McConnell v. Denver

Citations

• 35 Cal. 365

Syllabus

<p>Ditch Companies for Sale of Water.—Unincorporated ditch companies, organized for the sale of water to miners and others, the stock in which is bought and sold at the pleasure of the owners, without consulting the co-owners, differ from ordinary commercial partnerships. Some of the incidents of a partnership pertain to such companies, and some of mere tenancies in common likewise pertain to them.</p> <p>Power of Member of Ditch Company.—A member of such a company has no general authority by virtue of such membership to bind the company by his contracts.</p> <p>Power of Superintendent of Ditch Company.—The superintendent or managing agent of such company has no authority to bind the company by a promissory note, given for materials used by the company, unless the authority to give such note is expressly conferred upon him by the company, or such authority may be implied from his acts recognized by the company, with full knowledge of the acts at the time of the recognition.</p> <p>Note of Ditch Company.—If an unincorporated ditch company duly authorizes its superintendent to give the company note for materials before then purchased by the company, all the members are bound by the note, whether they were such members when the materials were purchased or not.</p> <p>Contract of a Company.—If lumber is furnished a ditch company under the agreement that it is to be paid out of the proceeds of the ditch of the company, and the proceeds have all been faithfully applied in payment, according to the agreement, the person who furnishes it is not entitled to recover the deficiency against the members of the company.</p>