Butler, Stevens & Co. v. Barnes

1. Where the maker of a negotiable promissory note pays it to the original payee without requiring the production and surrender of the note, he is liable to pay it again to an innocent holder who acquired title to it in good faith and for value before maturity, unless the payee was the holder’s general agent for the collection of the note and had special authority to collect it, or the money collected thereon in faet reached the hands of the holder of the note. Bank of the University v. Tuck, 96 Ga. 456 (23 S. E. 467). Especially is this true where at the time the maker of the note pays it to…