The Birmingham age-herald., 1909-09-16

of the indorser; or,
 8. Vests the title in the indorsee il trust for or to the use of some othe person. But the mere absence of word implying power to negotiate does no make an indorsement restrictive.
 Sec 97. restrictive fndorsement con fers upon the indorsee the right:
 1. To receive payment of the instru ment.
 9 To bring any action thereon tha the indorser could bring.
 8. To transfer the rights as such in dorser, where the form of the indorse ment authorizes him to do so.
 But all subsequent indorsees acquire only the title of the first indorsee under the restrictive indorsement.
 Sec. 3S. A qualified indorsement con stitutes the indorser a mere assignor ot the title to the instrument. It may bt made by adding to the indorser's sigma ture the words, without recourse" ol any words of similar import Such ar indorsement does not impair the nego. tiable character of the instrument.
 Sec. 39. Where an indorsement Is con- ditional, a party required to pay the in strument may disregard the condition and make a payment to the indorsee oi his transferee. whether the conditions have been fulfilled or not. But any per son to whom an instrument so indorsed is negotiated, will hold the same, or the proceeds thereof. subject to the rights oi the person indorslng conditionally
 Sec. 40. Where an instrument payable to bearer is indorsed specially, it may nevertheless be further negotiated by de- livery; but the person indorsing specially is liable as indorsed to only such hold CTS as take title through his indorse- ments.
 Sec fl. Where an instrument is pay able to the order of two or more payees who are not partners, all must indorse unless the one indorsing has authority to indorse for the others.
 Sec. 42. Where an instrument is drawn or indorsed to a person as "cashier'' or other official officer of a bank or cor poration. it is deemed prima facle to be payable to the bank or corporation of which he is such officer; and may be negotiated by either the indorsement of ment of the officer.
 Sec. 43. Where the name of the pavee or indorsee is wrongfully designated or misspelled, he may indorse the instru- ment as therein described, adding, if he think fit, his proper signature
 Sec, A. Where any person is under ob- ligation to indorse in representative ca- pacity, he may indorse in such terms as to negative personal liability.
 Sec. 45 Except where an indorsement bears the date after the maturity of the every negotiation is deemed prima facie to have been effected before the instrument was overdue.
 Sec. 46. Except where the contrary ap- pears, every indorsement is presumed prima facie to have been made at the place where the instrument is dated.
 Sec. 47. An instrument negotiable ir its origin continues to be negotiable until 1t has been restrictively indorsed or dis charged by payment or otherwise.
 Sec. AS. The owner may at any time strike out any indorsement which is moi necessary to his title The indorser whose indorsement is struck out, and all in- dorsers subsequent to him, are thereby relieved from liability on the instrument.
 Sec. 49. Where the holder of an instru- ment payable to his order transfers it for value without indorsing it, the trans- fer vests in the transferee such title as the said holder had therein and the transferee acquires; In addition, the right to have the indorsement of the said hold CT. But for the purpose of determining whether the transferee is a holder in due course, the negotiation takes effect as of the time when the indorsement is ac- tually made.
 Sec. 5O Where an instrument is ne- gotiated back to a prior party, such party may, subject to the provisions of this act, reissue and further negotiate the same; but he is not entitled to en- force payment thereof against any in tervening party to whom he was per sonally liable.
 Rights of Holder.
 Sec. 51. The holder or a negotiable in- strument may sue thereon in his own name and payment to him in due course discharges the instrument.
 Sec 52. A holder In due course is a holder who has taken the instrument un- der the following conditions:
 1. That the instrument is complete and regular upon It's face.
 2. That he became the holder of it be-
 
 tice that 1t had been previously dis honored If such was the fact.
 3. That he took 1t In good faith and for value.
 4 That at the time it was negotiated to him he had no notice of any infirm- fty in the instrument or defect in the title of the person negotiating 1t.
 Sec 53. Where an instrument payable on demand is negotiated an unreasona ble length of time after It's issue the holder is not deemed a holder in due course.
 Sec 54. Where the transferee receives notice of any infrmity in the instrument or defect in the title of the person ne gotiating the same before he has paiG the full amount agreed to be paid there for, he will be deemed a holder in due course only to the extent of the amount heretofore paid by him.
 Sec 55. The title of a person who ne. gotiates an instrument is defective with. in the meaning of this act when he ob- tained the instrument or any signature thereto, by fraud, duress, or force and fear, or other unlawful means, or for ar illegal consideration, or when he nego tiates it in breach of faith, or under sucf circumstances as amounts to a fraud.
 Sec. 56. To constitute notice of any inflrmity in the instrument or defect ir the title of the person negotiating tn, same, the person to whom 1t is nego tiated must have had actual knowledge of the infirmity or defect or knowledge that his action in taking the instrumen amounted to bad faith.
 Sec. H. A holder in due course hold the instrument free from any defect O the title of prior parties and free iron defenses available to prior parties amoni themselves and may enforce paymen of the instrument for the full amour thereof against all parties liable thereon
 Sec. 5S. In the hands of any holde other than a holder In due course, a ne aotIa hla Instrument is S11biact fn thj