The book The Law of Banking was written by author John R John Rahere Paget Here you can read free online of The Law of Banking book, rate and share your impressions in comments. If you don't know what to write, just answer the question: Why is The Law of Banking a good or bad book?
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But what would a reasonable business man think and do when these transactions went on for, say, two or three years, the cheques paid in by the subordinate honoured by the plaintiff's bank, and the proceeds drawn out by that subordinate, without comment or complaint on the part of the plaintiff ? It is not perhaps quite fair to test the actual earlier taking of the cheques by the standard of the reasonable THE COLLECTING BANKER 313 action of the ordinary business man. All he has to guard CHAP. X...VII. Against in taking a negotiable instrument is the possible im- putation of notice ; the collecting banker is bound to exer- cise greater vigilance in order to keep clear of negligence. But after that, the criterion is the same. And the ordinary business man would say to himself, " It is some- what unusual that this man should be using cheques primarily intended for his employer for his own benefit. But the employer must be cognisant of it by this time. He keeps his own books, he has got his pass book, which would show him at once that these cheques never reached their account ; he in any case presumably has his books audited ; the man is still with him in a confidential position ; the amount paid in in this way has increased year by year, which shows he is getting increased salary and so that he is satisfied with him ; it must be all right.
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