Burnham, Hanna, Munger & Co. v. Ellmore

In 1894 W. E. and A. L. Galloway and H. F. Short were engaged in the mercantile business under the firm name of Galloway and Company.' For the purpose of obtaining credit from the plaintiffs, who are wholesale merchants, Galloway and Company on the fifth day of June, 1894, made out and delivered to plaintiffs a statement of their pecuniary condition, in which the assets of the firm and the individual property of the members were stated and valued at $10,000. Subsequently, during the months of November and December, the plaintiffs sold the firm goods of the value of $1,200. On the seventh day…