Mobley v. Harmon

Robert L. Brown, Justice.

The sole issue in this appeal is whether an accommodation maker who has paid off a promissory note owed a bank and been formally assigned that note can recover the amount paid against the co-maker of the note. The facts in this case are not in dispute, although the parties bitterly dispute the conclusions that can be drawn from those facts.

Appellant Jeff Mobley and appellee John Harmon had been friends for a long time, and in 1981 Harmon asked Mobley to cosign a promissory note and assist him in getting a $10,000 loan from First National Bank of Russellville. The bank…