Colonial Bank of Australasia Ltd v Marshall [1906] UKPCHCA 3

196 HIGH COURT (1906,

H.C. or A. with liberty to apply. Respondent to pay the costs of the appeal. Case re- mitted to the Supreme Court.

Foster.

Solicitors, for the appellant, Perkins «& Fosbery. Solicitors, for the respondent, John Williamson & Sons.

C. 2A. e

[lees td

(PRIVY COUNCIL.]

THE COLONIAL BANK OF AUSTRAL-)

ASIA LTD. . F ; . : yj APPELLANTS ;

AND

MARSHALL AND ANOTHER iu . RESPONDENTS.

ON APPEAL FROM THE HIGH COURT OF AUSTRALIA.

Banker and customer —Cheque—-Frandulent alteration of amount after signature —Duty of customer to take precautions against forgery.

Privy Whatever the duty of a customer towards his banker may be with reference Couxci* to the drawing of cheques, the mere fact that a cheque is drawn with spaces 1906. such that a forger can utilize them for the purpose of forgery is not by itself Se any violation of that obligation. July

— Decision of the High Court (Marshall v. The Colonial Bank of Australasia Ltd., 1 C.L.R., 632), affirmed.

Scholfield v. Barl of Londesborough, (1896) A.C., 514, followed.

Appear to His Majesty in Council from the decision of the High

Court. (Marshall v. The Colonial Bank of Australasia Ltd. (1).) *Present.—The Karl of Halsbury, (1) 1 C.L.R., 632.

Lord Macnaghten, Sir Arthur Wilson, Sir Alfred Wills.

4CLR]

OF AUSTRALIA. 197

The judgment of their Lordships was delivered by Gn Sir Arrour Witson. The two respondents, Marshall and 1906. Day, and one Myers, were executors of Ann Myers. As such = they opened an account with the appellant banking company in oe apes Melbourne on the 24th March 1900, when they paid in a sum of Sycias £1,596 15s. 2d. ; and against that account cheques were from time v. to time drawn signed by the three executors. On the 25th May MA™s¥att. 1900, before any of such cheques were drawn, the three executors addressed a letter to the bank, by which they requested the bank to pay cheques signed by the three, and sent specimens of their signatures. The course of business followed by the three executors amongst themselves was this. Myers, who alone resided in Melbotirne, drew each of the cheques, sent it for signature to Marshall, who signed first, then to Day, who signed second, and finally added his own signature.