Bank of British North America v. Cooper

Citations

• 137 U.S. 473
• 11 S. Ct. 160
• 34 L. Ed. 759
• 1890 U.S. LEXIS 2110

Syllabus

<p>Facts contested in a trial before a jury must be taken in this court to be as determined by the verdict.</p> <p>The mere receipt of a bill on payment of money is not an assent to the proposition that the bill contains the whole contract between the parties, but whether it is so or not is a fact to be determined by the jury.</p> <p>A party receiving moneys from another to be transmitted for him- to a named destination, in order that they may be used there to pay his liabilities, cannot change the destination at the desire of the party to whom the money is sent, without becoming liable for the loss, in case loss ensues in consequence of the change.</p> <p>In the relation of principal and agent, strict compliance by the latter with the instructions of the former is an unvarying condition of exemption from liability.</p> <p>C in New York, who had had business relations with M. & Co. of Glasgow, drew upon them for £5000, to mature February 29. On February 26th he bought of plaintiff in error, who had an office in London, a cable transfer of this amount in favor of M. & Co. to be transmitted in a check by post from London to Glasgow, and took from the bank a receipt “ for cable transfer on the Bank of British North America, London, in favor of ” M. & Co. “ Glasgow.” The cable message was accordingly sent, but the London office, under previous directions from M. & Co. as to all such matters, but .without knowledge of C, instead of forwarding the check to Glasgow, deposited it to the credit of M. & Co. in the Bank of Scotland in London, which action was approved by M & Co. On the 28th or 29th of February M. & Co. suspended. It was in evidence that on the 28th they applied similar moneys to the payment of similar obligations, and that if the check had been sent by mail as directed, it would have reached Glasgow on the morning of that day in time to be applied to the payment of C’s draft. The Bank of Scotland-appropriated the £5000 to the payment of the balance due from M.