Question 401. - A gave B a cheque for $25 in part payment of purchase money for B's business. The cheque was drawn on bank C, and was cashed by B at bank D. A stopped payment of the cheque, consequently bank C refuses to pay the cheque, which is protested. Can bank D sue A and recover the amount of the cheque?

Answer. - Bank D has the right to recover from A or B if it is a holder in due course. See the case of McLean v. Clydesdale Bank, 9 A. C. 95, in which it is said: "If payment of a cheque is stopped, the holder may look to the drawer and endorsers, subject to the provisions of the Act applicable to the rights and liabilities of the parties upon the dishonour of a bill."