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The protective and friendly attitude with which the courts and legislatures have viewed charities is reflected in the rule of nonliability for torts committed by such eleemosynary institutions. The rationales for this exemption may be briefly classified into five main groups. The first and most all inclusive, is the trust fund doctrine based on an early English case and exemplified by the Massachusetts decisions. Under this theory a charitable institution can not be held liable for the negligence of servants and employees or administrative officials.Nor is the court concerned with the status of the plaintiff as beneficiary, employee or stranger. The trust fund can not be diverted from the charitable purposes for which it was intended to compensate for one injured in the execution of these duties.

The organization of the American Law Institute on February 23, 1923, represents the first, and so far the only general, effort of the profession to do something about the state of the law and to safeguard the legal system for the future. Itself an outgrowth of a voluntary committee headed by Elihu Root for the Establishment of a Permanent Organization for the Improvement of the Law, the Institute was a response to a situation of growing seriousness which threatened the survival of the common law. Faced bv an ever increasing volume of the decisions of the courts, which already numbered over one and three-quarter million reported cases, with that staggering total growing at the rate of more than twenty-five thousand a year, the Institute recognized that unless a new factor promoting certainty and clarity could be found to blaze a path through the labryinth of often irreconcilable decisions a forced abandonment of our common law system of expressing and developing law through judicial application of existing rules to new fact combinations would be necessary, its place to be taken by rigid legislative codes. It was in an attempt to supply this factor that the Institute's restatements of the law were begun. Restatements of the law of Contracts, Agency, and Conflict of Laws have already appeared, to this list are now added the first two volumes of the Restatement of Torts.