Abstract of Missouri State Laws.

BILLS OF EXCHANGE.

A bill of exchange is a written order from one person to another, directing the person to whom it is addressed to pay to a third person a certain sum of money therein named.

The person making the bill is called the maker. The person to whom it is directed is called the drawee, and the person in whose favor the bill of exchange is made payable, is called the payee, and the person who acceepts a bill of exchange, is called the acceptor.

A bill of exchange may be negotiable or non-negotiable; if negotiable, it may be transferred either before or after acceptance. To make it negotiable it must be payable to the order of the payee, or to the bearer, or must contain other equivalent or operative words of transfer.

Bills of exchange containing no words of transfer, are non-negotiable. The usual form of accepting bills of exchange, is by writing "accepted" across the bill, and signing the acceptor's name.

After such acceptance the acceptor becomes liable for the payment of the bill upon its maturity.

No person within this state shall be charged as an acceptor of a bill of exchange unless his acceptance shall be in writing signed by himself, or his lawful agent.

If such acceptance be written on a paper other than the bill, it shall not bind the acceptor. Except in favor of a person to whom such acceptance shall have been shown, and who upon the faith thereof shall have received the bill for a valuable consideration.

An unconditional promise in writing to accept a bill before it is drawn, will be binding upon the acceptor in favor of any person who upon the faith of such written promise shall have received the bill for a valuable consideration.

Every holder of a bill presenting the same for acceptance, may require that the acceptance be written on the bill, and a refusal to comply with such request, shall be deemed a refusal to accept, and the bill may be protested for non-acceptance.

Every person upon whom a bill of exchange may be drawn, and to whom the same shall be delivered for acceptance, who shall destroy such bill or refuse within twenty-four hours after such delivery, or within such period as the holder may allow to return the bill accepted or non-accepted to the holders, shall be deemed to have accepted the same.

When any bill of exchange expressed to be for value received, drawn or negotiated within this state, shall be duly presented for acceptance or payment, and protested for non-acceptance or non-payment, there shall be allowed and paid to the holders by the drawer and endorsers having due notice of the dishonor of the bill, damages in the following cases: First, if the bill shall have been drawn by any person, at any place within this state, at the rate of four per centum on the principal sum specified in the bill. Second, if the bill shall have been drawn on any person, at any place out of this state, but within the United States or territories thereof, at the rate of two per centum on the principal sum specified in the bill. Third, if the bill shall have been drawn on any person, at any part or place without the United States and their territories, at the rate of twenty per centum on the principal sum specified in the bill.

If any bill of exchange expressed to be for value received, shall be drawn on any person, at any place within this state, and accepted, and payment shall not be duly made by the acceptor, there shall be allowed and paid to the holder, by the acceptor, damages in the following cases: First, if the bill be drawn by any person, at any place within this state, at the rate of four per centum on the principal sum therein specified. Second, if the bill be drawn by any person, at any place without this state, but within the United States or territories, at the rate of ten per centum on the principal sum therein specified.

The damages herein allowed shall be recovered only by the holder of a bill, who shall have purchased the bill or acquired some interest therein, for valuable consideration. In cases of non-acceptance or non-payment of a bill, drawn at any place within this state, on any person at a place within the same, no damages shall be recovered, if payment of the principal sum, with interest and charges of protest, be paid within twenty days after demand, or notice of the dishonor of the bill.

If the contents of a bill be expressed in the money of account of the United States, the amount due and the damages therein, shall be ascertained and determined without any reference to the rate of exchange existing between this state and the place on which the bill shall have been drawn, at the time of demand of payment or notice of the dishonor of the

bill.

If the contents of such bill be expressed in the money of account or currency of any foreign country, then the amount due, exclusive of damages, shall be ascertained and determined by the rate of exchange, or the value of such foreign currency at the time of payment..

