State National Bank v. Bank of Magdalena

Citations

• 21 N.M. 653

Syllabus

<p>SYLLABUS BY THE COURT.</p> <p>Where a bank, in good faith and for value, purchases from-an indorser or holder a check upon another bank, and thereupon indorses and forwards the same to its collection agency for its collection, and the same is presented by the collection agency to the drawee bank and is paid by the drawee bank, the drawee bank, upon discovering the check to be a forgery, cannot recover the money back from the bank to whom it was paid, in the absence of negligence by the latter.</p>