First Nat. Bank v. Murphree

Etowah Foundry & Machine Company, hereafter referred to as the debtor, owed the First National Bank of Gadsden, hereafter referred to as the bank, for which it had security. The debtor borrowed $1,000 additional with defendant as indorser. ■ It sustained a loss by fire, having a policy contract. It transferred the policy to the bank as security for a loan of $500 then made and future loans; all of which totaled the principal sum of $1,300. Thereafter the $1,000' note, having been renewed a time or two, was on January 25, 1926, again renewed, and defendant indorsed again with a verbal…