New York Court of Appeals

James L. Mitchell, Appellant v. Cassius H. Reed, Respondent

September 5, 187461 N.Y. 123

Summary

The Court held that a partner who secretly obtains a renewal lease for premises used by the partnership, even when the lease term begins after the partnership's fixed termination, holds the lease in trust for the firm; therefore the judgment was reversed and a new trial ordered. Justice Reynolds authored a concurrence agreeing with the majority's application of the Struthers rule.