Kelly and Others (Ancient Order of Foresters Friendly Society's Trustees) v. Peacock and Others [1917] ScotLR 65 (14 July 1917)

Kelly and Others (Ancient Order of Foresters Friendly Society's Trustees) v. Peacock and Others [1917] ScotLR 65 (14 July 1917)

The dissolution of Court North Bute was invalid as it lacked the required consent of the central body under the Friendly Societies Act 1896 and the society's rules. The defenders, having distributed the funds without such consent, are personally liable to restore the misapplied funds. The plea of personal bar (mora, acquiescence, taciturnity) does not avail against trustees acting for others, and the correspondence shows no acquiescence by the pursuers.

Citation
[1917] ScotLR 65
Parties
Pursuer: George Frederick Kelly and others, trustees of the Ancient Order of Foresters Friendly Society; Defender: Alexander Robertson Peacock and others (trustees of Court North Bute, secretary, treasurer, and committee members)
Jurisdiction
Scotland
Judgment Date
14 July 1917
Procedural Posture
Civil Appeal / Appeal From Sheriff Court to Court of Session Inner House, Second Division
Outcome
appeal allowed; interlocutor of Sheriff-Substitute recalled; decree granted against defenders jointly and severally
Legal Topics
Dissolution of Friendly Society Branches, Personal Bar (mora, Acquiescence, Taciturnity), Misapplication of Trust Funds, Statutory Compliance (friendly Societies Act 1896)
Trusts Friendly Societies Civil Procedure Dissolution of Friendly Society Branches Personal Bar (mora, Acquiescence, Taciturnity) Misapplication of Trust Funds Statutory Compliance (friendly Societies Act 1896)

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Parties

George Frederick Kelly and others, trustees of the Ancient Order of Foresters Friendly Society

Pursuer

Alexander Robertson Peacock and others (trustees of Court North Bute, secretary, treasurer, and committee members)

Defender

Procedural Posture

Civil Appeal / Appeal From Sheriff Court to Court of Session Inner House, Second Division

Legal Issues

  1. 1 Whether the dissolution of Court North Bute was valid without the consent of the central body under the Friendly Societies Act 1896 and society rules
  2. 2 Whether the defenders are personally liable for the misapplied funds
  3. 3 Whether the pursuers were personally barred from raising the action by mora, acquiescence, or taciturnity

Ratio Decidendi

The dissolution of Court North Bute was invalid as it lacked the required consent of the central body under the Friendly Societies Act 1896 and the society's rules. The defenders, having distributed the funds without such consent, are personally liable to restore the misapplied funds. The plea of personal bar (mora, acquiescence, taciturnity) does not avail against trustees acting for others, and the correspondence shows no acquiescence by the pursuers.

Court Disposition

appeal allowed; interlocutor of Sheriff-Substitute recalled; decree granted against defenders jointly and severally

Orders

  • Defenders to pay pursuers £687, 13s. 8d. with interest and expenses