Every bill of exchange, draft or order drawn either within this state or elsewhere upon any person residing within this state, payable on its face at sight, or on demand, shall be deemed and considered to be due and payable on the day it is presented, or demanded, any usage or custom

here or elsewhere to the contrary notwithstanding, and if not so paid, may be protested for non-payment.

If in any suit founded upon any negotiable promissory note or bill of exchange, or in which such bill or note is produced, might be allowed in the defense of any suit, it appear on the trial that such note or bill was lost while it belonged to the party claiming the amount due thereon, parol or other evidence of the contents thereof, may be given on such trial, and such party shall be entitled to recover the amount due thereon as if such note or bill had been produced.

To entitle a party to such recovery, he or some responsible person for him, shall execute a bond to the adverse party in a penalty at least double the amount of such note or bill, with two sufficient securities, to be approved by the court in which the trial shall be had, conditioned to indemnify the adverse party against all claims by any other person on account of such note or bill, and against all costs and expenses by reason of such claim.

BILLS OF EXCHANGE AND PROMISSORY NOTES.

A promissory note is a written promise to pay a certain sum of money at a future time, unconditionally.

The person to whom the money is payable is called the payee.

The maker is the one who promises to pay the money when the note becomes due.

A note payable to bearer is negotiated or transferred by mere delivery, and the possession of the note is prima facie proof of title.

A note payable to the order of a particular person is transferred or negotiated by writing the name of the person upon the back of the note, which is called an endorsement. The person making the endorsement is called the endorser. The person for whose benefit it is made is called the endorsee.

Every promissory note for the payment of money to the payee therein named, or order or bearer, and expressed to be for value received, shall be due and payable as therein expressed and shall have the same effect and be negotiable in like manner as inland bills of exchange.

The payee and endorsers of every such negotiable note payable to them or order, and the holder of every such note payable to bearer may maintain actions for the sums of money therein mentioned, against the makers and endorsers of them in like manner as in cases of inland bills of exchange, and not otherwise.

Such negotiable promissory note made payable to the order of the maker thereof, or to the order of a fictitious person shall, if negotiated by the maker, have the same effect and be of the same validity as against the maker, and all persons having knowledge of the facts, as if payable to

bearer. Provided, That negotiable note in the hands of the purchaser of the same from the makers by way of discount or investment if protested for non-payment at maturity, shall not be subjected to damages.

When the day of payment of any bond, bill of exchange, or promissory note, shall according to its terms, be a Sunday, Christmas day, Thanksgiving day (State or National), New Years day, or a Fourth of July, its payment shall be deemed due and be demandable on such day next before its day of payment, according to its terms, as shall not be one of the days above specified.

A notarial protest is evidence of a demand and refusal to pay a bill of exchange or negotiable promissory note, at the time and in the manner stated in such protest.

$1,000.

FORM OF NEGOTIABLE NOTE.

Kansas City, Mo., Aug. 1, 1869. Thirty days after date, I promise to pay Richard Roe, or order, One Thousand Dollars, value received, with interest after due at the rate of ten per cent per annum. LOUIS ROY.

$100.00.

NON-NEGOTIABLE NOTE.

Kansas City, Mo., Aug, 1, 1869. Thirty days after date, I promise to pay Richard Roe, One Hundred Dollars, value received, with interest from date, at the rate of ten per cent per annum. LOUIS ROY.

Parties may agree in writing for the payment of interest not exceeding ten per cent.

Money due upon judgments or order of court, shall draw interest from the day of rendering the same. All such judgments and orders for money upon contracts, bearing more than six per cent., shall bear the same interest borne by such contracts. All other judgments and orders for money shall draw six per cent.

If a greater rate of interest than ten per cent. is contracted for, and suit brought upon the same, judgment will be entered for six per cent., and the whole interest shall be set apart for, and become a part of the common school fund.

Parties may contract in writing for the payment of interest upon interest; but interest shall not be compounded oftener than once a year. Where a different rate is not expressed, interest upon interest shall be at the same rate as interest on the principal debt.