58 HIGH COURT OF CHANCERY.

undeniable, and it is equally undeniable, that he paid it to the
person by whom he was employed to sell the stock, without
notice of the trust, or of any circumstance which could awaken
a suspicion that the person to whom he made the payment was
not entitled to receive the money; for the Chancellor thinks
the effort to fix such knowledge upon him has been unsuccess-
ful. To hold him liable, under such a state of facts, to see to
the application of the money, would seem to be an extremely
hard measure of justice—so hard, indeed, that I should be un-
willing to adopt it without the most conclusive authority.

In addition to the evidence furnished by the letters of Jo-
seph White to Campbell P. White, which clearly show that he
knew of the receipt, by the latter, of the money for which the
stock sold, the indorsement made by Joseph White on the ac-
count, as early as April, 1841, proves that he must have known
that the money was placed to his credit on the books of John
C. White & Sons, of which firm he was a partner.

Under all the circumstances of this case, and especially when
we consider the long acquiescence of these parties in the pay-
ment made by the defendant, John C. White to Campbell P.
White, it would be very hard, and setting a dangerous prece-
dent, to hold him liable to pay it a second time.

The observations made by Chancellor Kent in Tripler vs.
Olcott, 3 Johns. Ch. Rep; 473, are very applicable to the
present case, and strongly against the plaintiff's right to a
decree.

It is believed to be true, as a general rule, that a sub-agent
is accountable only to the superior agent who has employed
him, and not to the principal, and that an agent employed by
a trustee accounts with him, and not to the cestui que trust.
SStory on Agency, sec. 217. And I can see nothing in this case
which should make the general rule inapplicable to it.

For the reasons which have been given, it is the opinion of
tile court that the complainants are not entitled to relief, and a
decree will be passed dismissing the bill.

[No appeal was taken from this decree.]