The weekly North-Carolina standard. [volume] (Raleigh, N.C.) 186?-1869, 1869-06-30
.lO!:g8.

Tdyment IN rdtc ~ Os0y uOt u
Legal Discharge OF Debt Unless the
Creditor accepts.- -0p1hion Of Chief
Justice Chase
GncuIT CoURT OF THE UNITED STATES
District of North Carolina Jay An
dcrson against James NJ. Harris, and the
Bank Of Cape Fear,
.eaJune 10, isss.l-chiesl Justice chase dc.
Iivered the opinion Of the eousT Tzs foiio~s :.
This is a suit in eqdify BY the plaintiff, a
citizen of Kehtucky against ths defendants,
who are citizens of NfrtA Carolina The
substance of thea ease.sis, that & Anderson
having sold some mgles ,tp Harris, received
his bonds tor the price, and deposited them
in, the Bank, of Cape ,Eear for collection, late
=, in 1860, or early in 1861. subsequently the
Bank received partial payrnenis, whieh were
transmitted to Anderson. The rebellion
broke out soon afterwards, and there were
I no more payments until. 1861 when tire bal
ance on the first bond was paid. The Sc
cond bono, of $3.50, and interest, were paid
inful early in 1869. These payments were
made in Confederate notes, and the bonds
were surrendered t., Harris. Il =
b The bill charges that there was vollusien
between the Bank and Harris, in this at
tempt to satisfy the bonds by payment in
Confederate money, and prays that the de.
fendant may be compelled to satisfy the
. debt due from Harris The bill does not
allege that Harris isN insolvent, and this
charge of colusion is denied by the answer,
and not supported by proof. There is no
doubt that the bank was constituted agent
for collection by the plaintiff, and it is not
denied that its duties % such were faithful
ly fulfilled until after tlip pacommencement of
the civil war. The agency of the, bank was
not terminated by the breaking out Of hos
tilities. The bank might, indeed, have de-
clined to act further under. its agency, and
might have retained the bonds for delivery
to tue plaintiff; % but if it acted atall,it was
bound to act with. care and diligence. In
our opinion, the receipt of Confederate notes,
in payment Of debt to citizen of State,
adhering to the National Government, was
not the exercise of such diligence. ~ .la1s
II Such receipt, however, did not discharge
the debtor, from, his, debt. The bonds,
though paid in form, and delivered to him
MS paid. by the agent, were not paid in, fact.
He still remained liable tor the full amount
of the debt. Nothing could discharge him
ffexcept ratification of the acts of the agent,
or voluntary release, by the creditor, or ,ac-
tual payment in lawful money
No discharge, such, as is here described,
is alleged. The evidence is that the credi-
| tor disavowed' the authorized acts of the
agent, and insisted. on payment in full.asl
aga But, we,think that lie, could, not disayow
these acts and recover damages for eonse-
| quential loss. without proof of such loss If
| the debtor IS not discharged, and is able to
| pay the debt, and no loss has arisen to the
lacreditor from the acts,of the bank. it is diff
| ficult to see how,the crediter9 can establish
any right as, against that corporation.
| Rights and remedies as between the bank
and the debtor are matters between them,
and not between the bank and the credi-
I tory unless less has arisen to the creditor.
But the bill contains, ,nosallegation of thei in
soi~eney of tl,s7 u vl.t Lose In
the present state of the pleadings. therefore,
the particular relief prayed for in the bill
cannot be granted. @ hhoi os s3'HsEW 194
But since the bank is undoubtedly liable
to the debtor for the value of the Confeder-
ate notes received, from him, and the debtor
remains liable to the creditor for the full
amount of the bonds, we think that to avoid
multiplicity and circuity of action, under
the general prayer. for, relief, and upon the
whole case, a decree may be made for the
payment by the bank TO the plaintiff Of the
amount, due to Harris, and against Harris
for tie balance remaining due after credi-
ting that amount upon the bonds. o7 1855
Of the plaintiff is not content with such q
decree, his bill, in its present form, must be
dismissed, but, if he chooses, he may amend
by allowing the insolvency of Harris, and
loss of his debt through the unauthorized
action of the bank. 9lllii : ,l'.i,t1 =
/ Emerson ,cs. ,Mallett, Phil. Eq, r., N. C.,
1885, State ca rel. Cumming ys. Mebane,
Phil.EM G.,,8l5. liability of guardian Teceiv'
ing Confederate notes. asta ,,,cs.s