BILLS AND NOTES - DOMICILED NOTE AS A CHECK - INCIDENCE OF LOSS FROM THE FAILURE OF THE BANK OF DOMICILE AFTER MATURITY

Bonds of D County gave the holder the option of demanding payment at the office of the county treasurer or at a designated New York bank. At maturity, funds were available at the bank for payment, but the holder, P, made no presentment until eighteen days later, five days after the bank had failed, when demand was made on the county treasurer and payment refused. P sued. Held, the holder should recover the face of the bond regardless of the loss through the failure of the bank of domicile.

Employers Mutual Insurance Co. v. Board of County Commissioners, 102 Colo. 177, 78 P. (2d) 380 (1938).