Matheney v. City of El Dorado

Citations

• 82 Kan. 720
• 109 P. 166
• 1910 Kan. LEXIS 329

Syllabus

<p>SYLLABUS BY THE COURT.</p> <p>1. Accord and Satisfaction — Requisites. To constitute an accord and satisfaction, the agreement that a smaller sum shall be accepted in discharge of a larger one originally claimed must have been entered into by the parties understandingly and with unity of purpose.</p> <p>2. -Proof — Authority of Person Accepting Tender. A contractor undertook to build a bridge for a city and arranged with a banker to furnish the money necessary to carry on - the work, and he gave the banker a writing to the effect that ' all warrants for the construction of the bridge should be issued to and cashed by the banker. A dispute arose between the city and the contractor as to the amount due for certain extra work done on the bridge. Later an allowance was made by the city in full' payment of the work, which the contractor refused to accept. He then informed the banker that the allowance must not be accepted. A warrant was drawn by the city for the allowance and placed in the bank, where the funds of the city were kept, in the custody of the son of the banker, who was deputy city treasurer. Some time afterward the banker, without other authority than the writing mentioned, drew the money on the warrant, but neither the contractor nor the mayor and council of the city had any knowledge that the warrant had been cashed until long after this action to recover the amount of the claim had been brought. Held, that the banker had no authority to make settlements for the contractor, and that the drawing of the money on the warrant did not operate as an accord and satisfaction of the original claim nor preclude the contractor from recovering the entire debt.</p> <p>3. Municipal Corporations — Authority of Agent — Ratification —Estoppel. The city having appointed a superintendent to supervise the building of the bridge, and having accepted the work done under his supervision, as well as the bridge, is not in a position to deny liability for the work done under the