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taining actions "under this act," only applies to those extremes, if any, lying outside the common-law rule, but embraced by subsection 1 of section 1, unless a case shall arise in which the plaintiff, although he has a remedy at common law, insists on relying upon the statute alone. See observations on Goodhue v. Dix, 2 Gray 181, in Reynolds v. Hanrahan, 100 Mass. 313, 315. Judgment for plaintiff.

NEW YORK COURT OF APPEALS ABSTRACTS.

APPLICATION OF PAYMENTS-RES ADJUDICATA.—(1) In an action for partition of land which had formerly been owned by two brothers, defendants claimed title to the entire tract from one of the brothers who had purchased the other's interest for $3,300. To show that the price had been paid, they produced the record of an accounting in the surrogate's court by the vendee brother and others, as administrators of the vendor brother, to which all of the latter's heirs and next of kin were parties, which while it showed that a mutual account had existed between the brothers in the vendor's life-time, with a balance in the vendee's favor of about the amount due on the land, also showed that the surrogate had decreed that this balance should be applied in payment of the amount which the vendee had appropriated from the assets of his brother's estate. Held, that the application was conclusive on defendants. (2) Defendants, having taken a mortgage on the land from the surviving brother, with notice of his defect of title, and without knowledge of the state of the account between the brothers, had no legal right to appear in the accounting, and cannot object to the application made in the surrogate's decree, and insist that it be made on the purchase-price of the land. (3) Evidence that an account of the mutual transactions between the two brothers was kept by the survivor, that they lived together, and that the deceased had opportunities to inspect the account, and had occasionally done so, and that at his death there was a balance of only $1,683.14 in his favor, the purchase-price of the land being $3,300, warrants an inference that the annual balances of the account in favor of the surving brother were applied by the brothers in payment of the purchase-price of the land, and interest thereon. (4) But there is no presumption that items added to the account after the death of the vendor brother were intended to operate as payments on the purchase-price. (5) Defendauts cannot complain of an extension of the time within which they were allowed to satisfy a vendor's lien, though the extension was illegal. Nov. 26, 1889. Grant v. Keator. Opinion by Ruger, C. J. Affirming 45 Hun, 593.

ASSIGNMENT FOR CREDITORS-PREFERENCES-PARTNERSHIP. (1) In an action to set aside an assignment by a partnership as in fraud of certain firm creditors, the burden is on plaintiffs to prove their allegation that a note preferred in the assignment was indorsed by one partner in the firm's name for his own private interest, without the consent of his copartners. Fraud cannot be presumed. It must be proven, and, if there is left room for the inference of an honest intent, the proof of fraud is wanting. Schultz v. Hoagland, 85 N. Y. 469; Baird v. Mayor, 96 id. 567; Kingsley v. City of Brooklyn, 78 id. 215; Bank v. Talcott, 22 Barb. 550; Crook v. Rindskopf, 105 id. 476. (2) The note was originally indorsed by one of the partners individually, for his own private interest, and renewed on au indorsement by the firm, who sustained intimate business relations with the promisors. The firm renewed its indorsement at a time when it was insolvent, and the old note was surrendered by the holder,

and the time of payment extended for one year. Held, that in the absence of evidence that the holder knew of the firm's insolvency when the indorsement was renewed, a preference of the note in the assignment was not fraudulent. Saunders v. Reilly, 105 N. Y. 12-18; Bank v. Place, 86 id. 444. In Menagh v. Whitwell, 52 id. 146, and all kindred cases, there was substantially a donation of firm property to pay the debt of an individual partner, without any consideration moving to the firm. Here there was a consideration, and in this very essential fact the case under consideration differs from all the cases cited by the appellants in which the principle cited has been applied. All of them are cases where the assignment itself preferred debts of individual partners, or where the property was transferred directly to pay individual debts. (3) Nor was the validity of the assignment affected by the fact that it described the note as having been discounted by the holder, and that it directed an absolute payment, whereas the liability Second Division, Nov. 26. 1889. kopf. Opinion by Brown, J.

