There  was  also  evidence  on  the  part  of  the  defendant,  strongly  tend-
ing to  show :  That  the  note  never  was  delivered  by  the  defendant,  but
that  Goldwood,  to  whose  order  it  was  drawn,  was  endeavoring  to  sell
to  the  defendant  a  patent  right  or  the  right  of  certain  territory  under
it.  and  that  the  parties  had  so  far  progressed  towards  the  making  of
an  arrangement  to  this  end,  that  it  was  understood  and  verbally  agreed
that  Goldwood  was  to  give  him  a  deed  of  certain  territory,  upon  de-
fendant's executing  to  him  a  note  for  the  amount,  with  some  other
person  signing  it  as  surety.  That  the  parties  being  in  the  defendant's
house,  and  defendant's  sister  being  present,  Goldwood  wrote  this  note,
and  defendant  signed  it ;  but  as  a  surety  was  to  be  obtained,  he  laid
the  note  on  the  table  and  went  out  to  find  his  uncle  for  that  purpose,
telling  Goldwood,  as  he  went  out,  not  to  touch  it  till  he  came  back ;

livery  of  these  bonds,  so  far  as  the  defendant  bank  is  concerned,  and  the
latter  is  therefore  entitled  to  retain  possession  of  them  as  outstanding  obli-
gations of  the  municipality.  Our  determination  that  the  negotiable  instru-
ments act  applies  to  municipal  bonds,  as  well  as  to  bills  of  exchange,  prom-
issory notes,  and  checks,  makes  unnecessary  a  consideration  of  the  interesting
question  argued  by  counsel  of  the  resi)ective  rights  of  the  plaintiff  and  de-
fendant under  the  law  merchant  as  it  existed  prior  to  the  enactment  of  that
statute."

2  The  statement  of  facts  is  abridged,  and  the  arguments  of  counsel  and
part  of  the  opinion  are  omitted.
