Gordon v. Elder

In May, 1929, the plaintiff opened a brokerage account with the defendants. At the same time he signed a customers’ agreement which, in the broadest terms, authorized the defendants to sell any securities in his account without previous notice, whenever they might deem the collateral to be insufficient. On October 29, 1929, the plaintiff’s indebtedness to the defendants was $40,879.69, against which they held certain securities as collateral.

In telephone conversation on the morning of October twenty-ninth, Bickwit, a customers’ man employed by the defendants, informed the plaintiff that the…