Endorsement of Payee. — Liability of Former to Holder in Due Course.

Question 443.— A promissory note has been endorsed by John Smith before John Brown, the payee, has endorsed it. Subsequently the payee endorses it. Can John Smith be made liable as an endorser or otherwise by a bona fide holder for value?

Answer.—We think that Smith would be liable to a holder in due course. The point is substantially the same as that dealt with by the Ontario Court of Appeal in Duthie v. Essery, reported at page 205, Volume 111, of the Journal.