Virginia-Carolina Joint Stock Land Bank v. Liles

The question involved, as contended by defendants: “Is there sufficient evidence to show that Matthews was acting as agent of the plaintiff in the receipt and disbursement of the proceeds of the loan made to Liles ?” We think not, under the facts and circumstances of this case.

From the evidence, plaintiff bank knew nothing about the prior lien on the land given by defendants to the Federal Land Bank, of Columbia. The defendants (through E. W. Liles) in their application to plaintiff bank for the loan, stated that there were no liens on the land. He represented, warranted and guaranteed the…