C. B. (n. s.) 338; Hoffman v. Noble, 6 Met. 74; Warner v. Martin, 11 How. 209.
1 Jarvis v. Rogers, 13 Mass. 105.
2 See Tibbetts v. Flanders, 18 N. H. 284; Cartwright v. Wilmerding, 24 N. Y. 521; Whitney v. Tibbits, 17 Wis. 359; Nevan v. Roup, 8 Iowa, 207; Young v. Lambert, Law R. 3 P. C. 142 (1870). If the pledgee has the thing already in possession, the contract of pledge transfers to him a new possession as pledgee the moment the contract is complete. Story on Bailm. § 297. See Markham v. Jaudon, 41 N. Y. 235, 241; Morgan v. Jaudon, 40 How. Pr. 366.
3 Jewett v. Warren, 12 Mass. 300; Badlam v. Tucker, 1 Pick. 398; Whitaker v. Sumner, 20 Pick. 405; Tuxworth v. Moore, 9 Pick. 347; Atkinson v. Maling, 2 T. R. 462; Story on Bailm. § 297.
4 2 Black. Comm. 396; Jones on Bailm. 80; Cortelyou v. Lansing, 2 Caines, Cas. 202; Garlick v. James, 12 Johns. 146; Mores v.. Conham, Owen, 123; Ratcliff v. Davis, 1 Bulst. 29; Coggs v. Bernard, 2 Ld. Raym. 909; Bac. Abr. Bailment, B.; Whitaker v. Sumner, 20 Pick. 399; 2 Bell, Comm. § 701; 2 Kent, Comm. 578, 585; Lyle v. Barker, 5 Binn. 457; Harker v. Dement, 9 Gill, 7.
5 Adams v. O'Connor, 100 Mass. 515 (1868); Donald v. Suckling, Law R. 1 Q. B. 585 (1866); Swire v. Leach, 18 C. B. (n. 8.) 479, where this point is elaborately examined; Harker v. Dement, 9 Gill, 7; Benjamin v. Stremple, 13 I11. 466. But if the pledge be a note, given without consideration from the maker to the pledgor, the pledgee could recover of the maker only to the extent of his claim against the pledgor. Fisher v. Fisher, 98 Mass. 303 (1867); Stoddard v. Kimball, 6 Cush. 469.
§ 871. The pledgee may hold the pledge, also, as security not only for the original debt, for which it was given, but also for all incidental or additional engagements directly connected therewith, and emanating therefrom; as interest and necessary expenses.6 Indeed the pledgee is not bound to surrender the pledge, until he has been reimbursed for all his necessary expenditures in the custody thereof, although by accident no benefit accrue therefrom to the pledgor.7 But unless there be an express or implied agreement to the contrary, the pledge can be only held by him as security for the original debt, and its incidents and accessories; and does not extend to other debts wholly unconnected therewith.1
1 Gibson v. Boyd, 1 Kerr, 150. And see Way v. Davidson, 12 Gray, 466; Walcott v. Keith, 2 Fost. 196; Day v. Swift, 48 Me. 368.
2 Eastman v. Avery, 23 Me. 248.
3 Homes v. Crane, 2 Pick. 607; Jarvis v. Rogers, 15 Mass. 389; Sumner v. Hamlet, 12 Pick. 76; Bonsey v. Amee, 8 Pick. 236; Look v. Comstock, 15 Wend. 244; Reeves v. Capper, 5 Bing. N. C. 136; Ryall v. Rolle, 1 Atk. 165; Roberts v. Wyatt, 2 Taunt. 268; Story on Bailm. § 299; Macom-ber v. Parker, 14 Pick. 497; Hays v. Riddle, 1 Sandf. 248; Spaulding v. Adams, 32 Me. 211. See Meyerstein v. Barber, Law R. 2 C. P. 56 (1866).
4 Coggs v. Bernard, 2 Ld. Raym. 909; Badlam v. Tucker, 1 Pick. 389; Marsh v. Lawrence, 4 Cow. 461; 1 Dane, Abr. ch. 17, art. 4, § 8. By special statute in Massachusetts, pledges may be attached upon tender of the amount due on the pledge, or the pledgee may be summoned as a trustee to answer for the surplus. Rev. Stat. 1836, ch. 90, § 78, 79, 80; Gen. Stat. ch. 123, § 62; Pomeroy v. Smith, 17 Pick. 85. See also Wheeler c. M'Farland, 10 Wend. 318.
5 Stief v. Hart, 1 Comst. 20.
6 But see the late case of Somes v. British Empire Shipping Co., 8 H. L. C. 338, as to expenses of "keeping."
7 Story on Bailm. § 357.
§ 872. But inasmuch as the pledge is only collateral security for the debt, the possession of it by the pledgee does not limit his rights upon the original claim.2 Where, therefore, a negotiable security is taken as collateral to an existing debt, the holder may endeavor to make it available in a suit, but failing of success, he may resort to his original security without restoring that taken as collateral.3 Yet in such case he is bound to observe due diligence in the collection of the note, and in giving notice of non-payment, etc, and if the security be lost by his negligence, he is liable.4 He may, therefore, at any time, sue upon the debt for which it is pledged, without surrendering it, and may even attach the pawn on the very debt secured by it.6 So, also, if the pawn be lost, or tortiously converted by the pawnee to his own use, and the pawnor recover the value thereof from the pawnee, the original debt still survives, and may be sued.6
§ 873. Upon default of the pawnor to fulfil his engagements, or pay his debt, the pawnee cannot appropriate the specific pawn, unless it be conveyed by way of mortgage, so as to pass the legal title.7 But he may sell it, and apply the proceeds of such sale to the liquidation of his claim. He cannot, however, become the purchaser himself.1 Where, therefore, bank shares, which had been pledged to the bank in security of a loan, were sold at auction upon the death of the pledgor, and the bank itself became the purchaser, gave credit for the sale, and claimed the balance from the borrower's administrator, it was held that no property in the shares passed to the bank1 by the sale, but that they still held them under their original title, as collateral security for their claim,2 although, had the sale been to a third person, it would have been perfectly valid. Until the pledge be sold, however, the pawnor may redeem it at any time after his default; for so long as it remains in the hands of the pledgee, it can only be considered as security for the original debt, and never as the property of the pledgee; and if he die, it may be redeemed from his representatives. Nor will prescription, nor the statute of limitations, run against it.3
1 Demandray v. Metcalf, Pr. Ch. 419; 2 Vera. 691; 2 Story on Eq. Jur. § 1034; Jarvis v. Rogers, 15 Mass. 389, 397; Green v. Farmer, 4 Burr. 2214; Gilliat v. Lynch, 2 Leigh, 493; Ex parte Ockenden, 1 Atk. 236; Jones v. Smith, 2 Ves. Jr. 372; Vanderzee v. Willis, 3 Bro. C. C. 21; Walker v. Birch, 6 T. R. 258; Rushforth 9. Hadfield, 7 East, 224; Allen v. Megguire, 15 Mass. 490; Story on Bailm. § 304, 306; St. John v. O'Connel, 7 Port. 466; Bowditch v. Green, 3 Met. 360.