, L. R. 8 Eq. 286, K., in the firm o£ K. & Co. of Yolcoliama, Japan, being about to go to England, sought to withdraw £4,000, standing to his credit on the books, which under the articles he was entitled to do, and bills for the amount drawn to the firm's order by Japan banks on London banks were purchased with partnership moneys and delivered to him. K. died on the pas- sage over, and the surviving partner having assigned in bankruptcy, their trustees and K."s executors both claimed the bills. Sir R. Malins, V. C, held that, whether fraudulently intended or not, made no difference; the firm being deeply insolvent, K. must bo taken to know this, and cannot treat his firm as solvent. And in such a case if any accident has prevented the partner from possessing himself of the assets of the creditors, the court is bound to exercise all its power to prevent a transaction so grossly improper as this.' ^ Re Sauthoff, 16 Bankr. Reg. 181; was indebted for buildings upon it. 8 Biss. 35; 5 Am. Law Rec. 173, vised partnership funds to pay tliese where on dissolution the partners debts ; this was held fraudulent as to divided the assets, and one invested creditors. Edwards v. Entwisle, 3 his in a homestead; this was held Mackey (D. C), 43, 61, here a partner subject to partnership debts. Re bought property in his wife's name Melvin, 17 Bankr. Reg. 543, here the with firm funds, "thus compelling partners sold some of the assets and partnership creditors to pay contri- divided the proceeds when insolvent, bution to separate creditors," and investing tliem in property claimed Cartter, C. J., said that the part- as exempt. Phipps v. Sedgwick, 95 nership creditors could recover. U. S. 3, here one partner who had Ransom v. Van Deventer, 41 Barb, bought property for his wife, and 307, here they divided up the assets, 588 CONVERSION OF JOINT INTO SEPAPYTE PROPERTY. § 5(J5. Drawing reasonabl}' small amounts for individual expenses and obligations, although the firm is in some difficulty, but with rea- sonable hope of extricating it, is not fraudulent so as to sustain at- tachment.^ In Turner v. Jaycox, 40 N. Y. 470, 475, part of the contract of partnership was that, if either of the partners, who were brothers, owed any debt, it was to be paid out of the common stock, and a note of the firm was given to pay their board bills, and this was held to be a partnership debt which could be preferred in an assignment for creditors. §565. Paying a debt of one partner. — A not uncommon use of the right of absolute disposition of partnership prop- erty is to employ firm funds to pay the separate debt of a single partner, or mortgage the joint property to secure it. These are not cases of the attempt of a singl4 partner to pay his debt with joint funds which are elsewhere exam- ined, but of the power of all the partners, or of one by con- sent of all, to so appropriate their property, and they have the same right to do so that an individual has to give away his property; that is, an unlimited power of disposition ex- cept as controlled by statutes against voluntary conveyances in fraud of creditors and the similar provisions of the bank- rupt law. 2 and each used his part to pay 2Huiskamp v. Moline Wagon Co. separate creditors ; held a fraud on 121 U. S. 310; Jewett v. Meech, 101 the joint creditors and void. Greene Ind. 289; Fisher v. Syfers, 109 Ind. V. Ferrie, 1 Desaus. (S. Ca.) 164, here 514; Woodward v. Horst, 10 Iowa, tliey divided up the supposed profits, 120; Fargo v. Adams, 45 id. 491; and one invested his share in real George v. Wamsley, 64 id. 175 ; Jones estate; this was ordered resold to pay v. Lusk, 2 Met. (Ky.) 856; Schmid- a creditor of the firm ; the court held lapp v. Currie, 55 Miss. 597 (30 Am. that tlieir want of knowledge of Dec. 530) ; Whitney v. Dean, 5 N. H. their insolvency was immaterial. 