Brooks v. Breeding
Brooks v. Breeding
Opinion of the Court
By the amendment of the 6th section of the act of March 20th, 1848, prescribing the mode of fixing the liability of drawers and indorsers of bills of exchange and promissory notes, enacted on the 11th day of January, 1862, all holders of such hills and notes were placed upon the same-footing, as to legal remedies, whether such instruments originated in contracts between merchant and merchant, their factors or agents or not. The same method of fixing the liability of the parties to such instruments are alike open to all, and the act of the 11th of January, 1862, was, no doubt, intended-to relieve other holders than merchants from the difficulty of fixing such liability, in consequence of the general suspension of the collection of debts through the action of the courts. To construe Art. 223, Pas. Dig., as an inhibition to sue any but a single or the immediate assignor or endorser, renders it wholly incompatible with Art. 229, a statute of subsequent date. And if so, the rule of construction would be to give effect to the last expression of the legislative will. But it is apparent that Art. 223 was intended to operate only upon non-negotiable instruments, and that the word “ sections,” in the article, is a misprint for “ section,” referring directly to the preceding section in the same act for its proper interpretation; and thus rendering it consistent and harmonious with the act of the 20th of March, 1848, in Art. 229.
Upon the giving of the bond for costs required by the statute, when a party files his petition for the writ of error, it issues as a matter of right; and, upon the assignment of errors, this court is hound to notice them, whether they be matters of law
Since the amendment of the 6th section of the act of the 20th of March, 1848, all holders of such instruments have their option of two methods of fixing the liability of drawers and indorsers upon notes and bills which mature subsequent to the 11th January, 1862; notarial protest and notice for non-payment or suit as prescribed in Art. 229.
The note sued on in this case, falling due on the 1st of January, 1862, ten days before the passage of this amendatory act, the holder could only exercise due diligence by suit. The indorsements were in blank, and must be intended to have been made at the time of the execution of the note. The courts were open by the proclamation of the provisional governor for the institution of suits in September, 1865, and suit was not instituted until the 8th of October, 1866. Mo cause is alleged in the petition why suit was not brought to the first term of the court at which it could have been brought, which showing was indispensible to fix any legal liability at all upon the indorsers. The judgment of the court, therefore, upon the question of due diligence was an error of law patent upon the record, for the indorsers stood clearly absolved from all liability upon the note by operation of law.
The judgment is therefore reversed as to J. B. Brooks and J. B. Carlton, the indorsers, and the cause dismissed as to them.
Beversed and dismissed.
Reference
- Full Case Name
- J. R. Brooks and another v. R. L. Breeding
- Cited By
- 2 cases
- Status
- Published
- Syllabus
- 1—Previous to the statute of January 11th, 1863 (Paschal’s Digest, Art. 334), suit as prescribed in the act of 1848 (Article 239) was the only method by which liability could he fixed upon indorsers of hills of exchange or promissory notes, other than such as were “ contracts between merchant and merchant, their factors and agents.” 3—If a joint action against several assignors of a promissory note was inhibited by Art. 333, Paschal’s Digest, that inhibition was abrogated by the subsequent enactment contained in Article 339. But it seems that Article 223 is applicable only to the non-negotiable instruments mentioned in Article 231—the word “ sections ” in the former article being a misprint for “section.” 3— Errors in law committed in the rendition of a judgment by default are not waived by reason of failure to take exception to them in the court below; and such errors are available by motion in the court below for a new trial or in arrest of judgment, or by writ of error to this court. 4— On a note due January 1st, 1862, not being a contract between merchant and merchant, their factors and agents, the holder, without alleging cause for his delay, brought a single action in October, 1866, against the maker and two successive indorsers in blank, and judgment was rendered by default against all the defendants. The indorsers prosecute their writ of error. Sid, that it was proper to sue both of the indorsers and the maker in a joint action; but held further, in view of the plaintiff’s failure to sue within the prescribed terms of court' after Provisional Governor Hamilton’s proclamation abolished the stay laws and opened the courts, that the legal diligence requisite to charge the indorsers was not exercised by the plaintiff, and he was, therefore, not entitled to take judgment against them; and as this error is patent on the face of the record, and is available on the writ of error, the judgment against the indorsers is reversed and the cause dismissed as to them.