Court Opinion

ID: 6690367
Source: CourtListenerOpinion
Date Created: 2022-07-20 21:37:10.417127+00
Date Added: 2024-06-11T16:01:05.567369
License: Public Domain

Reade, J.
The briefs, on both sides, are very well prepared, and aid us very much.
The finding of the jury upon the issues is to the effect that when the defendant, Wriston, entered into the new partnership with Young, he agreed with Young that the new partnership should pay the debts of the old partnership of Carson, Young & Grier; and that this promise was made upon a sufficient consideration. There is no doubt, therefore, that the defendant, Wriston, is bound to Young to perform that agree ment.
The plaintiff, who is a creditor of the old firm, insists that that agreement between Young and Wriston enured to his benefit, and that by force of it, he is entitled to collect his debt out of Wriston. And whether that is so, is the question before us.
The result of the authorities is well stated in Lindley on Partnership, p. 316, as follows:
“ If an incoming partner chooses to make himself liable for *409the debts incurred by the firm prior to his admission therein, there is nothing to prevent his so doing. But it must be borne in mind, that even if an incoming partner agrees with his co-partners, that the debts of the old shall be taken by the new firm, this, although binding between the partners, is, as regards strangers, res inter alios aota, and does not confer upon them any right to fix the old debts on the new partner. In order to render an incoming partner liable to the creditors of the old firm, there must be some agreement to that effect entered into between him and the creditors, and founded on some sufficient consideration. If there be any such agreement, the incoming partner will be bound by it; but his liabilities, in respect of the old debts, will attach by virtue of the agreement, and not by reason of his having become a partner.”
It will be observed that the agreement must be between the new partner and the creditor, and upon a consideration moving from the creditor.
There is no pretense here that the original agreement was between the defendant and the plaintiff; but it is insisted that the fact that the new firm paid the interest to the plaintiff is sufficient. It seems, however, to be settled that that is evidence only of the agreement between the partners, and not between the new partner and the creditor. Bindley on Partnership, 359. But suppose it were evidence between the new partner and the creditor, still it would be void, for want of a consideration moving from the creditor. If there were evidence that the creditor had been induced to surrender his debt against the old firm, and to accept the new, that would alter the case. But there is no pretense of that here. Indeed, the plaintiff, so far from surrendering his debt, actually sued the old firm, and now has his judgment.
There is no error.
Per Curiam.
Judgment affirmed.