Case Name: Jules Tuyes v. Avegno & Willoz
Court: Louisiana Supreme Court
Jurisdiction: Louisiana
Decision Date: 1871-02
Citations: 23 La. Ann. 177
Docket Number: No. 2206
Parties: Jules Tuyes v. Avegno & Willoz.
Judges: 
Reporter: Louisiana Annual Reports
Volume: 23
Pages: 177–178

Head Matter:
No. 2206.
Jules Tuyes v. Avegno & Willoz.
•Julos Tuyos and Avegno & Willoz, brokers, purchased on joint account three hundred shares of the stock of the Commercial Waterworks Company for the aggregate sum of $20,625. Kor the payment of this amount Avegno & Willoz paid $625 in- cash and Tuyes executed his notes for the balance, $20,000, on time, and gave as collateral security the three hundred shares of stock. The stock, subsequently and before the notes wore paid, depreciated in valuó. The notes, with the collaterals, wore held respectively by the Bank of America, tho Merchants Mutual Insurance Company and the Mutual Insurance Company. The collaterals having depreciated in value, the holders called on the maker of the notes for a margin, which was for a part payment. The maker failed to pay and the shares of stock were sold according to law by the pledgees. At this sale the stock failed to bring tho amount of tho notes by a deficit of $9029 80.
Held — That, tho maker of the t notes having purchased the stock on joint account with Avegno & Willoz, brokers, and having paid the notes or become liable for their payment, they, the brokers, were liable to him for the one-half of the loss resulting from the sale of tho stock by the pledgees, less tho amount of the cash which they paid in at the time of the purchase.
APPEAL from the Seventli District Court, parish of Orleans.
Collens, J. Oyprien JDufour, for plaintiff and appellee.
W. H. Hunt, for defendants and appellants.

Opinion:
Ludeling, C. J.
On the eighth of April, 1867, Avegno & Willoz, brokers, purchased, on joint account with the plaintiff, three hundred -shares of the Commercial Waterworks Company, at $68 75 per share,,, amounting in the aggregate to $20,625. For the payment of these shares, Avegno & Willoz advanced $625 and the plaintiff, in accordance with the agreement of the parties, executed three promissory notes, one in favor of the Bank of America for $6000, one in iavor of the Merchants' Mutual Insurance Company for $7000 and one in favor of .the New Orleans Mutual Insurance Company for $7000, all. bearing eight per cent, per annum interest; and as collateral security for the payment of the notes, the three hundred shares of the Commercial Waterworks Company were given to the bank and insurance companies respectively.
Ceveral months after the maturity of the notes and after the notes, nad been renewed several times by the plaintiff, tbe pledgees notified the pledgor tüat, the stocks pledged having depreciated in the market, they would require a margin, that is, the payment of a part of the notes, and failing to do this the three hundred shares of the Commercial Waterworks Company were sold according to law to satisfy the notes held by the pledgees. Tbe loss incurred by tbe parties in this venture was $9029 80, one-half of which must be borne by the defendants. The whole amount was paid by the plaintiff and he claimed from his partners their proportion, less the sum advanced by them. This he is clearly entitled to recover. C. C. 2865 [2836]; Pothier, Contrat de Sociétó, c. 1, sec. 4.
It is therefore ordered that the judgment of the court a qua be affirmed, with costs of appeal.