This section of the book is from the "Canadian Banking Practice" book, by John T. P. Knight.
Question 360.— The holder of a deposit receipt, on account of his age, procures a renewal receipt in favour of himself and wife " or either of them," so that either may draw the money. Subsequently the wife presents the receipt endorsed by her husband (his mark witnessed), and asks for a renewal in favour of herself alone. The deposit receipt is one which is marked "not transferable." Does the bank take any risk in renewing the deposit receipt in the form which she desires?
Answer.—We think not. The original depositor, while he was in a position to deal with the deposit as he pleased, placed the amount at his wife's disposal, and the bank is therefore justified in acting on her instructions.