The Iola register. [volume] (Iola, Allen County, Kansas) 1875-1902, 1884-01-04
COMMERCIAL LAW.
Brief Disests of Late Decisions.
Compiled Specially for the st. Louis CONNER
pial Gazptta I
SURETY AND GUARANTOR.

Compiled Specially for the st. Louis CONNER
cial Gazette.l
SURETY AND GUARANTOR.
ANY one of several persons named as
sureties in the body of a written instru-
ment may successfully defend on the
ground that when he slgned the instru-
ment and delivered it to the principal
makers, it was on the agreement and
condition that he should not be liable as
such surety. and that the instrument
should not be delivered to the payee or
obligee until the others so named should
also syn as sureties. The fact that the
instrument is not executed by all those
named in it as obligors is sufficient to
put tho payee or Obligee on inquiry and
charge him with notice of the condition.
And the same rule which protects Il
surely will protect guarantors. If a
guaranty be made for several persons
composing Il firm, or for firm COM
posed of several persons. the guarantOr
will not be liable for the default of o.
for credit given TO Il less number of the
persons SO named. CT Il firm Of the same
name but composed of less number Of
sr:ch prisons. Ma kland Mining ~
VI g. Co.. IS. kimmel ct al, Supreme
Court of India
FRAUDULENT SALE.
Where creditor purchases of hrs
debtor stock of merchant Sc the value
of which he PAYS in part by the SUI
lender of notes held by hlm against the
debtor, and in part with money, and
the debtOf transfers the merchandise
with the direct intention to defraud and
delay his other creditors, the purchase
by the creditor can not be upheld, if he
is cogniZant of and privy to the fraud
of the debtor. If, in tn transaction,
the creditor had no actual knowledge
of the fraud or notice of the fraudu.
lent design of the creditor. vet if the
circumstances surrounding the debtor
were such Is would put Il prudent man
upon inquiry. which, if prosecuted dill.
gently, would have diScl scd the fraud,
he can not be deemed purchaser in
good faith.-McD"nald ct III. VS.. Grant,
Supreme Court of Kansas.
INSURANCE PREMIUM.
A fire insurance policy for five Years
required the insurer to pay l6cash and
give a note payable in equal instalments
annually for four years without interest,
and stipulated that if any instalment
should not be paid within thirty days
after due, the policy should be null and
void until payment by the insured of the
instalmcnt. But such Ievivor should
not make the company liable for any
loss occurring during the default. HeLd.
while the policy was null and void, no
premium was earned by the insurer.
and the insured is entitled to 4 credit
on the note for the aggl egate of such
uncarncd premium Matthews VS..
American ms. Co., Supreme Court OF
Ohio.
SLEEPING-ClR.
The running of sleeping cars has oe-
come business and social nee 'ssity.
and the law can impose obligations on
the ear company. the same rs on rail
WAYS. fcrrymcn and innkecpcTS. When,
{" rpt"Tr. 4 passenger who, under the
rules of the company. is entitled to q
Icrth on payment of the usual fare. and
to whom no personal objection attaches,
enters the company's sleeping-car at
proper time with the purpose of procur-
Ing accommodations. and in an orderly
and respectful manner applies for
berth, Offering or rendering the custom
ary price therefor, the company is
bound to furnish it, provided it has
vacant one at its diSposal.-Nevin vs..
Pullman Palace Car Co., Supreme
Court of Illinois.
The negligent Signer of 4 prOmi>Sory
note can not defend against it in the
hands OF i bOHN Edc holder. Ordinarily
on" who signs a note without reading il
is guilty ri negligence. Where one
was able to read, and signed a note in
the presence of his wife. who could also
read, and neither read the note himself
nor asked his wife to read it. hut signed
il RELYING on the representation OF the
Ler>ouS with whom lie was contracting.
he WAS guilty Of nrrl gence in the sign,
inc. and could not defend against o
t>H0 idc holder OF the note baldwin
". burrows ct a.. Supreme Court o.
Indiana.
PEDMIS>oI;Y NOTE.
! note PAYABLE on or fore a certain
day is payable on that day. so far IL
the maker is concerned. The maker
may pay the note before the day men
toned. bwt he may alsn put of payment
until that day if he so desires. There is
no ambiguity about the legal effect OF
such 81 note, and parol testimony is in
admissible TO vary It's import or To show
that it is to be- paid before the day
namrt. James W. Benjamin. Supreme
Court o. Georgia.
SUICIDE AND LIFE INSURANCE.
\ >clf-killinr by an insane person
who Underst andS the physical nature
aud consequences of his act, but moi III
II oral aspect, is not IA death by suicide
within the meaning of condition in q
policy of Insurance upon his life that
TIE policy shall be void in case he shall
de by suicide. Manhattan Life ms.
60. W.. roughton. Supreme Court :
United States.
NATIONAL BA;K.
sharehOlders of National Bank are
liable until Il transfer o their shares is
made on Ike books of the bank. y trans
fer of shares after the bank has become
insolrcnt can not be- construed to release
the Sharcholde from liability To- the
creditors OF the bank Irons. ENccu-
tor, etc, vs.. Manufacturers Nat. Bank
of Chicago, l. :. Cir. curt. \. ID. H.
linoiS.
TAXEs-wIIFEE PAYABLE.
shares Of StOc% in IN n;ng corpora.
ton whose principal Office is in Cal for
MIA ani whose cutir" property is in an
other State. are, when held by citizens
Of California. taxable in that State, al