Simpson v. City of New Orleans

Citations

• 109 La. 897
• 33 So. 912
• 1903 La. LEXIS 450

Syllabus

<p>MATERIAL LIEN — RIGHTS OF PARTIES — PAYMENT — NOTE—FORGED INDORSEMENT.</p> <p>1. A furnisher of materials with privilege on a building may look to the amount due to the contractor, his debtor, under the building contract, and is not bound to have recourse to the surety on the contractor’s bond; and it makes no difference that the contractor has assigned his right to payment under the contract.</p> <p>2. Where a debtor makes a note to his own order, and indorses it, and forges indorsements on the note, so as to give it negotiable value, the signature of the maker himself being of no negotiable value, and thereupon delivers the note to his creditor in payment, and the latter indorses and negotiates the note, the transaction does not constitute a payment. The creditor is bound to restore the amount received from the negotiation of the note. As obtained on the note delivered to him by the debtor, he at no time had the right to keep the money. If it so happens he cannot return same, his obligation to refund stands in the place of the money itself.</p> <p>(Syllabus by the Court.)</p>