Jewett v. Martinsville Milling Co.

ALSCHULER, Circuit Judge.

The suit was brought by appellee, the milling company, to effect set-off of alleged mutual debts between the parties, the debts being (a) a deposit by appellee in the bank now in receivership, and (b) a promissory note for an amount less than this deposit, executed by appellee’s president alone, but alleged in the complaint to represent a debt of the milling company to the bank.

The generally applicable law governing the right of set-off is not in dispute. Concededly there must be mutuality of obligation, i. e., the debts must be owing between the same persons and in…