Court Opinion

ID: 9544638
Source: CourtListenerOpinion
Date Created: 2023-08-07 16:58:20.168746+00
Date Added: 2024-06-11T15:13:20.684521
License: Public Domain

Schroeder, J.,
dissenting: I respectfully dissent from that portion of the court’s decision holding the bank account of Charles W. Johnson and Hazel Johnson to be an account for Charles’ convenience and not a joint tenancy account with right of survivorship. The technical niceties required by the court to establish a joint tenancy bank account with right of survivorship, in my opinion, border on the ridiculous in this case.
The contract establishing the account indicates the following:
First, the account of Charles W. and Hazel Johnson is titled: “Johnson, Chas W. or Hazel Johnson or Survivor.” (Emphasis added.)
Second, the “Type of Account” is indicated by an “X” inserted in the box after the word “Joint.”
*701Third, a joint account is defined in the instrument itself, using all of the magic words, which clearly discloses the establishment of a joint account with right of survivorship.
Under these circumstances, resort to parol evidence is unwarranted and improper. What the parties intended was a joint tenancy bank account with right of survivorship, and this clearly appears from the instrument creating the account.
Unfortunately, the court’s summarization of the “Depositor’s Contract and Signature Card” does not give a true picture of the facts upon which to base the decision relative to this point.
On the face of the card in a box at the upper left-hand corner appears the following:
“Depositor’s Contract and Signature Card The Macksville State Bank Macksville, Kansas Dated August 1961”
On the face of the card in a box at the upper right-hand corner appears the following:
“Johnson, Chas W. or Hazel Johnson or Survivor Hopewell, Kansas
Are you a citizen of the United States? Yes”
A double line then appears across the entire face of the card beneath these two boxes, following which is printed:
“The Bank is authorized to recognize any of the signatures subscribed below in payment of funds or the transaction of any business for this account. Type of Account: Individual □ Joint 0 Partnership □ Corporation□ (Check which) Remarks:”
Another double line then appears across the entire face of the card followed by the area for signatures. It is divided by four horizontal lines and one vertical line in the center, designed to provide six spaces for signatures. The word “Signatures” is written vertifically at the left of each set of the spaces for signatures. In two of these spaces appear the signatures “Chas W. Johnson” and “Hazel Johnson.”
After the signature spaces, another double line appears across the entire face of the card. Then continuing on the face of the card it reads:
“Depositor’s Contract
“Collection Clause. In receiving items for deposit or collection, this Bank • acts only as depositor’s collecting agent and assumes no responsibility beyond the exercise of due care. All items are credited subject to final payment in *702cash or solvent credits. This Bank will not be liable for default or negligence of its duly selected correspondents nor for losses in transit, and each correspondent so selected shall not be liable except for its own negligence. This Bank or its correspondents may send items, directly or indirectly, to any bank including the payor, and accept its draft or credit as conditional payment in lieu of cash; it may”
At this point a line is drawn across the entire face of the card, beneath which appears the word “(Over)” and on the reverse side of the card the language continues as follows:
“charge back any item at any time before final payment, whether returned or not, also any item drawn on this Bank not good at close of business on day deposited, and the Bank may at its option refuse payment of check or checks drawn against depositor’s uncollected item or items.
“Stop Payment. In case this bank is ordered to stop payment on an item or items, the depositor agrees to hold the Bank harmless for all expenses and costs incurred by the Bank on account of refusing payment of said item, and further agrees not to hold the Bank liable on account of payment contrary to this order if same occur through inadvertence, accident or oversight, or if by reason of such payment other items drawn by the depositor are returned insufficient. Order for stop payment is effective for six months, but renewals may be made from time to time. No stop payment request, renewal or revocation shall be valid unless in writing and served upon the bank.
“Service and Maintenance Charge. It is agreed that this account, whether active or dormant (an account shall be considered dormant when no deposit shall have been made or check drawn or paid for a period of one year), shall be subject to service and maintenance charges heretofore adopted by this Bank and now in effect, and to such charges as may hereafter be adopted by this Bank. New service and maintenance charges and changes in existing charges shall become effective upon the posting of notice in the office of the Bank for a period of ten days or the publication thereof in any local newspaper before the end of said period, or upon giving the depositor not less than ten days’ notice in writing mailed to the last address known to the Bank. Such charges may be deducted from the depositor’s account and the Bank shall not be liable for dishonoring checks, drafts, notes, acceptances or other instruments because of insufficient funds resulting from the deduction of such charges.
