United States Bung Manuf'g Co. v. Armstrong
United States Circuit Court
In Equity. On demurrer to bill. The United States Bung Manufacturing Company, as maker, paid David Armstrong as receiver of the Fidelity National Bank a certain promissory note, and afterwards filed their bill in equity to secure right of offset. The defendants demurred to plaintiff’s bill.
1Opinion of the CourtJacicson, J.
The demurrer to this bill is well taken, and must be sustained. The complainant’s right of offset was waived or abandoned by its payment of the note described in the bill. That payment was made voluntarily, with full knowledge‘of all the facts. It was made by the maker of the note, — the party legally bound to pay. Such payment does not operate as an equitable assignment of the collecting bank’s rights as against the Fidelity Bank or its receiver. If the complainant had intended to rely upon its debts against the Fidelity National Bank as a set-off against its note, it should have declined…
2Cited by3 opinions
- Reed v. Central National BankSuperior Court of Delaware · 1936
- Anglo-American Provision Co. v. Davis Provision Co.U.S. Circuit Court for the District of Southern New York · 1902
- Heights Deposit Bank CaseSuperior Court of Pennsylvania · 1940