John G. Paton Co. v. Guaranty Trust Co.

The respondent, a depositor in the defendant bank, recovered a judgment for the sum of $3,252.55, representing payments made from plaintiff’s account on checks upon which the name of the payee was forged. The bank defended on the ground that the loss was caused by the plaintiff’s negligence.

The method followed by the plaintiff in transacting business becomes important in view of the contention of the defendant that plaintiff was negligent. When a consignment of goods was received the amount thereof was entered in a book known as the “ Consignment Book.” The charges against the consignment…