249 ; Nafl Bank t;. Sprague, 20 N. J. See, also, Richards v. Manson, 101 Eq. 13 (reversed on other points, 21 Mass. 483, 485 (dictum). Contra, id. 530); Potts u. Blackwell, 3 Jones Allen V. Center Valley Co. 21 Conn. (N. Ca.), Eq. 449; 4 id. 58; Anderson 130, here they sold some of the as- v. Norton, 15 Lea, 14, 32; DeCaussey sets and divided the proceeds, and it v. Bailly, 57 Tex. 665 ; Churchill v. was held to be a valid conversion of Bowman, 39 Vt. 518; Camp v. Page, joint into separate property. 42 Vt. 739. See the criticisms upon 1 McKinney v. Rosenband, 23 Fed. Jones v. Lusk, Schmidlapp v. Cur- Rep. 785. rie, and Whitney v. Dean, and other 5S» § 665. CONDUCT OF THE BUSINESS. In In re Kahley, 2 Biss. 383, the partners gave their notes and mortgage to a person for an interest in their business sold by the payee to one partner, and for money consideration put into the business for another partner. The bankruptc}^ proceedings were begun eight months afterwards and the mortgage was sustained. In Fargo v. Adams, 45 Iowa, 491, after a mortgage had been given by one partner on the whole partnership stock to secure his individual debt, his copartner released to him all his interest in the stock. The mortgage was held to become valid on the entire stock and to be superior to a later attachment for a joint debt. In Woodward v. Horst, 10 Iowa, 120, H. & S. furnished goods to defendant in payment of his claim against S. H. & S. afterward dissolved, S. conveying his interest in the firm to H., who subse- quently assigned for benefit of creditors. The assignee cannot re- cover the value of the goods from defendant. Where B., of D. & B., a firm, died indebted on individual account to C, and his surviving partner, B., supposing the firm to be solvent, paid C. with partnership assets and took a receipt from D.'s admin- istratrix, and she took one from C, B.'s remedy to recover back the money is against D.'s administratrix and not against C In Potts V. Blackwell, 3 Jones, Eq. 449 (and on rehearing, 4 id. 58), one partner conveyed to the other by mortgage all the effects for alleged debts due between them, and the mortgagee assigned the mortgage and effects to bona fide creditors of his. This was held valid as against creditors of the firm. Anderson v. Norton, 15 Lea, 14, held that a note by a partner in his own name for his individual debt, with the other partners as sureties, and secured by a mortgage, signed by all, upon real estate of the firm, created a valid lien prior to the claims of joint cred- itors. Churchill v. Bowman, 39 Vt. 518, that the offset of a claim due from one partner against a claim due to the firm, if consented to by all the partners, was binding; but here there were no rights of joint creditors involved." cases, in § 568. In a court of law, an i Bailey v. Clark, 6 Pick. 372, assignment by partners of choses in 2 And so in Camp v. Page, 43 Vt. action to the separate creditor of one 739, where the same agreement was will convey a valid title as against made and the contest was between creditors: their remedy is in equity, the partners. Morris v. Vernon, 8 Rich. L. 13. 590 CONVERSION OF JOINT INTO SEPARxVTE PROPERTY. § oGG. In Saunders v. Reilly, 105 N. Y, 12, a judgment against all tlie partners on a joint debt owed by tliem as individuals, not a part- nership debt, was levied upon the partnership property, which was sold, and the buyer was held to acquire a good title, for general creditors have no lien, and can only acquire a lien when the part- ners have preserved their equity, and cannot therefore forbid a sale by the sheriff when they have no judgment or execution.