State v. Craig
This text of 12 N.W. 301 (State v. Craig) is published on Counsel Stack Legal Research, covering Supreme Court of Iowa primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.
Opinion
' Eor anything that appears, then, the trial of the case as an equitable action, was satisfactory to the appellant. If we [240]*240were of the opinion, therefore, that the appellee’s motion was improperly sustained, we should not he justified in reversing upon that ground.
The true idea, however, we think is, at least so far as the subsequent sureties are concerned, that Craig was not authorized to deliver the instrument after it had been altered to their prejudice. There is nothing in the nature of the transaction that can justify us in supposing that they contemplated anything of that kind. In no proper sense, then, can they be deemed parties to the instrument sued on.
III. When we come to the question as to whether the sureties can be held who signed before Geo. IT. Smith did, we find more difficulty. The bond with all the subsequent sureties released, differs in no material resqiect from the bond which the prior sureties signed.
If the understanding had been that the bond was to be delivered with their signatures and no one’s else, and afterward, and before the delivery, the signature of another person had been obtained and erased, there would be much ground for contending that the instrument was precisely their contract. But the bond had been put in circulation for the purpose of obtaining such number of signatures as Craig deemed necessary, and such number as should be found necessary to [241]*241secure its approval. We may assume that the sureties in question, signed with the understanding that that number would be obtained, and it could not have been understood that that number was to be obtained in such a way that a portion of them could not be held. Yet that is what Craig did. If we hold for the appellant, a liability would be imposed upon the sureties in question more burdensome than they had any reason to anticipate. Their real contract was expressed by the bond as it stood when all the signatures had been obtained, and before the erasure. That is the instrument which we must suppose that the sureties in question authorized Craig to deliver. When, afterward, he not only released Smith by erasure of his name, but released all who signed subsequently to him, and then delivered the bond, we must hold that he acted contrary to the understanding of the sureties, in question and without authority. In our opinion, they are not liable. Our attention has been called to no adjudications which are precisely in point, but as tending to support the views which we have _ expressed, see Smith v. United States, 2 Wallace, 219; McCramer v. Thompson, 21 Iowa, 244; Dickerman v. Miner, 43 Iowa, 508.
We think that the judgment of the Circuit Court must be
Affirmed.
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12 N.W. 301, 58 Iowa 238, Counsel Stack Legal Research, https://law.counselstack.com/opinion/state-v-craig-iowa-1882.