mem.

was only contingent. Bernheimer v. RindsAffirming 41 Hun, 646,

BUILDING AND LOAN SOCIETIES-RIGHTS OF SHAREHOLDERS.-In an incorporated building and loan society the shares of stock were for $1,000 each, and the only actual capital consisted of a stated weekly subscription on each share. As fast as a sufficient amount was contributed, any member could borrow $1,000 on each share held by him, on which he was to pay no interest, and payment of which was to be secured by mortgage on realty, a certain percentage to be paid annually, in monthly installments, and no provision was made for cancelling the mortgages without payment. Held, that on dissolution of the society, by acquiescence of all the members, before the contributions reached $1,000 per share of stock, its assets should be distributed equally among its members, according to their respective number of shares, and borrowing members were not entitled to have their mortgages cancelled until payment of the balances due thereon after deducting their respective shares of the assets, nor were creditor members entitled to $1,000 on each of their shares of stock. As to whether the attorneygeneral may maintain such an action as this upon the facts alleged, the court do not agree. Nov. 26, 1889. People v. Lowe. Opinion by Earl, J. Reversing 47 Huu, 577.

CARRIERS-INJURY TO PASSENGER.- Plaintiff's evidence was that as soon as defeudant's train, on which he was riding, stopped, he arose from his seat, near the front door of the car, and proceeded to leave by that door; that when he had placed one foot on the last or lowest step, and was proceeding to step off the car with the other foot, which was on the step above, he released his hold of the railing, and the train starting at the same moment with a sudden jerk, he was thrown to the ground, causing the injuries sued for. Held, that it justified a finding that defendant was guilty of negligence, and the plaintiff free therefrom, as the company was bound to give him reasonable time in which to alight. Second Division, Nov. 26, 1889. McDonald v. Long Island R. Co. Opinion by Bradley, J. Affirming 43 Hun, 637, mem.

OF GOODS - DELIVERY.—(1) Where the consignees of a cargo of malt unload part of it the day they receive notice of its arrival, but do not continue the work until the seventh day after breaking bulk, a finding that they used reasonable diligence is supported by evidence showing that a Sunday and one holiday had intervened, and that one or two of the other days had been rainy. (2) An examination and acceptance of the portion of the cargo unloaded the

first day by an inspector, who examined it as it was taken from the boat, does not constitute an acceptance of the residue. Second Division, Nov. 26, 1889. Scheu v. Benedict. Opinion by Haight, J.

CONSTITUTIONAL LAW-ACT LICENSING SHEDS ON PIERS IN EAST RIVER.-(1) Since the Legislature possesses the absolute power of eminent domain over public property, subject only to the restriction that its action shall be in the direction of public utility, Laws of New York of 1875, chapter 249, conferring authority ou the department of docks of New York city to license the erection and maintenance of sheds by private persons on the public piers of that city for the protection of property received and discharged thereat, is constitutional; the main purpose of the act being in furtherance of the commercial interests of New York city, and it being found as a fact that it is necessary for piers to be covered and inclosed in order that property to be received and discharged by the occupants may be protected from loss and injury. (2) Since the permission to shed a pier, under the act, amounts to turning the public pier into a private one for the time, the fact that the shed erected by the licensee is concededly exclusive and permanent in its character does not warrant its removal. (3) Laws of New York of 1883, chapter 435, creates an exception to the general power vested in the dock department under Laws of 1875, chapter 249, by providing that it shall not be law. ful to interfere with the free public use of any pier in East river which has "heretofore" been used for the

loading of sailing vessels regularly employed in foreign commerce, etc. Held, that the exception did not include a pier which before 1864 was much used by this class of sailing vessels, but which since 1870 has only occasionally been used by them, and not at all in the four or five years preceding the commencement of an action to remove sheds therefrom, since the word "heretofore," in its common acceptation, means

