Chesterfield Manufacturing Co. v. Dehon
Chesterfield Manufacturing Co. v. Dehon
Opinion of the Court
delivered the opinion of the Court. We can perceive no ground- to distinguish this case from that of Denston v. Perkins et al. recently decided by this Court, except the release signed by the plaintiffs in consideration of the assignment, and the evidence in regard to the usage of commission merchants in the sale of goods consigned to them.
With respect to the release, we do not see that it can operate to bar or extinguish the plaintiffs’ claim. All the property of Vila & Co. was transferred to trustees for the use of their creditors who should release them. The assignment would not in law transfer goods and merchandise intrusted to them, as factors, to sell; for the consignors’ property remains in the goods, and in the proceeds of them, saving the lien which the factor may have for advances and expenses.
It is said that according to the usage proved, the factor has such a control over the notes as would be "nconsistent with the claim of property by the consignors ; but we see no such inconsistency. No doubt the factor may, by breach of trust, or even with the implied assent of consignors, trans-
If the consignor cannot obtain the notes to sue the promisors, a difficulty might arise ; but that would be between him and the vendee. The factor is still the trustee of the consignor, and a court of equity, with full powers, would reach the notes or the proceeds in his hands. But wnen he has received the money, or it has been paid to his trustee, the powers of a court of equity are not wanting to do justice.
Judgment for the plaintiffs.
See as to this lien and the interest which the assignees would have in it, Denston v. Perkins, 2 Pick. (2d ed.) 87, n. 1; Thompson v. Perkins, 3 Mason, 241; 2 Kent’s Comm. (3d ed.) 640.
See Whitcomb v. Williams, 4 Pick. (2d ed.) 231, n. 1.
See 2 Kent’s Comm. (3d ed.) 623; Beckwith v. Sibley, 11 Pick. 484.
See 1 Story’s Comm. Eq. 442 to 449.
Reference
- Full Case Name
- Chesterfield Manufacturing Company versus William Dehon
- Status
- Published