Orthwein-Matchette Investment Co. v. McFarlin

Citations

• 93 Kan. 526
• 144 P. 842
• 1914 Kan. LEXIS 466

Syllabus

<p>SYLLABUS BY THE COURT.</p> <p>1. Gambling Contracts — Transactions Prohibited by the Statute. Sections 5168 and 5169 of the General Statutes of 1909, declaring parties to certain transactions guilty of a felony, were not intended to prevent contracts for future delivery of commodities when entered into in good faith and with an actual intention of fulfillment; its purpose was to suppress mere speculation where the commodity dealt in exists only in imagination, where no delivery is contemplated, but where, on the contrary, it is expected that the parties will settle upon the difference in the speculative market.</p> <p>2. Same — Petition—Gambling Contracts Set Forth. The transactions declared upon in the petition in this case as a basis for the several causes of action are held to be gambling contracts in direct violation of the statute.</p> <p>3. Same — No Recovery by Broker for Services in Promoting Gambling Contracts. A broker or commission merchant who knowingly participates in his principal’s unlawful intent in a speculative transaction in direct violation of the statute can not recover for his services, nor for losses incurred, nor for advances made by him in behalf of his principal in carrying out such illegal transaction.</p>