Sutliff v. Clunie

Citations

• 4 Cal. Unrep. 697
• 37 P. 224
• 1894 Cal. LEXIS 1292

Syllabus

<p>Assignment for Creditors.—Where an Attorney, Employed by an Assignee to settle claims with the creditors, compromises the claims, giving his ■ own notes in settlement at the rate of fifty cents on the dollar, with the understanding that the estate is to pay them when due, he cannot, on failure of the estate to do so, and after seeing that the estate is in fact solvent, have the claims assigned to a third person, who advanced to him the money to pay the notes, and collect the full amount of the claims for the benefit of such third person.</p> <p>Assignment for Creditors—Where, in Such Case, the Attorney is the law partner of the assignee, the latter will be chargeable with constructive notice of all the facts in the transaction coming to the knowledge of the former, so as to render him liable for payments in excess of what the attorney paid for the claims.</p> <p>Assignment for Creditors.—Where an Assignee Employs Counsel to uphold the validity of an unjust claim against the estate, which he paid, he cannot, in ease of defeat, charge the estate with the counsel fees.</p>