Claflin & Co. v. Continental Jersey Works

11 S.E. 721, 85 Ga. 27
CourtSupreme Court of Georgia
DecidedJuly 12, 1890
StatusPublished
Cited by28 cases

This text of 11 S.E. 721 (Claflin & Co. v. Continental Jersey Works) is published on Counsel Stack Legal Research, covering Supreme Court of Georgia primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Claflin & Co. v. Continental Jersey Works, 11 S.E. 721, 85 Ga. 27 (Ga. 1890).

Opinion

Simmons, Justice.

1. The errors assigned in the 5th to 18th (inclusive) grounds of the motion for a new trial go to the refusal of the court to give in charge to the jury certain principles of the law of agency which bear upon the question of the extent of Lichtenstein’s authority. The requests may embody sound law; but it is immaterial whether they do or not. Where an agent’s authority is conferred and defined in writing, the scope or extent of such authority is a question for determination by the court. Mechem on Agency, §104; 1 Thompson on Trials, §1370; Berwick v. Horsfall, 29 L. J. C. P. 193; Dobbins v. Etowah, etc. Co. 75 Ga. 238, 243; Pollock v. Cohen, 32 Ohio St. 514. As said by this court in the case above cited : “That it was the duty of the court to construe both the charter and the letter of attorney, and to determine the extent of power conferred by both and each of them upon the agent, we think is a plain proposition. Taken alone, and without proof of other circumstances to which it was necessary to resort to clear ambiguities Or to explain doubtful intention, there was nothing for the jury to find. The question was purely and simply one of law, to which it was the exclusive right and duty of the judge to respond.” In requesting charges upon the extent and nature of a general agency, there seems to have been an attempt by the plaintiffs in error to enlarge the authority of Lichtenstein beyond the limits of his power, or at least to establish the construction that the instrument created a general agency. If there was any such efiort,' the court did not err in defeating it. It is not allowable, by the adduction of extrinsic oral evidence, to add to the powers expressly given in the writing. The authority must be proved by the instrument itself. Neal v. Patten, 40 Ga. 363. The very purpose of a power of attorney is to prescribe and publish the limits within [39]*39which the agent shall act, so as not to leave him to the-uncertainty of memory, and those who deal with him to the risk of misrepresentation or misconception as to the extent of his authority. To confer express authority is to withhold implied authority. There can be no parol enlargement of a written authority. "Wharton on Agency, §225; Mechem on Agency, §306; Reese v. Medlock, 27 Tex. 120, s. c. 84 Am. Dec. 611; Batty v. Carswell, 1 Am. L. C. 687, notes; Pollock v. Cohen, 32 Ohio St. 514.

Besides, the power of t attorney was relied upon throughout the whole transaction. The plaintiffs in error believed Lichtenstein’s acts to be within the letter of his authority, having taken the advice of counsel in reference thereto, so that they cannot claim to have been misled by any appearance of authority other than that which the writing gives.

2. Bid the court err in holding as matter of law that Lichstenstein exceeded his authority when he delivered the goods in dispute to the plaintiffs in error ? We will look first at the character of that delivery. The contention of the plaintiffs in error is two-fold. They say, first, that Weisbein, the principal, obtained 'credit and bought goods from them upon the faith of certain representations made by him which afterwards proved to be false;. that their agents, upon discovering the fraud3-went to Lichtenstein and demanded a return of the goods thus fraudulently procured ; that there were returned to them all the goods which they could identify'as having been sold by them to Weisbein, and to make up the balance of their claims, other goods were delivered to them by Liehstentem; that of the goods taken by Claflin & Co. about two thirds had been identified as having come from that house, and of those taken by Jaffray & Co. about one half had come from the latter; and they now insist that, as to these por[40]*40tions of the goods at least, they should not be held liable, because Weisbein’s title to them was avoided ab initio by their rescission of the sale. There can be no doubt that the agent violated his duty in admitting, upon an ex parte representation, that his principal had committed such wholesale fraud, especially when he knew so little of the latter’s concerns as to be totally surprised on hearing of the outstanding indebtedness, and when he professed to have the intention of continuing the business. An agent cannot deny his principal’s title. Code, §2188. ,It cannot be said that the power of attorney was intended to or did confer the extraordinary authority of consenting to the rescission of past sales to the principal, in the latter’s absence and by reason of his fraud. See Bradford v. Bush, 10 Ala. 386.