"hitherto," ""down to this time," and does not convey the idea of comprehending any remote time. In the case of People v. Mallory, 46 How. Pr. 281, that court had pronounced a permit issued by the commissioners of the dock department to the defendant to erect a shed on an East river pier to have been without lawful authority in those officers to grant. Such structures were held to be in violation of the existing laws; and in the case of Kingsland v. Mayor, 110 N. Y. 569, we have recently approved of the conclusion which the court reached in People v. Mallory. But through the enactment of chapter 249 of the Laws of 1875, the dock department became possessed of the authority, which it previously lacked, and the many instances of its exercise of a supposed authority were ratified and legalized. Its permission to shed the piers had not been a protection to parties as against the public, for the reason that the power to withdraw from the public use what was, in legal contemplation, a public highway, had not been delegated to it. Such a power could only reside in and proceed from the people of the State, who in their right of sovereignty, possess the original and ultimate property in and to all lands, and to the navigable waters, within the jurisdiction of the State. The right to exercise the sovereign power of the people was vested in the legislative body, whose acts are supreme when confined within the limits fixed by the Constitution of the State. An eminent dominion over all property in the State is an incident of the sovereign power. Where its exercise affects the property of the private citizen, it is restricted by the Constitution only in the feature that compensation must be made for its taking. The right of the State to take the property however is an absolute and inherent one. It is an attribute of political sovereignty, and the constitutional provision only operates upon the mode of exercising the right. If au

exercise of this power, as for instance, as in this case, by permitting a use and an appropriation of a public pier to some other or quasi private use in the way proposed by this defendant, affects some existing or natural right of the public to the use of a highway, I cannot find in the organic law of the State, nor can I find upon principle, any restriction upon the legislative act other than that its action shall be in the direction of public utility. It seems to me self-evident as restrictions interposed by the fundamental law, may a proposition that the sovereign power, subject to the be exercised with respect to the public, as well as the private rights of citizens. That seems to follow logically, as the necessary understanding of the governed, of the scope and design of the political dominion of ciple underlying all forms of government, that for ends the State; and it finds reason and support in the prinof the public utility and good all other ends should yield. It is said in this case that the use of the pier, jus publica, and cannot be impaired by legislation; being a public or natural highway, was in the people as

and our recent decision in Bedlow v. Dock Co., 112 N. Y. 274, is cited in that connection. But in that opinion the feature of public utility, which I have adverted to here, is distinctly recognized; for Ruger, C. J., proving such waters in the interest of commerce unsays: "The power of regulating, controlling and imdoubtedly exists. The right therefore of the city to erect structures in the navigable waters of the State must necessarily remain subject to the sovereign authority over such highways." In my opinion the argument cannot be maintained that, in its delegation to the dock department of the power to authorize the shedding of a wharf or pier for private purposes, the Legislature has abridged a public right, aud therefore overstepped the limits of its powers. I think its action was in the direct line of a sound public policy. What it authorized to be done is in the general interests of that municipality, and though a private interest may be benefited, that is an incident. The main feature and purpose are the recognition and furtherance of the commercial interests and needs of the community. The use of the piers and bulkheads for commercial purposes connected with shipping is an essential advantage to the inhabitants of the city of New York; great water front is demanded in the exercise of politi and whatever best promotes the beneficial use of its cal wisdom. It was found as a fact in this case that it was necessary for wharves and piers to be covered and inclosed, in order that property to be received and discharged by railroad companies, or other occupants should be protected from loss and injury, and that all piers and wharves used for that purpose are shedded. This is an obvious fact also from the language of the act of 1875, the first section of which is a distinct recognition and ratification of an existing usage of shedding piers and wharves. Independent of finding and language however I think the legislative grant of power to the municipal body to permit the erection of structures upon these piers, etc., for the purpose of protection to property received and discharged, would be a justifiable act of public policy, because of the evident reasons for such legislation, and of the evident public utility of such a measure. Nov. 26, 1889. People v. Baltimore & O. R. Co. Opinion by Gray, J. Reversing 3 N. Y. Supp, 29.

