Lebanon National Bank v. Long
Lebanon National Bank v. Long
Opinion of the Court
Opinion by
This is a suit on a joint and several promissory note dated August 24, 1896, and due in thirty days. On June 23, 1898, the praecipe and statement of claim, and on July 14, 1898, affidavit of defense, were filed. On August 2, 1898, the defendant was ruled to plead, and on August 10, 1898, the plea was
The other defense is that the original note was without consideration as to appellant who signed it as an accommodation to his brother with the understanding that the signing of his name was a mere matter of form to comply with the provisions of the national banking laws and that he would not subject himself to any liability by signing it, and that the cashier of the bank had made these representations to the brother at the time the loan was made and afterwards said the same thing to appellant. In support of this position the appellant and his brother both testified in effect as above indicated. It is now earnestly contended that this parol testimony was sufficient to take the case to the jury and that the learned trial judge was in error in directing a verdict for plaintiff. The effort here made is to bring this case within the line of cases which holds that parol evidence is admissible to alter, vary or contradict a written instrument where such evidence is sufficient to establish an oral agreement contemporaneous with the execution of the writing, and as an inducement to its execution, and on the faith of which it was signed, and without which inducement it would not have been executed. But the rule of these cases must be carefully applied so as not to defeat the purpose and effect of written instruments, and -when such parol contracts are set up they must be established by evidence that is clear, precise and indubitable. In the present case this measure of proof has not been met. At the time the appellant signed the note he had not seen any officer of the bank and the only representations made to him before signing were those made by his brother, and it cannot be seriously
The fourth assignment of error is without merit under the facts of the case, and need not be given further consideration.
Judgment affirmed.
Reference
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- Promissory notes — Renewal note — Novation—Evidence. In an action by a bank against one of two makers of a promissory note, the makers of the note testified in substance that they took to the bank a renewal note of the note in suit, handed it to the teller, saying, in substance, there is a renewal, and immediately left without having ascertained whether it was satisfactory to the bank, and without demanding the old note. The teller testified that when the note was handed to him he informed the makers that he would present it to the proper officer of the bank, who was then absent, and see whether it was satisfactory to have the loan renewed. He did so and was informed by the proper officer of the bank that it was not satisfactory to renew the loan and that the new note was not accepted by the bank, and the old note was never marked satisfied nor surrendered, but had always been held by the bank as security for the loan. Held, that the evidence was not sufficient to establish a contract of renewal. Promissory notes — Accommodation of maker — Consideration—Parol evidence. In an action by a bank against one of two brothers who were joint makers of a promissory note, the defendant cannot be relieved from liability on the note by parol evidence to the effect that he signed the note as an accommodation to his brother with the understanding that the signing of his name was a mere matter of form to comply with the provisions of the national banking laws and that he would not subject himself to any liability by signing it, and that the' cashier of the bank had made these representations to the brother at the time the loan was made and afterwards said the same thing to defendant.