P. Curtis Ko Eune Co. v. Manayunk Yarn Manufacturing Co.
P. Curtis Ko Eune Co. v. Manayunk Yarn Manufacturing Co.
Opinion of the Court
Opinion by
The plaintiff corporation’s business is that of an adjuster of fire losses for the assured; defendant is a manufacturing corporation with a factory located at Manayunk. On April 10, 1916, the factory building and contents were badly damaged by fire. Plaintiff’s president came the next morning and requested that his company
Defendant’s by-laws provide: “The president shall be the chief executive officer and head of the company, and in the recess of the board of directors shall have the general control and management of its business and affairs.” This agreement was made during such recess, and the court below held that it was within the power of the president. We agree with that conclusion. He was vested not only with the implied authority of the chief executive of the corporation, but also given large express powers. The urgent business of the company then was to adjust the fire loss, and the president might properly employ expert assistance for that purpose, as he might under like circumstances employ an attorney or a collection agency. Here the question is not whether the implied powers of the president would enable him to bind
The assignments of error are overruled and the judgment is affirmed.
Reference
- Full Case Name
- P. Curtis Ko Eune Company v. The Manayunk Yarn Manufacturing Company
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- 3 cases
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- Syllabus
- Corporations — Contracts—Contract with fire insurance adjuster —Authority of president — By-laws•—Repudiation of contract — Assumpsit — C ommission. 1. The president of a corporation, who under its by-laws is given general control and management of its business and affairs, has authority to employ an insurance adjuster to adjust a fire loss. 2. Defendant corporation having suffered a loss by fire, its president employed plaintiff to adjust the loss, plaintiff at once began to execute the contract, but later in the same day it was informed that the board of directors of defendant had by resolution repudiated the agreement made by the president of the company and it was notified to stop work. In an action of assumpsit by plaintiff to recover the loss sustained from the breach of the contract it appeared that defendant’s by-laws provided that “the president shall be the chief executive officer and head of the company and in the recess of the board of directors shall have the general control and management of its business and affairs.” Held, that the president had authority to make the contract, and a verdict and judgment for plaintiff were sustained. 3. In such case plaintiff was entitled to its commission on the amount of the adjustment, although a portion thereof was received by defendant as the proceeds of damaged goods sold by the insurance companies.