W.H. Horney v. Covington County Bank, Dick Poling and Bob Poling v. Covington County Bank of Collins, Mississippi

By motion for rehearing Covington County Bank argues that we have ignored a case that held to the contrary of our decision at 716 F.2d 335, that prior case being Southern Cotton Oil Co. v. Merchants National Bank, 670 F.2d 548 (5th Cir.1982). In the prior case the Merchants Bank insisted it was only a collecting bank, and it was held to be that because its depositor did not demand or direct Merchants to pay the instrument. The mill manager for Southern Cotton Oil Co. prepared the draft on its customer and the draft was forwarded, without any acceptance by customer, to customer’s bank. In our…