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The Annotated Code of the Public General Laws of Maryland, 1939
Volume 379, Page 488   View pdf image (33K)
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488 ARTICLE 13

3. Where the drawer is the person to whom the instrument is presented
for payment;

4. Where the drawer has no right to expect or require that the drawee
or acceptor will honor the instrument;

5. Where the drawer has countermanded payment.

An. Code, 1924, sec. 134. 1912, sec. 134. 1904, sec. 134. 1898, ch. 119. .

134. Notice of dishonor is not required to be given to an indorser in
either of the following cases:

1. Where the drawee is a fictitious person or a person not having capacity
to contract, and the indorser was aware of the fact at the time he indorsed
the instrument;

2. Where the indorser is the person to whom the instrument is presented
for payment;

3. Where the instrument was made or accepted for his accommodation.
See notes to sec. 99.

An. Code, 1924, sec. 137. 1912, sec. 135. 1904, sec. 135. 1898, ch. 119.

135. Where due notice of dishonor by non-acceptance has been given,
notice of a subsequent dishonor by non-payment is not necessary, unless
in the meantime the instrument has been accepted.

An. Code, 1924, sec. 136. 1912, sec. 136. 1904, sec. 136. 1898, ch. 119.

136. An omission to give notice of dishonor by non-acceptance does
not prejudice the rights of a holder in due course subsequent to the omission.

An. Code, 1924, sec. 137. 1912, sec. 137. 1904, sec. 137. 1898, ch. 119.

137. Where any negotiable instrument has been dishonored it may be
protested for non-acceptance or non-payment, as the case may be; but pro-
test is not required, except in the case of foreign bills of exchange.

CHAPTER IX.—Discharge of Negotiable Instruments.

An. Code, 1924, sec. 138. 1912, sec. 138. 1904, sec. 138. 1898, ch. 119.

138. A negotiable instrument is discharged:

1. By payment in due course by or on behalf of the principal debtor;

2. By payment 'in due course by the party accommodated, where the
instrument is made or accepted for accommodation;

3. By the intentional cancellation thereof by the holder;

4. By any other act which will discharge a simple contract for the pay-
ment of money; 5. When the principal debtor becomes the holder of the instrument at
or after maturity in his own right.

This section makes no distinction between a negotiable instrument held by "a holder
in due course" and one held by "a holder for value." An accommodation maker or
acceptor is primarily liable; discharge not made out. Jamesson v. Citizens Bank, 130
Md. 79.

The methods of discharge herein enumerated are exclusive of a discharge in any
other way. This applies to a surety who, however by terms of a note, is primarily
liable. Vanderford v. Farmers', etc., Bank, 105 Md. 167; Jamesson v. Citizens Bank,
130 Md. 79; Hager v. Hagerstown Bank, 138 Md. 254.

See notes to secs. 22 and 141.

This section referred to in construing sec. 48. Coffee Co. v. Page, Receiver, 161
Md. 508.


 

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The Annotated Code of the Public General Laws of Maryland, 1939
Volume 379, Page 488   View pdf image (33K)
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