New York Court of Appeals
The New York and New Haven Railroad Company v. . Robert Schuyler, Morris Ketchum, Edward Bement .
June 5, 186534 N.Y. 30
Summary
The New York and New Haven Railroad Company appealed judgments concerning fraudulent stock certificates issued by its transfer agent, Robert Schuyler. The Court of Appeals affirmed the validity of cancelling spurious certificates, held the corporation liable for the acts of its agent under estoppel, and reversed the lower court's denial of relief to certain defendants while affirming judgments for others. The decision also clarified the rights of bona‑fide purchasers and the corporation's duty of care.