Farmers' Exchange Bank v. Altura Gold Mill & Mining Co.

Action on promissory note for five hundred dollars, dated July 1, 1895, and payable six months after date, executed by defendant Hutson to defendant the mining company, and sold to plaintiff before its maturity. Plaintiff had judgment, from which defendants Maud and Newman appeal and come here on bill of exceptions. It appears that plaintiffs sent the note to the Orange Growers’ Bank of Riverside for collection; the latter bank subsequently remailed it to plaintiff bank, and it was stolen from the United States postoffice and never after recovered. The form of the note and its indorsements were proved by parol as a lost instrument.

1. The principal question is whether by the indorsement on the note appellants “expressly waived all rights to demand notice of payment, protest, and notice of protest, and nonpay ment of said note,” as found by the court. It appeared from the evidence that defendant Hutson made the note payable to the mining company; that defendant Otis, president of the company, requested plaintiff to discount it for the purpose of raising funds for the company; plaintiff consented to do so on condition that Otis would procure the indorsement of three or four…