Hornblower & Weeks-Hemphill Noyes v. Lazere

MacLaughlin, Justice.

In November 1968, defendant, Arthur B. Lazere, established a cash account for the purchase and sale of stock with plaintiff, Hornblower & Weeks-Hemphill Noyes, a stockbrokerage house. Laurence Orrick, a stockbroker-employee, was plaintiff’s agent for defendant’s account. Business was transacted at plaintiff’s Minneapolis office, but the stock which defendant purchased was kept by plaintiff with defendant’s permission at its home office in New York. As a cash customer, rather than a margin customer, defendant was obligated to promptly pay plaintiff in full for all stock…