Peyton v. Stuart

Citations

• 88 Va. 50
• 13 S.E. 408
• 1891 Va. LEXIS 8

Syllabus

<p>1. Contracts — Interpretation of parties — Case at bar. — P. owned $37,500 of of stock for which he paid §17,500 in cash, the balance being issued on the betterments to the corporation’s property, to pay for which its notes indorsed by P. & S. and another stockholder were outstanding and unpaid. S. bought P.’s stock “ on the basis of cost ” and $5,000. In another similar contract, S. used the same expression, which he interpreted as an assumption of the other party’s liabilities as to said corporation, and P. was cognizant of that interpretation. S. afterwards paid off said notes and sued P. as his co-endorser for contribution;</p> <p>Held :</p> <p>S. is bound by his own interpretation to treat P. as released from all liability as respects said notes.</p> <p>2. Test Case — Common defence — Case at bar. — In several suits between same parties there was a common defence. Parties agree that one decision shall decide all;</p> <p>Held':</p> <p>Such agreement is valid, and on appeal, reversal, or affirmance of one case, governs all.</p>