Abbildungen der Seite
PDF
EPUB

to be liable, although the money was borrowed to prevent
the mine from being drowned. In the case of The Bank
of Australasia v. Breillat (a), the deed of settlement confer-
red on the directors all the powers incident to an ordi-
nary banking copartnership, and consequently the power
to borrow money. Here the powers of the directors are
clearly defined. The 33rd clause enables them to sell and
dispose of the mines and property of the Company; but
that can only be done in the mode there pointed out. It
is the same with respect to raising further capital. The
directors could not of their own accord mortgage the
mines; and, a fortiori, they cannot pledge the credit and
private fortunes of the shareholders. There is good rea-
son why the powers of the directors in a Company of
this description should be more limited than in an ordi-
nary partnership; for, in the latter, each partner is ac-
quainted with the partnership transactions; whereas, in
the former, they are entrusted to the management of a few
persons. The directors are trustees of the property of the
Company; and, as such, are incapable of departing from
the terms of the instrument creating the trust: Fisker v.
Tayler (b).
Cur. adv. vult.

ALDERSON, B., now said-This was a motion for a new trial, which was argued before us last Term. The question was, whether the directors of a Company, by whom certain German mines were to be worked, had power to borrow money for that purpose. It appeared from the circumstances of the case, and the jury found as a fact, that it was necessary for the purpose of working the mines that the money should be borrowed; but, notwithstanding that finding, we are of opinion that the directors of the Company had not any such power. The Company was to levy a sum of 50,000l. with which to carry on the undertaking; and (b) 2 Hare, 218.

(a) 6 Moo. P. C. 152.

1851.

BURMESTER

v.

NORRIS.

1851.

BURMESTER

V.

NORRIS.

the deed of settlement, by which the directors were authorised to act, contains a power in these general terms:"That the affairs and business of the Company shall be under the sole and entire control of the directors, of whom there shall not be less than five, nor more than nine; that three of them shall, at all meetings of directors, and for all purposes, be competent to act." No doubt those are very large words, but they must be taken in conjunction with the general words and purport of the deed, and those confine the undertaking to the working of the mines by levying a large sum of money as capital, to be applied to that purpose. It follows, therefore, that the directors had the exclusive and entire control only with respect to the management of the Company by means of the monies so to be levied and applied, and that they had no power whatever to borrow money. It would make a vast difference to the shareholders, if the power contained in these words. were to be construed as imposing on them an unlimited responsibility beyond the capital which they supposed they would have to subscribe, and with which the concern was to be entirely carried on. We think, therefore, that my Brother Platt was wrong in leaving the point to the jury; and that though, in their opinion, it might be necessary for the purpose of working the mine that the money should be borrowed, yet that could not be done without the consent of all the subscribers. With the consent of all the subscribers no doubt it might be done; but that would be on a totally different footing. We think, therefore, there must be a new trial.

Rule absolute.

1851.

CARNE & VIVIAN V. MALINS & Others.

June 28.

tion to recover

the balance of

an account, the

defendants proposed a referject matter of

ence of the sub

the suit; and the plaintiffs having agreed thereto, an ar bitrator was appointed, but, after a delay the reference was abandoned Upon the coming on for discovered that

of three years,

by consent.

THIS was a rule calling on the defendants to shew cause Two members of a partnership why the plaintiffs should not be at liberty to amend the firm having writ and all subsequent proceedings, by adding the name brought an acof B. Reynolds and seven others as plaintiffs in the action. It appeared by the affidavits, that the present action was brought to recover the balance of an account ending in July, 1841; that the writ was issued in July, 1846; and that in February, 1847, after the defendants had pleaded non assumpserunt, they proposed a reference, stating that they had a cross claim against the plaintiffs, and that they were advised to bring an action to recover the amount of their claim. This proposal was acceded to on the part of the plaintiffs, and an arbitrator was named; but, after much correspondence upon the subject, the reference was abandoned in 1850, and notice of trial was given for the Cornwall Summer Assizes of that year. The cause, how ever, did not go to trial. It was stated in an affidavit of the plaintiffs' attorney, that the plaintiffs' business had been carried on in the names of "Sandys, Vivian, & Carne," that, at the time the debt accrued, Sandys had died; and that the action had been brought in the names the present plaintiffs; but that, shortly before the trial was to have come on, it had been discovered that eight other persons, whose names were now sought to be added to the writ, were interested in the firm at the time the debt accrued; and that the Statute of Limitations would be a bar to a fresh action.

