Tischler v. Hofheimer, Son & Co.

Citations

• 83 Va. 35
• 4 S.E. 370
• 1887 Va. LEXIS 35

Syllabus

<p>1. Guaranties&emdash;Construction&emdash;Effect.&emdash;Letters of credit are regarded as mercantile instruments and should receive a fair and reasonable interpretation, according to what the circumstances indicate to have been the intention and understanding of the parties; and their effect is to bind the writer to indemnify the person, who, on the faith of their guaranty, parts with his property, and continues to bind the writer until he revokes the guaranty.</p> <p>2. Idem&emdash;Case at Bar.&emdash;T., in a letter to H., asked him to let F. have as many boots and shoes as he wanted, and said that he, T., would see .H. paid, This letter was presented, and H., on faith of it, sold bills of boots and shoes to F., to whom, previously, H. had refused credit. Three months later, T. recalled the letter, at a time when F. owed H. nothing. H. did not return the letter, but continued to sell goods to F. In suit of H. against T. on the guaranty&emdash;</p> <p>Held :</p> <p>1. The letter constituted a continuing guaranty until revoked by T.</p> <p>2. T.’s revocation prevented his liability for the goods sold after its date.</p>