87.140  Partnership bound by partner’s breach of trust.  The partnership is bound to make good the loss:

1.  Where one partner acting within the scope of his or her apparent authority receives money or property of a third person and misapplies it; and

2.  Where the partnership in the course of its business receives money or property of a third person and the money or property so received is misapplied by any partner while it is in the custody of the partnership.

[14:74:1931; 1931 NCL § 5028.13]