Ballard v. Home National Bank

Citations

• 91 Kan. 91
• 136 P. 935
• 1913 Kan. LEXIS 341

Syllabus

<p>SYLLABUS BY THE COURT.</p> <p>Bank — Agreement with Customer to Honor Cheek — Agreement Performed by Customer — Bank Liable to Holder of Cheek. Where a national bank through its president agrees with a customer, who is indebted to it, that if he purchases live stock and in payment therefor gives checks on the bank, the checks will be paid provided that by the time they are presented the drawer shall have resold the stock and deposited the proceeds with the bank, and in pursuance of such agreement the customer issues checks in payment for stock which he at once resells, delivering the proceeds to the bank, the holder of such checks can maintain an action for their amount against the bank, notwithstanding he did not know of the agreement, and notwithstanding nothing was said at the time the deposit was made about the agreement or the application of the funds.</p>