Wood v. Johnson
Wood v. Johnson
Opinion of the Court
The opinion of the court was delivered by
The plaintiff, B. H. Wood, now deceased, brought this action against the receiver of the Rossville State Bank to establish his claim for $7,830.90 as a bona fide depositor of that bank at
The assets of the bank and the moneys of its depositors had been largely dissipated by Alter, and apparently in contemplation of suicide he prepared statements showing more or less accurately what funds and deposits he had misused. One of these statements dated July 23, 1927, gave a listing of names and figures aggregating $160,302. In this statement and listing was this item:
“. . . B.' H. Wood..................... $7,765.90 $7,765.90”
A similar statement prepared two days before Alter’s death showed apparent defalcations aggregating $116,803.14. Part of that statement reads:
“In account with Thb Rossville State Bank,
“Rossville, Kan., Aug. 16, 1927.
“What I owe:
B. H. Wood Act.......................... $7,765.90 $7,765.90”
The receiver did not contest the fact that plaintiff had once had a balance of $7,830.90 on deposit in the Rossville bank, but in his answer he alleged that plaintiff had authorized I. B. Alter to draw on this deposit account as the personal agent of plaintiff, and that pursuant to such authorization plaintiff’s balance of deposit had been reduced to $65, for which sum the receiver acknowledged liability. The defendant receiver also pleaded that plaintiff had ratified the acts of Alter in thus handling plaintiff’s deposit account, and that most of it had been withdrawn and used by Alter upon some arrangement whereby Alter paid plaintiff interest at 6 per cent per annum on the nominal deposit but actual loan to Alter himself.
The plaintiff was about 89 years of age when the bank failed. Before this action was begun his deposition was taken. Pending the suit he died, and by revivor it has proceeded in the name of the administratrix of his estate.
On the issues joined the cause was tried by the court which made extended findings of fact favorable to plaintiff, and judgment was entered accordingly.
Defendant appeals, invoking the rule that a bank or receiver is not liable for deposits withdrawn by the real or apparent agent of the depositor, and contending that the evidence disclosed that B.
The judgment is affirmed.
Case-law data current through December 31, 2025. Source: CourtListener bulk data.