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University of Michigan Law School

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Banks And Banking -- Stop-Payment Orders Releasing Bank From Liability For "Inadvertent" Payment Dec 1933

Banks And Banking -- Stop-Payment Orders Releasing Bank From Liability For "Inadvertent" Payment

Michigan Law Review

In an action by a depositor against his bank for money paid out on a check in violation of a stop-payment order, the bank interposed the defense that the terms of the order excused it if it should pay through "inadvertence or accident," and that the check was so paid. It was held that the bank was not liable. Hodnick v. Fidelity Trust Co., (Ind. App. 1932) 183 N. E. 488.

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Constitutional Law - Interstate Commerce - State Regulation Of Motor Carriers - Highway Conservation, Paul G. Kauper Dec 1933

Constitutional Law - Interstate Commerce - State Regulation Of Motor Carriers - Highway Conservation, Paul G. Kauper

Michigan Law Review

In conformity with the Texas statute regulating contract carriers, the plaintiffs applied for permits to operate as contract carriers in interstate commerce. The Texas Railroad Commission denied the application on the grounds that the proposed use of the highways would unreasonably interfere with their use by the general public and would constitute an undue burden on said highways. Held, by a three-judge court, that the Commission was acting within its authority in refusing the application on these grounds, that such refusal was valid as to interstate motor carriers, and that evidence supported the Commission's findings, consequently the bill to …

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Torts - Imputed Negligence - Passenger In Private Carrier For Hire Dec 1933

Torts - Imputed Negligence - Passenger In Private Carrier For Hire

Michigan Law Review

The plaintiff hired Hilton, a private carrier, to drive her from Detroit to Ann Arbor. Hilton's car collided with a car driven by the defendant, both Hilton and the defendant being negligent. Held, that the plaintiff could recover, as the negligence of a private carrier for hire will not be imputed to a passenger riding in his conveyance. Three judges dissented; the four concurring judges refused to join Justice McDonald in his opinion expressly overruling the whole doctrine of Thorogood v. Bryan. Lachow v. Kimmich, 263 Mich. 1, 248 N. W. 531 (1933).

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Torts - Principal And Agent - Liability For Negligent Driving Dec 1933

Torts - Principal And Agent - Liability For Negligent Driving

Michigan Law Review

Defendant company's salesman, driving his own car while selling defendant's washing-machines on a commission basis over a large territory, and with no regulation by the defendant except as to the terms of the contracts the salesman might make, negligently collided with plaintiff's car. Held, a salesman driving his own car, with no more supervision than existed here, is an independent contractor for whose negligence his employer is not liable. Stockwell v. Morris, (Wyo. 1933) 22 Pac. (2d) 189.

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Workmen's Compensation-Right Of Dole Employee To Compensation Dec 1933

Workmen's Compensation-Right Of Dole Employee To Compensation

Michigan Law Review

The plaintiff, a citizen on the relief rolls of the defendant city, was put to work in accordance with a scrip relief plan under which persons receiving aid were "required" to work if they were able. They were paid a stipulated amount of script per hour, which was exchangeable for goods at the city store. The plaintiff was injured while using a wheelbarrow in line of duty in so working in the city park, and claimed the right to workmen's compensation under the statute as an employee of the city. The court held, by a five-to-three division, that the …

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Book Notes, Michigan Law Review Dec 1933

Book Notes, Michigan Law Review

Michigan Law Review

This department undertakes to list and, when possible, describe briefly current books on law and matters closely related thereto.

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Constitutional Law - Bank Reorganization Legislation - Composition With Depositors And Other Creditors, Maurice S. Culp Dec 1933

Constitutional Law - Bank Reorganization Legislation - Composition With Depositors And Other Creditors, Maurice S. Culp

Michigan Law Review

Twenty States and the federal government now have laws permitting the reorganization and reopening of insolvent or failing banks. The usual statute provides for the reorganization of a bank upon some plan approved by a large majority of the general creditors of the institution; the plan must also have the approval of state banking officials and of a court of general jurisdiction, although the last is by no means a universal requirement. The reorganization, when approved, becomes binding upon all depositors and general creditors of the bank regardless of consent. By the terms of a few statutes, non-assenting creditors are …

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Carriers -Terminal And Carfloat Bridge - Whether "Terminal" Facilities Or "Interchange" Facilities Nov 1933

Carriers -Terminal And Carfloat Bridge - Whether "Terminal" Facilities Or "Interchange" Facilities

