Mohrfeld v. Second German South-Eastern Building Ass'n

Citations

• 194 Pa. 488
• 45 A. 335
• 1900 Pa. LEXIS 423

Syllabus

<p>Building association — By-laws—Payment of money to secretary instead of treasurer — Recognition of debt — Payment of interest on debt.</p> <p>In an action against a building and loan association to recover money loaned, where the defense is that the money has been paid by the plaintiff to the secretary, who defaulted, instead of to the treasurer, as provided by the by-laws, a verdict and judgment for plaintiff will be sustained where the evidence showed, for a period of five years from the date of the loan, regular and constant payments of interest on the amount of the loan, which payments originated first, in the action of the directors authorizing each payment as one of the regular expenditures of the association, and next, the issuing of orders signed by the president and secretary, directed to the treasurer, requiring him to pay the amounts of the orders, distinctively as interest, to the plaintiff, and the treasurer making the payments on the orders.</p>