This section of the book is from the "Canadian Banking Practice" book, by John T. P. Knight.
Question 67.— Bank A sends for collection to Bank B, draft or note (to be protested in case). Drawee or maker assigns before maturity. What would be the position of Bank B to Bank A on the following points?
(1) Should draft or note be returned by Bank B on the assignment becoming known?
(2) If so, may not protest be waived to save unnecessary cost under the circumstances?
(3) Would it be correct to simply advise Bank A of the assignment, asking for instructions; or what option has Bank B in the matter?
Answer.—(1) We think that the duty of Bank B is to protest the note at maturity and return it, in the absence of other instructions.