Question 136. - Is a cheque payable to John Jones or order and endorsed as follows, technically correct?

Deposited to the credit of John Jones, in the Bank of Canada, Salt Creek, Alta.

John Bull, Teller.

Is the signature of the teller binding on the bank, or does it require the signature of the manager or the accountant to bind? I have been advised that it is a recognized fact between banks that the signatures of the above officers are necessary to hold a bank.

Answer. - The paying bank is under no obligation to accept anything else than the actual endorsement of the payee and anything else than that is not "technically correct." Whether the teller's signature to the endorsement given is sufficient to bind the bank named therein would depend upon circumstances and customs, but it is generally accepted among banks that the manager's or accountant's signature should be appended to such endorsements. There are obvious objections to accepting the signature of the officer through whose hands the funds are presumed to have passed.