Little Falls herald. [volume] (Little Falls, Morrison County, Minn.) 1889-1950, 1913-05-09

IDORSNMENT: EFFECT OFF, Where the
transfers it for value without indossing i.
the transfer vests in the transferee such title
the had ana
the Endorsement Of the transferor But. for tho
purpose Of determining whether the transieree
takes effect as Of the time when the .indorse-
ment Is actually made. :. "a. - :,
Sc 81 WHEM RKE9h P Msars an AZ
strument is negotiated back to 2 prior party:
such party may. subject to the provisions Of
same. But he is not entitled to enforce pay
ment thereof against any Intervening party to
whom he was personally liable.
! -. - ARTICLE w.
RIGHTS OF THE HOLDER.
Sec 81: FRIGHT OF HOLDER TO SUE;
PAYMENT:l The holder Of a negotiable :. in.
and payment to him in due course discharges
rs Sec 81. WHAT CONSTITUTES HOLD.
Err IN DUE coURsE.) holder IN due
men men under the following conditions: !,
q. ~. That 1t is complete and regular upon
~ That he became the holder Of It before
It was overdue and without notice y t that II
~ That he took it in sood faith ana sos
value;
That At the time i vas s 1ssGt3sssa t.
HOLDER IN PTB cogRsE2 !. Whe as.a az IN;
instrument or defect in the title Of the person
an unreasonable length of time after It's issue.
the holder is not deemed holder in due
course. =
AMOUNT PA1D.) Where the transferee re-
ceives notice Of an infirmity IN the instrsl-
ment Or defect in the title Of tho person ne,
deemed holder IN in due course only to the
sso 0 st the Rs7a Il
atrument il defective within the meaning o.
any signature thereto, by fraud, duress. Q,
force and fear, or other unlawful means or 'fcl
81 at Or Or under ns
stenees t as amount IT. to c1 iEsHa No71cE
fe y Il Il. tRs tse
to whom Il is d or
feet, Or knowledge Of such facts that his &C,
ton in taking the instrument amounted to bad
Sec Sec e. (R1GHrs OF HOLDER IN DUE
COURsB.) A holder in due course holds the
instrument free from any defect, Of title OF
to prior parties among themselves, and may
enforce payment Of the instrument Tor the full
amount thereof against all parties liable there
SEQ SO. wHEN SUBJECT TO ORIGINAL
DEF f0NSEs.) In the hands OF any holder
other than holder IN due course, nesotl-
lenses a. il it were non-negotiable. But. a
holder who derives his title through a holder
in due course, and who Is not himself party
any nas al Gh the Of
in respect Of all parties prior to the latter:
ST. Gys49 h RnsME E M
| to be holder In due course; put wnen II y
shown that the title Of any person who has ne.
den is on the holder to prove that he 9!
| some person under whom he claims acquired
title 1e does eue appy IN
Of a party who became bound on the instrl-
nent prior to the acquisition Of such defect
ARTICLE v. IT,. @..
LIABILITIES OF PARTIES.
Sec. -1IAB11lTY OF MAKER The 4
tenor e@ and admit. the existence Of the payee
aH sed his then i1psfftEr + 1 81
drawer by drawing the instrument admits tnt
existence of the payee ana his then capacity t
indorse; and engages that on due present
on eb betS Sns accordns to its tenor and that
amount ant thereof to the holder, or to any sub.
Rars tS. who may BE nser m
instrument an express stipulation negativinl
limiting hi4 gXn Liability tS the RSasF Tn
acceptor by accepting the instrument engages
that he win pay it according to the tenor o.
'e Il, The existence Of ths drawer. the senu:
ineness Of his signature. and his capacity and
authority to draw the INSTRUMENT: and -.
'ns geo. e'pa ss.y(%HES PERSON pEEME1
nStDee spoS an
| as maker. drawer or acceptor, Is deemed to b.
. an indorser, unless he clearly indicates by ap
See: S4;I;,d;IIAE1IITY OF IRREGULAR RI! IN
party to an. instrument, places thereon his sig
nature in blank before delivery he is liable a
tndorser. In accordance with tho following
| rules: ,1ta-s.
d A sra he !. to t int s
'na IF I'll te e to the
! der of the maker or drawer. or is payable t
bearer. he is liable to all parties subsequent
the e. payee. he is liable to ali parties subse
ausse ee. TO e5 5ne RayNfSsiR WHERE NEeo
\ T1ATIoN BY DELIVERY, EFT cETERA.
Every person negotiatng an instrument by de
ali respects what It p Euag IT,. to es;;
/ Isl That all prior parties had capacity t
Is That he ha. no knowlsage q any ~ f.: e;
Il strument or render 1t valueless.
when The nesetiataon Is BY deliver y
holder other than the immediate transfers..
Il The provisions of subdivision three Of thi'
section do not apply to persons negotiating
public or corporation securities. other thar
0' Sec '0 Ss.0 pqieti OF GENERAL IN
DoRsERl Every indorser who indorsss with
holders IN due course:
j ~ The matters and things mentioned Il
subdivision. one. tive and three of the mex
(eJ That the instrument is at the time d
his Endorsement valid and subsisting.
presentment. it shall be accepted or paid. o.
sase :; ana II that FL i and
taken. he win pay the amount thereof {
the .older OF to any subsequent indorser whs
mfsE ee s@&!&B # RsE Of 1npeRsn!
/ WHERE PAPER NEGOTIABLE BY DE
LIVERY) Where q person places his in
livery he incurs Ill the liabilities 81 an in
o So. g; ORDER IN WHICH 1NDo DORIS e
dorsers ara liable p1ma facie in the order i
which they indorse; but evidence = admissible
to show that ~ between OF among themselve,
5 JOINT i iasorsses Who ssnsa
indorss Jointly ana ; ssy At,rNr 81
pR Isl Whsle 5roksr 3 other sfsa. ss
h gotiates an instrument without Endorsement a,
inours All the liabilities prescribed. By seetio,
name Of his principal, and the fact that he i
\ acting only ~ an agsnt. 81 iss y,
\ ARTICLE VI
PREgDNrMDNT FOR PAYMEtyr.
M FL; &C 81 Z PRINCIPAL - ! pEBro 81.