Case ID: iowa_46/html/0015-01.html
Source: Caselaw Access Project
Author: {"author": "Beck, J.", "license": "Public Domain", "url": "https://static.case.law/"}
Date Created: 2024-08-24T03:29:51.129683

Traer v. Stuart.
    1. Contract: condition precedent: promissory note. Where by the terms of a promissory note the payer undertook to pay a certain sum to a railroad company two years after its trains should be running to a point specified, in consideration of the construction of the road and the opening of a certain street within sixty days, held that the failure to construct the road and open the street within sixty days did not release the payer from his obligation of payment.
    
      Appeal from Tama District Gowrt.
    
    Friday, April 20.
    Action upon a promissory note in these words:
    “ Traer, Iowa, October 10th A. D. 1872.
    
      “ In consideration of the hjiilding of the Western Division of the Burlington, Cedar Rapids & Minnesota Railway, from the city of Yinton westerly, and the opening of Main street in Traer within 60 days from date, and for value received, I promise to pay to said railway company or order one hundred dollars, at the company’s office, two years after the iron is laid, and the cars running upon said branch road to the depot at Traer, with ten per cent interest after the iron is so laid.
    (Signed.) John Stuart.”
    The petition alleges the assignment of the note to plaintiff, and the performance of the conditions therein contained. The answer alleges that the note was given by defendant as a donation to the railroad company, the only consideration being the building of its road. It further alleges that the railroad was not built as provided in the note, nor was Main street in Traer opened within sixty days from the date of the contract. To defendant’s answer the plaintiff demurred on the ground that it presents no defense to the action, as it fails to show that the conditions pleaded, by the terms of the contract, are precedent to the obligation of defendant. The demurrer was sustained, and defendant standing on his answer judgment was rendered for plaintiff. The defendant appeals.
    
      Stivers (& Safley, for appellant.
    
      Struble cfi Goodrich, for appellee.
   Beck, J.

Affirmed.