6 Ga. App. 843 | Ga. Ct. App. | 1909
(After stating the foregoing facts.) Since the notes are under seal, and since they do not on their faces disclose any principal for whom the signers could be construed to be acting as agents, they are to be taken as the individaul .act and deed .of Saul and Wolfe, and the words “pres.” and “secy.” following their respective names will be looked upon as mere descriptio personas. May we say, in passing, that the principle of construing as mere descriptio personas such words as “agent,” “administrator,” “president,” “secretary,” “trustee,” “director,” “manager,” etc., when appended to signatures to instruments not plainly disclosing another as principal, and of refusing to hear parol as to the true capacity in which the signers acted, is a rule which long since has outlived the reason back of it ? There was a day when but few men were able to identify themselves as the makers of contracts by the handwriting of the signatures — a day also when surnames, in the manner to which we are now accustomed, were a rarity, and John, the smith (from whom the many Smiths have since descended), was spoken of in the community and was described in contracts as
Construing the notes as the individual undertaking of Saul and Wolfe, we find that their plea is well founded. The notes as to them are without consideration. Though they are under seal and though the law presumes a consideration, a plea that they were in fact based upon no consideration is a good defense. Lacey v. Hutchinson, 5 Ga. App. 865 (64 S. E. 105). According to the plea, the indebtedness represented by the notes was solely the indebtedness of a corporation, the Congregation of Beth Israel; at the time the notes were given it was a pre-existing indebtedness; no new detriment to the promisee, no new benefit to the promisor or the corporation occurred at the time, so as to create a consideration for the giving of the notes. Under all the .authorities, the contract between the plaintiff and the defendants was nudum pactum. Davis v. Tift, 70 Ga. 53 (2), 56, and cit; Russell v. Smith, 97 Ga. 287 (23 S. E. 5); Gay v. Mott, 43 Ga. 252; Davis v. Morgan, 117 Ga. 504 (43 S. E. 732, 61 L. R. A. 148, 97 Am. St. R. 171); Jones v. Shorter, 1 Ga. 294 (44 Am. D. 649); Bailey v. Devine, 123 Ga. 656 (51 S. E. 603, 107 Am. St. R. 153). The Congregation of Beth Israel remained bound on its original undertaking, and Saul
The notes on their faces say that the consideration is certain rmintelligibly-described property. The plea denies that the makers ever received this consideration. This alone would be a perfect defense, if it were not true that recitals of consideration, especially when ambiguously expressed, are open to inqMry; hence it was necessary that the plea should, as it did, allege that there was no other consideration. Since the recitals of consideration set out in the notes themselves are unintelligible without parol assistance, the takers of the notes can not complain when the makers show that there was no consideration at all. Barco v. Taylor, 5 Ga. App. 372 (63 S. E. 224). However, we do not deem it necessary to put the case on this special principle, but rest it on the broader doctrine that lack of consideration is a good defense to every contract, under seal or not under seal, negotiable or not negotiable,, so long .as it is in the hands of the original taker.
Judgment reversed'.