Michigan Law Review

The New York Central R. R. brought a suit in admiralty to recover damages to its carfloat No. 37 resulting from a collision occasioned solely by the negligence of the Long Island R. R.'s tug Talisman and those in charge of her. At the time of the collision the carfloat No. 37 was moored in a carfloat bridge of the Long Island's terminal at Long Island City where it had been received in connection with the transportation in interstate commerce of freight cars and freight. The New York Central had received a notice that the Long Island would not be …

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State Taxation Of Interstate Motor Carriers, Paul G. Kauper Nov 1933

State Taxation Of Interstate Motor Carriers, Paul G. Kauper

Michigan Law Review

Although in point of years motor carrier transportation is in .ll. its infant stage, it has exhibited such prodigious growth as to take rank today as a business of huge proportions. In 1932 there were in the United States about 40,000 motor vehicles engaged in common carrier passenger service. Their operations for the year produced a gross revenue of $348,000,000, as compared with $612,000,000, produced by electric railway passenger operations, and $376,000,000, produced by steam railroad passenger operations.

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Constitutional Law - Price Fixing - Emergency Legislation, Maurice S. Culp Nov 1933

Constitutional Law - Price Fixing - Emergency Legislation, Maurice S. Culp

Michigan Law Review

The way of governmental price regulation has been hard, and such regulation has been carefully confined to businesses clothed with a "public interest." An exception has been recognized where an "emergency" occurs in a business outside of the strict utility field. However, the apparent disruption of the competitive system during the present depression has been productive of legislation seeking to overcome the evils of that system. In People v. Nebbia, the Court of Appeals of New York sustained a recent act of the legislature creating a milk control Board and authorizing the fixing of milk prices for a 12-month …

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Constitutional Law-Mortgage Foreclosure Moratorium Statutes Nov 1933

Constitutional Law-Mortgage Foreclosure Moratorium Statutes

Michigan Law Review

The present economic crisis has been productive of much drastic legislation which is directed at the relief of the debtor class. Rather than let the depression run its course, legislative bodies have endeavored to alleviate some of the evils by so-called "emergency'' statutes. A common type of such enactment is that designed to protect mortgagors against foreclosure and sale of their property. Some of these statutes provide that the period of redemption after foreclosure sale shall be extended for a definite period, others that the courts may stay foreclosures, and some provide that there shall be no foreclosure sales unless …

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Criminal Law In Action- Carrying Concealed Weapons - Chicago Statistics, John Barker Waite Nov 1933

Criminal Law In Action- Carrying Concealed Weapons - Chicago Statistics, John Barker Waite

Michigan Law Review

Lawyers are beginning to recognize, though slowly, that enforcement and administration of law are affected more by the psychological conditioning and the character of its administrators than by the content of the law itself. This basis of difference is well demonstrated by some data of Chicago criminal court operations as compared with similar proceedings before Detroit judges.

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Carriers - Damages From Preferential Rates Nov 1933

Carriers - Damages From Preferential Rates

Michigan Law Review

The Interstate Commerce Commission held that defendant railroad was discriminating against complainants in forcing them to pay the blanket rate for lumber dealers plus a short-line charge, and made an order to "cease and desist," but further held that the record would not support an award of damages, The Supreme Court of the District of Columbia refused a mandamus to compel the Commission .to award damages, but on appeal the Court of Appeals held that the writ should issue. On certiorari from the United States Supreme Court, held, judgment of Court of Appeals reversed and petition for mandamus denied …

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Contracts - Conditional Sales - Effect Of Oral Promise To Insure Nov 1933

Contracts - Conditional Sales - Effect Of Oral Promise To Insure

Michigan Law Review

The plaintiff purchased from the defendant five automobile conditional sales contracts, the defendant guaranteeing the payment of all unpaid installments. The automobiles, which had been sold to third parties on these contracts, were subsequently repossessed when the purchasers defaulted in their payments. It was agreed in writing by the plaintiff and the defendant that the defendant should have possession of the automobiles and should assume all risk of loss or injury, but that title should remain in the plaintiff. Later the parties discussed the advisability of insuring the automobiles, and the plaintiff told the defendant not to have them insured …

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Federal Practice - Appeal And Error - Necessity For Findings Of Fact And Conclusions Of Law In Interlocutory Proceedings Nov 1933

Federal Practice - Appeal And Error - Necessity For Findings Of Fact And Conclusions Of Law In Interlocutory Proceedings

Michigan Law Review

The Public Service Commission of Wisconsin issued a temporary order reducing telephone rates, setting forth its reasons and the facts in an elaborate opinion. A temporary restraining order was issued by a federal district court, which was followed by an application for an interlocutory injunction. A hearing on this application was held before three judges who granted an injunction on the same day upon the giving of a bond. Meanwhile the temporary restraining order continued in force. No opinion was rendered other than a general statement in the decree that the Commission's order "would result in the confiscation of the …

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Book Notes Nov 1933

Book Notes

Michigan Law Review

This department undertakes to list and, when possible, describe briefly current books on law and matters closely related thereto.

