216 The Farmer's Business Handbook 



note, otherwise it would have been paid. In 

 other words, no person who purchases a past- 

 due note from the payee himself is protected 

 against original want of consideration, against 

 fraud in its making or sometimes against any 

 counter-claim that may be made by the maker 

 of the note. If, however, a third party inno- 

 cently and without knowledge of any of the 

 equities or lack of consideration, fraud, etc., 

 purchases a negotiable note before it is due, then 

 the law protects the purchaser. For instance, 

 if A, a lightning-rod man, sells to B and 

 takes his note, and afterwards C purchases the 

 note for value before maturity without knowledge 

 of fraud on B by A, C is protected and can 

 collect the note even though fraud and mis- 

 representation were practiced by A on B. 

 This must lead to the conclusion that it is un- 

 safe to give a note unless the maker is entirely 

 satisfied that all of the conditions leading up to 

 the making have been fully complied with, be- 

 cause it is quite sure to turn up later in the 

 hands of an innocent third party. 



The date of a note is of great importance. 

 It is not counted in the time of a note, thus: 

 A note given July 1 for thirty days is due July 

 31. In some states three days of gi'ace are 

 given in addition, but in New York, as in some 

 other states, days of gi-ace have been abolished. 



