National Bank v. Fridenberg

Citations

• 206 Pa. 243
• 55 A. 960
• 1903 Pa. LEXIS 690

Syllabus

<p>Principal and agent — National bank — Banks and banking — Dealing in stocks — Notice.</p> <p>Where a bank authorizes its cashier to buy and sell stocks, and the authority of the cashier is apparently general and without limitation as to the character and amount of the securities he is to purchase, and as to whether the transactions should be on margin or for cash, and it appears that the cashier opens an account in the name of the bank with a firm of brokers and buys and sells stocks on the bank’s account, both for cash and on margin, and it also appears that large profits were made for the bank on the cash transactions, the bank cannot, after the cashier has absconded, claim that it was not liable for losses on some of the margin transactions.</p>