Bank of Ireland v Martin

• Jurisdiction: Ireland
• Judgment Date: 04 March 1937
• Date: 04 March 1937
• Docket Number: (1935. No. 528 P.)
• Court: Supreme Court (Irish Free State)

[H. C., S. C., I.F.S.]

Bank of Ireland

and

Martin

Liability of customer to Bank on foot of guarantee - Set-off - Customer's money on deposit receipt applied by banker in discharge of his liability on foot of guarantee - Liability of banker to customer.

A banker is not entitled to apply the money of a customer, standing to the customer's credit in the books of the bank upon a deposit account, without the authority, express or implied, of that customer, in discharge of the indebtedness to the bank of another customer whose debt has been guaranteed by the depositor. So held by the Supreme Court. In 1919 P. Martinand another guaranteed payment to a Bankof all debts (but not exceeding £1,800) due, or to become due, to the Bank by one, Nicholas Mullett. In 1922 Martin, who was a customer...