Kennemer-Willis Grocery Co. v. Hacker

There is here no question about the general rule that a corporation, without charter power, express or implied, may not become an accommodation indorser, surety, or guarantor for another. That is conceded. But we are concerned with the inquiry as to when, without express charter power, there is such implied, and whether the facts show an accommodation indorsement (or suretyship) rather than a primary liability, when the controversy is with the payee and not between the debtors among themselves. It is well, here, we think, to refer to principles asserted by the courts and text-writers on that…