186 F. 276 | 9th Cir. | 1911
(after stating the facts as above).
“But when the illegal transaction has been consummated, when no comí has been called upon to give aid to it, when the proceeds of the sale have been actually received, and received in that which the law recognizes as having had value, and when they have been carried to the credit of the plaintiffs, the case is different. The court is there not asked to enforce an illegal contract The plaintiffs do not require the aid of any illegal transaction to establish their case. It is enough that the defendants have in hand a thing of value that belongs to them.”
In Willson v. Owen, 30 Mich. 474, Judge Cooley said:
“It is true that the trials of speed for money at the horse fair and the sell ing of pools under the auspices of the association were illegal; but there is no illegality in the promise, express or implied, of the defendant to pay over to the plaintiffs the money received for them, from whatever source derived, or from whatever transaction springing.”
This doctrine has been applied to illegal transactions in stocks on margins similar to that which according to the petitioner’s contention is here presented, and it has been held that, where the illegal transac - tion has been closed and money belonging- to the customer is shown to be in the hands of the broker, the latter may be required to pay the
The petition is denied, with costs.