Brookman v. Metcalf
The Superior Court of New York City
Action on a promissory note, dated November 8th, 1855, for $500, made by the defendant payable to his own order, six months after date, and by him indorsed in blank.
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Action on a promissory note, dated November 8th, 1855, for $500, made by the defendant payable to his own order, six months after date, and by him indorsed in blank. The answer set up as a defense, that the note was given to the Atlas Mutual Insurance Company in pursuance of a subscription made by the defendant and others, by which they were to give their notes when $300,000 was subscribed, and that the Company obtained the note from the defendant by fraudulently representing that the .amount had been subscribed when in truth it had not. Also that the Company was insolvent when the note was…
1Opinion of the CourtMoncrief, J.
The note was valid in the hands of the Company.
The Referee so found, and correctly. (16 N. Y. R., 324.) In respect to creditors of the Company, in good faith and in the usual' course of business, it was payable absolutely and in full. There was an actual loan of money at the time of transfer in this case. (Ogden v. Andre, MS.; heard, April, 1859; decided, May 21.1)
The transfer to the plaintiff was made in good faith.
The Referee so found, and, I think, correctly. Neither the Receiver of the Company nor any of its officers has ever demanded or claimed the return of this note. The Referee so…
2Cases cited1 opinion
- Aspinwall v. MeyerThe Superior Court of New York City · 1848
3Cited by1 opinion
- Whitteker v. Charleston Gas Co.West Virginia Supreme Court · 1880