Title Guaranty & Surety Co. v. Nichols

Citations

• 224 U.S. 346
• 32 S. Ct. 475
• 56 L. Ed. 795
• 1912 U.S. LEXIS 2307

Syllabus

<p>While liability under a surety bond for honesty of an employé would be defeated if the loss was due to neglect of the employer to take the precautions required by the bond, the condition is subsequent and not precedent, and there is no occasion for an avermént in respect thereto; it is a matter of defense that must come from the other side, upon whota the onus rests.</p> <p>Where the evidence, as in this case, shows that examinations were made, it is for the jury to determine whether reasonable diligence had been used in.making them.</p> <p>The certificate of correctness of employé’s accounts on obtaining renewals of surety bond for his honesty held in this case not to be a warranty but a certificate that his books had been examined and found correct.</p> <p>The mere fact that the examination, if made by a reasonably cometent person, failed to discover discrepancies covered by false entries and bookkeeping devices would not defeat renewals of the policy.</p> <p>On appeals from the courts of the Territories, questions of weight and credibility of evidence are not for the consideration of this court.</p>