Oliver Finnie Grocery Co. v. Sumner

Citations

• 73 Miss. 248

Syllabus

<p>Promissory Notes. Indorsement. Consideration. Vendor’s lien. Equity.</p> <p>A vendee of land gave to his g-rantors his note for $400. in part payment of the purchase money, and afterwards sold the land for $1,200, taking from his grantee $200 in cash, and five notes for $200 each, all of which notes, including that for $400, were secured by a vendor’s lien. Having- collected one of the $200 notes, he transferred the other four to his grantors by indorsement in blank, to enable them to borrow money to relieve their necessities, at least to the extent of what he owed them on his $400 note; and they, thereupon, indorsed them to creditors of their own to secure an indebtedness not greater than the amount due on the $400 note, the creditors accepting them being- wholly ignorant of the agreement on which they were held. Held, that the consideration of the transfer to said creditors was sufficient, and that it was error to dismiss a bill filed by them for the subjection of the land to the payment of the four $200 notes, and the satisfaction of their debt out of the amount realized thereby, and also error to dismiss the cross bill of the first vendee, whose rights in said notes were subject only to those of the complaining creditors.</p>