McBrayer v. National City Bank of Rome
McBrayer v. National City Bank of Rome
Opinion of the Court
When McBrayer Enterprises, Inc. borrowed $39,500 from the National City Bank of Rome, Georgia, a promissory note for the loan was secured by “assigned various stocks” registered in the name of Ann P. McBrayer, the appellant. Mrs. McBrayer assigned each stock certificate in blank. The note, representing that McBrayer Enterprises owned and had “full power and authority” to pledge the collateral, was endorsed by Mrs. McBrayer and her husband. He was the president of Mc-Brayer Enterprises, and she was the secretary-treasurer; they were the principal stockholders. Before the note became due, McBrayer Enterprises initiated bankruptcy proceedings. The bank then filed a petition in the bankruptcy court for leave to sell the stocks and to apply the proceeds against the corpora-
The only question we address is whether under Georgia law the parol evidence rule
Affirmed.
. “Parol contemporaneous evidence is inadmissible generally to contradict or vary the terms of a valid written instrument.” Ga. Code Ann. § 38-501. See Dixie Belle Mills, Inc. v. Specialty Machine Co., 1961, 217 Ga. 104, 120 S.E.2d 771; Cleghorn v. Shields, 1927, 165 Ga. 362, 141 S.E. 55.
Case-law data current through December 31, 2025. Source: CourtListener bulk data.