J. M. & J. H. Robertson v. Beatson, M'Leod, & Co., Ltd [1908] ScotLR 742 (06 June 1908)

J. M. & J. H. Robertson v. Beatson, M'Leod, & Co., Ltd [1908] ScotLR 742 (06 June 1908)

There was no direct employment or authority given by the company to the law agents; the intermediary (Fulton) had no authority to bind the company to pay the law agents; therefore, the law agents have no claim against the company.

Citation
[1908] ScotLR 742
Parties
Pursuer: J. M. & J. H. Robertson; Defender: Beatson, M'Leod, & Company, Limited
Jurisdiction
Scotland
Judgment Date
06 June 1908
Procedural Posture
Civil / Appeal (reclaiming Motion) From Lord Ordinary's Decree
Outcome
appeal allowed; action dismissed
Legal Topics
Principal and Agent, Company Promoter Liability, Authority of Agent, Amalgamation of Companies, Right to Involve Principal's Credit
Agency Law Company Law Principal and Agent Company Promoter Liability Authority of Agent Amalgamation of Companies Right to Involve Principal's Credit

Case Brief

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Parties

J. M. & J. H. Robertson

Pursuer

Beatson, M'Leod, & Company, Limited

Defender

Procedural Posture

Civil / Appeal (reclaiming Motion) From Lord Ordinary's Decree

Legal Issues

  1. 1 Whether an agent (company promoter) had authority to bind the principal company to pay for legal services engaged for an amalgamation.
  2. 2 Whether the law agents could sue the company for their account when they were engaged by an intermediary without direct company authority.

Ratio Decidendi

There was no direct employment or authority given by the company to the law agents; the intermediary (Fulton) had no authority to bind the company to pay the law agents; therefore, the law agents have no claim against the company.

Court Disposition

appeal allowed; action dismissed

Orders

  • Lord Ordinary's interlocutor recalled
  • Defenders assoilzied (absolved) from the claim