National Bank on Barre v. Foley

Thomas E. Eagan, the payee, negotiated the note in suit made by the defendant under the name and style of Foley Brothers, in breach of faith. The burden is, therefore, on plaintiff to show that it, or the Barre Supply Co., under which it claims title, acquired title as a holder in due course. Neg. Inst. Law, § 98.

First. Do the proofs establish that the Barre Supply Co. acquired title as a holder in due course? Did it acquire title to the note in good faith? Proof that it parted with value for the note before maturity is not enough. Canajoharie N. Bank v. Diefendorf, 123 N. Y. 191.

The company…