M'Allister v. M'Gallagley [1910] ScotLR 32 (02 November 1910)

M'Allister v. M'Gallagley [1910] ScotLR 32 (02 November 1910)

The written contract and the promissory-notes payable on demand constitute the entire agreement between the parties as to repayment. Parole evidence of prior or collateral verbal agreements as to duration is inadmissible. The complainer, by granting the notes on demand without objection, is bound by their terms, and the respondent is entitled to enforce them.

Citation
[1910] ScotLR 32
Parties
Complainer (purchaser): Francis Sanders M'Allister; Respondent (seller): Joanna M'Gallagley
Jurisdiction
Scotland
Judgment Date
02 November 1910
Procedural Posture
Civil (contract/suspension of Charge) / Inner House, First Division, Reclaiming Motion (appeal) From Lord Ordinary
Outcome
Suspension refused; interlocutor of Lord Ordinary recalled in part; respondent's plea sustained; charges found orderly proceeded with.
Legal Topics
Construction of Written Agreements, Loan Agreements, Promissory Notes, Parol Evidence Rule, Proof by Writ or Oath
Contract Law Commercial Law Construction of Written Agreements Loan Agreements Promissory Notes Parol Evidence Rule Proof by Writ or Oath

Case Brief

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Parties

Francis Sanders M'Allister

Complainer (purchaser)

Joanna M'Gallagley

Respondent (seller)

Procedural Posture

Civil (contract/suspension of Charge) / Inner House, First Division, Reclaiming Motion (appeal) From Lord Ordinary

Legal Issues

  1. 1 Whether the complainer can suspend charges on promissory-notes on the basis of an alleged verbal agreement postponing payment until expiry of lease
  2. 2 Whether parole evidence is admissible to prove a term (duration) omitted from the written contract
  3. 3 Whether the granting of promissory-notes payable on demand precludes reliance on prior or collateral verbal agreements

Ratio Decidendi

The written contract and the promissory-notes payable on demand constitute the entire agreement between the parties as to repayment. Parole evidence of prior or collateral verbal agreements as to duration is inadmissible. The complainer, by granting the notes on demand without objection, is bound by their terms, and the respondent is entitled to enforce them.

Court Disposition

Suspension refused; interlocutor of Lord Ordinary recalled in part; respondent's plea sustained; charges found orderly proceeded with.

Orders

  • Adhered to interlocutor of 18th June 1910 as to amendment of record
  • Quoad ultra recalled said interlocutor