55 Iowa 728 | Iowa | 1881
The question to be determined here, and upon which plaintiff’s right to maintain an action depends, is, did the written instrument executed by Randall operate as an assignment to Dutton of the amount of money due on the contract, for the benefit of all who might have claims for labor and material furnished in the erection of the courthouse? If it was such an assignment, and Dutton accepted it, he was bound to discharge the trust thus reposed in him, and use the funds in his hands in payment of the beneficiaries. It is well settled that a third party may maintain an action on a promise made to another for his benefit. Counsel for appellant have cited a large number of authorities in support of this proposition. This court has repeatedly so held. See Thompson v. Bertram, 14 Iowa, 476; Hull & Co. v. Alexander, 26 Id., 569; Johnson v. Knapp, 36 Id, 616, and other cases. In section 1041 of Story’s Eq., the rule is well stated in a quotation in this language: “ If a man gives goods or chattels to another to deliver them to a stranger, chancery will oblige him to do it.”
But the question presented in this case is, did Randall by this instrument unconditionally assign over this fund to Dutton to be paid in discharge of all claims for labor and materials arising from the construction of the building? Or in
It was in the power of Eandall at any time before the rights of the creditors attached to revoke the order to Dutton. Whether he did so or not does not appear. The fact as alleged in the petition, if it be a fact, that Dutton still holds