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Statement

of defence.

Payee against drawer where

acceptor

dead at maturity of bill.

Payee against drawer

where presentiment

for pay

ment dispensed with.

Statement of Defence.

1. The defendant denies that he indorsed the bill mentioned in the statement of claim to the plaintiff. He indorsed it to one M. W., who indorsed the same to the plaintiff long after it became due.

2. It was presented for payment by the said M. W., who was aware that only S., H. & Co. were liable, they having received the proceeds thereof, and for whose accommodation it was drawn and discounted by the said M. W.

3. Defendant denies that notice of dishonour was duly given to him.

4. The defendant, and the said M. W., had every reason and right to expect that S., H. & Co. would pay the same.

5. The plaintiff never gave any value or consideration for the said bill, and took it with notice of the premises.

Payee against Drawer for Default of Payment where the Acceptor was dead, and no Executor or Administrator appointed at the time the Bill became due.

1. The defendant, on the 1st day of May, drew a bill of exchange upon one A. B. for £50, payable to the plaintiff or his order one month after date.

2. The said A. B. accepted the same.

3. Before the said bill became due, the said A. B. died, and when the said bill fell due, no person had become executor of the will of the said A. B., or administrator of his estate or effects.

4. The said bill was duly presented for payment at the last place of abode of the said A. B., but the same has not been paid. 5. The defendant had due notice of the premises, but he did not pay the said bill.

The plaintiff claims £

Payee against Drawer for Default of Payment, where the
Defendant dispensed with Presentment for Payment.

1. The defendant, on the 1st of May, 1876, drew a bill of exchange upon one C. D. for £1000 payable to the plaintiff one month after date.

2. When the said bill became due, the defendant requested

the plaintiff not to present the said bill to the said C. D. for Payee payment, and discharged the plaintiff from so presenting it. 3. The said C. D. has not paid the said bill, whereof the de- where pre

fendant had notice.

4. The said bill still remains unpaid.

The plaintiff claims :

Drawer, where Bill is made payable to his Order, against

Acceptor.

against drawer

sentment for pay

ment dis

pensed

with.

against

[The plaintiff has proceeded here against the defendant by Drawer means of a specially indorsed writ under Order III. r. 6, acceptor. and on the writ the bill of exchange is set out. He then Where delivers to the defendant a notice in lieu of statement of claim under Order XXI. r. 4, to the effect that his claim is that which appears by the indorsement on the writ, and fixing place of trial.]

Statement of Defence.

a

plaintiff has proceeded by a specially

endorsed writ.

want of considera

1. The defendant says that he accepted the bill of exchange Defence of mentioned in the indorsement of the writ in this action for the price of goods sold, and to be delivered by the plaintiff to the tion. defendant, and that there was no other consideration for the acceptance or payment of the said bill of exchange by the defendant.

2. That the defendant was always ready and willing to accept delivery of the said goods pursuant to his contract in that behalf, but the plaintiff did not deliver or cause to be delivered the said goods to the defendant pursuant to his contract in that behalf, and that all consideration for the acceptance or payment of the said bill by the defendant wholly failed through the default of the plaintiff and his agents in not delivering or causing to be delivered the said goods to the defendant pursuant to the said contract.

Holder of a Bill against the Acceptor, the Drawer and Indorsers Holder

for Default in Payment (a).

against drawer, acceptor

1. The defendant A. B., on the 20th of June, 1877, drew and in

(a) A statement of claim of this kind is specially allowed by the new practice. Order XVI. r. 5 says: "The plaintiff may, at his option, join

N

dorsers.

Holder against acceptor, drawer, and indorsers.

Acceptor of

accommo

dation bill against drawer on implied indemnity.

a bill of exchange upon the defendant C. D. for £500, payable to the order of the defendant E. F. one month after date.

2. The defendant C. D. accepted the same.

3. The defendant E. F. indorsed the said bill to the defendant G. H. before the same became due.

4. The defendant G. H. then indorsed the said bill, and delivered it to one M. N., who, before the same became due, endorsed and delivered it to the plaintiff.

5. On the 24th of July, the said bill fell due, and it was duly presented for payment to the defendant C. D.

6. The defendant C. D. failed to pay the said bill.

7. Due notice of the dishonour of the same was given to the defendants A. B., E. F., and G. H.

8. The said bill still remains unpaid.

The plaintiff claims against all the defendants, jointly, severally, or in the alternative the sum of £500, with interest at the rate of 5 per cent. from the 24th of July, 1877, until judgment.

Acceptor of an Accommodation Bill against the Drawer on the implied Indemnity (a).

1. The plaintiffs, at the request and for the accommodation of the defendants, on the 20th of August, 1874, accepted two several bills of exchange, dated the 18th of August, 1874, for £1000 each, respectively drawn by the defendants, payable to the order of Messrs. J., V. & Co.

