5.1 Duty to Pay Cheque

The duty's basis: the customer's mandate — the banker's obligation to honour the properly- drawn cheque (the funds-sufficient-and-available, the mandate-undisturbed: the cheque as the customer's order the bank must obey in the ordinary course). The duty's conditions (the banker's payment's justification): the cheque in due form (the instrument's validity); the signature-and-mandate regular (the drawer's order verified); the funds available (the balance-or- agreed-overdraft); no legal bar (the garnishee order, the court's injunction, the customer's death/ insolvency notice, the countermand (the stop-payment's instruction), the notice-of-the-customer's- mental-disorder). The wrongful acts (the duty's breach): (1) the WRONGFUL DISHONOUR (the sufficient-funds cheque refused — the bank's liability: the customer's damages (the injury's proof — the trader's greater loss (the business-reputation's presumption — the trader-vs-non-trader's craft))); (2) the WRONGFUL PAYMENT (the forged-or-unauthorised payment — the bank's own loss (the mandate's fidelity: the forged drawer's signature NO payment (the bank pays at its peril — the true-owner's restitution)); the forged-indorsement's chain (the collection's risk)); the alteration's faces (the material alteration — the mandate's corruption). The payment in due course (the banker's shelter): the NI law's protection — the payment in accordance with the instrument's tenor, in good faith, without negligence, to the rightful holder: the payment's discharge (the protected payment's craft — Unit 9's companion). The cheque's journey (the memory aid): the drawer's writing → the payee's…