Wm. R. Moore Dry Goods Co. v. Ainsworth

Citations

• 110 Miss. 705
• 70 So. 885

Syllabus

<p>1. Bills and Notes. Validity. Fraud.</p> <p>When the agent of plaintiff acting in good faith promised the defendant further credit and an extension of time, in order to secure their signatures to notes for a preexistng debt, the fact that plaintiff later refused to extend the credit promised was not such a fraud as invalidated the notes.</p> <p>2. Same.</p> <p>In such, case the failure of the plaintiff to allow further credit was but a partial failure of consideration and defense to an action on the notes only in the nature of a set-off to the extent of actual loss caused by the failure of plaintiff to carry out the obligation to extend further credit.</p>