Essick v. Buckwalter

Citations

• 1 Monag. 209
• 16 A. 849
• 1889 Pa. LEXIS 1302

Syllabus

<p>A principal, by a power of attorney, authorized his agent to sell and settle all his partnership interest in a saloon business, and to act for him in the partnership matters as the agent should deem best. The agent and the partner of the principal sold the business for §400, they to pay the pool license, then due, amounting to §50, which the purchaser agreed to add to the purchase money, making-it §450. The agent took a promissory note for $450, endorsed by the purchaser, added his own endorsement, had it discounted, and, with the proceeds, paid the purchaser §50, for his license, and divided the balance between the principal and his partner, less the discount. The note was subsequently protested and the principal supplied the agent with the money to raise it. In an action by -the principal for money loaned and advanced, the court charged that the agent had no right, under the power of attorney, “ to endorse a note for §450' when the purchase money of the personal property was but §200, so as to make his principal liable for such endorsement.” Held not to be error.</p> <p>Receiving the proceeds of the sale of the partnership interest, in such case, will not operate as a ratification of the endorsement. The facts and circumstances of the transaction must be fully communicated by the agent to the principal, before a ratification can be implied; and the principal must know that he would not be liable without such ratification.</p>