The holder of an instrument other than the one to whom it was originally given, when obtained in the due course of business and in a legal way. The rights of a "holder in due course" are quite complex, but, in brief, such a holder of an instrument possesses the same free from any defect of title of prior parties, and holds the same free from defences available for such parties among themselves, and may enforce payment of the instrument for the full amount thereof against all parties liable thereon.

The Statutes of Michigan say that: "A holder in due course is a holder who has taken the instrument under the following conditions:

"First, That it is complete and regular upon its face.

"Second, That he became the holder of it before it was overdue, and without notice that it had been previously dishonoured, if such was the fact.

"Third, That he took it in good faith and for value.

"Fourth, That at the time it was negotiated to him he had no notice of any infirmity in the instrument or defect in the title of the person negotiating it."