Gunster v. Scranton Illuminating, Heat & Power Co.

Citations

• 181 Pa. 327
• 37 A. 550
• 1897 Pa. LEXIS 547

Syllabus

<p>Banks and banking — Ghecks—Signature of depositor.</p> <p>The signature of the depositor is the essential feature of a check, and a bank is not bound to pay any attention to the hand writing of the other parts, unless something is shown to excite suspicion.</p> <p>Principal and agent — Notice—Fraud.</p> <p>An exception to the general rule that notice to the agent is notice to the principal arises in ease of such conduct by the agent as raises a clear presumption that he would not communicate the fact in controversy, as where the agent acts for himself in his own interest and adversely to that of the principal.</p> <p>Where an agent representing two principals concocts a scheme to defraud one of them, it will be presumed that he did not disclose to the principal. he intended to cheat, the means by which he intended to effect his purpose.</p> <p>An independent fraud committed by an agent on his own account is beyond the scope of his employment, and bears analogy to a tort wilfully committed by a servant for his own purposes and not as a means of performing the business entrusted to him by his master.</p> <p>Banks and banking — Principal and agent — Fraud—Notice—Corporation.</p> <p>The treasurer of a manufacturing corporation, who was also vice president of a bank in general charge of the bank’s affairs, made two promissory notes, signing them with the name of the corporation followed by his own name, as treasurer. The two notes were discounted by the bank and the corporation was given credit for the proceeds. On the same day the treasurer drew a check “ to the order of Dft. N. Y.,” signing it with the name of the corporation and his own name as treasurer. The amount of the check was charged to the corporation upon the books of the bank. On the same day in payment of the check the treasurer of the corporation drew two drafts upon New York to his own order, signing them with his own name as “ vice president” of the bank. Pie received payment of the drafts in currency