Martin v. Montgomery
Hawaii Supreme Court
This was an action on the case to recover the amount of three promissory notes, endorsed by the defendant to the plaintiff in October last, in payment of a vessel sold by the plaintiff to the defendant. It appeared in evidence, that the plaintiff in October last sold a schooner to the defendant, paid him for the same, by giving him three promissory notes for $500 each, drawn by Francis Funk payable to defendant.
Read the full summary
This was an action on the case to recover the amount of three promissory notes, endorsed by the defendant to the plaintiff in October last, in payment of a vessel sold by the plaintiff to the defendant. It appeared in evidence, that the plaintiff in October last sold a schooner to the defendant, paid him for the same, by giving him three promissory notes for $500 each, drawn by Francis Funk payable to defendant. Montgomery endorsed the notes over to Martin without recourse, but at the same time represented Funk as a solvent man, when he well knew that he was not worth a farthing. The ground…
1Opinion of the CourtChief Justice Lee
charged the jury that fraud vitiated every contract, and that if they found the defendant had deceived the plaintiff by false representations of Funk’s solvency, when he knew him to be *32insolvent, arid therefore induced the plaintiff to take the notes without recourse, it was a fraudulent transaction, and rendered the endorsement a nullity. That to entitle the plaintiff to recover they must be satisfied of Funk’s insolvency at the time the notes were endorsed, and that Montgomery represented him as good, knowing him to be worth nothing. If these facts were well established, the plaintiff was…
2Cited by10 opinions
- Pacific Insurance Co., Ltd. v. Oregon Auto. Ins. Co.Hawaii Supreme Court · 1971
- State v. PrevoHawaii Supreme Court · 1961
- Rathburn v. KaioHawaii Supreme Court · 1916
- Gaspro, Ltd. v. Commission of Labor & Industrial RelationsHawaii Supreme Court · 1962
- Civil Aeronautics Board v. Island Airlines, Inc.District Court, D. Hawaii · 1964
5 more not listed; retrieve them via the Exa API.