SIGNING A GUARANTEE

Feilding Star, Volume 7, Issue 2303, 4 September 1929, Page 6

SIGNING A GUARANTEE

INTERESTING JUDGMENT (Per Press Assoclat*"**) Hamilton, Sept. 3. Th e failure of tli e Dairy Farmers’ Union, which operated for seven rears, led to a lawsuit among the guarantors of £IOOO overdraft at the Supreme Court to-day. Three guarantors, C Parker, F. W. Thomas, and It. A. Forsmun, sued four others for a share of the guarantee. The case turned on the contention of the defendants that their signatures to th e guarantee were obtained on the understanding that it would not be effective unless a total of 20 signatures was obtained. Mr Justice Ostler held that this was not proved, but that it was agreed that some additional signatures be obtained wliereas only one was added. He therefore refused to make the order against two of the defendants, If. R. .7. Soutliee and B. F. Barlow, who disputed the claim, but mad e an order against A. E. Fear and J. Livingstone, who had admitted liability at the beginning of the hearing.