Ruysser v. Smith

HYDE, Judge.

Action on an indemnity provision of a contract to recover the amount of a federal income tax deficiency assessment and interest, arising out of plaintiff’s 1946 income from a partnership with defendants and others. Plaintiff had judgment for $21,-099.21 against defendants Smith, Stratton and Myers, and only Smith has appealed.

The contract was for the sale of the interest of plaintiff and three other partners to defendants and four other partners. The decisive question is whether the contract provision was an indemnity against liability or an indemnity against loss; or as applied…