Swenson v. Stoltz

Citations

• 36 Wash. 318
• 78 P. 999
• 1904 Wash. LEXIS 556

Syllabus

<p>Negotiable Instruments — Indorsement ■ — • Guaranty — Oral Guaranty for Value, not Affected by Want of Indorsement, The negotiable instrument law of 1899, p. 347, §§ 30, 31, and 49, providing for negotiation by indorsement, does not affect an oral guaranty made by the payee in transferring a promissory note without indorsing the same since § 49 vests the title in the transferee without indorsement and the guaranty is an original obligation independently of the note, raising no question between the maker and the holder of the note.</p> <p>Negotiable Instruments — Frauds, Statute of — Oral Guaranty. The oral guaranty of a promissory note, made by the payee upon negotiating the same for value received, is not within the statute of frauds, and is a binding contract independently of the note.</p> <p>Same — Statute Limiting Liability to Persons Whose Signatures Appear on Instrument. Section 18 of the negotiable instrument law (Laws 1899, p. 347) limiting liability to persons whose signatures appear upon the instrument, and intended to operate as a statute of frauds, has no application to oral guaranties made by the payee upon transferring a note for value received, since that is an original and absolute obligation, to which the note is merely incidental and collateral.</p> <p>Community Property — ■ Liability — Judgment—Conformity to Verdict — Oral Guaranty of Husband — Verdict Against Husband — Failure to Find Liability of Community. In an action against a husband and wife upon the oral guaranty of the husband, made by him upon transferring a note for value received, in which action recovery is sought against the husband personally and against the property of the community, and the only question submitted to the jury was the personal liability of the husband, upon which they returned a verdict against the husband without passing upon the community liability, it is error to enter judgment upon the verdict against the community composed of the husband and wife, since suc