Lortz

Plaintiff appeals from judgment for defendant in this action for cancellation of instruments.

In April 1958, plaintiff sought loans from defendant Swartfager and Frank Stevenson. He deeded to Swartfager property owned by plaintiff in Kansas, and thereafter received some $1,300 in loans. In July, an agreement was executed by which: Swartfager acknowledged that the deed to him was given as security only; he and Stevenson extended plaintiff’s time to repay them; plaintiff acknowledged that General Logging Co., Inc. (in which he held a one-third interest) owed $25,000 to defendant Stevenson Equipment Co., Inc., on open account, guaranteed its payment, and agreed that the deed should secure that guaranty. The agreement also recited indebtedness of General Logging on conditional sales contracts. In October, General Logging wanted to buy another piece of equipment from Stevenson Equipment, and to obtain credit for repair work to be done. The July agreement was then amended to increase plaintiff’s guaranty from $25,000 to $35,000.

In November 1959, Stevenson Equipment repossessed the vehicles it had sold to General on conditional sales contracts, and General ceased operations. Stevenson…