Merrill Lynch, Pierce, Fenner & Smith, Inc. v. Miller

The appellees Robert N. Miller and wife sued appellant, a brokerage company, for damages for alleged breach of contract and recovered judgment for $22,200. The facts of the case appear without substantial dispute.

Miller had been a customer of appellant for some time, having purchased through it several corporate shares and commodities “on margin.” These were held by appellant, which had advanced a substantial portion of the purchase price thereof, as collateral security. These securities are spoken of in the record as Miller’s, “long position,” and the excess of the value thereof over the…