Speight v Gaunt [1883]

Trustee paid £15k to broker on strength of ‘bought
note’ stating broker had bought securities to that amount.
Had not.
Fraud not discovered until broker’s subsequent
Trustee was not held liable, as payment of funds to
broker in this way was in accord with standard business practice.
Jessel MR stated that standard expected was that of
‘ordinary prudent man of business’