https://www.taxtmi.com/caselaws?id=97893 Demand drafts were treated as a contract for transmission rather than mere deposits: the instrument's negotiable character did not exclude an implied agreement, and parol evidence and trade usage may prove collateral or implied terms. Contemporaneous accounting (earmarked/suspense entries), bank forms and practice, and witness evidence supported that purchasers paid to effect remittance; on that basis the payers' funds were held in a fiduciary/agency capacity. The operative effect is that purchasers of the drafts are entitled to priority in the bank's liquidation as beneficiaries of that agency/trust relationship rather than as ordinary creditors. en-us Mon, 06 Nov 1961 00:00:00 +0530 Wed, 18 Jan 2012 14:57:09 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=97893 Demand drafts were treated as a contract for transmission rather than mere deposits: the instrument's negotiable character did not exclude an implied agreement, and parol evidence and trade usage may prove collateral or implied terms. Contemporaneous accounting (earmarked/suspense entries), bank forms and practice, and witness evidence supported that purchasers paid to effect remittance; on that basis the payers' funds were held in a fiduciary/agency capacity. The operative effect is that purchasers of the drafts are entitled to priority in the bank's liquidation as beneficiaries of that agency/trust relationship rather than as ordinary creditors. Case-Laws Companies Law Mon, 06 Nov 1961 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=97893