CASE STUDY

Case Study - Constantaras v. Anagnostopoulos

Case Study - Constantaras v. Anagnostopoulos

Introduction

The case is between Mr. Anagnostopoulos who has been issuing a number of checks which were drawn by Mr. Souloutas. The issue arose when the bank refused to pay Mr. Constanaras the amount on two checks because the drawer had not signed them. Because of this reason, he took the issue to court and resulted is a simple yet complex case based on some minor details and understanding.

A statement of the relevant facts in the case

Firstly it is essential to understand the literal explanation of the bill of exchange, also popular as the draft. It is an accounting tool and is an obligatory accord by one party to pay a set sum of cash to a different party as of a prearranged date or on demand. Usually international trade uses the bill of exchange, and has seen decline is the use as other payments have gained popularity and added convenience. Another explanation of the instrument according to the section 5 is that it is a tool to script containing an unqualified order, signed by the producer, unswerving an individual who pays a specified sum of money only to or to order of, a particular individual or to the holder of the instrument (Balbir, 2007).

A bill of exchange has three parties, which are the payee, the drawee and the drawer. The person who makes the bill the drawer, the drawee is the person who pays, while the payee is the person who is the receiver of the payment. There can be instances in which the payee and the drawer may be the same person. As the issue in case, the bill by broad definition must be signed by the drawer, if the person giving the bill does not sign it, ...