Evening star. [volume] (Washington, D.C.) 1854-1972, 1903-04-07
BANK CHECKS.
Rules Relating to Their Issue, Accept
ance and Payment.

From the National Banker.
Bank checks possess many advantages for
the conduct Of business, and are used to a
proportionatey great extent. They are in
nature but orders for the payment of
money and are payable in the order in
which they are presented. AS given in the
usual course of business, they do not con-
stitute payment of the Indebtedness for
which they are given until paid. Nor will
the concurrent receipting Of the debts for
which they are given change this. If they
are not paid on proper presentation, resort
may be had to the original claims. The rule
is different in this respect as to certified
checks. So the having of the checks certi-
fled constitutes payment as to the persons
drawing them.
Checks should be dated. If not dated at
all, and they do not contain any statement
as to when they are to be paid they are
never payable. They may be ante or post
dated, as well as dated on the day of de-
livery. BY being ante-dated they may be
made to cover prior transactions and in a
measure determine the relative rights of the
parties to them, provided that no fraud is
intended or done. Post-dating in the main
determines the date Of payment.
When post-dated SO as to fall due on Sun
day, they are payable on the following Mon
day. Checks post-dated or maturing on
legal holidays should be presented the day
following. When pOst-dated checks are paid
on them can be recovered. If blanks are left
for the date, the holders of checks are
thereby authorized to insert the true dates
of delivery, but no other dates. and If they
insert any other date 1t makes the checks
void. Changing the date of checks without
consent Of the drawers will do the same.
The presumption is that when checks are
drawn, funds will be provided at the banks
on which they are drawn to meet them but
presentat ton for payment must be made
within reasonable time. If not SO pre-
scented the holders will be charged with any
consequent loss. When persons receiving
checks and the banks on which they are
drawn are in the same place, they should
be presented the same day, or, at the latest,
the day after they are areceived.
After duly presenting checks 1t Is also
the duty of the holderXif they are not paid,
to notify the drawers before the close Of
the next secular day following the presenta-
ton and dishonorJioNo particular form of
notice Is REQUIRED may be written or
occur from failuresto use due diligence in
the collection Of checks is where the banks
on which they are drawn fail in the mean
time. If the banks continue solvent, the
checks for months at least after they are
drawn. Presentation and notice Of dishonor
will also be dispensed with where there are
no funds to pay checks, and where the
banks on which theysiare drawn suspend
payment before they scan be presented, US
ing proper diligenca. After receiving
checks they must fbel' presented for pay
ment. unless such presentation would be
useless before the original claims can be
sued on, for. by accepting checks there Is
an implied agreement to use that method
of procuring the money for which they are
drawn.
When checks are negotiable and pass by
Endorsement or delivery. the same degree
of diligence will be required of each person
to whom they are Endorsed. in order to hold
thoC indorsipg them. as is required of
original payees to held original drawers Of
checks But by putting checks in circula-
ton, the liability of the drawers cannot be
prolonged. They must be presented within
the same time by indorsees as by payees