“Joint Accounts. Joint depositors hereby agree each with the other and with the above bank that all sums now on deposit or hereafter deposited by either or both of said joint depositors with said bank to their credit as such joint depositors, with all accumulations thereon, are and shall be owned by them jointly, with right of survivorship, and be subject to the check or receipt of either of them or the survivor of them and payment to or on the check of either or the survivor shall be valid and discharge said bank from liability. Each joint depositor hereby appoints the other attorney, with power to deposit in said joint account moneys of the other, and for that purpose to endorse any check, draft, note or other instrument payable to the order of the other or both of said joint depositors. Payment to or on check of the survivor shall be subject to the laws relating to inheritance and succession taxes and all rules and *703regulations made pursuant thereto. The rights or authority of the bank under this agreement shall not be changed or terminated by said depositors or either of them except by written notice to said bank which shall not affect transactions theretofore made.
“Partnership Accounts. [The agreement concerning Partnership Accounts is set forth at this point.]
“Corporation Accounts. [The agreement concerning Corporation Accounts is set forth at this point.]
“Mailing Statements. The bank is authorized to mail statements and can-celled checks to the last address known to the bank.
“The terms of the above contract have been read and are hereby agreed to by owner of account.”
At this point a line is drawn across the entire card at the bottom of the reverse side. It is identical in length to the line drawn at the bottom on the face of the card (where the word “[Over]” appears), except that the line has a space of one-fourth inch at the middle of the card. The court has made the bold assumption this line was intended to provide space for a second signature of the two depositors. Nothing, however, indicates that the line in question was intended to require a second signature of the depositor or depositors. In fact, if a signature were to be affixed in the space available above the line, it would have to be written in letters no greater than three-sixteenths of an inch in height, whereas the space provided on the face of the card for signatures is three-eighths of an inch in height for each of six signatures. In my opinion, the format of this document suggests this line was never intended for signatures by the depositors. It hardly stands to reason that a second set of signatures was contemplated when adequate space for six signatures is specifically provided and designated as such on the face of the card, and at best only half the space is available for two possible signatures on a line indicating the bottom of the card on the reverse side. The document entitled “Depositor’s Contract and Signature Card” was unquestionably designed to provide the signatures on the face of the card to make available the signatures for reference in a card file at the bank.
It is inconceivable to me the parties whose signatures appeared on the face of this card, “Chas W. Johnson” and “Hazel Johnson,” failed to agree to the Depositor’s Contract. Could it be said the bank had no agreement with the depositors concerning the collection of items, stop payment matters, service and maintenance charges, or matters relative to the mailing of statements to the parties? Clearly not. Both the bank and the parties who- estab*704lished this joint account fully understood the Depositor’s Contract to be part of the agreement when they placed their signatures on the face of the card. By the same token, the fact they indicated the type of account to be joint invoked the “Joint Accounts” provision set forth in the instrument.
Other considerations fortify this construction of the written instrument. The document is entitled “Depositor’s Contract and Signature Card,” thus indicating it to be one instrument whereby the parties contract with the bank and also supply their authorized signatures. In fact, the entitlement of the agreement makes reference to the Depositor’s Contract before it does to their signatures. The division of the card by double lines across its face at three places does not divide the contract by making it four separate parts. Instead, all of the various parts are a portion of one document entitled “Depositor’s Contract and Signature Card.” It was executed and bound the parties when they affixed their signatures at the place designated on the face of the card. This is confirmed by the fact that above the placement of the parties’ signatures, and their indication of the establishment of a joint account, appears the language: “The Bank is authorized to recognize any of the signatures subscribed below in payment of funds or the transaction of any business for this account.” (Emphasis added.) By this language the Depositor’s Contract is incorporated into the agreement by the signatures they affixed on the face of the card establishing “this account.”
It is respectfully submitted the bank account in question is a joint account with right of survivorship, and the lower court should be reversed on this point.