National Bank v. Puget Sound Lumber Co.

Citations

• 104 Wash. 363
• 176 P. 553
• 1918 Wash. LEXIS 1199

Syllabus

<p>Estoppel (15, 35-39) — Elements of Equitable Estoppel — Appabent Title — Set-Off—Assigned Account. Where a creditor of a logging company, by a written contract, purchased a raft of logs from its debtor, for “spot cash,” without any reservation of its right to the logs or an accounting, appreciating the legal effect of the contract, which it may have made with mental reservations for the purpose of obtaining possession of the logs, and the debtor immediately sold the account to a bank holding its notes, the creditor is estopped to withhold the cash or plead a' set-off as against the bank; since the doctrine of equitable estoppel applies as in the case of one who negligently causes another to rely on acts to its prejudice; notwithstanding the bank had knowledge of the previous situation of the parties to the sale, both of whom were liable on the notes held.</p> <p>Same. In such a case, attaching a draft for acceptance, not called for or mentioned in the contract, is not a suspicious circumstance calculated to put the buyer upon inquiry, as against the unqualified promise to pay cash.</p> <p>Same (63-65) — Pleading—■ SuFEiciBNcy of Allegations. The failure to plead an estoppel is not fatal, in view of Rem. Code, § 1752, requiring the disregard of technicalities and the considering of amendments as made, where hoth sides in fact relied upon an estoppel and both had set out the facts with the technical fault of omitting to state the legal conclusion of the estoppel; there haying been a trial on the merits and no claim of surprise.</p>