EQUITABLE ASSIGNMENT - PLEDGE.-(1) U. placed an account against Z. in the hands of plaintiff, an attorney, under a contract that plaintiff should prosecute the claim, and should release U. from a debt which he owed plaintiff, and that in consideration therefor plaintiff should have one-third of the money, property or securities realized therefrom, whether received through settlement or otherwise, the terms of settlement to be discretionary with U. Plaintiff brought

suit on the account, pending which U. assigned it to defendant, whom he owed, and who was ignorant of plaintiff's contract, expressly stipulating that it was intended as collateral security. Held, that the contract was an equitable assignment of one-third of the claim against Z. to plaintiff, and that by the assignment defendant became pledgee only to the extent of U.'s title. (2) Thereafter a compromise was made by defendant U., and Z., without plaintiff's knowledge, by which defendant released U., and U. released Z. from their respective debts upon the delivery to defendant by Z., on the order of U., of certain non-negotiable bonds. Held, that defendant received the bonds, by force of the assignment, in place of the claim which was thereby pledged; and not being a purchaser thereof, he could not hold against plaintiff the latter's one-third interest therein. Nov. 26, 1889. Fairbanks v. Sargent. Opinion by Finch, J. Reversing 4 N. Y. Supp. 162.

have been ineffectual, then the failure of the executor, acting in good faith, to take them does not render him liable as for a devastavit. Clack v. Holland, 19 Beav. 262, 271. It is true in the case in Wendell, above referred to, it is stated that if the debts are not collected within a reasonable time after the issuing of letters, either by personal application or by suit, the executor is responsible for such neglect. But it is seen that the court refers to such debts as could have been thus collected, not to those where a suit would have been unavailing. The onus is upon the executor to show a fair reason why he did not commence proceedings to collect a debt, and it is only necessary in the first instance for him who insists upon a devastavit to show the existence of a debt, and that the executor has taken no steps to collect it. The presumption is that it could have been collected, as the usual course is for men to pay their debts, and solvency is presumed until the contrary is shown. This is what was decided in Stiles v. Guy, 16 Sim. 230; 39 Eng. Ch. 229; the vice-chancellor remarking that "those who seek to exonerate themselves from a debt due from a third person ought to prove that that person could not have paid the debt. If a debt is due, the law always presumes, until the contrary is shown, that the debtor can pay it. Insolvency cannot be presumed." The same principle is upheld in Harrington v. Keteltas, 92 N. Y. 40, where this court held that the executor, hearing of a debt due the estate, was bound to active diligence for its collection, and that he could not wait for a request from the distributees. The existence of the debt be

EXECUTORS -PAYMENT OF LEGACY BY NOTE.- (1) Where a legatee receives the individual notes of an executor of the estate, and notes of a firm of which the executor was a member, in payment of a portion of her legacy, and the surrogate on the executor's accounting finds that the legacy has been paid, an action for the amount of the notes as for money had and received to the legatee's use cannot be maintained against the executor individually; as, there having been no original individual indebtedness due from the executor, and the adjudication of the surrogate that the legacy had been paid being conclusive, the only right of action is upon the notes. (2) Where such action is tried on the theory that defendant, while being an executor, became personally liable for the pay-garded the neglect to prosecute not only as an omisment of the legacy, the judgment for plaintiff cannot be sustained on the theory that the action was on the notes, though the notes were offered in evidence, there being no count upon the notes. Nov. 26, 1889. Camp v. Smith. Opinion by Ruger, C. J. Affirming 1 N. Y. Supp. 372.