In last Easter Term (May 13),

eve

of the action

trial, it was

other persons then living were interested

in the firm at

the time the It was sworn of that the Statute

debt accrued.

Willes shewed cause.-The amendment ought not to be allowed. The plaintiffs seek by the present application to obtain a new writ. There is no suggestion by them that they have been misled. It is not even stated that the parties, whose names are now sought to be added,

of Limitations

would be a bar

to a fresh action.

The Court al

lowed an amendment of the

writ and all subsequent proceedings, by the

addition of the names of the

other parties as co-plaintiffs.

1851.

CARNE

บ.

MALINS.

consent to have their names placed upon the record. The rule of practice by which the Court allows the addition of parties to the suit, applies only in cases where the party sues in a representative character, as in Brown v. Fullerton (a), where the Court amended the writ and subsequent proceedings by adding the name of an official assignee in bankruptcy as a co-plaintiff. The simple ground, that the Statute of Limitations will bar a fresh action, is not a sufficient reason for the interference of the Court. In Phillips v. Lewis (b), the Court of Common Pleas laid down the following rule, which strictly applies to this case:- "The view which the Court take of the question is this: If there be a sufficient reason for making an amendment, the fact that the Statute of Limitations will be available if the amendment be not made, is no reason for refusing to make it; but if there be no other reason for making it, than that the Statute will be a bar, that is not a ground upon which such an application will be granted." The case of Plowden v. Thorpe (c) is analogous to the present, where it was held that the amended bill was the commencement of the suit.

Montague Smith in support of the rule.-The practice of the Courts is in favour of this application. The rule is the same whether the party sought to be added sues in his personal or his representative capacity. The amendment is allowed where the party suing, by the mistake, would lose his entire debt: Goodchild v. Leadham (d), Horton v. Inhabitants of Stamford (e), Lakin v. Watson (f), Christie v. Bell (g), and Craufurd v. Cocks (h). No injustice is worked by the addition of these parties. The defendants obtain the security of a greater number of plaintiffs, and the proceedings are not delayed. Here, by the act of the defend

(a) 13 M. & W. 556.
(b) 1 L. M. & P. 156.
(c) 7 C. & F. 137.
(d) 1 Exch. 706.

(e) 1 Cr. & M. 773.

(f) 2 Cr. & M. 685.
(g) 16 M. & W. 669.

(h) Ante, p. 287.

ants themselves, the action has been so far deferred as to
give them an opportunity of availing themselves of the
Statute of Limitations. If the cause had proceeded to trial
in the first instance, the mistake might have been rectified
in time.
Cur. adv. vult.

PARKE, B., now said-In this case we think the amend ment ought to be allowed. We have considered the authorities upon the subject, and think that, as the consequences would be so highly penal to the plaintiffs if the application were refused, the rule must be absolute, upon payment of costs.

Rule absolute accordingly.

1851.

CARNE

v.

MALINS.

YATES v. EASTWOOD and Another.

ASSUMPSIT for money had and received, and on an
account stated. Plea, non assumpserunt, and issue thereon.
At the trial, before Cresswell, J., at the last York Assizes,
it appeared that the plaintiff was the mortgagee of certain
machinery, which had been seised as a distress for rent in
arrear by the defendants, who were the landlords of one
Hellawell; and that the action was brought to recover the
amount of the overplus of the sale of the goods, after de-
ducting the rent and other expenses incident to the distress,
to which the defendants were lawfully entitled.
On the part of the defendants it was contended, that the
present form of action was misconceived, and that they
ought to have been sued in an action on the case under
the 2 W. & M. sess. 1, c. 5, for not leaving the overplus
of the sale in the hands of the sheriff, as required by that

statute.

June 24.

A landlord,
his tenant's
goods for rent
in arrear, and
is not guilty of
any misconduct
with regard

who distrains

to the distress,

and sells the goods, is not

liable to his

tenant in an ac

tion for money

had and receiv

ed for the overplus of the sale,

which he does

not leave in the

hands of the

sheriff under

the stat. 2 W. & M. sess. 1, c. 5; the proper remedy being

an action on the case for not leaving the

The plaintiff had a verdict for the sum of 200l., leave overplus in the being reserved to the defendants to move to set that verdict aside, and to enter a nonsuit.

hands of the sheriff, under that statute.

« ZurückWeiter »