Orthwein v. Nolker

234 S.W. 787, 290 Mo. 284, 1921 Mo. LEXIS 64
CourtSupreme Court of Missouri
DecidedNovember 19, 1921
StatusPublished
Cited by6 cases

This text of 234 S.W. 787 (Orthwein v. Nolker) is published on Counsel Stack Legal Research, covering Supreme Court of Missouri primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Orthwein v. Nolker, 234 S.W. 787, 290 Mo. 284, 1921 Mo. LEXIS 64 (Mo. 1921).

Opinion

DAVID E. BLAIR, J.

This case originated in the Probate Court of the City of St. Louis as a demand against the estate of Louis T. Nolker, deceased. The claim was allowed in that court, and on appeal to the circuit court judgment was rendered in favor of the defendant, disallowing said claim, and plaintiff has appealed. The claim is based on the following note:

“St. Louis, December 19th, 1907.
“$5000.00
“One year after date I promise to pay to the order of Caroline Orthwein five thousand and no/100 dollars. For value received negotiable and payable without defalcation or discount with interest at the rate of six per cent per annum from date. Payable at the office of William J. Orthwein, Gray Building.
“PeboxideNt Meg. Co.
“Per Max R. QbtiíweiN, Prest.
“(Endorsed) Louis T. Nolker,
“Max R. Orthwein and Chas. C. Orthwein, Executors of the Estate of Caroline Orthwein, Deceased. ’ ’

The principal of said note with accrued interest brings the amount of the demand within our jurisdiction. No part of the principal or any interest thereon has been paid. Appellant acquired title to said note by endorsement from the executors of the estate of Caroline Orth-wein, deceased.

*289 Plaintiff offered and the trial court excluded oral evidence tending to show that Nolker was in fact maker of the note; that it was executed to renew a note signed by him as maker. This testimony was excluded on the ground that the witness, Max R. Orthwein, was incompetent to testify, because he was acting as the agent of Caroline Orthwein, fhe payee, and because Louis T. Nolker, the maker, was dead. Because of the view we take of the competency of this sort of testimony generally, discussion here of the competency as a witness of the agent of one party to a contract when the other is dead is unnecessary. That question will be considered later in the opinion in connection with the evidence offered tending to show waiver of notice of dishonor.-

The testimony of this witness as to the circumstances leading up to Nolker’s signature on the note was properly excluded, not for the reason assigned, but because it is not permissible to show by parol evidence that Nolker signed the note in any capacity other than as endorser. Plaintiff tried the case on the theory and endeavored to show that Nolker was in fact maker of the note. Section 10033, Revised Statutes 1909, enacted in 1905 (now Sec. 849, R. S. 1919), is as follows:

“A person placing his signature upon an instrument otherwise than as maker, drawer or acceptor is deemed to be an endorser, unless he clearly indicates by appropriate words his intention to be bound in some other capacity.”

In the case of Overland Auto Company v. Winters & Strang, 277 Mo. 425, this Division, construing the statute just quoted and speaking through White, C., held that the words “ unless he clearly indicates by appropriate words his intention to be bound in some other capacity” undoubtedly mean “words written upon the instrument itself” and that “the legal effect of a blank endorsement cannot be changed or varied by evidence from another source.” Certainly it could not be varied by parol evidence. Nolker signed the note in blank on the back thereof and not as maker, drawer or acceptor *290 and must be deemed an endorser and parol evidence to show that he was in fact a maker was incompetent. See cases cited in Auto Company v. Winters, supra.

The trial court permitted Max R. Orthwein to testify as follows:

“A. I met Louis Nolker at Faust’s by appointment, told him that Mrs. Orthwein insisted on the payment of the note when it became due and that the Peroxident Company was not in shape to take care of it, and asked about what he would do about it. He then said that it came due just about the holidays; it was very inconvenient for him to take care of it at that time, but if I would ask Mrs. Orthwein to let it run over until after the holidays, he would arrange for its payment and see that it was taken care of . ' .
“Mr. Orthwein: Q. After Mr. Nolker said that to you, what did you do? A. I submitted it to Mrs. Orth-wein, and also wrote to my brother, C. 0. Orthwein, at Kansas City. Mrs. Orthwein said, 'Very well; if he will see that it is taken care of shortly after the holidays, we will let it run on until that time. .
“Mr. Orti-iwbin: Q. Did you tell Mr. Nolker the result of your conversation with .your mother? A. I did; and he reiterated the fact that shortly after the holidays he would take care of the note. ... I told Mr. Nolker that Mrs. Orthwein said ‘Very well, she would let the matter run on until a short while after the holidays.’ He then said that was very good, and that he would be sure to take care of the note shortly after the holidays.”

In his findings of fact and conclusions of law the trial judge held that Max R. Orthwein was incompetent as a witness because he was acting as Mrs. Orthwein’s agent and the other party, Louis T. Nolker, was dead, and by such: ruling excluded the testimony covering the facts relied upon as constituting waiver of,notice of dishonor. We have no hesitancy in holding that if this testimony is competent and was believed by the trier of the facts, it is sufficient to show waiver of presentment and *291 notice of dishonor by Louis T. Nolker as endorser. [Secs. 10079 and 10081, Revised Statutes 1909 (now Secs. 895 and 897, R. S. 1919); Banking Co. v. Blell, 57 Mo. App. 410; Bank v. Bartle, 114 Mo. 276; Belch v. Roberts, 191 Mo. App. 243.] If Nolker knew the Peroxident Manufacturing Company could not or would not pay the note at maturity and, with such knowledge prior to the time presentment of the note to that company for payment and notice of dishonor to him were required, he agreed to pay the note or otherwise take care of it, if Mrs. Orthwein would wait until after the time for presentment for payment and notice of dishonor would necessarily be past, he certainly must be held to have waived the requirement that such note he presented for payment and if payment be refused that he be notified of such fact.

This brings us then to a consideration of the competency of Max E. Orthwein (and incidentally of Wm. E. Orthwein) as a witness. The trial court found that he was acting, during the transactions concerning which he testified, as the agent of his mother, the payee in said note. As to the correctness of this finding of fact we have great doubt. There was nothing in the mere relationship of mother and son that justifies such conclusion, nor in the mere fact that both were stockholders in the Peroxident Manufacturing Company. As the president of said company it would be quite in keeping with his duties for Max E. Orthwein to have acted entirely as the agent of such company in finding some one to loan the money and in securing an endorser, and when the note was about to become due in exercising diligence to see that it was paid or otherwise cared for. But the view we take of his competency as a witness makes it a matter of little importance whether he was his mother’s agent or not.

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Bluebook (online)
234 S.W. 787, 290 Mo. 284, 1921 Mo. LEXIS 64, Counsel Stack Legal Research, https://law.counselstack.com/opinion/orthwein-v-nolker-mo-1921.