ADMINISTRATORS

OF

EXECUTORS AND RIGHTS CREDITORS-PAYMENT OF LEGACIES.-(1) An executor knew that his testator owned certain bonds shortly before his death. When, as executor, he sought to obtain possession of them, the residuary legatee, who had the custody of testator's papers when he died, repeatedly denied that she had them, but finally, at the end of six months, coufessed to him that she had had them all the time, and had recently sold them, claiming them as a gift from testator. During this time the executor had in his possession sufficient funds of the estate to pay all its known debts; and neither he nor the residuary legatee knew any thing of plaintiff's claim, which was for a deficiency in a mortgage foreclosed after the completion of the advertisement for creditors. On seeking the advice of counsel, after being apprised of plaintiff's claim, the executor was told that he had no case against the residuary legatee for the recovery of the bonds or their proceeds. Held, that the executor was not personally liable to plaintiff for failure to sue for the bonds. There is no pretense that the defendant did not act in entire and perfect good faith in the matter, nor can there be any question of the bona fides of his counsel. An executor who has acted in good faith, and intended fairly and fully to discharge his duty, will not be charged in this manner, if such intentions have been directed by a reasonable judgment; while if the property of the decedent has been wasted through his carelessness and want of proper attention, he will be liable. This rule was laid down by Mr. Justice Nelson in Schultz v. Pulver, 11 Wend. 363, 366, where the administrator was held liable in a very plain case. If there is reasonable ground for considering that the legal steps to be taken to collect assets by the executor would

ing proved, the duty of active diligence was enjoined upon the executor. In that case, aud upon the facts therein appearing, the court, per Danforth, J., re

sion, but as a willful default amounting to positive collusion. "Active vigilance" is a relative term, and what it is depends upon the facts appearing in each case. As to where the onus lies in making proof of the facts, there can be but little question. A debt being proved, the presumption is that it is collectible, as solvency, and not the contrary, is to be presumed. But when the onus, being shifted to the executor, is met by proof on his part of the absolute, irretrievable, and hopeless insolvency of the debtor, does any rule of active vigilance demand the institution of legal proceedings by the executor against such insolvent debtor? Does active diligence require the commencement of an action to obtain possession of property which the executor claims belongs to the estate, although at the same time he does not know how he can prove that the property does belong to it, and he is also advised by his counsel, in good faith, that he cannot make such proof, and he really believes it? All the facts being in, the question arising for determination is whether the conduct of the executor has been guided by good faith, reasonable judgment, and an intention to fairly and fully discharge his duty. If so, it cannot be that he should still be held liable for a devastavit. No duty of active vigilance would makeit necessary to sue an absolute and hopeless insolvent, nor to commence an action when he was entirely ignorant as to where to find the proof to maintain it. In this case we cannot see that the executor, under all the facts, was guilty of such a lack of diligence as should charge him with the value of these bonds. The result of a suit was entirely too doubtful to require us to hold the executor liable for not instituting it, especially when, in good faith, and presumably after a full statement of all the facts, his counsel advised him that he had no case, and he believed it and acted accordingly. (2) Under 2 Revised Statutes of New York, page 89, section 39, providing, that if a claim against decedents' estate is not presented within six months after publication of notice of granting letters, the executor shall not be liable to the creditor for moneys paid out in

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should be confined to his bed, or his room, or that he should die within a certain limited time, are not es sential circumstances to support such a gift. It is a matter within the experience and common knowledge of all, and one requiring no evidence to show, that paralysis is the symptom of a disease which does terminate human life. Its strokes are known to cause to the victim a loss of bodily functions or senses, and point to the existence of some grave ailment of the bodily system. It is quite a matter of common supposition or belief that the third stroke is followed by death. I has occurred from disease indicated by paralysis, a think that we are bound to presume that, when death transaction such as we have here, and which took place after the individual had been admonished by two pa ralytic strokes, was conducted with a view to death. It is unreasonable to say that the donor, in so acting, was not under the apprehension of a recurrence of the paralysis. Nov. 26, 1889. Williams v. Guile. Opinion by Gray, J. Affirming 46 Hun, 645.

