FIFE BANKING COMPANY v ROBERT WALKER RANNIE (Court of Session)

On the other hand, the Fife Bank stated that the composition was only paid to some smaller creditors who were harassing Greenhill with diligence; that the bank were not aware of this arrangement, never having been applied to for their accession; and that had they been ranked nothing could have been paid.

Charles Greenhill, after obtaining a settlement with such of his creditors as had agreed to accept the composition offered by him, went to Ross-shire, where he took a lease of a farm, which he stocked and possessed for several years. He died in 1828, leaving his affairs in a very desperate state; and no measures were adopted by the bank to recover payment of their debt from him prior to his death.

On 4th September 1832, a final dividend of 3s. in the pound was received by the bank from the estate of James Greenhill; and the balance which then remained due on the bill amounted, with interest, to L. 121: 10: 2½. For that sum the bank raised the present action against Rannie, libelling on the foregoing letters granted by him on 16th December 1823 and 10th July 1826.

‘The Lord Ordinary having considered the closed record, and heard parties' procurators thereon, and made avisandum, finds, that the pursuer, or his predecessors in office, have, by neglecting duly to discuss Charles Greenhill, or to use due means for rendering the debt effectual against him or his estate, have lost their recourse on the defender, in virtue of the letters libelled on, for the contents of the bill therein referred to: Finds, that no other ground of liability is set forth in the libel; therefore sustains the defences, assoilzies the defender, and decerns; finds expenses due‘.

Note .—‘1. The defender, when first applied to for payment of the bill, denied his liability, on the ground of no intimation of the dishonour having been given. The fact that no notice was given is admitted in this record.