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Admiralty- Loss Of Goods - Statutory Exemption Of Owner Of Vessel From Liability Nov 1933

Admiralty- Loss Of Goods - Statutory Exemption Of Owner Of Vessel From Liability

Michigan Law Review

Through the negligence of the chief engineer in putting new coal on top of old coal in a temporary bunker the steamship Galileo was rendered unseaworthy at the time the voyage commenced, catching fire and sinking. The cargo was lost. The plaintiff, cargo owner, sued the owner-operator or the ship in the federal District Court for southern New York for breach of contract to deliver at destination. On certiorari to the Circuit Court of Appeals the Supreme Court held, in affirming the decree dismissing the libel, that the defendant was relieved from liability under the federal fire statute which …

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Mortgages - Assignment Of Rents And Profits - Michigan Statute Jun 1933

Mortgages - Assignment Of Rents And Profits - Michigan Statute

Michigan Law Review

There may be times when legislative action is so obviously dependent upon contemporary circumstances, or when its roots lie so near the chronological surface, that no study of background is possible or necessary. Such is not the case, however, with anything relating to mortgage law; it is too deeply imbedded in our legal system. And though its history be familiar it is felt that a brief review will not be out of place in considering a comparatively recent Michigan statute authorizing the assignment of rents and profits.

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Banks And Banking - Power To Pledge Assets To Secure Private Depositors Jun 1933

Banks And Banking - Power To Pledge Assets To Secure Private Depositors

Michigan Law Review

Plaintiff railway company deposited funds in the national bank of the defendant receiver. Dissatisfied with the guaranty of his deposits by surety bonds, the plaintiff demanded and received from the bank Liberty Loan Bonds, which were deposited with the trust officer of the bank to be held as security for the repayment, on demand, of the deposits. On the insolvency of the bank, the receiver refused to turn over the bonds, whereupon the plaintiff brought an action on the contract of pledge. Held, that the contract of pledge of the bank's assets to secure the private deposit was invalid …

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Federal Anti-Trust Law And The National Industrial Recovery Act, Howard E. Wahrenbrock Jun 1933

Federal Anti-Trust Law And The National Industrial Recovery Act, Howard E. Wahrenbrock

Michigan Law Review

The economic struggle for existence - the competitive system - which has been principally depended upon to equate the production and consumption of economic goods, is not self-sustaining. Extreme forms of that struggle - engrossing, forestalling, regrating, contracts in restraint of trade, monopoly, unfair competition, to mention some forms at the higher stages of legal development - have had to be restrained by law. Their restriction has been called for to protect the poor and economically weak from oppression by the rich and economically powerful; under a system of complete laissez faire, competition would bring about the elimination of the …

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Executive Power In Emergencies, Maurice S. Culp Jun 1933

Executive Power In Emergencies, Maurice S. Culp

Michigan Law Review

The events of the last few months indicate that the American chief executive is capable of vigorous action in emergencies. The executive frequently has to use the armed forces of the State or Nation in the performance of his duty to see that the laws are faithfully executed in troubled districts, but it is a new experience to have the governors and the President take emergency measures in combatting a depression. The banking crisis, which first received executive notice in Nevada last November and which attained alarming proportions with Governor Comstock's "bank holiday" in Michigan, culminated in the national holiday …

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State Regulation Of Interstate Motor Carriers, Paul G. Kauper Jun 1933

State Regulation Of Interstate Motor Carriers, Paul G. Kauper

Michigan Law Review

After the decision in Buck v. Kuykendall, the question naturally arose whether a State could require an interstate carrier to obtain a certificate of public convenience and necessity in order to engage in intrastate business. The question is important because it is possible that interstate business cannot be conducted profitably on a given route without the benefit of supplemental earnings derived from intrastate business. No doubt was entertained by state commissions after the Buck case that they could still exercise plenary control over the intrastate operations of interstate carriers, and deny them permission to engage in intrastate business if …

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The Emergency Railroad Transportation Act, 1933, Edwin C. Goddard Jun 1933

The Emergency Railroad Transportation Act, 1933, Edwin C. Goddard

Michigan Law Review

From Munn v. Illinois to the Emergency Railroad Transportation Act of 1933 has been a long journey traveled by the public and the public utilities, notably the largest public utility, the railroads. In 1876 the very term "public utility" was unknown. The idea that the public could break in on laissez faire and regulate any business was to the persons regulated, and to their lawyers, odious. With them agreed Justices Field, Brewer, Peckham, and many another, who predicted that the public would not long tolerate such interference with business. But prophecy is hazardous, and these prophets were wrong.