* § 566. Same when a fraud on creditors. — On the other hand, however, a partnership has no greater right to make voluntary conveyances of its property, or, what is the same thing, use its property to pay or secure debts not its own, when it is insolvent, or when such payment will leave it in- solvent, or hinder or delay existing creditors, than an indi- vidual of his separate property. A partner using his private property to pay a joint debt is paying his own debt, though in so doing he may prejudice his separate creditors; but a partnership paying the private debt of one of its members is paying what it is not liable for in law, equity or morals, and is in effect giving away its property, and such convey- ance, no bona fide rights intervening, is fraudulent and void as to existing creditors if they are prejudiced thereby, as well as to the separate creditors of the other partner whose individual interest in the firm is thus given away.^ 1 See, also, Marks v. Hill, 15 Gratt. 437; Rhodes v. Williams, 12 Nev. 20; 400, cited in § 567. French v. Lovejoy, 12 N. H. 458; 2 Anderson v. Maltby, 2 Ves. Jr. Person v. Monroe, 21 id. 463; Elliot 244; Ex parte Snowball, L. R. 7 Ch. v. Stevens, 38 id. 311 ; Kidder ?7. Page, App. 534; Brecher v. Fox, I Fed. 48 id. 380; Farwell v. Metcalf, 68 id. Rep. 273; Re Lane, 2 Low. 333; 10 276; Blackwellu. Rankin, 7 N. J. Eq. Bankr. Reg. 135; Re Sauthoff, 16 152, 165; National Bank v. Sprague, Bankr. Reg. 316; Goodbarv. Gary, 4 21 id. 530, 544; Clements v. Jessup, Woods, 603; 16 Fed. Rep. 316; Ed- 36 id. 569, 573; Kirby v. Schoon- wards v. Entwisle, 2 Mackey (D, maker, 3 Barb. Ch. 46, 51; Geortner Col.), 43, 61 ; Keith v. Fink, 47 111. v. Cana joharie, 2 Barb. 625 ; Burtus 272; Patterson r. Seaton, 70 Iowa, r. Tisdall, 4 id. 571 ; Dart v. Farmers' . 689;Saoly u. Albrecht, 17 La. Ann. 75; Bank, 27 id. 337; Cox v. Piatt, 33 id. Carter v. Galloway, 36 id. 473 ; Flack 126 ; 19 How. Pr. 131 ; Knauth v. Bas- V. Charron, 29 Md. 311; Phillips v. sett, 34 Barb. 31; Walsh v. Kelly, 43 Ames, 5 Allen, 183 ; Heineman v. id. 98; 27 How. Pr. 359 ; Lester v. Pol- Hart, 55 Mich. 64; Cron v. Cron, 56 lock, 8 Robt. 691; 28 How. Pr. 488; id. 8 ; Kitchen v. Reinsky, 42 Mo. O'Neil v, Salmon, 25 How. Pr. 246 ; 591 § 50 7. CONDUCT OF THE BUSINESS. And an assignment for benefit of creditors by a firm preferring individual creditors is fraudulent at least to that extent.' And the same principle governs the appropriation of part- nership funds to such individual purposes as place it out of the reach of creditors, such as improving the homestead of a partner, or his wife's property, or to purchase property in the name of his wife, if the firm is insolvent.^ Where, however, a firm borrowed money to pay the private debt of one partner, as the lender well knew, but did not know that the firm was insolvent, and gave the lender a chattel mortgage to se- cure the loan, the chattel mortgage is valid against the firm's assignee for the benefit of creditors.^ An appropriation of firm assets to pay the debt of one partner is invalid only against existing creditors, and is valid against sub- sequent liabilities of the firm.* In George v. Wamsle}^, 6i Iowa, 175, the firm paid a debt of one partner, in consideration of his continuing to contribute peculiar skill to the firm, instead of withdrawing as he desired. The consid • eration was held sufficient against a garnishment, by creditors of the firm, of the money in the hands of the separate creditor. § 567. Assumption of deht on moral consideration. — If, however, the debt, although contracted by a single partner, be one of which the firm got the benefit, and equitably should pay, a payment or securing of such debt by the firm Ruhl V. Phillips, 2 Daly, 45 ; Heye v. cure it, will not be effectual against Bolles, 2 id. 231; 33 How. Pr. 266; existing partnership creditors. Kid- Wilson V. Robertson, 21 N. Y. 587; der r. Pago, 48 N. H. 380. Hurlbert y. Dean, 2 Keyes, 97; 2 i Jackson u. Cornell, 1 Sandf. Ch. Abb. App. 428 ; Menagh V. Whitwell, 348; Schiele v. Healy, 61 How. Pr. 52 N. Y. 140 (11 Am. Rep. 683); 73; Vernon v. Upson, 60 Wis. 418; Walker v. Marine Nat'l B'k of Erie, Willis v. Bremner, id. 622. 