Paterson V. Gandassequi in Europe

Definition of Paterson V. Gandassequi

((1812), 15 East, 62). L & Co., acting on instructions from the defendant, a merchant carrying on business abroad but temporarily present in London, purchased goods from the plaintiffs without stating on whose behalf they were acting, or that they were acting as agents. The plaintiffs, semble, knew that L & Co. were acting as agente for the defendant but nevertheless debited the goods to L & Co. L & Co. having become insolvent without having paid for the goods, the plaintiffs claimed payment from the defendant. Held, the defendant was not liable if the plaintiffs knew who the principal was at the time when they debited the agent.
If the principal was not known at the time of the purchase made by the agent, it seems that when discovered the principal or the agent may be sued, at the election of the seller, unless where, by the usage of trade, the credit is understood to be confined to the agent so dealing, as particularly in the case of principals residing abroad.

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Definition of Paterson V. Gandassequi is, temporally, from A Concise Law Dictionary (1927). This page needs to be proofread.

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