Fourth National Bank of Montgomery v. Bragg

Citations

• 127 Va. 47
• 102 S.E. 649
• 11 A.L.R. 1034
• 1920 Va. LEXIS 31

Syllabus

<p>1. Bill of Lading—Assignment—Title to Goods.—A bona ■ fide assignment or transfer of a bill of lading vests in- the assignee or transferee the title of the shipper to the goods covered by the bill.</p> <p>2. Bill of Lading—Assignment—Title of Bank Paying Accompanying Draft.—Where a bank takes an assignment of a bill of lading and pays the accompanying draft of -the shipper for the value of the goods, the bank thereby becomes a bona fide holder, and no attachable interest in the goods or proceeds thereof remains in the shipper.</p> <p>3. Bill of Lading—Deposit of Draft Accompanied by Bill of Lading as Cash—Title of Bank.—Where a draft with a bill of lading attached was deposited in a bank and the item was not entered for collection, but was treated as cash, and placed to the depositor’s credit, subject to his check, the bank becomes the owner of the draft by purchase, and accordingly the owner of the bill of lading and its proceeds under the law both of Virginia and Alabama. The relation of debtor and creditor is established at once between the depositor and the bank.</p> <p>4. Banks and Banking—Deposit of Paper as Cash—Title of Bank. —The presumption that a bank becomes the owner of paper deposited as cash is p'ñmai fade only, and may be rebutted by proof showing that the parties contemplated a different relationship at the time of the deposit. But when nothing else appears than the mere fact of the deposit and the credit thereof as cash, which the depositor may withdraw at will, the law implies and establishes between the bank and the depositor the relationship of vendor and purchaser as to the paper, and of creditor and debtor as to the proceeds thereof.</p> <p>5. - Banks and Banking—Deposit of Bill or Check—Title of Bank— Bank Charging Dishonored Paper to Depositor.—A deposit in a bank of a bill, check, or other evidence of debt in the ordinary course of business, whereby the depositor receives a credit against which he may draw, operates to transfer the title