N.S. Koos & Son Co. v. Tehan

• Decision Date: 07 February 1961
• Citation: 107 N.W.2d 630,12 Wis.2d 554
• Parties: N.S. KOOS & SON CO., a corporation, Appellant, v. Eugene TEHAN, alias, et al., Respondents.
• Court: Wisconsin Supreme Court

Page 630

107 N.W.2d 630

12 Wis.2d 554

N.S. KOOS & SON CO., a corporation, Appellant, v. Eugene TEHAN, alias, et al., Respondents.

Supreme Court of Wisconsin.

Feb. 7, 1961.

Henry C. Friend, Milwaukee, for appellant.

Martin J. Torphy, Rudolph John Mudroch, Milwaukee, for respondents.

DIETERICH, Justice.

In 1956, the plaintiff-appellant, N. S. Koos & Son Co. sold and delivered fertilizer and insecticides to the defendant Tehan Farms, Inc., a corporation, of which the defendant Eugene Tehan or Gene Tehan was the president, treasurer and principal stockholder. The sales were made on open account and were billed to Milwaukee Gardeners Association, Tehan Farms, Inc. which made installment payments.

After a time the balance was carried in the form of a series of promissory notes. As each note matured, it was canceled, and another issued in its place in the amount then due. The first and last of these notes were executed by Eugene or Gene Tehan, as an individual. The intervening notes were executed by Tehan Farms, Inc.

The last note, dated June 4, 1958, in the sum of $1,960.50 was signed by the defendant Gene Tehan.

The complaint alleges that Eugene Tehan is president and treasurer of the defendant corporation and also alleges that the corporation is engaged in the operation of a farm and other industries, that prior to June 4, 1958, the plaintiff at the special instance and request of the defendants sold and delivered goods, wares and merchandise to the defendants; That on June 4, 1958, Eugene Tehan, using the name 'Gene Tehan,' made and executed a promissory note in the sum of $1,960.50. It further alleges that demand was made for payment when the note became due on July 5, 1958; that nothing had been paid on the note excepting $100, that the plaintiff is the owner and holder of the note and that there is due presently the sum of $1,860.50.

The answer admits that prior to June 4, 1958, the plaintiff sold and delivered goods to the Tehan Farms, Inc., admits that on June 4, 1958, the corporation (Tehan Farms, Inc.) signed a promissory note in the sum of $1,960.50. Eugene Tehan denies that he executed the note personally, but that the executed the promissory note as an officer of the corporation. The Tehan Farms, Inc., in its answer also admits that there is due and owing on the note $1,860.50. The defendant, Eugene Tehan, denies any liability on the note and denies all of the allegations of the complaint respecting his liability.

The statutes...