GIFTS-INTER VIVOS-CAUSA MORTIS.-(1) A donor seventy years of age, who had suffered two strokes of paralysis, executed an instrument in the form of a bill of sale of his life insurance policy to his niece, and delivered the paper to his attorney, telling him to give it to her, in case any thing happened to him. In about six weeks he died from a third stroke of paralysis, and the paper was delivered according to instructions. Held, that there was no gift inter vivos, as the donor had not relinquished control of his property. The elements which go to make up a valid executed gift were incomplete here. There was absent the essential feature of such a delivery as divested the donor of all possession and dominion over the subject of the gift. If the present right to the property is not parted with, so as to vest the title to it in the donee, there is no valid executed gift. Young v. Young, 80 N. Y. 430; Jackson v. Railroad Co., 88 id. 520. As Ruggles, J., said in Harris v. Clark, 3 N. Y., at page 113, "the contract must have been executed. The thing given must be put into the hands of the donee, or placed within his power, by delivery of the means of obtaining it." (2) But it will be presumed that the gift was made under an apprehension of the recurrence of paralysis, and the gift will be upheld as a gift causa mortis. Such a gift Judge Story describes as amphibious-between a gift inter vivos and a legacy. Eq. Jur., § 606a. He says it differs from a gift inter vivos in several respects, in which it resembles a legacy, and he mentions, as one, that "it is ambulatory, incomplete, and revocable during the donor's life-time." And Leach, V. C., in Gardner v. Parker, 3 Madd. 184, said that wherever a gift is in prospect of death there is an implied condition that it is to be held only in the happening of that event. The distinction between such a gift and any other is that though delivery is an essential feature in each, in the former that peculiar character of revocability inheres during the donor's life. Cottenham, L. C., said, in Edwards v. Jones, 1 Mylne & C. 226: "A party making donatio mortis causa does not part with the whole interest, save only in a certain event, and it is of the essence of such a gift that it shall not otherwise take effect. A donatio mortis causa leaves the whole title in the donor, unless the event occurs which is to divest him." Judge Story said of such gifts (Eq. Jur., § 607a) that the courts have "not considered the interest as completely vested by the gift, but that it is so vested in the donee that the donee has a right to call on a court of equity for its aid." The title of the donee only becomes absolute at the donor's death, when, by relation, it is deemed to take effect from the time of the delivery. 1 Wms. Ex'rs, 552. Until the donor's death the condition is implied that be may al-ity to enter upon the lands of another, and that a per

ways revoke it, and, in the case of an illness, if he lives, the thing shall be restored to him. It is not necessary that the donor should declare the condition. The presence therefore in this instrument of transfer here, of a clause giving power to revoke, indicates nothing more than an expression of what was implied in the law in a gift causa mortis. It is not necessary that the donor should have beeu in extremis; only that his death, when it occurred, should be from the disorder which afflicted him and menaced his life. Grymes v. Hone, 49 N. Y. 20. The rule of law, in such cases of gifts made in prospect of death, demands, for their validity, that the proof shall show the existence of a bodily disorder or of an illness which imperils the donor's life, and which eventually terminates it. But that he

