River Falls journal. [volume] (River Falls, Pierce County, Wis.) 1872-2019, 1913-08-21

the person receiving it secures the
money for which it calls, provided
he handles it in a proper and rea-
sonable manner. If the person re-
ceiving check presents it to the
bank within a reasonable time and
the bank diShonorS the check, and
he then gives notice of this to the
person who drew it, that drawer is
bound to pay to him the amount of
the check. A check should be pre-
sented during business hours by
person entitled to receive money on
it on the next business dav after
receipt, at the latest. AS we no.
ticed in the case of John MCGEE and
Warren Gordon, if the check is not
presented within this time, and the
bank fails, the loss must fall upon,
the person who failed to present it.
But if the depositor suffer no loss
because of the delay in presenting
the check he cannot escape liability
if it is dishonored. Thus if War
rem Gordon had carelessly kept Nc
Gees check several days before pre-
senting it for payment and in the
meantime MCGEE had withdrawn
his account from the bank, there
being no failure, MCGEE would have
been bound to see that Gordon re-
ceived the amount of the check.
If check is received drawn up
on bank in another city it cannot,
of course, be presented for pay
ment on that or the next business
day, SO it is sufficient if the check
is put in course of collection on the
business day following its receipt.
One should be as prompt in giving
notice to the drawer of the refusal
of the bank to pay a check as to
put 1t in course of collection.
A check that is drawn payable to
Bearer may be transferred sim
ply by delivery, handing it from
one to another. If the check is
drawn payable to John Jones,
John Jones may transfer it by in
dorsement-that is, by writing his
name on the back. If he indorses
in blank he simply writes his name
John Jones" across the end of the
back of the check, when it is pay
able to anyone who may hold it.
If John Jones should write, PAY
TO the order of Sam Smith, John
Jones', Sam Smith alone would
then have the right to present it for
payment or transfer it by further
Endorsement. The blank indorse-
ment of the person presenting the
check at the bank is, of course, suf-
ficient to transfer the legal rights
in the check to the bank.
One who takes check from an
other usually requires that he in
dorse it even though it be already
Endorsed in blank or payable to
bearer. This is because the per-
son who indorses check to another
is understood in law to make Ger.
tain promises to the person to whom
he indorSeS the check even though
he does nothing further than write
his name on the check. The in
dorser engages that when the check
is properly presented at the bank it
will be paid, and if it is not paid
and notice is given to him he will
pay the amount to the person to
whom he transferred the check or
any other who may subsequently
receive it by proper Endorsement.
Thus when you indorse a check
YOU make that promise to all future
holders of the check. If you are
compelled to make it good you may
have recourse in turning against
those who transferred the check to
you and whose names appear on
the back as endorsers, or on the
face as signers.
While the bank owes duty to a
depositor to pay his proper check
drawn against an adequate deposit,
the banker is not bound TO pay any
check as against a holder Of it. The
rights of the holder are against the
signer of the check, and those who
transferred it to him. But if bank
certi6es a check it becomes bound
to pay it to proper holder. Certi-
fication of check is secured by pre-
sentirg it to the cashier of the bank
against which it is drawn. Upon
determining that the signer has
funds sufficient to cover the check
on deposit, and seeing to it that
they are set aside for that purpose,
the cashier marks Certified across
the face of the check and adds his
official signature. The funds to
cover this check are then with
drawn from the control of the de-
positor who signed the check and
he nov not Ston Davment of it, or