4 Utah 353 | Utah | 1886
Tbe plaintiff (a corporation under tbe laws of tbe state of Missouri, and doing business at St. Louis in tbat state) instituted its action against tbe defendant (a corporation under tbe laws of tbe United States, engaged in the busi
The complaint contained the allegation, among others, that defendant undertook to collect the draft described. The defendant interposed a demurrer to the complaint, which was overruled by the court. This ruling the defendant assigns as error.
The defendant insists that the business of collecting drafts is ultra vires of a national bank, and for that reason the undertaking to collect was not binding on the defendant. “The business of collecting commercial paper is a part of the regular business of banking, and it is not necessary that the charter of the bank should specifically confer the power to engage in it upon the bank, as it is plainly within the powers implied by the creation of such an institution:” 1 Daniel on Negotiable Instruments, sec. 324. The business of collecting commercial paper is a part of the regular business of banking when carried on under national as well as under other bank charters: Exchange Nat. Bank v. Third Nat. Bank, 112 U. S., 276; Merchants’ Nat. Bank v. Goodman, 1 Cent. Rep., 428. This was the only ground upon which the demurrer was urged. We are of the opinion that the exception to the ruling of the court on the demurrer was not well taken.
When the cause came on for trial, counsel for the plaintiff moved for judgment on the complaint and answer, which motion the court allowed, and entered judgment against defendant for three hundred dollars, and thirty-two dollars and ten cents costs. This action of the court the defendant also assigns as error. The allegations of the complaint, with the admissions and denials of the answer, present the following facts, in substance. The plaintiff, a corporation doing business in St. Louis, Missouri, drew its bill of exchange on Bishop & Schaeffer, a firm doing business in Ogden, Utah, for a debt due the plaintiff, payable to defendant at sight, and sent this bill to defendant for collection without further instructions, who received it in the usual courge of itg business on No
The facts admitted by the answer show such neglect of duty by the defendant, with respect to the bill of exchange sued on, that it would render the defendant liable for the amount thereof and interest: 1 Daniels on Negotiable Instruments, sec. 327; Exchange National Bank v. Third National Bank, 112 U. S., 276; 3 Sutherland on Damages, 17, 18. At the hearing of this appeal, plaintiff remitted, by leave of this court, $ of the judgment of the court below, being all in excess- of the face of the draft, interest and costs.
The judgment of the court below is affirmed.