Preston v. Garrard
Supreme Court of Georgia
Complaint. Before Judge Lewis. Putnam superior court. September term, 1903. Mrs. Garrard sued Preston and Brown, as partners, on a promissory note, dated February 24, 1899, and due one year after date.
Read the full summary
Complaint. Before Judge Lewis. Putnam superior court. September term, 1903. Mrs. Garrard sued Preston and Brown, as partners, on a promissory note, dated February 24, 1899, and due one year after date. Preston filed a plea, setting forth that the firm was dissolved on December 27, 1900; that all debts of the firm were assumed by Brown; that the dissolution was known to the plaintiff’s agent who acted for her in making the loan for which the note was given; that the fact that Brown had assumed the debts of the firm was also known to this agent, who recognized Brown as the principal debtor by…
1Opinion of the CourtCobb, J.
It is weil settled that where a partnership is dissolved by the retirement of one of the members, and the continuing partner assumes the payment of the debts of the firm, the retiring •partner, as between himself and his copartner, is no longer a principal debtor, but merely a surety for the latter upon the debts of the firm. See 22 Am. & Eng. Ene. L. (2d ed.) 185; Shumaker •on Part. 342; 1 Bates on Part. § 532.. Some disagreement among the courts has arisen in fixing the rights of creditors after dissolution by the retirement of one member and the assumption of the debts by the other. Of…
2Cases cited23 opinions
- Smith v. SheldenMichigan Supreme Court · 1876
- Millerd v. . ThornNew York Court of Appeals · 1874
- Wilde v. JenkinsNew York Court of Chancery · 1834
- First National Bank v. CodySupreme Court of Georgia · 1894
- Gates v. HughesWisconsin Supreme Court · 1878
18 more not listed; retrieve them via the Exa API.
3Cited by11 opinions
- Sheppard v. BridgesSupreme Court of Georgia · 1912
- Stapler v. AndersonSupreme Court of Georgia · 1933
- Leffler Co. v. LaneSupreme Court of Georgia · 1917
- Matthews & Son v. RichardsCourt of Appeals of Georgia · 1913
- Harwell v. CowanSupreme Court of Georgia · 1932
6 more not listed; retrieve them via the Exa API.