Kansas Flour Mills Co. v. American Surety Co.

The opinion of the court was delivered by

Burch, J.:

The plaintiff, a milling company, and the defendant, a surety company, submitted to the district court an agreed case involving the question whether or not the defendant was liable on a bond given to secure the plaintiff against loss through the conduct of an agent. The court rendered judgment for the defendant and the plaintiff appeals.

The agent, who had authority to buy and pay for grain, purchased a carload of wheat and by mistake and without fraud gave the seller the plaintiff’s check for a sum greatly in excess of the price. The check…