Ivey Contracting Co. v. Elliott

Carley, Judge.

Suit was brought against Ivey Contracting Company (Ivey) on a promissory note executed by Ivey’s president for the purpose of financing insurance policies written by Elliott, an insurance agent. It was alleged that Ivey had defaulted and that Elliott, as guarantor, had been forced to pay, thereby becoming the holder of the note. Elliott’s original demand was for $20,732.19. Ivey answered, alleging, inter alia, that Elliott had cancelled the policies, resulting in a refund of unearned premiums which had been paid to Elliott and for which Ivey was entitled to credit against the…