Rothrock Stores v. Panzera

Citations

• 72 Pa. Super. 349
• 1919 Pa. Super. LEXIS 312

Syllabus

<p>Negotiable instruments — Holder in due course — Affidavit of defense — Sufficiency.</p> <p>In an action on a promissory note an affidavit of defense is sufficient which avers that the notes were obtained from the maker through fraud and misrepresentation of the payee or its agent.</p> <p>Under the Negotiable Instruments Act every holder is deemed prima facie a holder in due course, but when it is shown that the title of any person who has negotiated 'the instrument is defective the burden is on the holder to prove that he acquired title in due course and without notice.</p> <p>An affidavit of defense averring that the instrument, upon which the suit is brought, was obtained from the maker by fraud and misrepresentation, clearly shifted the burden of proof, and the statute itself east upon the endorsee or use-plaintiff the burden of proving affirmatively, that it had no notice of the fraud, incident to the making of the obligation. It cannot, therefore, demand or obtain a summary judgment.</p>