CONTRACTS-ASSIGNMENT-LIABILITY OF ASSIGNEE FOR NON-PERFORMANCE OF DELEGATED DUTIES

Authors

Abstract

Plaintiff bank extended credit to cover checks drawn by X, a cattle buyer, who agreed that the proceeds of the sale of the cattle would be deposited to the bank's credit in A bank. X gave an order to the defendant, his commission broker, to retain the proceeds of the sale of the cattle and deposit them in A bank to the credit of the plaintiff. Defendant deposited the proceeds in its own name in B bank and sent its check to A bank. B bank became insolvent and the check was never paid. Held, in Wallowa Nat. Bank v. Sevier Commission Co., defendant is liable on the theory that it was an assignee who had failed to perform a duty which it had impliedly assumed.

Recommended Citation

CONTRACTS-ASSIGNMENT-LIABILITY OF ASSIGNEE FOR NON-PERFORMANCE OF DELEGATED DUTIES, 31 Mich. L. Rev. 122 (1932).
Available at: https://repository.law.umich.edu/mlr/vol31/iss1/18