The President, Directors, and Company of the Farmers' Bank of Virginia (the appellants) brought a case against Horace H. Groves, administrator of Moses Groves who had passed away. The appellants argued that they were entitled to payment from the estate for two promissory notes issued by Moses prior to his death. However, Horace claimed that these notes were invalid because they did not have sufficient consideration or value when issued and thus should be voided under state law. The Supreme Court ultimately sided with Horace in ruling that there was no valid consideration given at the time of issuance and therefore both promissory notes were voidable as per state law. This decision set an important precedent regarding contracts without adequate consideration being deemed unenforceable in court proceedings across America today.

In the case of The President, Directors, and Company of the Farmers' Bank of Virginia v. Horace H. Groves, Administrator of Moses Groves, Deceased, Chief Justice Taney delivered a dissenting opinion in which he argued that the bank was not liable for damages resulting from its negligence in issuing notes to an individual who had already died at the time they were issued. He reasoned that since there was no contract between them and Moses Groves when he passed away - as evidenced by his death certificate - then any claim against them should be barred due to lack of privity or contractual relationship with him. Furthermore, Taney argued that even if it could be established that some form of liability existed on behalf of the bank towards those who received their notes after Moses’ death (which would include his estate), such liability should only extend so far as what is necessary to make good on any losses suffered by those individuals; anything beyond this would constitute unjust enrichment for them at expense to others who have done nothing wrong themselves.