New York Court of Appeals

The Rogers Locomotive and MacHine Works v. Albert Kelley, Respondents; Orrin A. Bills, Appellants

February 28, 188288 N.Y. 234

Summary

The Court affirmed the General Term's order, holding that the $25,000 deposited with Kelly & Alexander was placed in trust for the payment of bond coupons and therefore was not subject to the sheriff's attachment. Because the corporation relinquished control of the funds and the trustees were bound to apply them to coupons, the attachment could not reach the remaining $13,148.06. The decision rests on the characterization of the transaction as a valid trust rather than a revocable direction.