Canal Ins. Co. v. First Nat. Bank of Fort Smith

Darrell Hickman, Justice.

We granted review of this decision by the Court of Appeals because one question dealt with concerns the Commercial Code and its application.

That question was whether an instrument which purported to be a draft, containing the language, “Upon Acceptance . . . Payable Through the South Carolina National Bank, Greenville, South Carolina,” was a negotiable instrument. The Court of Appeals held that it was.

The other issue in the case concerned a hold-harmless agreement which International Harvester Credit Corporation signed with Canal Insurance Company. The Court of…