Case v. Henderson

This is an action on a note by the receiver of the First National Bank of New Orleans against the maker and indorser, to which the idea of compensation is opposed, and is based on a check drawn on the bank by a third party, in favor of, and presented by, the maker, but payment thereof refused.

The first question is, did this refusal give the holder a right of action against tiie bank on the check? This question is answered in the negative by the United States Supreme Court, in the case of the National Bank of the Republic v. R. J. Millard, No. 211, December term, 1869, where it was fully…