Dorris v. Farmers & Merchants Bank

1. Where the payee of a promissory note sells and delivers it to a bank before maturity, but omits to enter a written indorsement on the note or to make other written assignment thereof, legal title to the note will remain in the payee; and if, without obtaining • any written transfer, the bank institutes suit on’the note, the makers, notwithstanding the equitable title to the note may be in the bank, may set up any equities in their favor arising out of the transaction upon which the note was given. Benson v. Abbott, 95 Ga. 69 (22 S. E. 127).(a) Eailure of consideration of the note would be…