133 Iowa 147 | Iowa | 1907
The facts as set out in the petition to which defendants’ motion was directed are that defendant Colton was, by plaintiff’s board of trustees, elected cashier of plaintiff bank on August 9, 1892, at a salary of $1,000 a year, his bond being fixed at $50,000. The required bond with codefendants as sureties was executed on the 16th of the same month, and was approved by the board of trustees on the 5th of September following. Colton was cashier of the plaintiff bank continuously from the time of his appointment until the 26th day of November, 1904, but, in the meantime, action with reference to his continuance in that- employment had been taken by plaintiff’s board of trustees as follows: On January 2, 1894, his salary for six months ending June 30th of the same year was fixed at $450, and on July 3d of that year it was agreed that his salary for the previous six months be continued at the same rate for the six months succeeding; on January 7, 1896, “ The matter of passing upon the selection of a cashier was deferred by the said trustees two weeks,” and on January 21, 1896, “ the election of a cashier ” was postponed “ until ,the regular meeting in April next, on condition that the present cashier and E. G. Hpins elect to remain until that time at the rate of $900 a year, to be divided between them.” On April 7, 1896, at a meeting of the board of trustees, defendant Colton was “ employed as cashier for the remainder of the year at a salary of $60 per month,” and on January,6, 1897, it was voted that de
Under the statute in force with reference to the organization of savings banks at the time defendant Colton was originally appointed, the plaintiff’s board of trustees had authority to appoint a cashier to hold office “ during the pleasure of the board,” and by one of the articles of incorporation of plaintiff bank, the cashier was to be so appointed; and had the board of trustees taken no subsequent action with reference to the appointment of a cashier, the bond originally given would have covered Colton’s term of service until November, 1904. But we have recently held that the statute above referred to does not prevent the appointment for a specified period, and that a bond given in connection with the appointment for such a specified period does not cover the acts of the cashier after such term of service has expired. Ida County Savings Bank v. Seidensticker, 128 Iowa, 54. The question now presented is whether, after a general appointment to hold the office at pleasure, the governing board may make a new appointment of the same person as cashier for a definite period which shall limit the liability of the sureties on his original bond, although he, as a matter of fact, continues without interruption to occupy the position of cashier under the new arrangement and subsequent arrangements of the same character.
But we are first met by the contention that the record does not show any attempt on the part of plaintiff’s board to make a new appointment, the claim of the appellant’s counsel being that the records of the board are to fie interpreted simply as recognizing the continuation of the original appointment, with new provisions as to compensation. We
We are not called upon at this time to decide, and we do not decide, that the action of the board in April, 1896, fixed a new term for Colton. Appellant cites cases which seem to support the proposition that, after an appointment for an indefinite period, the mere re-election for an indefinite period does not fix a new period of tenure so as to terminate liability under a bond given in connection with the original indefinite appointment. Dedham, Bank v. Chickering, 3
The ruling of the trial court is therefore affirmed.