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The New Federal Securities Act, John E. Tracy Jun 1933

The New Federal Securities Act, John E. Tracy

Michigan Law Review

A proper understanding of the purposes of this new Act and the reasons for its enactment can probably best be obtained by a short discussion of the manner in which the sale of securities has been regulated prior to this time.

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Banks And Banking - Land Contract As Item For Collection Under The Bank Collection Code Jun 1933

Banks And Banking - Land Contract As Item For Collection Under The Bank Collection Code

Michigan Law Review

The petitioner deposited with A Bank a land contract. The bank was to collect payments thereon and remit them to the petitioner. After making two collections amounting to $100, the bank became insolvent and the petitioner sought a preferred claim against all the assets of the bank. The Bank Collection Code (sec. 13 of Act No. 240 of the Public Acts of Michigan, 1931) was the basis of his claim. The trial judge allowed him a preference as to cash assets on hand at the time the receiver took possession. Since it was doubtful whether there would be any cash …

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Corporations - Dissenting Stockholder's Suit -Conditional Decree Jun 1933

Corporations - Dissenting Stockholder's Suit -Conditional Decree

Michigan Law Review

The directors and majority stockholders of a Minnesota mining corporation which. needed financing were also the directors and majority stockholders of another Minnesota mining corporation which had a large surplus. They decided to consolidate the two in order to finance the one, offering the stockholders of each corporation a share for share exchange, which would result in the stockholders of the unsuccessful corporation having a 9/16 control of the consolidated corporation. Dissenting stockholders, holding 18/100 of 1% of the total stock in the successful corporation, brought a bill to restrain the consolidation and to have a receiver appointed to take …

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Criminal Law And Procedure -The Defense Of Entrapment Jun 1933

Criminal Law And Procedure -The Defense Of Entrapment

Michigan Law Review

A government agent, acting incognito, gained the confidence of the defendant by reminiscing over old war experiences. In the course of the conversation the agent repeatedly urged the defendant to secure for him a quantity of liquor. The defendant repeatedly refused, but finally acquiesced. Held, that there had been an entrapment, the court entering into a discussion of the theory of the defense. Sorrells v. United States, (U.S. 1932) 53 Sup. Ct. 210.

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Railroads - Power Of Interstate Commerce Commission To Order Extensions Jun 1933

Railroads - Power Of Interstate Commerce Commission To Order Extensions

Michigan Law Review

After due hearing upon a complaint filed by the Public Service Commission of Oregon asserting a failure to provide adequate transportation facilities to a large and unexploited area within that State, the Interstate Commerce Commission found that public necessity and convenience required the construction of a connecting line 185 miles in length. The Commission also found that the proposed extension, adding 1.2 per cent to the existing mileage of the Union Pacific system and costing approximately $10,000,000, would not seriously affect the ability of that organization adequately to serve the public; and that though the venture might not be profitable …

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Torts -Absolute Liability-"Rylands V. Fletcher" Jun 1933

Torts -Absolute Liability-"Rylands V. Fletcher"

Michigan Law Review

The defendant, owner of an 11 acre plot, licensed nomadic caravan dwellers to come on the field and live there. Approximately two to three hundred people were on the land. Some of the group deposited human excrement on the adjoining lands, allowed their horses to trespass upon and foul neighboring lands, were often noisy in returning to the land, and frequently trespassed upon the neighboring land in going to or leaving the plot. Held, in an action for public nuisance, that the defendant was bound to prevent the occupants of his land from committing the acts in question. An …

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Trial Practice - Special Appearance To Contest Garnishment Jun 1933

Trial Practice - Special Appearance To Contest Garnishment

Michigan Law Review

The proceeds of an insurance policy payable to the defendant, a non-resident, were attached by garnishment. The defendant, who was served by publication, filed a paper entitled "Special Appearance" to question the jurisdiction of the court over his person and property. The lower court sustained the special appearance on the ground that the proceeds of the policy were exempt from garnishment. Held, that the exemption of the proceeds was not material to the question of jurisdiction in rem, so it should not have been considered on special appearance. Reversed with leave to the defendant to enter a general …

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