Dillow v. Stafford

The Peoples Bank of Giles, Inc. was in financial difficulties.

The Bank of Pembroke came to its rescue by assuming its obligations to its depositors and the payment of its note to the First National Exchange Bank of Roanoke amounting to $93,796.92.

By the provisions of a contract in writing the Peoples Bank of Giles, Inc. executed and delivered its collateral note to the Bank of Pembroke, with all of its bills and notes, amounting to $101,361.93, attached, as security. The Bank of Pembroke was to collect these evidences of debt and apply the proceeds to the payment of the note of the Peoples…