Cole v. Saulpaugh
New York Supreme Court
JEBE MI AH E. VAN CLEEK procured the defendant to make a note for §150 for his accommodation, payable to the order of the defendant, at the Merchants’ Bank, two months after date, and dated July 11, 1858. Van Cleek transferred the note by indorsement to the plaintiff to pay a prior indebtedness from Van Cleek to the plaintiff with full knowledge on the part of the plaintiff that it was accommodation paper.
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JEBE MI AH E. VAN CLEEK procured the defendant to make a note for §150 for his accommodation, payable to the order of the defendant, at the Merchants’ Bank, two months after date, and dated July 11, 1858. Van Cleek transferred the note by indorsement to the plaintiff to pay a prior indebtedness from Van Cleek to the plaintiff with full knowledge on the part of the plaintiff that it was accommodation paper. These facts having been found by Justice Bacon, on a trial of the action before him without a jury, judgment was ordered for the plaintiff for the amount. The defendant excepted to the…
1Opinion of the Court
By the Court, Morgan, J.
The note was made by the defendant for the accommodation of one Jeremiah E. Van Cleek, and transferred to the plaintiff to secure the payment of a prior indebtedness from Van Cleek to him. This was doubtless a valid transfer of the note, although it appears that he knew that it was an accommodation note, when he took it. It does not appear that the note was diverted from its object, and yet it is made a question whether the plaintiff can recover upon it, as he took it to secure a prior indebtedness, and with notice that it was accommodation paper. The same objection,…
2Cases cited3 opinions
- Grandin v. Le Roy & SmythNew York Court of Chancery · 1831
- Bank of Rutland v. BuckNew York Supreme Court · 1830
- Lathrop v. MorrisThe Superior Court of New York City · 1851
3Cited by5 opinions
- Grocers' Bank v. Buffalo & PenfieldNew York Court of Appeals · 1877
- Fetters v. Muncie National BankIndiana Supreme Court · 1870
- Hume Webster & Co. v. Howe Machine Co.Supreme Court of Connecticut · 1886
- Murphy v. KeyesThe Superior Court of New York City · 1875
- Treadwell v. LincolnNew York Supreme Court · 1889