37186. BOWERS v. SALITAN et al.
37186
Georgia Court of Appeals
DECIDED JULY 11, 1958.
97 Ga. App. 877
Special ground 3 assigns as error the trial judge‘s failure to charge
The evidence supported the verdiсt and the general grounds are without merit.
Judgment reversed. Felton, C. J., Gardner, P. J., Townsend and Carlisle, JJ., concur. Quillian and Nichols, JJ., dissent from the majority holding in the second division of the opinion, and from the judgment.
Preston L. Holland, for plaintiff in error.
Wilkinson & Walker, A. Mims Wilkinson, Jr., contra.
The plaintiff contends that to allow the defendant to introduce the evidence that he signed the notes in his represеntative capacity would be varying an unambiguous contract, but we do not think that this would be the effect. We think the effect of such testimony would be as stated in Tоllison-Davenport Co. v. Carr, 42 Ga. App. 340, 342 (156 S. E. 274) where this court, in answer to a contention similar to the one made here by the plaintiff stated, “But this position is not supported by any of the authorities cited, and is in direct conflict with well-settled and familiar doctrines governing the introduction of oral testimony not for the purpose of varying or contradicting a written instrument, but for the purpose of explaining and showing the true nature of the transaction.” This action is between the original parties to the note. In discussing the nature of negotiable instruments as being “couriers without luggage“, the Supreme Court in Burkhalter v. Perry & Brown, 127 Ga. 438, 442 (56 S. E. 631, 119 Am. St. R. 343) stated, “But this exception in favor of negotiable instruments itself contains an exception; and that is, as between the immediate parties to a bill or note, it may be shown by parol that the instrument was, to the knowledge of the parties, intended to be the obligation of the principal, and not of the agent, and that it was given and accepted as suсh.”
In the instant case had the defendant been permitted to introduce his evidence he may have shown that the notes were understood to be corporate obligations by both parties, especially in view of the testimony by one of the partner-plaintiffs that the notes sued on were executed as renewals for three original trade acceptances which the plaintiff had purchased from another party. In showing this understanding, if such were the cаse, the defendant may have shown that these original trade acceptances were corporate obligations and that therefore thе notes given in renewal were also, intended to be corporate obligations.
In Dunbar Box & Lumber Company v. Martin, 53 Misc. 312 (103 N.Y.S. 91, 92), the signature on the note was “Varick Contracting Company” and immediately beneath there was inscribed the name “John L. Martin“. There the court held, “Under thеse conditions we think the note was ambiguous, and that it does not appear absolutely to be the personal note of defendant‘s testator. It follоws, therefore, that evidence showing that the note was the company‘s note, and accepted as such by the plaintiff, would be proper.” Seе also in this connection 42 A.L.R. 1070.
Further, the answer of the defendant to the effect that he signed the notes in his representative capacity as president of the corporation was undemurred to. See Nixon v. Nixon, 194 Ga. 301, 303 (21 S. E. 2d 702).
The court erred in excluding the evidence of the defendant
Judgment reversed. Nichols, J., concurs. Quillian, J., concurs specially.
QUILLIAN, Judge, concurring specially. I specially concur in the judgment; however, it is my opinion that the cases of Fitzgerald Cotton Oil Co. v. Farmers Supply Co., 3 Ga. App. 212 (4) (59 S. E. 713), Dilman Brothers v. Patterson Produce &c. Co., 2 Ga. App. 213 (58 S. E. 365), and Thompson v. Wilkinson, 9 Ga. App. 367 (4) (71 S. E. 678) are more directly in point than those cited in the opinion as supporting authority, and it seems well to point out that a different rule is applicable where the instrument is under seal. Byers v. Harper, 64 Ga. App. 404 (1) (13 S. E. 2d 389).