But it may be said that such.consent was not necessary ; that the defrauded vendors had the right to pursue and take their goods wherever they found them, notwithstanding it was the agent’s duty, as custodian of the property, to maintain the possession thereof. There would be more force in this, if these creditors had proceeded as for their own goods alone. A party cannot renounce a contract and at the same time get a benefit under it. Thus the rescinder cannot sue, or take security, for the price, and at the same time follow the goods. Bank of Beloit v. Beale, 34 N. Y. 473; Cobb v. Hatfield, 46 N. Y. 533; Joslin v. Cowee, 52 N. Y. 90; Thurston v. Blanchard, 33 Am. Dec. 705, notes; Loyd v. Brewster, 4 Paige Ch. 537, s. c. 21 Am. Dec. 88, and notes; Grant v. Law, 29 Wisc. 99; Bridgeford & Co. v. Adams, 45 Ark. 136; 2 Parsons on Contracts, p. 813, 922, notes; 1 Benj. on Sales, p. 569, note; 2 Warvelle on Vendors, 878.

3. The seeond contention of the plaintiffs in error is, that if the attempted rescission was futile, still the [41]*41transfer of the goods to them by Lichtenstein was valid, because he had authority under the power of attorney to pay the debts of his principal, and, in lack of money, he could pay in goods. This payment theory is more consistent with the facts of the case than the other one of rescission. It is apparent from the answers that the first intention of the agents of the plaintiffs in error was to rescind the sales and simply retake their goods; but finding that this would leave a considerable balance of their claims undischarged, they acted as if the sales were to be confirmed, and demanded payment of both the matured and the maturing indebtedness therefor. Lichtenstein acceded to their demands, and in settlement with Claflin & Co. delivered to their agent goods aggregating about $14,000 in value,' after making certain discounts amounting to 24 per cent, from the cost prices as marked on the goods by Weisbein. To the agent of Jafiray & Co. were given goods in value near $8,000, after making similar discounts amounting to 9 per cent. It does not appear how much, if any, of the indebtedness to Jafiray & Co. was matured at the time payment was demanded. But it does appear that of the indebtedness to Claflin & Co. only about $3,000 was then due, leaving about $11,000 on which the time of credit had not expired. It cannot well be disputed that Lichtenstein had no authority to anticipate and accelerate the payment of this $11,000, especially when he swears in his answer that he expected to continue the business. It is nowhere alleged that the amount owing to Jafiray & Co. was due, but all the circumstances indicate that it was not due, when Lichtenstein delivered the goods to their agent. This therefore was also an unauthorized payment. Beals v. Allen, 18 Johns. 363; Hampton v. Matthews, 14 Penn.

Free access — add to your briefcase to read the full text and ask questions with AI

Related

LeCraw v. LeCraw
401 S.E.2d 697 (Supreme Court of Georgia, 1991)
Dessommes v. Dessommes
505 S.W.2d 673 (Court of Appeals of Texas, 1973)
Prudential Insurance Co. of America v. Perry
174 S.E.2d 570 (Court of Appeals of Georgia, 1970)
Caudell v. Scoggins
170 S.E.2d 343 (Court of Appeals of Georgia, 1969)
Utzman v. Caribbean & Southeastern Development Corp.
129 S.E.2d 62 (Court of Appeals of Georgia, 1962)
Johnson v. Johnson
193 S.E. 345 (Supreme Court of Georgia, 1937)
Evans v. Pennington
177 S.E. 357 (Court of Appeals of Georgia, 1934)
American Surety Co. of N. Y. v. Pettie
171 S.E. 916 (Supreme Court of Georgia, 1933)
Reed v. State
135 S.E. 748 (Supreme Court of Georgia, 1926)
Hargrove v. Armour Fertilizer Works
120 S.E. 800 (Court of Appeals of Georgia, 1923)
Simons v. Douglas' Extr.
225 S.W. 721 (Court of Appeals of Kentucky, 1920)
Modern Woodmen of America v. Lyons
128 N.E. 651 (Indiana Court of Appeals, 1920)
Page v. Jones
190 P. 541 (New Mexico Supreme Court, 1920)
Chapman v. State
98 S.E. 243 (Court of Appeals of Georgia, 1919)
Watts v. Pass
92 S.E. 954 (Court of Appeals of Georgia, 1917)
Findlay Brick Co. v. American Sewer Pipe Co.
89 S.E. 535 (Court of Appeals of Georgia, 1916)
Germain Co. v. Bank of Camden County
80 S.E. 302 (Court of Appeals of Georgia, 1913)
First National Bank v. Davis
70 S.E. 246 (Supreme Court of Georgia, 1911)
White v. Young
51 S.E. 28 (Supreme Court of Georgia, 1905)

Cite This Page — Counsel Stack

Bluebook (online)
11 S.E. 721, 85 Ga. 27, Counsel Stack Legal Research, https://law.counselstack.com/opinion/claflin-co-v-continental-jersey-works-ga-1890.