In 1952 defendant entered into a lease with J. S. Wald & Co., Inc., as tenant, for a term of about fifteen years at an annual rental of $15,000. The lease provided that Joseph S. Wald (the plaintiff herein) had that day deposited with the landlord the sum of $10,000 “ as security for the full and faithful performance by the Tenant of all of the terms * * * of this lease ”; that at the expiration of the term that sum 1 ‘ shall be returned by the Landlord to Joseph S. Wald ” or tenant may elect to pay the last eight months’ rentals to Joseph S. Wald; that landlord pay annually to Joseph S. Wald interest of 2% on said sum; that, notwithstanding the security deposit, Joseph S. Wald was not to be deemed a guarantor of tenant under the lease nor have any obligation thereunder “ other than the deposit of the aforesaid $10,000 for the purposes herein set forth
In 1953 and 1954 defendant paid the annual interest on the security by check to J. S. Wald & Co., Inc. The indorsement on one check was made by “ Joseph S. Wald, President ” and credited to his personal account, although the other was deposited, without indorsement over, in the corporate account. Nothing, however, turns on the circumstance that defendant paid the interest to the corporation. Plaintiff’s interest as owner of the security deposit remained unaffected.
In June, 1955, the building was sold and defendant assigned all rights in this lease to the purchasers. Defendant stated therein that he had received $10,000 to be held as security from “ J. S. Wald & Co., Inc. as tenant ”, and that this assignment included the $10,000 security now delivered to the purchasers. Nothing also turns on the circumstance that the security was there said to have been deposited by the corporation rather than the individual.