18 U.S. 277 | SCOTUS | 1820
delivered the. opinion of the Court. Two questions arise upon the instruction to the jury: 1. Whether the bills were prima facie evidence that value had been paid for them by Prior to Welch? 2. Whether, under all the circumstances of the case, Prior was an assignee in equity entitled to maintain the present action ?
Upon-the first point, we are of opinion, that- the law was correctly laid down by the Court below-The argument of the defendant’s counsel admits, that,where a bill imports on its face to be for u value received,” it is prima facie evidence of that fact between the original parties; but it is stated, that it is not evidence of the fact against third persons. We know of no such distinction. In all cases where the bill can be used as evidence either against the parties, or against third persons, the same legal presumption arises of its having been given for value received, as exists in relation to a deed expressed to be given for a valuable consideration. In this respect, bills of exchange, and negotiable notes, are
The other question requires more consideration, though it does not in our judgment present any intrinsic difficulty. It has been long since settled, that where a chose in action is assigned by the owner, he shall not be permitted -fraudulently to interfere and defeat the rights of the assignee in the prosecution of any suit to enforce those rights. And it has not been deemed to make any difference whether the assignment be good at law, or in equity only. This doctrine was fully recognized by this Court when this case was formerly before us.
It is contended on behalf of the plaintiff, in the first place, that the facts of this case establish by legal inference, that the articles of agreement were entirely assigned in equity to the plaintiff. If this ground fails, it is in the next place contended, that an assignment was made of the debt due by the articles to the extent of 7,600 dollars, the amount of the bills drawn on Mandeville &. Jamesson, and that
In support of the first- position, it is argued, that the bills being prima facie evidence of an equivalent. advance made by Prior, the possession by the latter of the articles of agreement, and the delivery to him of the account signed by Mandeville & Jamesson, afford a legal presumption that the articles and account -were delivered to him as security for the payment, of such advance, and thereby he acquired a lien on them like that acquired by the delivery of title deeds as security for a debt, which lien has always been deemed to be equivalént to an equitable mortgage. It may be admitted, that according to the course of the authorities in England, and as applicable to the state of land titles there, a deposit of title deeds does, in the cases alluded to, create a lien, whichWill. be recognized as an equitable mortgage, and will entitle the party to call for an assignment of the property included in the title deeds. It may also be admitted, that a deposit of a note not negotiable, as security for a debt, will entitle the creditor, after notice to the maker, to. enforce in equity his lien against the depositor, and his assignees in bankruptcy. Such was the case cited at the bar from Atkyn’s Reports.
The ground, then, that there was a deposit of the articles as collateral security, failing, we are next led to examine the position of the defendant’s counsel, that there was a partial lien or appropriation of the debt due from Mandeville & Jamesson, under the articles to the extent of the sum due on the bills, which is equivalent to an equitable assignment of sp
argued, 1. That the Court below erred in its instruction to the jury that the words li value received” were evidence against Mandevilie & Jamesson, that money had been actually paid by Prior to Welch, or the bills. They do not claim under the bills, nor under Welch as the drawer. They claim as assignees of the fund on which the bills were drawn; In the case of Evans v. Beatty,
insisted, 1. That bills and negotiable notes expressing upon their face “ value received,” are evidence of that fact, both as between the original parties, and against third persons. 2. The facts and circumstances of the case establish by legal inference, that the articles of agreement were wholly assigned in equity. The bills
Judgment reversed.
Judgment. This cause came on to be heard on
Chitty on Bills, (2d edit.) 12. 62. 1 Wils, Rep. 189. Burr, 1516. Salk. 25. 1 Bos. & Pull, 651.
.Welch v. Mandeville, 1 Wheat. Rep. 23r>,
Ex parte Byas, 1 Atk. 148.
Yeates v. Groves, 1 Ves. jun. 280. Gibson v. Minet, per Eyre, C. J. 1 H. Bl. 569. 602. Tatlock v. Harris, 3 T. R. 174.