Exchange National Bank v. Hunt

Citations

• 75 Wash. 513
• 135 P. 224
• 1913 Wash. LEXIS 1741

Syllabus

<p>Guaranty — Continuing Guaranty ■— Revocation — Death. Tbe rule that a continuing guaranty is revoked as to subsequent advances by notice of the death of the guarantor has no application where there were no subsequent advances after the death of the guarantor, but merely subsequent renewal notes evidencing the indebtedness.</p> <p>Guaranty — Discharge—Negotiable Instruments Law — Application. Upon the continuing guaranty of an existing loan and of renewals thereof, and not merely of the instrument evidencing it, Rem. & Bal. Code, § 3509, providing that an intentional cancellation by the holder shall constitute payment of a negotiable instrument, has no application; hence the cancellation of a renewal note does not discharge the guarantor.</p> <p>Same. Upon the guaranty of an existing loan, and not merely of the instrument evidencing it, Rem. & Bal. Code, §§ 3510, 3582, relating to the discharge of and defining secondary liability upon negotiable instruments, have no application.</p> <p>Same — Discharge—Payment—Note. The taking of a renewal note for a preexisting liability does not constitute payment of the debt nor discharge a continuing guaranty of the liability itself.</p>