Law Commons^™

Actions On Commercial Paper: Holder's Procedural Advantages Under Article Three, Stanley V. Kinyon

Michigan Law Review

The discussion will also be concerned primarily with the usual action "on the instrument": an action by the holder to enforce payment by a person who has signed it as maker, acceptor, certifier, drawer, indorser, or guarantor and has thus become "liable on" it. These instruments, of course, may be involved in other types of actions, such as: an action for conversion of the instrument (section 3-419); an action to recover damages for breach of the warranties of a collector or transferor (sections 3-417 and 4-207); an action to compel indorsement (section 3-201); an action to enjoin payment (section 5-114(2)(b)); …

Rationale Of Valuation Of Foreign Money Obligations, Charles Evan

Michigan Law Review

What then should a creditor of a foreign money obligation collect where there was a delay in payment? When are damages for depreciation of foreign money recoverable? As of what time and in what currency are they to be computed? How is the value of a foreign money obligation to be measured where no damages may be had? The answers to these and other incidental questions require a thorough analysis of certain features peculiar to the law of money.

It is the purpose of this article to clarify these problems, to sum up the primary principles by which they are …

Installment Contracts

Michigan Law Review

Section 301 of the Soldiers' and Sailors' Civil Relief Act of 1940, as amended in 1942, is designed to protect the serviceman who has purchased property on the installment plan against forfeitures. It provides that a vendor or seller (or his assignee) of real or personal property (including a lease or bailment with a view to purchase) may not terminate or rescind his contract or resume possession of the property because of nonpayment or for any other breach of contract except by an action brought in a court of competent jurisdiction. This section is applicable in all cases in which …

Banks And Banking - Liability Of Bank For Payment Of Checks With Improper Signatures - Duty Of Depositor To Inspect Monthly Statements, Michigan Law Review

Michigan Law Review

Plaintiff, trustee, a man of banking experience, opened an account with the defendant bank, instructing that only checks signed by him, or by one of his agents, and countersigned by one of two different agents should be honored. Over a period of three years there were numerous departures from the original instructions given to the bank, participated in by the plaintiff as well as by his agents. Two of the agents misappropriated trust funds by cashing checks through defendant bank without the instructed countersignatures, and without knowledge of the plaintiff, but during this period the plaintiff failed to inspect his …

Contracts - Effect Of Fail Ure Of Performance In An Aleatory Contract, Michigan Law Review

Michigan Law Review

Plaintiff held a note of defendant's husband, long overdue. Defendant promised to guarantee payment of her husband's note, in consideration of plaintiff's promise to lend her money. Thereafter plaintiff, in breach of its promise, refused defendant a loan. Defendant immediately repudiated the contract. Plaintiff sued on the contract to recover the amount of the note with interest. Held, the promises were dependent; plaintiff's refusal to make the loan was a material breach of its promise, and excused defendant from further performance under the contract. People's Trust & Savings Bank v. Wassersteen, (Wis. 1937) 276 N. W. 330.

Banks And Banking--Damages--Liability Of Bank To Depositor For Wrongful Dishonor Of Check

Michigan Law Review

In an action by a creditor against his debtor for the non-payment of the debt, the ordinary measure of damages for non-performance of the contract is the sum of money itself with interest at the legal rate from the time it was due. Tradition has it that the relation between bank and depositor is that of debtor and creditor. Clearly, it is a contractual relationship. The contract, however, is not merely to pay the creditor but also to pay, on his behalf, such third persons as he may designate. It is not an adequate description to say, merely, that the …