Merchants Collection Agency, Ltd. v. Mitchell

OPINION OP THE COURT BY

BANKS, J.

This is an action on a promissory note. The note was executed by the defendant on April 3, 1930, for the sum of $500, the payee being the Hawaii Lumber Company, Limited, an Hawaiian corporation. By its terms the note matured on August 1, 1930. The consideration was the issuance and delivery to defendant of a certain number of shares of the capital stock of the payee. On April 9, 1930, the lumber company borrowed from the Bishop First National Bank the sum of $12,000 and delivered to the bank, among other securities, the note in question. On September 5, 1930,…