This section is from the book "The Law Of Contracts", by William Herbert Page. Also available from Amazon: Commercial Contracts: A Practical Guide to Deals, Contracts, Agreements and Promises.
Delivery may, however, be constructive, as well as actual. If a note is made out, and placed by the maker in his safe, with the consent of the payee, simply for the purpose of safe keeping, it has been held to be constructively delivered.1 In an extreme case, a note was held to be constructively delivered where the maker intended it to be a complete and binding obligation without any further act on his part.2 So where A drew a check payable to B or order and the check never came into B's hands, but into X's, who by false representations got the bank to pay him, this was treated as such a delivery that B could maintain an action thereon.3 A made a deed to his son B, conveying real estate for which B was to pay A three hundred dollars a year until A's death. B at once went into possession of such property, paid this sum to A annually, paid the taxes on the property, erected improvements, and treated it as his own. A always retained the custody of the deed. A few days before A died he directed another son to deliver this deed to B.
5 Shields v. Bush, 189 Ill. 534; 82 Am. St. Rep. 474; 59 N. E. 962.
6 Gulf, etc., Co. v. O'Neal, 131 Ala. 117; 90 Am. St. Rep. 22; 30 So. 466; Parker v. Salmons, 101 Ga. 160; 65 Am. St. Rep. 291; 28 S. E. 681; Abbott v. Abbott. 189 Ill. 488; 82 Am. St. Rep. 470; 59 N. E. 958.
7 Weber v. Christen, 121 Ill. 91; 2 Am. St. Rep. 68; 11 N. E. 893; Cravens v. Rossiter, 116 Mo. 338;
38 Am. St. Rep. 606; 22 S. W. 736. So of a chattel mortgage, National State Bank v. Morse Wilson Co.. 73 la. 174; 5 Am. St. Rep. 670; 34 N. W. 803.
1 Victor v. Swisky. 87 Ill. App. 583.
2 Rowan v. Chenoweth, 49 W. Va. 287; 38 S. E. 544.
3 Pickle v. Muse, 88 Tenn. 380; 17 Am. St. Rep. 900; 7 L. R. A. 93; 12 S. W. 919.
This was not done until after A died. These facts were held to amount to a constructive delivery.4