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Re Stenning

[1895] 2 Ch 433

Case summary last updated at 24/02/2020 17:02 by the Oxbridge Notes in-house law team.

Judgement for the case Re Stenning

A solicitor paid money which he had received for client 1 to his own banking account. From that time up to the death of the solicitor there was always to the credit of the account a balance exceeding the sum so paid in. But on many days during that period the credit balance was less than the amount of other clients' (2,3,4 etc) moneys which the solicitor had paid in subsequently to his payment of the money of the first client and had not withdrawn. CA held that the solicitor was presumed to have withdrawn client 1’s money first, so that the remaining balance would go to the latter clients’ whose funds were deposited in the account. 
North J: The final balance consisted of those trust moneys which had been most recently paid in. All the money from the first payment in had been withdrawn and dissipated. 

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