New York Court of Appeals
Marine Midland Bank-New York, Appellant v. Graybar Electric Company, Inc., Respondent, and Dynamics Corporation of…
May 3, 197741 N.Y.2d 703
Summary
The New York Court of Appeals affirmed the Appellate Division, holding that a bank may not set off a depositor's account against a loan on the day the loan matures and that the bank was not a holder in due course of the check because it gave no value, thus it could not recover on the check.