Holley v. Hardeman & Gibson
Holley v. Hardeman & Gibson
Opinion of the Court
Hardeman & Gibson held a note and a mortgage to secure the payment thereof on Holley. They subsequently purchased two promissory notes on Holley, who had no
If, from the very nature of the transaction itself, it appears that it was the intention of the parties to appropriate the money which Hardeman & Gibson received from the sale of Holley-s cotton, then the law will so appropriate it. This is equivalent to a direction by Holley to so apply the money. 71 Ga., 20. It is shown that Holley owed a debt to Hardeman & Gibson, secured by mortgage; that Hardeman & Gibson thereafter bought two notes on Holley, and that he had no knowledge of this. When he sent cotton to H. & G. to pay his indebtedness to them, it is most manifest that he intended to pay the mortgage debt. This being so, the payment should have been so applied. Phillips vs. McGuire, 73 Ga., 517.
Judgment reversed.
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