PROBLEMS:

Ss8 1. Jose Reyes signed a blank check, and in his haste to attend a party,
ols alu left the check at the top of his executive desk in his office. Later,
BOOSTARD
Nazareno forced open the door to Reyes' office, and stole the blank
check. Nazareno immediately filled in the amount of P50,000.00
and a fictitious name as payee on the said check. Nazareno then
endorsed the check in the payee's name and passed it to Roldan.
Thereafter, Roldan endorsed the check to Dantes.
nabj0n.a a) Can Dantes enforce the check against Jose Reyes? Explain.
sparer bos
If Dantes is a holder in due course will your answer to
question (a) be the same? Explain.
erla
A:
a)
Dantes cannot enforce the instrument against Jose Reyes. Jose
Reyes can raise the defense that the incomplete instrument
was not delivered since the check was only stolen and filled
up by Nazareno.
b)
My answer will be the same even if Dantes is a holder in due
course. If an incomplete instrument has not been delivered,
39, 901<965953
it will not, if completed and negotiated without authority,
be a valid contract against any holder, even a holder in due
course (Sec. 15, NIL; 1985 Bar).
e15 2. A signed a blank check and kept it inside the drawer of his desk in
9 his office. B, a janitor of the office opened the drawer, got the check
and filled in the amount of P100,000.00 with B's name as payee.
Thereafter, B indorsed the check to C, and C indorsed the check
2A
OBeR
to D. Should the drawee bank dishonor the check? Can D hold A
liable? Would your answer be the same if D was a holder in due
course? How about B and C, are they liable to D?
A:
tO
cold of
99425
tablor s
No. D cannot hold A liable because the instrument is incomplete
and undelivered. Under Section 15, NIL, an incomplete and
undelivered instrument would not be a valid instrument in the
hands of any holder as against any person whose signature was
placed before delivery.
Yes. My answer will be the same even if D is a holder in due
course because the law, Section 15, NIL says
"any holder."
Yes. B and C are liable. B because he was the forger and an
indorser, and he warrants that the instrument is genuine and in all
respects what it purports to be. So also with C (an indorser).
13.04.
UNDATED INSTRUMENT
A negotiable promissory note payable at a fixed
period after date was issued undated and without any
amount and was delivered to the payee named therein.
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