United States Bank v. Southard
United States Bank v. Southard
Opinion of the Court
The opinion of the Court, wag delivered by
This was an action brought by the plaintiffs
The plaintiffs then proved by W. Thompson, Esq., that in March, 1837, ho called upon the defendant, and showed him the note. That he admitted his own signature, and that of the maker, and said that he would pay it as soon as he could raise the money. That he had no dependance on bis brother Dan to pay it. That he'had been informed by his uncle, that the note lay over unpaid, and he had expected it to be sent on for collection, before. The witness then requested him to sign his appearance to a writ, which he did. Witness did not understand from defendant, that payment had been demanded of the maker, or that he bad received notice of non-payment.
Upon this evidence the court recommended a verdict to be rendered for the plaintiffs, with leave to the defendant to move to set it aside, and enter a non suit, if this court should be of Opinion that the evidence did not in law, warrant a recovery against him-
The defendant in support of his motion to set aside this verdict, insists in the first place, that the promise proved, was void for want of consideration, and also under the statute of frauds, it being a promise-to pay the debt of a third person; and second, that it was made without a full knowledge that he had been discharged by the laches of the holders.
There are many cases in the books, which contain a full answer to the first objection. In 12 Wheaton’s Rep. 183, Thornton v. Wynn, it was adjudged, that an unconditional promise by the
lÍAxxosr, J., being connected opinion. with the defendant, gave no
Verdict set aside.
This was an action brought against the defendant as indorser of a promissory note, and was tried at the Somerset Circuit in April, 18S8. The following is a statement of what took place at the time of the trial, from the notes of Justice Ford.
W. Thomson, Esq., sworn. The note produced is subscribed in the hand writing of Dan D. Southard, and indorsed in the hand writing of the defendant.
The plaintiff produces no proof, that payment was demanded of the maker of the note, or that notice of non-payment was given to the indorser. He offers to prove that after the note had been dishonored, defendant made an express promise to pay it.
Hartwell for defendant, objects to the evidence, and insists that a demand on the maker, for payment, and notice of his neglect,to the indorser, are conditions to be performed by the holder, and if he fail to prove them, the indorsor is discharged in law; and it becomes the sole debt of the maker of the note. A promise of the indorser to pay the debt of another, is without consideration, and does not bind him, especially if made in ignorance of his rights.
James 8. Green for plaintiff, answers and insists that proof of demand on the maker, and notice of non-payment to the indorser are required as a general rule, but there are well established exceptions to it. If the defendant knowing of irregularity in those respects, nevertheless promise to pay the note, it is equivalent to proof of demand and notice; it is a waiver of them.
Hamilton for defendant. A promise is void according to the American cases, if made without knowing he has been discharged by the laches of the holder.
To judge whether the indorser has made a waiver of demand and notice, we must know the facts. Let the witness proceed.
The Court said. If the defendant had not received due notice of non payment, he must have been cognizant of that at the time he made the promise. "Whether the promise was a waiver of evidence to show a demand on the maker of the note, or equivalent to proof of it under the circumstances detailed, was a question of law, that might be settled at bar. The Court therefore recommended that a verdict be taken for the amount of the note and interest to the 2d Tuesday in May next, in order to save the ruase from the expense of being brought again to the Circuit, and that the defendant have leave at bar, to move that the verdict he set aside and a nonsuit entered.
The jury found For the plaintiff, 0300 damages, and six cents costs.
On the return of the postea, a rule to show cause was entered; and at the term of February, 1840, the same was argued.
James S. Green for plaintiffs. A promise to pay, admits the existence of every thing necessary to render him liable, and cited 2 Camp. 188; 4 Camp. 52; 6 Moore, 319; 16 John. R. 154; 17 Com. Law; 319.
A mere promise to pay, made after notice of facts and laches of holder, though the party making it, misapprehended the law, Is sufficient to bind the drawer or indorser. 12 East, 39.
There is a distinction between the ignorance of facts, and of ihe law. The first excuses, the last does not. 2 East, 471.
S. R. Hamilton contra — relied on the case of Barkalow v. Johnson et al., 1 Harr. 400,
Reference
- Full Case Name
- THE UNITED STATES BANK v. JAMES W. SOUTHARD
- Status
- Published