The People of the State of New York, Respondent v. Clinton T. Backus, Appellants

Summary

The New York Court of Appeals affirmed the judgment that the guarantors of the 1880 bank bond remain liable for all deposits made by the prison agent under the direction of the state comptroller, despite the abolition of the prison contract labor system and the extension of the bank's charter. The court held that surety contracts are to be interpreted according to the parties' intent and that liability cannot be limited by implication or later corporate changes.