National Bank of Sanford v. Marshburn

The case at bar is somewhat novel in origin. Fundamentally, however, it presents for decision the perplexing problem constantly recurring in various guises as to which one of two innocent parties must bear a loss occasioned by some third person.

It is well to note here the circumstances under which the defendant, C. II. Cobb, Trustee, acquired and collected the check. Since the paper was a negotiable instrument, and since he took it in payment of an antecedent or pre-existing debt, he purchased it for value within the meaning of the negotiable instruments law. G. S., 25-30; G. S., 25-192;…