Q: Delineate the case of Cox V. Hickman, 1860 8 HL Cas 268 ?

Ans:

Cox V. Hickman, 1860  8  HL Cas 268

In this case two persons were partners and were trading as iron merchants. They became indebted to the creditors and therefore reached a compromise with them. Under the compromise the property of the firm was assigned to creditors acting as trustee. They were empowered to carry on the business and divide the profits among themselves in rateable proportion. After the discharge of the debt the business was to be returned to the original partners. Trustees purchased some quantity of coke from Hickman. Price of the product was unpaid and Hickman brought an action for recovery of price against trustees. The court held that they were not partners and hence Cox was not liable. The court further held that the liability of one partner for the acts of his co-partner is in truth the liability of the principal for the acts of his agent.

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