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25 A.D. 11

McMoran v. Lange

Appellate Division of the Supreme Court of the State of New York · decided 1898-01-15

■ Appeal by the defendant Margaret J. Lange from a judgment of the Supreme Court in favor of the plaintiff, entered in the office of the clerk of the county of Saratoga, on the 4th day of November, 1897, upon an order made at the Saratoga Special Term and'entered in the office of the clerk of the county of Saratoga on the 21st day of October, 1897, granting a motion of the plaintiff for judgment upon the ground that the defendant’s answer was frivolous, and directing that…

Relies on Van Alstyne v. . Freday

Decided 1898-01-15

Merwin, J.:

¶1The defendant, in opposing the motion for judgment on account of the frivolousness of the answer, had a right to ■ attack the complaint. (Van Alstyne v. Freday, 41 N. Y. 174; Wilkin v. Raplee, 52 id. 248, 251.) The complaint, according to numerous decisions (Edison General Electric Co. v. Zebley, 72 Hun, 166 ; McPhillips v. Jones, 73 id. 516 ; Woodruff v. Leonard, 1 id. 632; Draper v. The Chase Manfg. Co., 2 Abb. N. C. 79), was fatally defective, unless, as claimed by the plaintiff, the defect was obviated by the provisions of section 114 of the Negotiable Instruments Law (Chap. 612, Laws of 1897), taking effect October 1, 1897. The order for judgment was made at Special Term in June, 1897.

¶2The action was upon a promissory note dated July 30, 1896, made by the defendant Charles E. Lange and payable to the order of the •plaintiff-three months after date. The allegation of the complaint is that the defendant Charles E. Lange made the. note, a copy of which was set out, “ and delivered the same to the plaintiff, and the ■said Margaret J. Lange, before the delivery thereof to plaintiff, indorsed the said note, and the same was thereupon,, and before- it *13came due, for value received, duly transferred to the plaintiff, who then became and still is the owner and holder thereof.” There was no allegation that Margaret indorsed it in order to give the maker credit with the payee or as surety for the maker. An allegation to that effect is held to be necessary in the cases above cited.

¶3By section 114, above referred to, it is provided that when a person, not otherwise a party, indorses in blank, before delivery, an instrument payable to the order of a third party he is liable as indorser to the payee.

¶4According to the law as it stood when the action was commenced, certain facts must exist beyond the simple fact of indorsement in order to make the defendant liable. The subsequent statute makes a different, obligation, and, therefore, does not affect prior contracts.

¶5We are of the opinion that this act, not taking effect till October 1, 1897, does not help the plaintiff on this appeal. '

¶6It follows that the order for judgment was improperly granted. It seems that under section 3238 of the Code we have no discretion as to the costs of the appeal.

¶7All concurred.

¶8Judgment and order reversed, with costs, and motion denied.

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