Title Guaranty & Surety Co. v. Turnes, 182 Ill. App. 23 (1913)

Oct. 9, 1913 · Illinois Appellate Court · Gen. No. 17,959
182 Ill. App. 23

The Title Guaranty and Surety Company, Appellee, v. W. J. Turnes, Appellant.

Gen. No. 17,959.

(Not to be reported in full.)

Abstract of the Decision.

1. Corporations, § 305 * —when officer of pretended corporation is personally liable. Under J. &. A. T[ 2435, Hurd's R. S. Ch. 32, § 18, an officer executing a contract in the name of a pretended corporation to indemnify a person becoming surety on a bond of such corporation is personally liable to such surety for reimbursement, though recovery on the bond was not against such officer personally.

2. Corporations, § 320*—proof to establish personal liability of officer. To recover against an officer for liabilities contracted by him in the name of a pretended corporation, plaintiff must prove that defendant acted as officer of the corporation, that there was no such corporation and that such officer contracted in the name of the corporation.

Appeal from the Municipal Court of Chicago; the Hon. William N. Gemmill, Judge, presiding. Heard in the Branch Appellate Court at the October term, 1911.

Affirmed.

Opinion filed October 9, 1913.

Statement of the Case.

Action by The Title Guaranty and Surety Company, a corporation, against W. J. Turnes to enforce the personal liability of the defendant as an officer of a pretended corporation, under Hurd’s R. S. ch. 32, § 18, J. & A. H 2435, on a contract of indemnity made by defendant in the name of such corporation. From a judgment for plaintiff, defendant appeals.

James Hibben, for appellant.

Sheriff, Dent, Dobyns & Freeman, for appellee.

Mr. Presiding Justice McSurely

delivered the opinion of the court.

*243. Corporations, § 305*—when judgment not res adjudicata on question of officer’s liability. Judgment against a pretended corporation on its bond is not res adjudicata on question who is liable on a contract executed by its officer in the name of the corporation to indemnify a surety on the bond.

4. Indemnity, § 8*-—words in contract construed. In a contract to indemnify a surety on a bond bearing a date subsequent to that of the contract, the words “by reason of its having executed said bond’’ refer to a future time when surety may sustain loss.