LATERAL SUPPORT-LICENSES-REVOCATION.-Laws of New York of 1882, chapter 410, section 474, provides that whenever excavations on any lot in New York city shall be intended to be carried more than ten feet below the curb, and there is any party or other wall wholly or partly on adjoining land, and standing on or near the boundary line of such lot, "the person causing such excavations to be made, if afforded the necessary license to enter on the adjoining land, and not otherwise, shall at all times from the commence ment to the completion of such excavations, at his own expense, preserve such wall from injury, and so sup port the same * * * that it shall remain as stable as before the excavations were commenced." Held, that where the owner of adjoining land has granted a license, under this statute, to persons making excava tions, to enter thereon, and they have removed half of a party-wall, and inserted timbers to support the licensor's building, the removal of which would allow the building to fall, the licensees have the right to enter on the licensor's premises as much as necessary to build up a new wall, to support the licensor's building, to the extent required at the time of a revocation of the license, before they can be compelled to remove the supports. We have carefully examined the authorities upon which the court and the respondents rely, and we have no question to make in reference to the correctness of the rule as stated in those cases: but we do question their application to the case under consideration. In the case of Murdock v. Railroad Co., 73 N. Y. 579, the license was given by the owner of the land to the railroad company to occupy the lands for its road. It was not a grant of a permanent interest in the realty, but was simply a license to enter, and was revocable at pleasure. So in the case of Mum. ford v. Whitney, 15 Wend. 380. It was a parol agreement that a party may abut and erect a dam upon the lands of another, for the purpose of creating a water power. It was held that a license was a mere author

manent interest in land could be transferred only by writing. In these cases a permanent right to occupy real estate was claimed under a license, in the absence of any written transfer or permit; but in the case under consideration the license, if given, was made pursuant to the statute to which we have referred, and was authorized by it. When given, the defendants were required, "at all times from the commencement until the completion of such excavations, at his own expense, to preserve such wall from injury, and so support the same, by a proper foundation, that it shall remain as stable as before the excavations were commenced." Here we have express statutory provisions specifying what the defendants must do upon receiving the license, and it appears to us that at least,

up to the extent that the walls had been shored at the time the revocation of the license was served, the defendants had the right to proceed and build up the new wall, so as to sustain the walls of the plaintiffs' building, and for that purpose had the right to enter upon so much of the plaintiffs' lands as was necessary, before they could be required to remove the needles from the premises. Undoubtedly it was the duty of the defendants to proceed with reasonable dispatch, without unnecessary delay, to perform the job in a good, workmanlike manner, with as little injury and inconvenience to the plaintiffs as possible; but in 80 doing they cannot be regarded as trespassers, and no recovery could be maintained against them as such. Second Division, Nov. 26, 1889. Ketchum v. Newman. Opinion by Haight, J.

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LIBEL AND SLANDER-PRIVILEGED COMMUNICATIONS —MALICE.—(1) A published statement that the publi cation by plaintiff of certain books, on which the original copyright had expired, was an infringement of a copyright on a later edition of the books, of which defendants were, and for a long time had been, publishers under a contract with the author, is a prima facie privileged communication, though the later copyright proves to be invalid. Klinck v. Colby, 46 N. Y. 427; Hovey v. Pencil Co., 57 id. 125; Hamilton v. Eno, 81 id. 116; White v. Nicholls, 3 How. 266; Wren v. Weild, L. R., 4 Q. B. 730. In the case before us, the plaintiff proved that in the year 1882 it published cheap editions of "Hyperion" and "Outre-Mer;" that immediately thereafter the defendants published an advertisement in the Evening Post and Publishers' Weekly, charging that the plaintiff's books infringed a copyright which they claimed still existed in later editions of such works. The result of such publication greatly diminished plaintiff's sales. On the part of the defendants, it appeared that they and their predecessors had been for a long time the publishers of the works of Mr. Longfellow, under contract with him with respect to the same, and the copyrights thereof; that at the time of the publication complained of they were publishing editions of Hyperion" and "Outre-Mer," as revised by Mr. Longfellow, and for which a copyright had been obtained in the year 1869; that before making the publication complained of, they caused an examination of the books issued by plaintiff to be made, and found them to contain words and expressions which were not in the original editions, but were in the revised editions - words and expressions which, with others, formed the basis for Mr. Longfellow's claim for the copyright obtained. It is quite clear that such proof privileged the communication, and the learned court was right in so deciding. The plaintiff could not destroy the privilege by proof that the copyright was improperly allowed, or that the works, as revised, were not the subject of copyright. The fact that the copyright actually existed, and that Mr. Longfellow and his publishers claimed exclusive rights thereunder, and asserted them, privileged the occasion, and the plaintiff thereupon became burdened with the necessity of proving express malice. (2) In an action for libel by publishing such charge, where the evidence showed that both plaintiff and defendants believed in the validity of the later copyright, and defendants testified that they acted without malice, and solely to protect their interests, and plaintiff did not attempt to show that defendants acted in bad faith, and there was no other proof of malice, the complaint was properly dismissed. Second Division, Nov. 26, 1889. John W. Lovell Co. v. Houghton. Opinion by Parker, J. Affirming 22 Jones & S. 60. RAILROADS STREET-NEGLIGENCE-INSTRUCTIONS. (1) While plaintiff was crossing a street, he was knocked down by horses drawing defendant's street car. The accident occurred on a street where many

