Dunn v. Wade

• Decision Date: 31 March 1856
• Citation: 23 Mo. 207
• Parties: DUNN, Plaintiff in Error, v. WADE, Defendant in Error.
• Court: Missouri Supreme Court

23 Mo. 207

DUNN, Plaintiff in Error,

v.WADE, Defendant in Error.

Supreme Court of Missouri.

March Term, 1856.

1. Accommodation indorsers of a promissory note may, as between themselves, be co-securities, and where, in such a case, one of such indorsers pays the whole amount of the note, he will be entitled to contribution from the other, whatever may be the order of the indorsements.

Error to St. Louis Circuit Court.

Knox & Kellogg, for plaintiff in error.

Comfort & Manter, for defendant in error.

RYLAND, Judge, delivered the opinion of the court.

The amended petition of the plaintiff alleges that David Runnion made his certain promissory note, dated May 23d, 1854, and thereby promised, ninety days after date, to pay to the order of John Dunn (the plaintiff) twenty-five hundred dollars, negotiable at the bank of the state of Missouri, without defalcation or discount; that said note was indorsed by the said John Dunn and William Wade, as co-securities; and that said note was an accommodation note, indorsed as aforesaid for the accommodation of the said David Runnion, who procured said indorsement solely for the purpose of getting said note discounted; all of which was well known to both said Dunn and said Wade, when they indorsed said note. The petition alleges Runnion's insolvency some weeks before the maturity of the note, and that this insolvency was known to both Dunn and Wade, co-securities as aforesaid, some weeks before the maturity of the said note. Plaintiff states that he paid the amount of said note at its maturity, being twenty-five hundred dollars. He further states that said note was paid as aforesaid at the request of said William Wade. He asks judgment for $1250, the half of said note, paid by said Dunn as cosecurity for said Wade as aforesaid, with interest.

To this petition the defendant demurred, because the said amended petition does not state facts sufficient to constitute a cause of action; and states the following as a cause of demurrer: The said amended petition shows that the defendant was the last indorser upon a negotiable promissory note, previously indorsed and since paid by the defendant, and does not allege any agreement or contract between plaintiff and defendant changing defendant's liability prima facie as such last indorser. There is no agreement alleged to have been made between plaintiff and defendant that they should become cosecurities of said David Runnion upon the note mentioned in the plaintiff's amended petition.

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