Continental Purchasing Co. v. Van Raalte Co.

251 App.Div. 151, 295 N.Y.S. 867 (1937)

Facts

Mrs. Potter owed money to a sporting goods firm which sold her account to Continental Purchasing (P). Mrs. Potter assigned her right to receive wages from her employer, Van Raalte (D), to P. P notified D of the assignment and D began deducting about $1.50 per week from Mrs. Potter's wages and paid that amount to P. D ceased making deductions from her wages when it learned of Mrs. Potter's dire financial condition. P formally notified D of the wage assignment for the second time; D did not pay the wages to P. P sued D to recover the wages paid to Mrs. Potter. The lower courts ruled in D's favor. P appealed.