City Nat. Bk. v. Citizens' Bk. of Pettigrew

Hart, J.,

(after stating the facts). Michie, in his treatise on Banks and Banking, vol. 2, § 141 (1c), lays down the general rule governing cases of this sort as follows:

“Where a check is offered and received by the drawee bank as a deposit, credited to the holder’s account, and charged to the account of the drawer, the transaction is irrevocably closed and cannot be rescinded or recalled by the bank or the drawer without the consent of the person to whom payment- was made, except for fraud or mistake ’ ’

The general rule proceeds upon the theory that, when a bank accepts a check or draft on…