Hartness v. . Wallace

Citations

• 11 S.E. 259
• 106 N.C. 427

Syllabus

<p>Partnership — Misapplication of Partnership) Funds by One Partner — Payment of Individual Indebtedness ■with Partnership Funds — Jurisdiction.</p> <p>1. One partner has no right, without the consent of his co-partners, to apply the funds, or other effects of the partnership, to the payment of debts, contracts or obligations binding upon himself individually, and with which the partnership has no connection.</p> <p>2. Where one partner, in discharge of his individual indebtedness, and without the knowledge or consent of his co-partner, transferred to W., by endorsement in the firm name, a note belonging to the firm and past due, the partnership receiving no benefit, and being, at the time, insolvent, and the note was afterwards paid by the obligor to W.: Held, in an action by the assignee of the firm against W. to collect the amount paid him, that the plaintiff was entitled to recover.</p> <p>3. In such case, the amount sued for being less than two hundred dollars, a justice of the peace has jurisdiction of the action.</p>