Union Trust Co. v. Berry
| Decision Date | 13 February 1933 |
| Docket Number | 4-2853 |
| Citation | 57 S.W.2d 413,186 Ark. 966 |
| Parties | UNION TRUST COMPANY v. BERRY |
| Court | Arkansas Supreme Court |
Appeal from Pulaski Chancery Court; Frank H. Dodge, Chancellor affirmed.
Decree affirmed.
Charles S. Harley, for appellant.
Pace & Davis and Walter L. Pope, for appellee.
This appeal challenges the correctness of a decree holding appellee entitled to the proceeds of a check given for the purchase price of cattle sold for him as against appellant and others.
Magness a member of the firm of Magness & Barham, cattle dealers, and who was also the president of the Bank of Western Grove, sold 100 head of cattle belonging to appellee at an agreed price and commission for making the sale to Evans Brothers of Pulaski County, Missouri. The buyer, Evans, after the cattle had been weighed, being in a hurry to get back home on that day, gave a single check for the balance of the purchase price, instead of two checks, a separate one for the balance of the commission Magness was to receive, Magness remarking at the time that he only had $ 65 coming. There being no bank in Yellville, Magness said he would take the check and collect it. He deposited the check in his name the next day in the bank at Western Grove, telling the cashier when making the deposit slip that he only had $ 65 interest therein, and he gave a check on his account to appellee for the balance, $ 2,786.72.
The Western Grove bank immediately sent the check to its correspondent bank, appellant, "for collection and credit," and the check was sent on for collection, and payment was stopped, and suit was brought by appellant bank and an attachment issued and the proceeds of the check was paid into the registry of the court here on stipulation of the parties. The court found that appellee was the rightful owner of said fund, that appellant had wrongfully prevented its payment to him by its suit in Missouri, and decreed accordingly, directing the clerk of the court to turn over the fund in the registry, $ 2,786.72, to appellee. A decree was also rendered against appellant for interest and costs, and from this decree the appeal is prosecuted.
Appellant bank, to which the check was sent for collection and credit did not collect it, and had no other right to it than as agent, and, not being bound by an entry of credit, it had no power to bind the real owner thereby. The owner or holder of the paper, who delivered it...
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