Article Text
COURT DECISION AIDS CREDITORS Hold Valid in Part Guaranty Given York Bank by Co-operative Store Stockholders. Receiver Bliss of the Farmers State Bank, of York, wen a partial victory in the supreme court on Wednesday when the tribunal reversed in part a judgment for defendants, 36 of 160 farmer stockholders of the Allied Union Co-op erative Association of York, upons guaranty for $25,000 to creditors of the association. This was executed at a time when the co-operative store in York was in financial difficulties and was intended to guarantee creditors against loss. The document was deposited with the bank: The guarantors claimed that it CDVered only debts thereafter contracted, and was not to be effective until two-thirds signed it. The court says that the contract itself supports the contention of the creditors, that it was not material who delivered the agreement to the bank and that the bank was in legal possession. It is held to be effective with respect to creditors who knew of It and extended credit according ly, and BO upholds the claims of the bank, Peter C. Friesen, Henry Kline, Dolan Fruit Company and Raymond Bros. Clark Company, allowed as judgments against those who signed the guaranty and upon whom service was had with the exception of W. C. Towle. The lower court was told to enter judgment for guarantors against all other creditors, and in favor of Jens P. Nelson for a contribution from guarantors. CANNON CONVALESCING Bishop James Cannon Jr., who for several months had been undergoing treatment for arthritis at a lo cal hospital, now is convalescing at the Tuscott Sanitarium in Marlin, Tex APPROVES BARGE PURCHASE WASHINGTON, Jan. 8.-(U.P) Purchase of 40 barges at a cost of $2,546,800 for use of the Inland Waterways Corporation on the Mississippi River was approved by Secretary of War Hurley. BURY HOLLYWOOD ACTRESS HOLLYWOOD, Jan. 8.- (U.P.) Funeral services will be conducted here today for Ethel Grey Terry, for more than 20 years a promi nent stage and screen figure, who died here after a long illness. Sunday School Elects ARAPAHOE, Jan. 8-The Meth odist Sunday School board held its election Tuesday evening as follows: W. C. Bergquist, superintendent: Elda Magee, treasurer; Vic tor Dick, secretary: Helen Kropf. pianist: and Mrs. E. M. Short, junior superintendent. The Rev H. W. Wagner presided.
