Cox v. Pearce

<p>1. Partnership—When retired member liable for debts.</p> <p>The rule that when a credit is created by a person or partnership, the credit continues against the person or partnership until notice of a change is given to those who were dealers, is not changed by the retirement of one of a firm of old dealers and the admission of a new partner.</p> <p>3. Same—Agency—Constructive notice.</p> <p>A certain coal broker ordered coal from plaintiffs’ firm when needed by the defendant’s firm, but no payments were made to him, he simply ordering the coal. For this he was paid a commission when the hill was paid for the coal ordered. Said broker would apply for the orders, and, on one occasion, after the retirement of the defendant from the firm, he was told that his son had taken the father’s place in the business, hut he did not communicate the fact to the plaintiffs’ firm, and the regular course of business continued over seven years longer. Held, that the broker was not the agent of plaintiffs. That they did not have constructive notice that the defendant went out of said firm.</p>