What is the effect of section 61(1) of the Bankruptcy and Insolvency Act, s. 61(2) of which a bank can call for endorsement of its notes?
British Columbia, Canada
The following excerpt is from Bank of B.C. v. Coopers & Lybrand Ltd., 1984 CanLII 373 (BC SC):
Even assuming that Davis v. Nash applies to the facts of this case, the most that s. 61(1) does is to give the bank the right to call for endorsement of the "notes", a relief which it has not claimed here. Even if it had so claimed, I consider that the bank would get no better title under s. 61(1) than Community had at the time of the endorsement. The words "such title as the transferor had" must be given a meaning which is not inconsistent with the definition of holder. Furthermore, the bank is not a transferee in the context of the Act. Actual delivery of possession is required where there has been no endorsement.
"The most advanced legal research software ever built."
The above passage should not be considered legal advice. Reliable answers to complex legal questions require comprehensive research memos. To learn more visit www.alexi.com.
Other Questions
What is the effect of section 12 of the Charter on a minimum sentence imposed under section 344(a) of the Criminal Code? (British Columbia, Canada)
What is the effect of section 29(1) of the Criminal Code Act, section 46 of the Civil Rights Act? (British Columbia, Canada)
Can a debtor who is discharged from bankruptcy provide a promissory note in order to secure payment of moneys owing to the debtor prior to his discharge from bankruptcy? (British Columbia, Canada)
In what circumstances will a bank be able to bring an action to obtain leave under section 38 of the Bankruptcy and Insolvency Act? (British Columbia, Canada)
What is the effect of section 327(1) of the Criminal Code on the meaning of the words "or elsewhere" in the definition of a subscription programming signal? (British Columbia, Canada)
What is the test for disbursements of funds from the Bankruptcy and Insolvency Commission of Canada? (British Columbia, Canada)
What is the effect of an interim preservation order granted under section 9 of the BC Civil Forfeiture Act? (British Columbia, Canada)
What is the starting point in section 9(a) of the Rules of Civil Procedure 9(b) and 9 (b) of section 9 of the Child Support Guidelines? (British Columbia, Canada)
What is the effect of an injunction restraining the wife from selling, disposing of or voting her shares in a company to effect a sale or disposal of the assets of the company? (British Columbia, Canada)
What is the effect of the common law rule on postponement under section 6 of the Limitation Act? (British Columbia, Canada)