08 Pa. St. 574; Henderson v. Haddon, -'pjace v. Sedgwick, 95 U. S. 3; 12 Rich. Eq. 393; Snyder v. Luns- Rhodes v. Williams, 12 Nev. 20; Re ford, 9 W. Va. 223, 228; Keith v. Sauthoff, 16 Bankr. Reg. 181; Ed- Armstrong, 65 Wis. 225. And an ini- wards v. Entwisle, 2 Mackey (D. C), proper increasing of claims is as ille- 43, 61; Bishop v. Hubbird, 23 Cal, gal as an improper diminution of 514; Stegall z'. Coney, 49 Mo. 761. assets: hence, signing the firm name 3 Assignment of Stewart, 62 Iowa, as surety for the existing debt of one 614. partner, or giving a mortgage to se- * Farwell v. Metcalf, 63 N. H. 276. 592 CONVERSION OF JOINT INTO SEPARATE PROPERTY. § 5G8. has been held by some highly respectable authorities not to be in fraud of creditors, though the principle on which this rests seems rather nebulous.' In Black well v. Rankin, 7 N. J. Eq. 152, 154, a confession of judgment by a firm of R. & W. L., for a debt of an antecedent firm of R. & W. L., was held to be the same as a confession of judgment for the separate debt of one partner, and fraudulent: and in Hilli- ker V. Francisco, 65 Mo. 598, it was held that a partner could not appropriate the assets of the firm to pay debts due from the two partners as individuals and not as a firm. It may be stated generally that if funds are taken from one firm and put into another, or where a new firm succeeds a former one, and the new firm has its own creditors, they have priority in dis- tribution of the assets over creditors of the old.^ § 568. Important cases which rest on no principle what- eyer. — The following cases, which are too important not to deserve specific notice, are in part contrary to the above principle and allow the partners to use their property to pay 1 Gwin V. Selby, 5 Oh. St. 96, where the use of the firm, and this was sus- one partner made a purchase or loan lained. Walker v. Marine Nat'l B'k of for the firm on his own credit, and Erie, 98 Pa. St. 574, where a partner, his surety had to pay the debt; S. P. after giving his daughter a lot, and" Siegel V. Chidsey, 28 Pa. St. 279; Ha- promising her a deed for it, sold the ben V. Hershaw, 49 Wis. 379, a debt lot and put the proceeds into the firmj. for supplies furnished to one partner, and the firm while insolvent gave a< but consumed by all the partners, judgment note for the debt; S. P.. who constituted one family. In Cof- Siegel v. Chidsey, 28 Pa. St. 279;- fin's Appeal, 106 Pa. St, 280, 286, this Marks u. Hill, ISGratt. 400, where all' principle was said to apply wliere a the capital was borrowed by each in- firm assumed the debt of a partner, dividually, and the partners, finding, incurred in borrowing his agreed themselves failing, agree that both capital; Head v. Horn, 18 Cal. 211. debts shall be paid out of the joint' But the contrary was held in Elliot v. fund; s. P. Saunders v. Reilly, 105 N. Stevens, 38 N. H. 311, following Fer- Y. 13. 18. son V. Monroe, 21 id. 462, and in 2 Coffin v. McCullough, 30 Ala. 107 ; McNaughton's Appeal, 101 Pa. St. McCauly v. McFarlane, 2 Desaus. (S. 550. And so in Rose v. Keystone Ca.) 239; Menagh r. Whitwell, 52 Shoe Co. (Supr. Ct. Pa. 1886) 18 N. Y. 146; Crane v. Morrison, 4 Weekly Notes, 565, a firm confessed Sawy. 138; 17 Bank. Reg. 393. See judgment in favor of the wife of a Lester u Pollock, 3Robt. (N. Y.)691; partner, from whom her husband and §§ 555-558. borrowed money, which had gone to Vol. 1 — 38 698 ^ § 5G8. CONDUCT OF THE BUSINESS. the debt of one of their number, leaving partnership cred- itors unable to obtain payment. Granting that the partners have the same right of absolute disposition that an indi- vidual has, and that insolvency or inability to pay is