Means v. Merchants State Bank

Citations

• 97 Kan. 748
• 156 P. 701
• 1916 Kan. LEXIS 391

Syllabus

<p>SYLLABUS BY THE COURT.</p> <p>1. Banking — Accommodation Note — Indorsed by Bank — Note Paid by Accommodation Maker — Liability of Bank. Plaintiff executed to a bank his promissory note, which the bank sold and indorsed. The indorsee sued the plaintiff on the note and obtained judgment against him. In a suit by plaintiff to compel the bank to pay the judgment, the petition alleged that he was an accommodation maker, and that the president of the bank promised him that the bank would save him harmless from any liability on the note. Held, that as the note was given solely for the accommodation of the bank, which received and retained the consideration, the plaintiff may maintain the suit independent of the authority of the president to bind the bank by the promise.</p> <p>2. Same — Findings Sustained by Evidence. The evidence in this case is examined and held sufficient to sustain the general finding in plaintiff’s favor.</p> <p>3. Same — Note Not Executed to Deceive Bank Commissioner. It is further held, upon the facts stated in the opinion, that the defendants failed to establish that plaintiff executed the note with the intent to enable the officers of the bank to deceive the bank commissioner or to conceal the condition of the bank from its stockholders and creditors.</p>