Bank of California v. J. L. Mott Iron Works
Before: McFarland
Synopsis
Interpleader — Collection of Note by Bank—Conflicting Claims — Ownership of Note —Garnishment — Presumption — Evidence — Support of Judgment.—In an action of interpleader brought by a bank, which collected a note assigned by a plumbing company to one of the defendants, who forwarded it to the bank for collection on his account, and which was also alleged to have been garnished at suit of a creditor of the plumbing company in respect to the money collected on the note, in which action the assignee of the note and the attaching creditor interpleaded, it must be presumed, prima facie, that the holder of the note who sent it to the bank for collection was the owner thereof, though such presumption might be overcome by counter-evidence; and a judgment in favor of the attaching creditor against the holder of the note cannot be supported where there is no proof that the writ of attachment issued or was served upon the bank.
Id.—Inadmissible Evidence — Letter from One Bank to Another.— Where the note was forwarded by the owner to one bank for collection, which in turn forwarded it for collection to another bank, a letter from the latter bank to the former is not admissible evidence against the holder of the note.
McFarland, J. The plaintiff, the Bank of California, brought this action against the J. L. Mott Iron Works, the West Coast Plumbing Supply Company, and S. A. Monsarratt, defendants. The plaintiff and the two defendants first above named are corporations. The plaintiff alleged that it had on deposit, and held as a banking corporation, six hundred and twenty-seven dollars, which was claimed by each of said defendants hostilely to each other. Plaintiff alleged that it had no interest in said money, and asked to be allowed to pay the same into court, and that said defendants be compelled to inter-plead and litigate their several claims to said money among themselves. The defendant, the West Coast Plumbing Supply Company, made default, and the said defendants, the Mott Iron Works and said Monsarratt, filed pleadings in which each claimed title to said money. They consented that plaintiff deposit said money in court, and be relieved from any further liability in the matter.
The plaintiff came into possession of said money in this way: A certain firm called J. L. Barker & Co. had executed its note to the said defendant, the West Coast Plumbing Supply Company, for five hundred and fifty dollars, payable to the order of said company, and said note had been sent to the plaintiff, the said bank, for collection by one Louis E. Arnold, inclosed in a letter dated at Vancouver, British Columbia, with directions that said bank should collect the same and remit the proceeds to said Arnold at Yokohama exchange. The bank collected the money due on said note, and said money is the subject of this action.
The Mott Iron Works contend that they commenced an action against the said plumbing company, in which they had an attachment issued; and that, by virtue of said writ of attachment, they garnished said money in contest in the hands of the said bank plaintiff, and that it was the money of said company. It also claims that [411]it recovered judgment against said plumbing company in said action.
The said defendant Monsarratt contends that said note belonged to said Arnold, and that the said Arnold assigned to said defendant the moneys collected upon said note by said bank.
The case does not seem to have been very closely tried, and the record presents the conflicting claims of the parties in a rather unsatisfactory manner. There are findings of the court which are not sustained by the evidence, though most of the findings not thus sustained are immaterial. For instance, the court finds that “all the defendants” claim said money, and demand payment for the same; whereas, the defendant, the plumbing company, does not claim said money, but, on the other hand, made default; but this finding is immaterial. It is also found that “the defendant West Coast Plumbing Supply Company indorsed and delivered said promissory note to the plaintiff, the Bank of California, for collection”; and there is no evidence to support this finding; but this finding is not material except, perhaps, in one view of the case, which will be noticed hereafter. There are some other findings not sustained by the evidence which are also immaterial. There are also exceptions to rulings of the court about matters which are immaterial.
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