Sebree Deposit Bank v. Clark
Court of Appeals of Kentucky
Case 22 — ACTION ON NOTE 1. The acceptance by the bank *of the notes in controversy as satisfaction of a note then due the bank, is sufficient consideration as to all parties to the renewal notes. 2. Though the principal in the renewal notes may have procured them by fraud’on the sureties and used them otherwise than the sureties understood, they would he used, yet, being delivered by them to their principal, who delivered the notes to the bank, the sureties are bound unless…
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Case 22 — ACTION ON NOTE 1. The acceptance by the bank *of the notes in controversy as satisfaction of a note then due the bank, is sufficient consideration as to all parties to the renewal notes. 2. Though the principal in the renewal notes may have procured them by fraud’on the sureties and used them otherwise than the sureties understood, they would he used, yet, being delivered by them to their principal, who delivered the notes to the bank, the sureties are bound unless they show that the bank when receiving the notes had actual or constructive notice that they had been procured by fraud…
1Opinion of the Court
JUDGE GUFFY
DELIVERED THE OPINION OF THE COURT.
These four cases practically involve the same questions of law and fact, and were heard together in the court below, and by agreement are heard together in this court. It appears that J. T. Herron was a merchant in Bison, Kv., and some time in the year of 1894 the appellant loaned to *215him about .$2,500* with G. Mb-Herron. as nominal surety, which note was renewed once, if not of tener,, the last note falling due March 27/ 1895. Shortly: before the ■ note, became due the appellant informed, said Herron that it desired payment of the note.Yhem…
2Cited by3 opinions
- Campbell v. TrosperCourt of Appeals of Kentucky · 1900
- Herman's Exor. v. GregoryCourt of Appeals of Kentucky · 1909
- Robinett v. ColemanCourt of Appeals of Kentucky · 1917