Ireland v. Shore

Citations

• 91 Kan. 326
• 137 P. 926
• 1914 Kan. LEXIS 28

Syllabus

<p>SYLLABUS BY THE COURT.</p> <p>1. Negotiable Instruments — “Defective Title” — “Holder in Due Course” — Burden of Proof. The plaintiffs, as indorsees of the payees, sued the defendant as the maker of certain promissory notes. The defenses were breach of contract on the part of the payees, failure of consideration, that the plaintiffs were not innocent purchasers, and defective title in the payees on account of fraud in obtaining the instruments. Held, instructions to the jury that the possession of a negatiable instrument properly indorsed is prima facie evidence that the holder is a holder in due course and that when the title of a person negotiating such an instrument is shown to be defective the burden is on the holder to prove that he is a holder in due course (Negotiable Instruments Law, §66), were necessary and proper and were not inconsistent with each other.</p> <p>2. Same. When proof of defective title in a person negotiating an instrument (Negotiable Instruments Law, § 62) has been made and the burden is thereby cast upon the holder to show that he is a holder in due course (Negotiable Instruments Law, § 59), production of the instrument properly indorsed can prove no more than that the instrument is complete and regular on its face. Other elements of the definition of a holder in due course must be proved by evidence aliunde.</p> <p>S. Evidence — Sufficient to Sustain Findings of Jury. The evidence «cammed and held sufficient to sustain a special finding of the jury that the plaintiffs did not purchase the notes sued on.</p>