Holly v. Missionary Society of the Protestant Episcopal Church

Citations

• 180 U.S. 284
• 21 S. Ct. 395
• 45 L. Ed. 531
• 1901 U.S. LEXIS 1304

Syllabus

<p>This is a case in which a court of equity is called upon to decide upon which of two innocent parties is to fall a loss occasioned by the dishonesty of a third person. On the facts as stated by the court, it appears that the relation that existed between Thompson, the executor of Dr. Saul who left a legacy to the Missionary Society, and that society was'that of executor and legatee; that the relation between Thompson and Holly, the purchaser-of the estate sold by the executor, was that of attorney and client; and that as between themselves, Holly and the society were absolute strangers. The court, on the facts, holds that the pleadings and evidence fail to show any such dereliction of duty or supine negligence on the part of the Missionary Society in demanding and enforcing payment of the Saul legacy as would show, or even tend, to show, that the society knew, or had reason to believe, that Thompson was insolvent, or had been guilty of any misappropriation of the property or funds of the Saul estate; also that the evidence fairly showed that the Missionary Society had appropriated the money received by it to the purposes appointed by the testator, before any notice was given of the complainant’s claim.</p> <p>As against the Missionary Society Holly has no equities; and even if it could be said that the equities were equal, a court of equity will not transfer a loss that has already fallen upon one innocent party to another party equally innocent.</p>