may be assigned so as to give the assignee a right upon the bill or note against all the antecedent parties; and bills or notes containing no words to make them assignable may, where the stamp laws do not prevent it, be assigned so as to give the assignee a right upon them against the assignor, but (1) not so as to give him a right against any of the antecedent parties.

Bills and notes are assigned either by delivery only, or by indorsement and delivery. Bills and notes whilst payable to order are assignable by the latter mode only; bills and notes payable to bearer, and bills and notes originally payable to order, and indorsed as (2) they may be so as to be payable to the bearer, by either.

On a transfer by delivery only, without indorse ment, the person making it ceases to (3) be a party to the bill or note; on a transfer by indorse

(1) Hill v. Lewis, Salk. 132. Moor drew one note payable to the defendant, or his order, and another payable to him generally, without any words to make it assignable; the defendant indorsed them to Zouch, and Zouch to the plaintiff; the first objection was that the plaintiff had been guilty of laches, but the jury thought he had not: and it was then urged that the second note was not assignable; and Holt, C.J. agreed that the indorsement of this note did not make him that drew it chargeable to the indorsee, for the words "or to his order" give authority to assign it by indorsement; but the indorsement of a note which has not these words is good so as to make the indorser chargeable to the indorsee.

(2) See post, p. 100.

(3) Vide Ld. Raym. 442.774. 929, 930. 408 517. 521. Salk. 124. 128. 3 Salk. 68,

12 Mod. 203. 241.

Comb. 57.

Law Library University of Chicago,

ment, he (4) is, according to the legal operation, a new drawer.

Upon bills and notes for the payment of less than 57. the indorsement (5) must be attested by one subscribing witness.

No particular (6) words are essential to an indorsement; the mere signature (7) of the indorser is in general sufficient.

But the indorsement of a bill or note for the payment of less than five pounds must (8) mention the name and place of abode of the indorsee, and bear date at or before the time of making it.

A promise to indorse, though on sufficient consideration, cannot be treated as an actual indorsement. (9)

(4) Smallwood v. Vernon, Str. 478. In an action against the indorser of a note, the declaration stated that he became chargeable according to the tenor of the indorsement; and it was objected that the indorsement might appoint the payment at a time different from that mentioned in the note; sed per cur. if it did, it would charge the indorser, for every indorsement is the same as making a new note. Vide 2 Show. 501. Comb. 32. Skinn. 255, 256. 342.411. 3 Mod. 87. 12 Mod. 36. 181.444.744. Salk. 125. 132, 133.

Ld, Raym,

3 Salk. 68. Str. 442. 479.

1 Atk. 282. 2 Atk. 182. Burr, 670. 675. Dougl. 613. (5) Vide 17 G.3. c. 30. s. 1. ante p.9.

(6) Vide Holt. 117. Ld. Raym. 176. 810.

(7) Vide 12 Mod. 192. 244. Salk. 126.128. 130. Ld. Raym.

444.

(8) Vide 17 G. 3. c. 30. s. 1. ante P. 9.

(9) Moxon v. Pulling, 4 Camp. 50. Defendant had accepte d a bill, he could not pay, and referred the holder to one May, to whom he said he had lent the acceptance. May proposed that plaintiff should take an acceptance of Hullett and Co., and

Nor will it preclude the party from proving that an indorsement afterwards in his name is a forgery. (9)

But delivery without indorsement, where indorsement is essential, and where it is omitted by mistake, will entitle the party to call for an indorsement afterwards; (10)

And if the party who ought to have made it afterwards become bankrupt, will prevent his assignees from claiming the bill or note. (10)

An indorsement which mentions the name of the person in whose favour it is made, is called a full indorsement; an indorsement which does not, a blank one.

A blank indorsement, so long as it continues blank, makes a bill or note payable to the (11)

that defendant should indorse it: defendant agreed, and said he would go and indorse it. Four days afterwards May sent plaintiff Hullett and Co.'s acceptance, with an indorsement in defendant's name; and plaintiff gave up defendant's acceptance: the indorsement in defendant's name was a forgery, and defendant being sued as indorser, Lord Ellenborough said, "You cannot establish any agency to indorse: when the promise was given, the bill does not appear to have existed, and all was in fieri: defendant might repent and refuse to indorse; he may be liable for breach of promise, but cannot be sued as indorser." Nonsuit:

(10) See Smith v. Pickering, post. 114.

