Western Dry Goods Co. v. Hamilton

Citations

• 92 Wash. 395
• 159 P. 373
• 1916 Wash. LEXIS 766

Syllabus

<p>Guaranty — Contract—Construction—“Purchase oe Goods” — Obugations Covered. A continuing guaranty of goods to be sold to a corporation, then in a failing or insolvent condition, is a guaranty only of the purchase price of goods sold to the store under its own management as a going concern, and not to secure the purchase price of goods sold after its management had been placed under the control of creditors for the purpose of liquidation, a representative of the creditors having control of the business and making dividends to the creditors.</p> <p>■Same — Contract—Construction—Past Indebtedness. A continuing guaranty of full payment of the account of K. Co., “whether now due or hereafter to become due,” given in consideration of “selling goods upon credit to said K. Co.,” excludes all other consideration, and hence does not guarantee a past due indebtedness, where no goods were sold to the company in reliance upon the guaranty; especially where no indulgence was granted on the account and the management of the business was taken over by the creditors and others within three days after the making of the guaranty.</p>