Reichert v. Nashville State Bank

The Nashville State Bank failed and a receiver was appointed. Interveners, directors of the bank, were sureties upon a depository bond of the bank to secure county funds, sought to be relieved from liability on the ground that their undertaking was to be temporary until then pending legislation would authorize the bank to pledge its assets as such depository; that such law was enacted and, while no assets were so pledged, assets in the hands of the receiver should be applied to the satisfaction of their undertaking and the bond canceled.

The agreement, if made, to supersede the personal bond…