Smith v. Bibber
Supreme Judicial Court of Maine
On exceptions and motion. Action of assumpsit, in which there was a trial in the superior court, Cumberland county, to recover the sum of §2,129.91 due on a note for §3,000, dated October 1, 1882, made by the defendant, and which- the plaintiff claimed was delivered to Mm as collateral security for a note of §5,000, which Phinney & Jackson owed him, — he having forborne a suit on the last named debt in consideration of receiving the collateral security.
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On exceptions and motion. Action of assumpsit, in which there was a trial in the superior court, Cumberland county, to recover the sum of §2,129.91 due on a note for §3,000, dated October 1, 1882, made by the defendant, and which- the plaintiff claimed was delivered to Mm as collateral security for a note of §5,000, which Phinney & Jackson owed him, — he having forborne a suit on the last named debt in consideration of receiving the collateral security. The defendant answered that he had paid it; or that it being an accommodation note given by him to Phinney & Jackson, it had been passed over…
1Opinion of the CourtLibbey, J.
At the time the note sued on was made, it was the settled law of this state, as decided by this court, that a promissory note indorsed and transferred by the payee, before due, as collateral security for a pre-existing debt, with no new consideration between the parties therefor, was subject to any defense that might be made as between the ' original parties. Bramhall v. Beckett, 31 Maine, 205 ; Nutter v. Stover, 48 Maine, 169.
The defendant set up in defense payment of the note to the payee before it was indorsed to the plaintiff. As between the payor and payee this is a good defense. The…
2Cases cited1 opinion
- Manter v. ChurchillMassachusetts Supreme Judicial Court · 1879
3Cited by2 opinions
- Rosemond v. GrahamSupreme Court of Minnesota · 1893
- Dunham v. PetersonNorth Dakota Supreme Court · 1896