Johnson v. Shuey

Citations

• 40 Wash. 22
• 82 P. 123
• 1905 Wash. LEXIS 931

Syllabus

<p>Fraud — False Representations of Private Banker to Secure Credit — Liability to Depositors — Pleading — Complaint — Sufficiency of Allegations of Fraud. Iu an action to recover of a private banker the amount of deposits fraudulently secured by the defendant, the complaint states a good cause of action for fraud, where it is alleged that he opened the hank without capital, fraudulently misrepresenting the same, and falsely representing that the hank was incorporated, thereby securing the deposits, and made a pretended sale of the hank to an incompetent person whose mismanagement resulted in the loss of the deposits.</p> <p>Banks and Banking — Liability of Private Banker to Depositors — Complaint—Sufficiency—Defenses—Transfer of Interest in Bank. A private banker is .personally liable to repay depositors, on demand, the amount of their deposits at the time of his transfer of the hank, or the amount they might thereafter deposit in ignorance of the transfer, if without negligence in failing to discover the transfer, and this right of action is assignable.</p> <p>Same — Defenses—Presentation of Claims to Receiver and Acceptance of Dividends — Original Debtor Not Discharged by Unsuccessful Efforts to Recover. A depositor’s right of action against a private banker is not discharged by the filing of a claim and acceptance of a dividend from a receiver of the banker’s assignee to whom the bank had been sold, and who had agreed to repay the deposits; since the promise to pay the deposits may be sued on by the depositors in their own names, and merely makes the original debtor a surety, and both debtors may be pursued, severally or jointly.</p> <p>Election of Remedies — Joint Debtors. Where two are severally liable to pay the same debt, an attempt to collect from one is not such an election of remedies as to bar an action against the other upon failing to collect the whole debt in the first action.</p> <p>Receivers — Judgment in Receivership Action When Not Res Judicata as