N. O. Nelson Co. v. Deposit Guaranty Bank & Trust Co.
N. O. Nelson Co. v. Deposit Guaranty Bank & Trust Co.
Opinion of the Court
Appellant is a foreign corporation with headquarters in St. Louis, Missouri. It operated a place of business in Jackson, Mississippi. It had another place of business in Memphis, Tennessee, and reports were made daily to the Memphis office of business done in Jackson, Mississippi. The auditing covering Jackson operations was done in Memphis. In 1950, appellant opened a deposit account with Commercial Bank & Trust Company of Jackson, Mississippi, which bank was later merged with appellee, at which time the appellee assumed the liabilities of the Commercial Bank & Trust Company. Appellant gave written instructions to Commercial Bank & Trust Company, hereinafter referred to as appellee, which also will designate appellee as its successor, to the effect that funds could only be withdrawn from the account on the signatures of certain persons and only for the purpose of transferring funds to a Memphis Bank.
Over a period of about three years, the Jackson branch of appellant made out deposit slips at its office in de
Appellant filed suit for the deductions from the deposits and the suit was tried in the county court in equity. From a judgment for appellee on appeal was taken to the Chancery Court where the county court was affirmed. Appellant then brought the case to this Court.
Appellant claims that the appellee bank, in allowing the deductions from the total funds shown on the deposit slip, breached the agreement with the bank as to withdrawals by checks signed by designated individuals; that such deductions were tantamount to allowing withdrawals by unauthorized persons.
The trier of the facts was fully justified from the evidence to find that appellant sustained no loss from
Affirmed.
Reference
- Full Case Name
- N. O. Nelson Company v. Deposit Guaranty Bank & Trust Company
- Cited By
- 1 case
- Status
- Published
- Syllabus
- 1. Banks and banking — deposits — depositor suffered no loss from anything bank did in receiving deposits and permitting deductions therefrom. In suit by depositor against bank to recover sums of money which bank permitted employee of depositor to deduct fromPage 854 deposits, and which were returned to depositor's local office and placed in depositor's cash fund, after depositor had given bank written instructions to effect that funds could only be withdrawn from account for the purpose of transferring funds to a Memphis bank, evidence was sufficient to sustain finding that depositor sustained no loss from anything that bank did in receiving the deposits and permitting deductions therefrom. Headnote as approved by Arrington, J.