160 P. 287 | Utah | 1916
The plaintiff bank brought this action to recover upon a promissory note for $1,050, which was signed by both defendants, Jackson and Sheya, as makers. The complaint is in the usual form in such actions. The defendant Sheya filed a separate answer in which, after making certain admissions and denials, he, in substance, averred the following facts, namely: That on the date the note in question bears, to wit, May 11, 1912, the defendant Jackson was the cashier of the plaintiff bank; that on said date said Jackson was indebted to said bank in the sum of $1,000; that at said time said Jackson as such cashier—
"requested' this defendant to sign a note with him for $1,050 in favor of said bank, the plaintiff herein, payable six months after date, in order to aid him, the said Jackson, to borrow from said bank the amount of said note to apply on his indebtedness to said bank.”
The defendant Sheya further averred that said note was signed by him upon the express condition that two other persons, naming them, should also sign the same before it should be delivered to said bank, and that, unless and until so signed, it should not be delivered to said bank; that defendant signed said note without receiving any consideration, and for the purpose and upon the understanding aforesaid; that, notwithstanding said agreement, said Jackson, without the knowledge or consent of the defendant Sheya, delivered said note to said bank without first obtaining said signatures, but that said bank received the same with full knowledge of the agreement between Sheya and said Jackson; that upon being informed that said Jackson had delivered said note as aforesaid, the defendant Sheya notified the plaintiff that the acts of said Jackson were unauthorized, and that the defendant repudiated the same. The defendant Jackson also filed an answer, but he did not appear at the trial and his answer, therefore, is immaterial here. The case proceeded to trial, upon substantially the foregoing issues, to the court without a Jury. The court
Counsel for the defendant Sheya complain of the court’s findings, and insist that they are contrary to the evidence. Counsel further insist that no consideration for the note has been shown. In view of the averments of Sheya’s answer, which we have set forth, that he signed the note for the purpose of aiding Jackson in borrowing said $1,050 “to apply on his (Jackson’s) indebtedness to said bank,” and in view that the evidence is without conflict that Jackson was given credit by the bank upon his indebtedness for the full amount of the note immediately upon its delivery to it, the contention that the note was without consideration is without basis, either in law or in fact. We shall therefore not devote further attention to that phase of the case.
“A bank that takes a note for valne before maturity, signed by its cashier and others as joint makers, is not chargeable with knowledge of an agreement between the cashier and his comakers that the note was not to be delivered until it was signed by the president of the bank, since, in this particular transaction, on account of his individual interest adverse to that of the bank, the cashier is not the agent of the bank, but stands on the opposite side with his comakers.”
It is not a matter of any moment now to inquire whether the case just referred to ¿was correctly determined upon the facts there involved or not. It is sufficient to know that the principle stated in the headnote is applicable to the facts of this case, since the defendant Jackson, the cashier, was not representing the plaintiff bank in the transaction here involved, but was merely representing himself. Neither his knowledge nor acts in the premises can therefore be given any legal effect as against the bank.
There is nothing presented in this record which would au