Page:United States Statutes at Large Volume 31.djvu/1451

 F IFTY-SIXTH CONGRESS. Sess. II. Ch. 854. 1901. 1399 Sec. 1325. SIGNATURE BY PROCURATION.-—-rh signature by "procura- ujfgggtum bY.P’°°· tion " operates as notice that the agent has but a limited authority to ` sign, and the rincipal is bound only in case the agent in so signing acted within the actual limits of his authority. · Sec. 1326. 11~u>oRsI·:MEN·r BY CORPORATION on INFANT.-—Tl'10 indorse- p(}gg{g‘I{°*¤;$¤* g’,:;>1{· . ment or assignment of the instrument by a corporation or by an infant erect oz. ‘ passes the property therein, notwithstanding that from want of capacity the corporation or infant may incur no liability thereon. . Sec. 1327. Fonenn SIGNATURE.—Wh€1‘B a signature is forged or egiggd ¤*F='¤°*“'°· made without the authority of the person whose signature it purports ` to be it is wholly inoperative, and no right to retain the instrument, o1· to give a discharge therefor, or to enforce payment thereof against any party thereto can be acquired through or under such signature, unless the party against whom it is sought to enforce such right is precluded from setting up the forgery or want of authority. Sec. 1328. PRESUMPTFIONOFVALUABLE CONSIDERATION.—EVB1`yIIBQO- §,g’g;,§*;$;§{gg¤· ` tiable instrument is deemed prima facie to have been issued for a valu- ' able consideration, and every person whose signature appears thereon to have become a party thereto for value. Sec. 1329. WHAT rs vALUE.—Value is any consideration sufficient “'h“°*° "l“°· to support a simple contract. An antecedent or preexisting debt constitutes value, and is deemed such whether the instrument is payable on demand or at a future time. Sec. 1330. WH0 IS HoLDr:R Foa VALUE.—·Wh€P€ value has at any V&§‘Q;° is h°'d" ‘°' time been given for the instrument, the holder is deemed a holder foI· ' value in respect to all arties who became such rior to that time. Sec. 1331. Where the holder has a lien on tge instrument, arising hghgfgl tf; gggflf either from contract or by im lication of law, he is deemed a holder mem. for value to the extent of his Tien. Sec. 1332. ABSENUE on FAILURE or CONSIDERATION.-·A.bS8HOB or e&§g;¤¢€ 0* *=°¤Sidfailure of consideration is matter of defense as against any person not ` · a holder in due course; and partial failure of consideration is a defense _ pro tznto, whether the failure is an ascertained and liquidated amount or otherwise. A Sec. 1333. IACCOBHSIODATION PART`[ES.—A.l'1 accommodation party is tAcc¤mm0¤».u0¤ parone who has signed the instrument as maker, drawer, acceptor, or m' indorser, without receiving value therefor, and for the purpose of _ _ _ lending his name to some other person. Such a person is liable on the "h“b‘1“" °’· instrument to a holder for value, notwithstanding such holder at the time of taking the instrument knew him to be only an accommodation art. - P Sd;}. 1334. NEGOTIATION.···A.Il instrument is negotiated when it is c0§§§§,§@°“· “’h“’ transferred from one erson to another in such manner as to constitute the transferee the holder thereof. lf payable to bearer it IS negotiated by delivery; if payable to order it is negotiated by the indorsement of the holder, completed by delivery. Sec. 1335. INDoRsmmNtr.—The indorsement must be written on the m;gg°’S€m°¤*· h°W instrument itself or upon a paper attached thereto. The signature of. the indorser, without additional words, is a sufficient indorsement. Sec. 1336. The indorsement must be an indorsement of the entire §1j’g‘;";§§°‘°“"’°*“" instrument. An indorsement which purports to transfer to the indorsee a part only of the amount payable, or which purports to transfer the instrument to two or more indorsees severally, does not operate as a negotiation of the instrument; but where the instrument has been paid in part it may be indorsed as to the residue. Sec. 1337. An indorsement may be either special or in blank; and ggfjgds 0* *“d°”°· it may also be either restrictive or qualified or conditional. ' Sec. 1338; SPECIAL INDORSEMENT.·-nk special indorsement specifies ggggjcial i¤d°”"‘ the person to whom or to whose order the instrument is to be payable;