Kaplan v. Goodman

187 A.D. 505, 175 N.Y.S. 745, 1919 N.Y. App. Div. LEXIS 6508

This text of 187 A.D. 505 (Kaplan v. Goodman) is published on Counsel Stack Legal Research, covering Appellate Division of the Supreme Court of the State of New York primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Kaplan v. Goodman, 187 A.D. 505, 175 N.Y.S. 745, 1919 N.Y. App. Div. LEXIS 6508 (N.Y. Ct. App. 1919).

Opinion

Merrell, J.:

The plaintiff has appealed from a judgment entered in the New York county clerk’s office dismissing plaintiff’s complaint, with costs, upon the verdict of a jury in favor of defendant. Plaintiff also appeals from, an order denying plaintiff’s motion to set aside the verdict and for a new trial upon the usual grounds.

The action is brought by the plaintiff, as executor of the last will and testament of Abram Kaplan, deceased, to recover upon six promissory notes made by the defendant, Max Goodman, each of which was payable to the order of said decedent. The notes in suit were as follows: One bearing date March 30, 1915, for $1,500, payable sixty days after date; one dated April 7, 1915, for $1,500, payable sixty days after date; one dated June 2, 1915, for $1,000, payable thirty days [507]*507after date; one dated May 30, 1915, for $1,500, payable sixty days after date; one dated July 9, 1915, for $1,000, payable August 1,1915, and one dated June 7,1915, for $1,500, payable sixty days after date.

As a defense to the note for $1,500 dated March 30, 1915, defendant, in his answer, alleges that said note was renewed by the note dated May 30, 1915, but that at the time of such renewal the March thirtieth note was not delivered up to the maker. Defendant also alleges that the note bearing date April 7, 1915, also for $1,500, was renewed by the note of June 7, 1915, for the same amount. It will be noted that defendant’s claim as to these two notes of March 30, 1915, and April 7, 1915, each of which matured sixty days after its date, finds corroboration in the circumstance that the notes of May 30, 1915, and June 7, 1915, were made, respectively, at the expiration of the sixty-day periods when said March and April notes were, by their terms, payable. Upon the trial one Daum, a bookkeeper for the defendant, having in charge the preparation and execution of the notes in question and who attended to their proper entry upon the books of the defendant, testified that the May 30, 1915, note and June 7, 1915, note were, respectively, renewals of the notes of March 30, 1915, and April 7, 1915, and that the two notes last mentioned should have been delivered by the payee to the maker upon their renewal, but were not, in fact, so delivered.

As to the note of June 2, 1915, for $1,000, payable thirty days from date, the defense interposed was that on or about the last day of June, 1915, the defendant paid said note by check. The alleged check was produced upon the trial and the transaction was sworn to by the bookkeeper Daum, who testified as to the payment of said note on the last day of June or 1st day of July, 1915.

As to the remaining note of July 9, 1915, for $1,000, Daum testified that this note was given for moneys advanced by the payee to the defendant at that time, and that in reality the note of July 9, 1915, took the place of that of June 2, 1915. Daum testified that the payee stated that he needed the $1,000 at the time when it was paid on the last day of June or 1st day of July, 1915, and that he then stated that [508]*508he would repay it to the defendant within a few days, and that on July 9, 1915, he actually did pay said $1,000 to the defendant and took the note in suit, dated on that day, to secure the same.

It is quite possible that as to the notes of March 30, 1915, and April 7, 1915, the notes of May 30, 1915, and June 7, 1915, were renewals. The defendant’s bookkeeper, Daum, testified that prior to July, 1913, Kaplan, who was an uncle of the defendant, had loaned the defendant various sums of money, and that in July, 1913, such loans amounted to $2,500 and were secured by notes of the defendant. Daum also testified that these notes were for the most part sixty-day notes, and that the notes of March 30, 1915, and April 7, 1915, were renewals of notes running through the preceding two years, it being the custom of the defendant to renew said $1,500 notes at the end of sixty-day periods during that time, paying interest on the notes when executed in advance for each sixty-day period.

It is quite possible that the defense, interposed by the defendant as to the note of June 2, 1915, wherein defendant asserts that said note was paid, may be justified by the facts. However, these six notes were in the possession of the payee at the time of his death, which occurred on July 22, 1915, less than two weeks after the giving of the note of July 9, 1915, for $1,000. Defendant does not dispute that the notes of May 30, 1915, for $1,500, of June 7, 1915, for $1,500, and July 9, 1915, for $1,000, w;ere held by the decedent at the time of his death and were valid claims against the defendant, unless they were paid and discharged by the performance of an oral agreement claimed by defendant to have been entered into between himself and the decedent with reference to said notes on or about July 5, 1913.

The decedent had considerable real and personal property. The defendant was a manufacturer of clothing in the city of New York. The evidence discloses that for some years prior to 1913 and from then on until testator’s death, the testator had been accustomed to loan and advance to the defendant considerable sums of money used by him in connection with his business. The notes in suit by no means represent all of the moneys that were advanced by the testator [509]*509to the defendant. The evidence of defendant’s bookkeeper discloses that aside from the $2,500 indebtedness which existed at the time of the making of the alleged agreement'between the parties and down to and including the time when said notes in suit were given, the testator had loaned defendant at various times considerable sums of money, amounting to $12,000 in the aggregate, and which with the $2,500 amounted to $14,500. It is the claim of the defendant, and plaintiff is, of course, unable to dispute it, that of these loans and accommodations made by the testator during the two-year period from 1913 to the testator’s death, all but $4,000 had been repaid by the defendant, and that the $4,000 remaining unpaid was represented by the three notes in suit, dated, respectively, May 30, June 7 and July 9, 1915, the first two, as before stated, being for $1,500 each and the last, bearing date July 9, 1915, being for $1,000.

As to these three last-mentioned notes, the defense interposed, and which presented the main issue upon the trial, was that by an oral agreement entered into between the testator and the defendant on or about July 5, 1913, outstanding notes of the defendant payable to and held by the testator, of which the notes in suit were renewals, were to be deemed paid and discharged in case the defendant and his family furnished certain entertainment, counsel and advice for the testator so long as he should live. Testimony was offered on the part of the defense in an effort to establish such an oral agreement whereby it was claimed said three notes in suit were to be discharged, and the full performance thereof on defendant’s part in satisfaction of said notes. Upon the. testimony presented upon the trial the jury rendered a verdict against plaintiff and in favor of the defendant upon which the judgment appealed from and which dismissed plaintiff’s complaint upon the merits was entered.

Upon a careful review of the evidence I am convinced that the verdict of the jury should not be permitted to stand, and that the same was not only clearly against the weight of the evidence, but is unsupported by competent testimony of a quality sufficient in law to establish the existence of the contract under which defendant asserts the said notes in suit were satisfied.

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Related

Rosseau v. . Rouss
72 N.E. 916 (New York Court of Appeals, 1904)
In re the Estate of McMillan
167 A.D. 817 (Appellate Division of the Supreme Court of New York, 1915)

Cite This Page — Counsel Stack

Bluebook (online)
187 A.D. 505, 175 N.Y.S. 745, 1919 N.Y. App. Div. LEXIS 6508, Counsel Stack Legal Research, https://law.counselstack.com/opinion/kaplan-v-goodman-nyappdiv-1919.