Barber v. Backhouse, partner, knowing, or having reasonable cause to suspect, that it is contrary to the consent of the other partners, cannot sue them (a) 2. And the indorsee of such bill taken in fraud of the partnership, must prove that he innocently gave value for it (b) (a) Heilbut v. Neville, L. R., 5 C. P., 478. Peake, 86. Jones v. Yates, 9 B. & C., 532. East., 317. Laveson v. Lane, 13 C. B., N. S., 278. Ex parte Bonbonus, 8 Ves., 540. Green v. Deakin, 2 Stark., 347. Ex parte Goulding, 2 Gl. & J., 118. Frankland v. McGusty, 1 Knapp., P. C., 274. Lord Galway v. Mathew, 10 East., 264. Sherriff v. Wilkes, 1 East., 48 (b) Arden v. Sharpe, 2 Esp., 524. Wells v. Masterman, 2 Esp., 731. Hogg v. Skeen, 34 L. J., C. P., 153. Ridley v. Taylor, 13 East., 175. Sutton v. Gregory, 2 Peake, 150 210. If the same person, a partner in two firms of the same name, negotiates a bill in the common name of the firms, the holder may sue either Baker v. Charlton, Peake 80. Swan v. Steele, 7 East., 210 211. Dissolution of partnership should be notified in The Gazette, which will avail against persons who have had no dealings with the firm: but all customers and correspondents should receive individual notice of dissolution; otherwise ex-partners may still bind the firm to parties who have had no notice of the fact Booth v. Quin, 7 Price, 193. Graham v. Hope, Peake, 154. Newsome v. Coles, 2 Camp., 617. Williams v. Keates, 2 Stark., Heath v. Sansom, 4 B. & Ald., 172. 212. The change of the names on the cheques of a firm of bankers is a sufficient notice to their customers of a change in the firm Barfoot v. Goodhall, 3 Camp., 147 213. After a dissolution of partnership the members are separate individuals, and, therefore, all must join in signing a bill (a) Unless they give authority to one of their number to sign for them (b) (a) Abel v. Sutton, 3 Esp., 108. Kilgorn v. Finlayson, 1 H., Bla., 155 (b) Smith v. Winter, 4 M. & W., 454 On the Alteration of a Bill or Note 214. A bill or note may be altered by the consent of the parties before it is issued, i.e., passed away for value Kennerley v. Nash, 1 Stark., 452. Downes v. Richardson, 5 B. & Ald., 674. Tarleton v. Shingler, 7 C. B., 812. Marson v. Petit, 1 Camp., 82n 215. After a bill or note has once been issued it cannot be altered in any material part, i.e., so as to alter the responsibility of the parties Except only to correct a mistake, and to fulfil the original intention of the parties Bowman Trapp v. Master v. Miller, 4 T. R., 320; affirmed 2 H. Bla., 141. v. Nicholl, 5 T. R., 537. Kershaw v. Cox, 3 Esp., 246. Spearman, 2 Esp., 57. Cardwell v. Martin, 9 East., 190. Williams, 10 East., 431. Cowie v. Halsall, 4 B. & Ald., 197. Tidmarsh v. Grover, 1 M. & S., 735. Cock v. Coxwell, 2 C. M. & R., 291. Catton v. Simpson, 8 A. & E., 136. Burchfield v. Moore, 3 E. & B., 683. Macintosh v. Haydon, Ry. & Mo., 362. Desbrowe v. Wetherby, M. & Rob., 438. Taylor v. Moseley, 6 C. & P., 273. Hamelin v. Bruck, 9 Q. B., 306. Rodge v. Pringle, 29 L. J., Ex., 115. Outhwaithe v. Luntley, 4 Camp., 179. Watton v. Hastings, 4 Camp., 223. Bathe v. Taylor, 15 East., 412. Ry. & M., 37. Jacob v. Hart, 6 M. & S., 142. Ex parte White, 2 Dea. & Ch., 334. Byrom v. Thompson, 11 A. & E., 31. Tattershall, 2 M. & G., 890. Mason v. Bradley, 11 M. & W., 590. Hirchman v. Budd, L. R. & Ex., 171. Warrington v. Early, 23 L. J., Q. B., 47 Brutt v. Pickard, Cariss v. 216. 1. Where a bill or acceptance is materially altered without the assent of all parties liable on the bill, the bill is avoided except as against a party who has himself made, authorised, or assented to the alteration, and subsequent indorsers Provided that Where a bill has been materially altered, but the alteration is not apparent, and the bill is in the hands of a holder in due course, such holder may avail himself of the bill as if it had not been altered, and may enforce payment of it according to its original tenor 2. In particular, the following alterations are material, namely, any alteration of the date, the sum payable, the time of payment, the place of payment, and, where a bill has been accepted generally, the addition of a place of payment without the acceptor's assent 217. An alteration which is not material, i.e., which does not vary the responsibility of the parties will not vitiate it Trapp v. Spearman, 3 East., 57. Walter v. Cubley, 2 C. & M., 151. Aldous v. Cornwell, L. R., 3 Q. B., 573 218. An accommodation bill may be altered by the parties to it before it is issued, i.e., before it is passed away for value Downes v. Richardson, 5 B. & Ald., 674. Atwood v. Griffin, 2 C. & P., 368. Tarleton v. Shingler, 7 C. B., 812 219. An alteration by the