(11) Peacock v. Rhodes, Dougl. 611–633. A bill was drawn by the defendant, payable to Ingham or order. Ingham indorsed it in blank, after which it was stolen; the plaintiff took it bond fide, and paid a valuable consideration for it, and acceptance and payment being refused, gave notice to the defendant, and brought this action. A case was reserved for the opinion of the court, and it was contended that this bill was

bearer, but the holder may write over it what he pleases.

And the holder, by writing a direction over the indorsement, ordering the money to be paid to particular persons without adding his own name, does (12) not become an indorser.

As long however as the first indorsement continues blank, the (13) bill or note as against the

not to be considered as payable to bearer, and that the plaintiff had no better right upon it than the person of whom he took it; but the court said there was no difference between a note indorsed in blank, and one payable to bearer, and the plaintiff had judgment. Francis v. Mott, N. P. before Lord Mansfield, cited Dougl. 612. was a similar case, and the attorney-general, who was for the defendant, after attempting unsuccessfully to show that the plaintiff knew the bill was obtained unfairly, gave up the cause.

(12) Vincent and another v. Horlock and another, 1 Campb. N. P. C. 442. In an action against the defendants as indorsers of a bill, it appeared that the payee had indorsed it in blank to the defendants, and that they had written over the payee's signature," Pay the contents to Vincent and Co." Lord Ellenborough was clearly of opinion that this was not an indorsement by the defendants; and the plaintiffs were nonsuited.

(13) Smith v. Clark, Peake, 225. A bill was indorsed in blank by the payee, and after some other indorsements was indorsed to Jackson or order; Jackson sent it to Muir and Atkinson, but did not indorse it, and Muir and Atkinson discounted it with the plaintiffs: the plaintiff struck out all the indorsements except the first, which continued blank. This was an action against the acceptor, and it was objected. that the plaintiffs could not recover without an indorsement by Jackson; but Ld. Kenyon held otherwise, and the plaintiffs recovered. The plaintiffs afterwards proved that Jackson desired Muir and Atkinson to discount this bill, but Ld. Kenyon thought the plaintiff's case made out without this evidence.

payee, the drawer, and acceptor, is assignable by mere delivery, notwithstanding it may have upon it subsequent full indorsements.

A full indorsement may restrain the negotiability of a bill or note.

An indorsement is restrictive, which has express words making it so, or is made in favour of a person who cannot make a transfer.

Thus an indorsement in these words, Pay the " contents to I. S. only," "to I. S. (14) for my use;" or (at least when addressed to the drawee) (15)

(14) Per Wilmot J. Burr. 1227. Blackst. 299. The payee may check the currency of a bill or note by giving a bare authority to receive the money; as Pay to A. for my use;" and per Lord Hardwicke in Snee v. Prescott, 1 Atk. 249. Bills and notes are frequently indorsed in this manner, Pray pay "" money to my use," in order to prevent their being filled up with such an indorsement as passes the interest.

the

(15) Ancher v. Bank of England, Dougl. 615.637. A bil. was drawn by the plaintiffs upon Claus Heide and Co. payable to Jens Mostue or order. Moestue indorsed it to this effect: “The within must be credited to Captain M. L. Dahl, value in account," and sent it to Claus Heide and Co. who credited Dahĺ for the amount, and gave notice to Dahl and the plaintiffs that they had done so; an indorsement by Dahl was afterwards forged upon the bill, and the bank discounted it. Claus Heide and Co. having become insolvent, Fulgberg paid it for the honour of the plaintiffs, and upon the ground that the indorsement had restrained the negotiability of the bill, they brought an action for money had and received against the bank : Lord Mansfield directed a nonsuit, but upon a rule to shew cause why there should not be a new trial, and cause shewn, Lord Mansfield, Willes, and Ashhurst, Js. thought the indorsement restrictive, and that the plaintiffs were entitled to recover; but Buller J. thought otherwise; upon which Lord Mansfield said,