Sinclair Refining Co. v. Moultrie Banking Co.

1. Before the acceptance of a check by the drawee there is .no privity of contract between the drawee and the payee of the cheek. The payment of a check by the drawee on an unauthorized indorsement of the check does not constitute acceptance of the check. Where there is no privity of contract between the payee of a check and the drawee, the cashing of the check by the drawee upon its unauthorized indorsement constitutes no violation of any right of the payee, and affords no right of action either ex contractu or ex delicto, by the payee against the drawee. Bank of the Republic v. Millard, 10…