67 Minn. 281 | Minn. | 1897
The garnishee made its disclosure, by which it admitted its indebtedness to the defendant Burke for railroad ties purchased from him, but stating that it had been notified by Thorne, as receiver, that he claimed a part of the proceeds. Thereupon Thorne appeared, and asserted his right to the money in the hands of the garnishee, by virtue of an alleged assignment executed by Burke, prior to the service of the summons on the garnishee, as col
Assuming, without deciding, that the disclosure of a garnishee is no part of the record, and also that it was necessary for the claimant to identify the debt assigned to him as being the same that was impounded by the garnishee proceedings, there can be no doubt that the disclosure was competent evidence for that purpose. The disclosure of a garnishee is the sole basis of any judgment against him, except where the plaintiff flies a supplemental complaint in the(manner provided by statute.
There is nothing in the point that the pre-existing indebtedness, without more, was not a sufficient consideration for the assignment by Burke to the bank as collateral security. No case ever so held. Counsel misapprehend the point decided in the cases which they cite. The courts were not considering the question whether a past-due indebtedness was a sufficient consideration to sustain an assignment as collateral security for the debt, but whether, without more, it would, under the law merchant or otherwise, give the assignee greater rights against third parties than his assignor had.
Judgment affirmed.
Buck, J., absent.
G. S. 1804, § 5319.