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cars were run; that plaintiff was familiar with the locality and the extent of the car service; and that the car in question had just entered on the track from a switch near where plaintiff was crossing. Plaintiff testified that before starting across he looked both ways, and did not see the horses which struck him, but saw another car halting on the main track a short distance from him. It appeared that the speed of the horses by which plaintiff was struck was increased on their coming on the main track. Held, that the question of plaintiff's negligence was for the jury, and the evidence warranted a finding in his favor. (2) The opinions of physicians who attended plaintiff, founded on personal examination of his condition, which was described, or on an hypothetical question excluding all causes up to the time of the accident, that the accident caused his condition, and that certain physical consequences would result therefrom, were admissible in evidence, and were not speculative. (3) A charge that "defendant had no right to so occupy the street and use the same with its cars as to make it extremely dangerous to cross the street at all times" was proper. (4) A charge that "a mere error of judgment does not necessarily amount to carelessness; if the plaintiff took reasonable care, and then made a mistake as to the safest course to pursue in crossing the street, he is not guilty of contributory negligence for that reason was proper. (5) A charge that plaintiff had a right to select any point to go across," and "had a right to go where he chose," was not erroneous, where the court also charged that the duty of exercising due care was on plaintiff. Second Division, Nov. 26, 1889. McClain v. Brooklyn City R. Co. Opinion by Bradley, J. Affirming 42 Hun, 657, mem.

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TAXATION BELL TELEPHONE COMPANY.-(1) The American Bell Telephone Company, a Massachusetts corporation, engaged in manufacturing telephones ander its patents, and licensing their use by others, leases its instruments, costing about $3 apiece, and licenses their use in New York to local corporations. The entire business of furnishing telephonic facilities to the public, which, in addition to the instruments, involves the maintenance of an expensive plant, consisting of wires, poles, etc., is carried on by these local bodies, who receive the compensation paid by the public, which constitutes the entire earnings arising from the use and employment of the company's instruments in New York. The Bell Company receives from the local companies, as compensation for the use of its instruments, at its office in Boston, a royalty payable monthly, in advance, without regard to whether the instruments are used or not. It has no office or officer, unless it be these local companies, in New York, and has no direct business relations with the public. Held, that the local companies were its licensees, and not its agents; and that it was not "doing business" in New York, within the meaning of Laws of New York, 1881, chapter 361, section 6, taxing the gross earnings of telephone companies "doing business" in this State. (2) The contracts, in addition, provide for the use of private lines, and require leases for the use of tele. phonic instruments to the patrons of such lines to be made in the name of the Bell Company; but it was stipulated that the provision is inserted in the contracts to prevent the illegitimate use of private lines by unauthorized persons, and to guard against infringements of the company's patents. peared that the management and control of the entire business is confided to the local corporations, without any material distinction between the various classes, and that they collect the dues for the private lines, as in other cases, paying the Bell Company a royalty for the use of the instruments. Held, that even in respect to the private lines the local corporations were not the agents of the Bell Company. (3) The fact that the Bell

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