Newell v. School Directors

Citations

• 68 Ill. 514

Syllabus

<p>1. School orders—negotiability of. School orders drawn by school directors on the township treasurer, being payable to an individual or bearer, may pass by indorsement so as to vest title in the assignee, and authorize him to institute suit in his own name. „</p> <p>2. Same—assignee takes subject to defenses. But there is a marked difference between the rights of an assignee of a school order and an assignee of a promissory note or bill of exchange. The directors having no power to issue orders payable at a future day, and the law requiring it to be stated in the order the purpose for which, and on what account it is drawn, it carries notice to every person becoming its holder of its validity, and he must at his peril ascertain what defenses can be interposed against its collection. The assignee stands in no better position than the payee.</p>