The Negotiable Instruments Law which has been enacted in every State of the Union, except Georgia and Texas, contains a provision which clears up this conflict of authority by the enactment of the clause which provides that where an instrument is payable at a bank, it is equivalent to an order to the bank to pay for the account of the principal debtor thereof.

However, in four or five States, this particular section is eliminated, by which it may be inferred that the legislators intended not to have it prevail. Illinois, Nebraska and South Dakota omit this section. In Missouri, by an amendment made in 1909, an addition was made to the end of the section as follows: "But where the instrument is made payable at a fixed or determinable future time, the order of the bank is limited to the date of maturity only." That addition was intended to clear up the question, when a note payable at a bank was not presented on the precise day of maturity, whether the bank had authority to make payment without instructions from the maker. In Minnesota, the word "not" is interpolated so as to read "and as not equivalent to an order." In Kansas, however, the section quoted has been stricken from the law by a subsequent amendment. In other words, in Illinois, Nebraska, South Dakota, Minnesota and Kansas, there is no authority or right for a bank to charge up a note or trade acceptance which is made payable at a bank, without express instructions from the acceptor. In all other States, excepting Texas and Georgia, where the Negotiable Instruments Law is not in force, an acceptance made payable at a certain bank is equivalent to an order upon that bank to pay.

Acceptances being negotiable instruments, that body of law which governs negotiable commercial paper is applicable to them. (For Negotiable Instruments Law, refer to Part V).