Lapham v. Barnes

2 Vt. 213
CourtSupreme Court of Vermont
DecidedFebruary 15, 1828
StatusPublished
Cited by13 cases

This text of 2 Vt. 213 (Lapham v. Barnes) is published on Counsel Stack Legal Research, covering Supreme Court of Vermont primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Lapham v. Barnes, 2 Vt. 213 (Vt. 1828).

Opinion

Prentiss, J.

delivered the opinion of the Court. — Whether the note, given by the plaintiff to Mr. Burr, was payment of the former debt, and created a cause of action in favor of the plaintiff, for so much money paid, laid out and expended, is the first question. By the common law, though it is otherwise in the civil law, the mere substitution of one simple contract in place of another, does not, while it remains unexecuted, operate as an extinguish-meet of the old debt; yet it seems that a promissory note, if it be received in satisfaction, will have that effect. (Barclay vs. Gooch, 2 Esp. Cas. 571, — Duke vs. Mitchell, 3 East, 251.) In Sheeby vs. Mandeville, 6 Cranch, 264, Marshall, Ch. J. said, that, although, as a general principle, a promissory note of the party, or of a third person, will not, of itself, discharge the original cause of action, yet if the note, by agreement, is received as payment, it satisfies the original contract, and the party receiving it must take his remedy upon it. The same doctrine was adopted in Wetherby vs. Mann, 11 Johns. Rep. 518,. and in Arnold vs. Camp, 12 Johns. Rep. 409. In the latter case, it was held, that a promissory note of one of two partners, given for anote against the partnership, was a discharge of the partnership note j and that the giving up of the latter to be cancelled was sufficient evidence that the former was intended and agreed to be received as payment. But the mere circumstance, that the original cause of action has been extinguished by the party, is not sufficient to entitle him to recover under a count for money paid. In Taylor vs. Higgins, 3 East, 169, it was held, that the giving of a new bond and warrant of attorney by a surety, although it was received in payment and satisfaction of the old debt, and the old bond and warrant of attorney were cancelled, could not be considered as so much money paid for the defendant’s use. In Cummings vs. Hackley, 8 Johns. Rep. 202, the question was, whether giving a bond in discharge of the liability of the plaintiff, as surety for the defendant, was to be considered as payment of money, so as to [217]*217support aft action for money paid. It was determined-, that, although, as between the parties to the bond, it- might be sufficient to discharge the simple contract debt, because it was changingThe security to one of a higher nature, yet that a bond had no analogy to cash, and Was neither the actual payment -of money, nor equivalent to the payment of money» In Moore vs. Pyrke, 11 East, 52, where the plaintiff’s goods were distrained and sold for rent due from the defendant, it was held, that the money produced by the sale, and paid over to the landlord in satisfaction of the ¡rent, could not be considered the plaintiff’s money ; and, therefore, although the debt was extinguished by the seizure of the plaintiff’s goods, it was not paid by him in money, and he could not recover in an action for money paid for the defendant’s use. In Maxwell vs. Jameson, 2 Barn. & Ald. 51, where the plaintiff, being one of several makers of a promissory note, took up the note, giving his own bond for the amount, the question was, whether an action for money paid could be maintained. Bailey, J. said, that the plaintiff had paid no money; none had as yet come out of ’ his pocket, and non constat that any ever would ; for if he recovered from the defendant, still it was possible that he might never pay the money over •: when he paid the money due upon the bond, he might then have his remedy. -Abbott, J. said, that even supposing -that the plaintiff had entirely relieved the defendant from the demand against him, still the giving of a new security which extinguished the old debt, was not the same as payment. According to the reasoning in the two cases last cited, it would seem that nothing 'but the actual advancement of money will be sufficient to support the action for money paid. But it has been determined in several instances, that although the plaintiff has not actually paid money, yet if he has given what is equivalent to it, she action may be maintained» In the case of Barclay vs. Gooch, it was held, that if a party gives a promissory note for the debt of an other, which the creditor accepts in payment, it is a payment of money to the party’s use and may be recovered as such. And its Weiherby vs. Mann, it was determined that the giving of a negotiable note, if received in satisfaction of the debt, is equivalent to the payment of money,and may be considered as the payment cf money. These cases are supported on the ground, that a ¡negotiable note is the current representative of money, and may be regarded as money; and on the whole, we are inclined to think, that as as the plaintiff’s note was accepted by Mr. Burr, as payment, and the old debt was thereby satisfied, it may be considered the same as if so much money had been paid by the plaintiff, and will support the action for money paid.

[218]*218The next question is, whether the payment made by the plain-is to be considered as so much money paid by him for the use both defendants, and this action, which is a joint action against both, can be maintained. If both defendants had been principals in the note to Mr. Burr, and the debt had been the proper joint debt of both of them, there could be no question but that the action might be maintained, although the plaintiff paid the debt at the request of one of them only; for in such case the request of one would operate as the request of both, and as the money would be paid for the use of both, the law would imply a promise on the part of both to repay it. But from what appears in the case, it must be taken, we think, that the debt was the proper debt of Barnes, and that Hitt was in fact a mere surety and considered in this view, if the plaintiff had not been a party to the note, and recognized as such by Hitt, but had paid the debt, being a stranger to the note, at the request of Barnes, the principal, it would seem, that the payment must be deemed to have been made for the separate use of Barnes, and not for the joint use of him and Hitt. In such case, the payment of the plaintiff would have the same effect, as it respects Hitt, as ifit had been made by Barnes himself, whose duty it was to pay the debt, and the plaintiff’s remedy would be against Barnes alone. In the case of Exall vs. Partridge et al. 8 T. R. 308, cited by the plaintiff’s counsel, the defendants were joint lessees of certain premises, and covenanted to pay the rent. Two of the defendants had assigned their interest in the premises to the third, and subsequent to the assignment, the plaintiff, with knowledge of that fact, put his-goods on the premises, where they were taken as a distress for rent ar-rear ; and the plaintiff in order to redeem his goods, which had been thus wrongfully taken, was obliged to pay the rent. It was held, that the plaintiff, under the circumstances of the case, might maintain an action for money paid against the three defendants.

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Bluebook (online)
2 Vt. 213, Counsel Stack Legal Research, https://law.counselstack.com/opinion/lapham-v-barnes-vt-1828.