Alpena weekly argus. [volume] (Alpena, Mich.) 1871-1893, 1885-05-20
Bank Checks.

At . late meeting OF the West Mich
igan Farmers Club. Judge Parrish
talked about the Bank Check. He
chose this subject because farmers fire.
quently receive checks on the sale OF
their products. and are sometimes
losers thereby. by reason of not know
ing how to handle them.
Some years ago friend OF his sold
his farm for $1,000. one-halt In cash
and the balance on time. For the time
payment he took a mortgage on the
farm, payable in one. two and three
years. and for the cash payment he
took check on private banking in
stitution. Not needing the money for
immediate use, and deeming everything
perfectly safe, or perhaps not knowing
his duty respecting the check, he put
1t in his pocket and kept ii two weeks
before ne thought Of presenting it to
the bankers. although he resided in
their immediate neighborhood. Mean
while the bankers had failed. and the
drawer of the check had died insolveut.
The consequence was his friend lost
the amount of the check, besides some
money In litigation. This loss arose
simply from the farmers neglect to
present the check In due time. True,
he might have lost the money, il he had
obtained IL upon the check, in other
ways. but in this instance the loss was
purely from his neglect in not observ-
ing the law applicable to the presenta-
ton of bank checks. The farmer not
only lost, but it was also loss to the
estate of the drawer of the check.
II man receives a check upon a
bank in payment for produce, or a
farm, or any other obligation, IL Is his
duty to present 1t for payment within a
reasonable time. If he does not, and
the drawer Of the check suffers loss,
there is no remedy.
The question, what Is q reasonable
time in which q check should be pre-
sented for payment. depends upon cir
cumstances. 1t has been held that
when all the parties to check are resi-
dents of the same town or city, a DELAY
of eight days Is sufficient to discharge
the drawer from all liability, at least to
the extent Of his loss thereby. And in
such a case, demand made before the
close of business hours of the day sue
ceeding that on which payment might
have been first legally demanded has
been uniformly considered q demand,
made within reasonable time. II
payment Is refused, notice should be
Immediately given to the drawer of the
check.
When payment of check upon a
bank is refused, the resource of the
holder is against the drawer and not
against the bank, even though the
bank, at the time the check was pre-
sented for payment. was perfectly sOlv-
emit and held funds of the drawer sutfi-
Gent to meet the check; so that check
is nothing moro than the personal OBJ
legation Of the drawer, as of a promis-
sorry note or bill of exchange. The
drawer Is treated in some sort as the
principal debtor, and he is not dis.
charged by any neglect of the holder
N making due presentmcnt of the
check, or in giving notice of the dis
honor, unless he suffered some loss or
injury thereby, and then only pro tanto
II the drawer Of the check have nc
funds in the bank to meet it, it is Q
fraud. and the holder can sustain an
action upon ii against the drawer with
presentation or notice.
The check may be revoked by the
drawer ut any time before il Is paid OF
accepted by the banker. He may draw
out all he has on deposit. His death is
a revocation. No banker would ven.
ture to pay a check after notice of the
death Of the drawer. If he did, he
might be called upon by the administra.
tor to pay it again. So, il the drawer
should before presentation become
bankrupt.
In q case in Michigan, where one al
tho point of death drew his check upon
the bank in which he had money. being
all the money he had, with directions
TO the payee to draw the money, defray
the funeral expenses out of IL, and to
pay the balance to his heirs, and the
check was not paid or accepted by the
bank before the death OF the drawer, il
was held that the check did not operate
rs an assignment of the fund, and that
the bank was not liable upon it to the
payee; that the check, with the whole
arrangement, was revoked by the death
of the drawer. and the bank, after
notice of tho death of the drawer and
of the arrangement upon which the
check was given, could not have paid
the check without risk of being again
called upon to pay an administrator OF
the estate. Without acceptance by the
bank, or some special undertaking on
its part, the bank can not be held liable
upon check. There is no privity OF
contract between the .holder aud the
bank, and il the money is not paid upon
the presentation of the check. the bank
is only accountable to the drawer. We
are not presumed to take an unaccep ted
check, relying upon the credit of the