34 BULLETIN 1106, U. S. DEPARTMENT OF AGRICULTURE. 
consignments and pay the same to him, less the commission for 
services as agent of 5 cents per 100 pounds of milk. Other members 
of the league apparently entered into contracts similar to the one 
signed by plaintiff. Later a regular purchaser of milk refused to 
accept delivery of a large quantity shipped by other members of 
the league, which was then disposed of at less than the contract 
price. Owing to the loss thus sustained by the producers of this 
rejected milk, the league in an effort to apportion the loss among 
the members made deductions from the amount of the sale price 
of plaintiff's milk, all of which had been accepted and for which 
the league had received pay. He then brought suit to recover the 
entire sale price of his milk, less the commission charge of 5 cents 
per 100 pounds. The court held that he could recover, and in doing 
so said : 
It was competent for the plaintiff as an individual, irrespective of his holding 
stock in the defendant corporation, to contract with it as effectually and to all 
intents and purposes as if he had no share of the stock of the defendant. 
The contract itself is the measure of the rights and liabilities existing between 
the plaintiff and the defendant as contracting parties. * * * It was not 
within the scope of its (defendant's) contract, or of its articles of incorporation 
or by-laws, as they appear in evidence, to apportion gains and losses among 
the several stockholders. 
This case emphasizes the fact that a cooperative association which 
is acting as agent for its members does not have authority, unless 
conferred in some way, to adjust such losses between members. 
Excessive advances or overpayments made by an association to its 
members have a different status and apparently may be recovered by 
the association. 
COOPERATIVE ASSOCIATIONS LIABLE FOR ACTS OF AGENTS. 
Incorporated cooperative associations, like other corporations, are 
liable for the acts of their agents while such agents are acting within 
the scope of their employment. A corporation may be liable for as- 
sault and battery, conversion, nuisance, trespass, libel, and slander, 17 
malicious prosecution, wrongful arrest, false imprisonment, fraud, 
and deceit. 18 It may also be guilty of crimes. 19 It is apparent that 
all of the various acts enumerated would have to be done by the offi- 
cers, agents, or employees of a corporation, as a corporation can act in 
no other way. There is nothing in the nature of an incorporated co- 
operative association to relieve it from liability under circumstances 
where any other type of corporation would be liable, and undoubtedly 
they may be held liable in a proper case for any of the matters men- 
tioned above. 
"California Raisin Growers' Ass'n. v. Abbott, 160 Calif. 601, 117 Pac. 767; Farmers' 
Union Cooperative S. A. of Natoma v. Schultze, (Kan.) 212 Pac. 670; Re Joseph Murphy 
Co., 214 Pa. 258, 5 L. R. A. (N. S.) 1147. 
l7 Buckpye Cotton Oil Co. v. Sloan, 250 Fed. 712. 
18 Fletcher Cyclopedia Corporations, sec. 3386. 
19 Fletcher Cyclopedia Corporations, sec, 5360, 
