Empire State Surety Co. v. Ballou

Citations

• 66 Wash. 76
• 118 P. 923
• 1911 Wash. LEXIS 1015

Syllabus

<p>INDEMNITY — LIABILITY DISCHARGE PARTNERS AS PRINCIPALS Deposit as Limitation on Liability. Where a surety company guaranteed tbe construction of a building by a copartnership, taking as indemnity a deposit of $1,000 in money from one of tbe partners, bis liability is not limited to tbe deposit, as all tbe partners are liable as principals; bence use of tbe deposit to discharge claims does not release tbe partner making tbe deposit from further liability.</p> <p>Husband and Wife — Community Property — Title in Trust— Deed of Trustee. The title to land agreed to he conveyed to a builder in part consideration for his work, does not pass to the community consisting of himself and wife, before deed; and being held in trust, the deed of the trustee at request of the husband passes title without any conveyance by the wife.</p> <p>Mortgages — Indemnity Mortgage — Consideration. Where a surety company guaranteeing a building contract had already advanced money or subsequently advanced it, a deed of property given as indemnity is supported by a sufficient consideration, although it was volunteered.</p> <p>Mortgages — Foreclosure—Venue—Jurisdiction. Under Rem. & Bal. Code, § 1016, providing that a mortgagee may foreclose in the superior court of the county where the land or some part of it lies, two trust deeds of lands in two counties may be foreclosed by an action in either county.</p> <p>Principal and Surety — Rights of Surety — Exhaustion of Remedy Against Principals. Where the principals gave indemnity to a surety company guaranteeing a building contract, the surety company has the right to exhaust the indemnity and liability of the principals before recourse to the liability of a volunteer surety for the principals.</p>