too uncertain a test to mark the point where they should be de- prived of that right; granting further that one partner may sell out his interest to the other, who then holds the assets as his individual property and can assign it for the benefit of creditors without distinction of class, letting the separate creditors in pari passu with the joint creditors, or can pay them preferentially, yet even here the retiring partner has not given away his property, but has sold it to his copart- ner and received value, and in legal contemplation the value he has received can be reached by creditors, though subject to homestead or exemption laws. But the class of cases below ought not to have been decided as belonging to the above categories, for they sustain the voluntary use of one partner's property in the firm to pay the separate debts of the other partner at the expense not only of his own sepa- rate creditors, but of the partnership creditors. The state- ments that there was no fraud and that a fair price was given are but a juggle of words. No price was given to the person whose property was placed beyond the reach of his creditors. As to him it was a gift, and not a sale, and, if so, is fraudulent in law, independent of motive, and should be governed by the statutes as to voluntary conveyances, namely, that a gift by a person in debt is valid if he have sufficient property left to warrant his being generous before he is just, and if not, not. The mere fact that no benefit was reserved should not determine the validity of tlie trans- action. In Sigler v. Knox County Bank, 8 Oh. St. 511, the facts, some- what simplified, are as follows: Wm. H. and S. A. Siglcr were part- ners, having a stock of goods which invoiced at full value $3,230.94 W. H. Sigler was indebted on his private account to his father, Jacob Sigler, for money loaned and as surety for him for ovei $1,200. The firm was indebted to A., H. & Co. for $1,000 and tc the Wayne County Bank for $1,000, for both of which debts Jacob 594 CONVERSION OF JOINT INTO SEPARATE PROPERTY. § 608. was surety. The firm also owed the Knox County Bank $500. The two partners sold and delivered to Jacob their entire assets at the full value of $3,230.94, to be paid for by him by paying, first, his own claim; second, the firm's debt to A., H. & Co.; and, third, the firm's debt to the Wayne County Bank. The Knox County Bank, having obtained judgment against the firm on its debt, now seeks to subject the assets in the hands of Jacob to payment. The court found that there was no actual fraud in the transfer, and that Jacob, being apprehensive of the solvency of the firm, desired merely to secure himself. The court state the general doctrine that creditors have no lien; that the right to have assets applied to debts is a personal right of the partners themselves, and that when the partners have parted with this right the priority worked out by courts to the creditors is also extinguished. That the partners, by unanimous consent, can appropriate the assets to pay the debt of one of their number. They deny that this right of appropriation can be exercised only while the firm is actually solvent and carry- ing on its business, and hold that mere insolvency, no fraud inter- vening, will not deprive the partners of their right to sell and dispose of the property as they deem just and proper. That it would never do to adopt a rule so uncertain as that the power of the partners over the joint property is to cease whenever the assets for the time being are insufficient to discharge their liabilities, for such a rule would be productive of much inconvenience, injustice and uncertainty. That the true rule should be that the power of partners thus to act ceases upon the issuing of a commission of insolvency, but not from mere inability at the time to pay debts; and the court reversed the decree of the lower court, which had awarded a recovery against Jacob as a trustee to the creditors. In McDonald v. Beach, 2 Blackf. 