Question 288.— Referring to article on forged and raised endorsements in the April, 1903, number of the Journal, " Cocks v. Masterman," what is the position of the acceptor who has paid a bill bearing forged endorsements. Could he be called upon to pay the money again to the last holder for value prior to the forged endorsement? If the acceptor had knowledge of forged endorsement on the bill and refused payment, to whom would the holder look for payment? Would the holder and the last endorser prior to the forged endorsement have equal rights against the acceptor?

Answer.— (1) He could be called upon to pay again to a valid holder.

(2)   The holder would look to the party for whom he negotiated the bill. (Vide 60 & 61 Vict. ch. 10—Act respecting forged and unauthorized endorsements).

(3)   The holder not being a holder in due course would have no rights against the acceptor.