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Payable in Foreign Money


PAYABLE IN FOREIGN MONEY. Negotiable instruments are not invalidated because the amount payable is ex pressed in money of the denomination of a foreign country. But a note is not negotiable which requires the obligor to tender money of the foreign denomination in payment instead of a like sum in the native denomination. As where the note is written in dollars and cents and made "payable in Canada money." (Thompson v. Sloan, 23 Wend. 7!.) It is the equivalent value of the foreign money which is to be paid, and not the real foreign money.

All notes or bills made in the United States and calling for the payment of a designated number of dollars and cents are held to be negotiable, and to be drawn for the stated amount of lawful money of the United States, and this presumption is as a rule conclusive against showing that some other denomi nation was intended. (Cook v. Lillo, 103 U. S., 793.) A noted exception however to this rule was made by the courts in the cases of instruments call ing for the payment of a specific number of dollars and cents, but made within the lines of the Con federate government during the civil war and intended to be paid in Confederate money which was greatly depreciated. In order to do equity be tween the parties the presumption was relaxed, and the parties allowed to show that by dollars and cents the parties meant not "the lawful money of the Uni ted States," but a foreign money of a less value, the amount payable being determined by ascertain ing the value of so much Confederate money at the time and place of the contract.

cents and dollars