129 N.Y.S. 1078 | N.Y. App. Div. | 1911
The defendant appeals from a judgment entered upon thé direction of a verdict. The action is brought against defendant as indorser of a promissory note made by the Graeco-American Currant and Supply Company (hereafter called the Currant Company). It appears that in June, 1907, one Griffith. Coit, - the president of the Currant Company, arranged with the Second National Bank of Jersey City to extend credit to the Currant Company on the security of promissory notes indorsed by said Coit and the defendant, the latter consenting to indorse to a limited amount. Soon afterwards the Currant .Company borrowed from the bank $7,500, giving as security therefor two of its own notes for $5,000 and $2,500 respectively, ■ each indorsed by Coit and defendant. The note for $2,500 was ultimately paid. The note for $5,000 was renewed from time to time by notes bearing the same indorsement as the one originally given.- In the meantime the Second National Bank of Jersey City went into liquidation and plaintiff, took over its assets, so that the subsequent dealings were with plaintiff. In June, 1907, the last of the notes indorsed by Coit and defendant fell due. Plaintiff had been rather pressing for its payment, but the Currant Company, was unable or unwilling to make payment. Coit finally persuaded plaintiff to extend the loan, and with plaintiff’s acquiescence took up the outstanding due note indorsed by both Coit and defendant and gave to-plaintiff in place thereof the note of the Currant Company for $5,000, payable on a day specified therein, and also another note signed by the Currant Company and indorsed by defendant, but otherwise' wholly blank; that is as to date, amount and time of payment. This blank note,
The judgment should be reversed and a new trial granted, with costs to appellant to abide the event.
Judgment reversed, new trial ordered, costs to appellant to abide event.