drawer or payee of a bill, or the payee of a note, does not extinguish the debt (a): unless the bill or note was taken in satisfaction of the debt (b) (a) Sutton v. Toomer, 7 B. & C., 416. Atkinson v. Hawdon, 2 A. & E., 628. Sloman v. Cox, 1 C. M. & R., 471 (b) Macdowall v. Boyd, 17 L. J., Q. B., 295 220. An alteration by the indorsee not only makes the instrument void as against all parties, but also extinguishes the debt due from the indorser to the indorsee Alderson v. Langdale, 3 B. & Ad., 660 221. The transferee of an altered bill has only the rights of the transferor Burchfield v. Moore, 3 E. & B., 683 222. If a person gives a renewal for a bill which has been vitiated by an alteration, he is not liable on the renewal, if he was not aware of the alteration at the time he gave the renewed bill Bell v. Gardiner, 4 M. & G., 11 223. The maker of a promissory note is discharged from his liability by any alteration of the note, wherever the altered instrument, if genuine, would operate differently from the original instrument, even though it should be to his advantage: as, for instance, if names are added to a joint and several note besides those originally intended to be on it Clerk v. Blackstock, Holt's N. P. C., 474. Gardner v. Walsh, 5 E. & Β., 83 224. A person who sues upon an altered bill will be required to prove the circumstances of the alteration; and if he cannot, it is a question for the jury Johnson v. Duke of Marlborough, 2 Stark., 313. Henman v. Dickinson, 5 Bing., 183. Knight v. Clements, 8 A. & Ε., 215. Bishop v. Chambre, 1 M. & Mal., 116. Disbrowe v. Wetherby, 6 C. & P., 758. Taylor v. Moseley, 6 C. & P., 273 Negotiation of Bills 225.* 1. A bill is negotiated when it is transferred from one person to another in such a manner as to constitute the transferee the holder of the bill 2. A bill payable to bearer is negotiated by delivery 3. A bill payable to order is negotiated by the indorsement of the holder completed by delivery 4. Where the holder of a bill payable to his order transfers it for value, without indorsing it, the transfer gives the transferee such title as the transferor had in the bill, and the transferee in addition acquires the right to have the indorsement of the transferor 5. Where any person is under obligation to indorse a bill in a representative capacity, he may indorse the bill in such terms as to negative personal liability 226.* All bills and notes are now transferable or negotiable without being made payable to the payee, or "bearer," or "order" 36 & 37 Vict. (1873), c. 66, s. 26, § 6, 11 If, however, the words "or order" are inserted, they can only be transferred by the payee's indorsement Signature and delivery constitute indorsement 227.* 1. Where the holder of a bill payable to bearer nego tiates it by delivery without indorsing it, he is called a "transferor by delivery" A transferor by delivery is not liable on the instrument 3. A transferor by delivery, who negotiates a bill, thereby warrants to his immediate transferee, being a holder for value, that the bill is what it purports to be, that he has a right to transfer it, and that at the time of transfer he is not aware of any fact which renders it valueless 228.* An indorsement, in order to operate as a negotiation, must comply with the following conditions, namely : 1. It must be written on the bill itself, and be signed by the indorser. The simple signature of the indorser on the bill, without additional words, is sufficient An indorsement written on an allonge, or on a "copy" of a bill, issued or negotiated in a country where "copies recognised, is deemed to be written on the bill itself are 2. It must be an indorsement of the entire bill. A partial indorsement, that is to say, an indorsement which purports to transfer to the indorsee a part only of the amount payable, or which purports to transfer the bill to two or more indorsees severally, does not operate as a negotiation of the bill 3. Where a bill is payable to the order of two or more payees or indorsees, who are not partners, all must indorse, unless the one indorsing has authority to indorse for the others 4. Where, in a bill payable to order, the payee or indorsee is wrongly designated, or his name is mis-spelt, he may indorse the bill as therein described, adding, if he think fit, his proper signature 5. Where there are two or more indorsements on a bill, each indorsement is deemed to have been made in the order in which it appears on the bill, until the contrary is proved 229. An indorsement may either be in blank; or special, or in full An indorsement in blank is when the indorser simply writes his name, usually, but not necessarily (1), on the back of the |