Ponder v. Barrett

1. If one lends money to another solely on the credit of the borrower, and takes therefor the latter’s promissory note under seal, payable to the lender or order, the lender can not afterwards disregard the note and, in an action for money had and received, seek to hold a third person liable for the money loaned, on the ground that such person was the principal of the borrower and received the benefit of the money loaned, which fact was unknown to the lender at the time when the loan was made. Van Dyke v. Van Dyke, 123 Ga. 686 (3) (51 S. E. 582, 3 Ann. Cas. 978). See also Citizens National…