55, a somewhat similar trans- action was sustained on the same ground. In Schmidlapp v. Currie, 55 Miss. 597 (30 Am. Rep. 530), two partners in the liquor business assented to the transfer by one of them of the entire stock to pay an individual debt of such member. The court sustained the transaction because joint creditors have no lien, and the partners have a right of disposition and reserved no benefit to themselves. So in Whitney v. Dean, 5 N. H. 249, two of three partners, with the assent of the third, pledged partnership property to pay a note 595 § iG!). CONDUCT OF THE BUSINESS. of* the two, and the firm failed two or three days afterwards. The transaction was held valid. In Woodmansie v. Holcomb, 34 Kan. 35, the entire stock was sold to the father of one of the partners, the consideration consist- ing chiefly in debts due him from the son. A refusal to charge that a transfer of partnership property to pay a separate creditor is fraudulent as to creditors if no property is found for them to levy upon was held properly refused because it would include a transfer by a solvent partnership. The court say that by the weight of authority, mere insolvency, where no actual fraud intervenes, will not deprive the partners of their legal control and right of dis- position, and if the separate creditor purchases from the firm in good faith and for a fair price, such purchase is not per se fraudu- lent as against separate creditors. In Schfefifer v. Fithian, 17 Ind. 463; Jones v. Lusk, 2 Met. (Ky.) 356, and Nat'l Bank of the Metropolis v. Sprague, 20 N. J. Eq. 13, both partners were indebted as individuals to the person to whom they conveyed or mortgaged property of the firm to pay or secure the debt to the prejudice of partnership creditors; but the courts up- holding the transaction do not do so upon the ground that this may have relieved the cases from being the use of the property of one man to pay the debts of another, for the relative interest of each partner in the firm is not disclosed, but the cases are put upon the ground of absolute right of disposition. But in Day v. Wetherby, 29 Wis. 363, A. & B., a firm indebted to a bank, dissolved and took in C, forming a new firm, which pur- chased property chiefly with the assets of the old firm, and con- veyed the property to secure the debt due the bank by the old firm, and this conveyance was held valid against creditors of the new firm; or if C. intended the conveyance to secure a debt due from the new firm, this effect will not be given to it beyond the extent of his interest. And see Fisher v. Syfers, 109 Ind. 514. § 561). Conveyances of separate property. — A conveyance or application by a partner of his individual property to pay a partnership debt is not regarded as fraudulent towards his separate creditors, for he is merely making preferences among his own creditors.^ • 1 Elgin National Watch Co. v. Loan Soc. v. Gibb, 21 Cal. 595; Utley Meyer, 30 Fed. Rep. 659; Savings & v. Smith, 24 Conn. 290; Evans v. 596 CONVERSION OF JOINT INIO SEPARATE PROPERTY. § 5G9. In Utley v. Smith, 24 Conn. 290, C, the owner of a business, took in as partners two of his principal creditors, they believing that the profits would be such as to pay or secure their claims, and act- ing in good faith, and this was held not to be a fraud on other creditors. After dissolution and an assignment by C. for benefit of creditors, one of the partners paid certain debts of the firm out of funds conveyed by C. to the firm. This was held to be a proper application of the funds, because they are partnership property. In states where the creditors of the individual partner are preferred to the joint creditors