Rankin v. Emigh - 218 U.S. 27 (1910)
U.S. Supreme Court
Rankin v. Emigh, 218 U.S. 27 (1910)
Rankin v. Emigh
Argued April 15, 18, 1910
Decided May 31, 1910
218 U.S. 27
On error to a state court of last resort in a case involving the liability of a national bank under a contract, the findings of fact of the state court are binding on this Court, and only the federal question as to the effect of the facts found can be passed on.
Although restitution of property obtained under a contract which is illegal because ultra vires cannot be adjudged by force of the illegal contract, the courts will compel restitution of property of another obtained without authority of law; and, although the contract under which a national bank obtains money from an innocent third party may be ultra vires under Rev.Stat., §§ 5133-5136, the bank may be required to return the money so received to the party entitled thereto. Citizens' Central National Bank v. Appleton, Receiver, 216 U. S. 196.
In this case, even if the purchase and carrying on of a mercantile company by a national bank was illegal, the persons dealing with the mercantile company were entitled to receive the money paid into the bank for their account.
134 Wis. 565 affirmed.
The facts, which involve the liability of a national bank under a contract claimed by the receiver to be ultra vires, are stated in the opinion.