Louis Bergdoll Brewing Co. v. Babe

Citations

• 33 Pa. Super. 490
• 1907 Pa. Super. LEXIS 324

Syllabus

<p>Principal and agent — Sale of real estate — Power to receive purchase money — Corporation—Evidence.</p> <p>A corporation appointed a real estate agent as its agent to secure a purchaser for land, which the company owned in a city other than that in which it had its principal office. The person thus employed put up a “ For Sale ” sign with his name on it as agent, but this was not known to the corporation. A purchaser was procured by the agent, and •offered a certain sum for the property. The secretary of the corporation waited upon the purchaser and endeavored to secure a better offer. Not succeeding in this he said that the purchaser might further “arrange with” the agent, naming him, or “finish it out with” the agent. The corporation subsequently accepted the offer of the purchaser. The latter then employed the agent to raise money on a mortgage on other real estate owned by him, and such a mortgage was arranged with a trust company. The money was paid to the agent, who in his books credited it to the account of the purchaser, and made certain payments out of it at the request of the purchaser, and added certain amounts to it received from the purchaser; so that the amount of the loan which was the amount of the purchase money, was kept about the same. Delay occurred in delivering the deed, and in the meantime the agent died, and his estate was found insolvent. Held, that the agent had no authority to receive the money on behalf of the corporation, and ° that in placing the loan and receiving the proceeds thereof, he acted as the agent of the purchaser.</p>