in the distribution of the separate estate, an assignment by a partner of his separate property for the benefit of or preferring his separate cred- itors is valid, ^ and the instrument will be construed, if pos- sible, as intended to avoid the appropriation of either kind of property to the other set of creditors, but will devote each to its own class, even though no distinction has been made by the assignor; "^ and an assignment of the separate prop- erty for the benefit of joint creditors is either void or inures to the separate creditors.' Hawley, 35 Ind. 83; Hardy u. Over- 2 Bank of Mobile v. Dunn, 67 Ala. man, 36 Ind. 549; Talbot v. Pierce, 881; Murrill y. Neill, 8 How. (U. S.) 14 B. Mon. 158; Newman v. Bagley, 414; Eyre v. Beebe, 28 How. Pr. 383; 16 Pick. 570; Kirby u. Schoonmaker, Friend v. Michaelis, 15 Abb. N. Cas. 8 Barb. Ch. 46, 50; Crook, r. Rinds- 354; Crook v. Rindskopf, 105 N. Y. kopf, 105 N. Y. 476 (rev. s. C. 34 Hun, 476 ; Andress v. Miller, 15 Pa. St. 457); Auburn Exchange Bank v. 316; McCullough v. Somnierville, 8 Fitch, 48 Barb. 344 ; Evans v. Howell, Leigh, 415. 84 N. Ca. 460; Gadsden v. Carson, sHolton v. Holton, 40 N. H. 77 9 Rich. Eq. 252 ; Gallagher's Appeal Jackson v. Cornell, 1 Sandf. Ch. 348 (Pa.), 7 Atl. Rep. 237 ; Whitmore v. O'Neil v. Salmon, 25 How. Pr. 246 Parks, 3 Humph. 95 ; Straus v. Kern- Pennington v. Bell, 4 Sneed, 200, good, 21 Gratt. 584, 590; Morris v. though a firm debt is joint and sev- Morris, 4 Gratt. 293; Stewart v. eral. In Collomb v. Caldwell, 16 N. Slater, 6 Duer, 83, but this case Y. 484, it was held that if an assign- seems to say that the separate cred- ment for the benefit of partnership itors, as a class, could successfully creditors include separate property, attack the conveyance, though it is leaving out separate creditors, it is held not to be void. void. And see Stewart v. Slater, 6 1 Evans v. Winston, 74 Ala. 349; Duer, 83; Smith v. Howard, 20 How. Lord V. Devendorf, 54 Wis. 491 ; Hoi- Pr. 121 ; Averill v. Loucks, 6 Barb, ton V. Holton, 40 N. H. 77, and 470 ; Van Rossum v. Walker, 1 1 id. earlier N. H. cases therein cited. 237. Contra, that the separate cred- 597 §509. CONDUCT OF THE BUSLNESS. A voluntary conveyance by a partner of his individual estate may be attacked by a partnership creditor as well as by an individ- ual creditor. Whether a judgment and execution must first be had depends on the practice in each state governing fraudulent conveyances.' itors have not such an exchisive claim upon the separate property that an assignment of it for the bene- fit of partnership creditors is void, Newman v. Bagley, IG Pick. 570; Gadsden v. Carson, 9 Rich. Eq. 253. In Morris v. Morris, 4 Graft. 293, it was held that if a partner by will subjects his real estate to the pay- ment of his debts the joint creditors could share with the separate cred- itors. See, also. Straus v. Kerngood, 21 Graft. 584, 590. In Goddard v. Hapgood, 25 Vt. 351 (60 Am. Dec. 272), it was said that an assignment of separate property to pay individ- ual debts and return the residuum to the assignor, if it means the ex- clusion of partnership debts, is void. 1 Randolph v. Daly, 16 N. J. Eq. 313 (liolding, also, that the other part- ner is not a necessary party); Forbes r. Davison, 11 Vt. 660; Barhydt v. Perry, 57 Iowa, 416 (holding, also, that subsequent creditors whoso property had gone to pay off prior creditors would be subrogated to tlieir right to attack the conveyance). Hardy v. Mitchell, 67 Ind. 485, holds that the partnei'ship creditor must aver that there are no separate debts, or that there wouhl be a surplus after payment of them. Also, that both sets of creditors could join in set- ting aside the conveyance. 598 0. A' \- //iil3AINil 3\\V' ^ ^ ^^ilJONVSOl- '/Sa3AINiV3\\V ^h; ;OF-CAll! 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