2. The plaintiffs, as the defendants at the time of the acceptance as aforesaid of the said bills for their accommodation and at their request well knew, accepted the said bills without consideration either from the defendants, or the said payees, or any one else, and have never received any consideration or

as parties to the same action all or any of the persons severally, or jointly and severally, liable on any one contract, including parties to bills of exchange and promissory notes."

(a) Where a person accepts a bill without consideration, for the accommodation of another, there is an implied undertaking by that other that he will hold him harmless on the bill, and that if the acceptor be compelled to pay, as he can be by any third party, he will indemnify

value from any one in respect of the said bills or their accept- Acceptor of ance thereof.

accommo

dation bill

drawer.

3. The plaintiffs afterwards were compelled to pay in respect against of the said bills of exchange a large sum of money, and are liable to pay a further sum in respect thereof to Messrs. W., P. & Co., to whom the said Messrs. J., V. & Co. indorsed the said bills respectively.

The plaintiffs claim :

(1.) To be repaid the moneys, viz., £900, so paid by them as herein before appears, as money lent to the defendants, and as money paid by the plaintiffs at the request of the defendants, together with interest.

(2.) To be indemnified and held harmless by the defendants against any sums which they the plaintiffs are still liable to pay to the said holders of the said bills.

(3.) Such further and other relief, &c.

Foreign Bills of Exchange (a).

Indorsee against Acceptor for Default in Payment.

1. On the

day of March, 1872, at Venice, in the king- Foreign dom of Italy, Mr. H. B., by his foreign bill of exchange Bills.

Indorsee against acceptor.

(a) Foreign bills as distinguished from inland bills are such as are A bill of drawn or payable or both abroad. A bill of exchange is prima facie an Exchange inland bill, and therefore in the case of an action brought on a foreign prima bill, the statement of claim ought to state that it is a foreign bill. facie (Byles on Bills, 12th ed. 395.) Foreign bills are often drawn in parts, inland. all the parts together making what is called a set. "Examples or parts of the bill are made on separate pieces of paper, each part being numbered and referring to the other parts. Each part contains a condition How that it shall continue payable only so long as the others remain unpaid. foreign These parts should circulate together; or one may be forwarded for ac- bills are ceptance while the other is delivered to the indorsee, thus relieving him drawn. from the necessity of forwarding his part for acceptance, but giving him the indorsee's security immediately, and diminishing the chances of losing the bill. Every transferor is bound to hand over to his transferee all the parts of the bill in his possession." (Byles on Bills, 12th ed. 390.) The whole set, of however many parts composed, constitutes but one bill, and the regular payment and cancellation of any one of the parts extinguishes all. But as between bonâ fide holders for value of different parts of the same bill he who first obtains a title to his part is entitled to the other parts. (Holdsworth v. Hunter, 10 B. & C. 449.) The drawee should accept only one part, for if two accepted parts should come into the hands of different holders, and the acceptor should pay one, he might be obliged to pay the other parts also. (Ib.) For the law regulating the indorsement, acceptance and payment of foreign bills, see Byles on Bills, 12th ed. 397-405.

Foreign bills.

Indorsee against acceptor.

Defence.

Statute of

directed to the defendant, required the defendant to pay that his first of exchange (second not paid) to the order of himself, for £500 one month after date.

2. The defendant duly accepted the same.

3. The said Mr. H. B. indorsed the said bill to the plaintiffs. 4. The said bill was duly presented for payment at maturity, but the defendant did not pay the same.

The plaintiff's claims:

Statement of Defence.

1. The bill of exchange, the amount of which is sought to be recovered in this action, was accepted by the defendant for the accommodation of his son H. B., who carries on business. at V., and the defendant never received any consideration whatsoever for the acceptance of the said bill, which was known to the plaintiffs before such bill was indorsed to them by the said H. B.

2. The defendant also says that the said H. B. never received any consideration from the said plaintiffs or from any one for the indorsement of the said bill.

3. The defendant further says that the plaintiff's right of limitation. action (if any) accrued more than six years before the commencement of this action.

Indorsee against

indorser.

Reply.

1. The said bill was indorsed and delivered to the plaintiff by the said H. B. in part payment of the sum of £650 then due by the said H. B. to the plaintiff for goods sold and delivered.

2. As to the 4th paragraph of the statement of defence, the plaintiff says that when the cause of action herein accrued, he was an infant, and that he commenced this action within six years after he attained the age of twenty-one years.

By Indorsee against Indorser for Default in Payment. 1. On the day of —, 1876, at Berlin, in the Empire of Germany, Messrs. C. P., by their foreign bill of exchange directed to M. O., required the said M. O. to pay that their first of exchange (second and third not paid) to the order of themselves for £100 two months after date.

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