In January 1772, Archibald Graham drew a bill upon Hugh Mackay, payable on Whitsunday of that year. According to the pursuer, David Elliot, Archibald Graham later endorsed the bill to James Campbell as compensation. This bill was then endorsed to William Graham, who later endorsed it to David Elliot. No demand was made on Mackay's bill until December 1773, 18 months after the term of payment. At this time David Elliot brought action against Hugh Mackay, who attested that he was not aware that the bill had been endorsed over, and pleaded compensation. The cause came before Lord Pitfour, who assoilzied (absolved) Mackay in February 1775. Elliot represented against this interlocutor, and the cause was remitted to Lord Auchinleck. Auchinleck reported the cause to the full court. In January 1777, the Court found compensation to be valid, and assoilzied Mackay. In a petition responding to this ruling, Elliot argued that other mercantile countries held much longer expiration dates for bills, and allowing compensation for a bill held by an onerous endorsee would be destructive for business. In July 1777, the Court agreed with the petitioner, and overturned its previous ruling.
Documents in this case (2)
- Elliot v. M'Kay — Petition, 28 Jan 1777January 28, 1777 Petition from David Elliot, trustee for William Graham, against decision by the Court to assoilzie Hugh Mackay.
- David Elliot v. Hugh Mackay — Answers, 26 Feb 1777February 20, 1777 Answers for Hugh Mackay to the petition of David Elliot, arguing that compensation for the bill should be upheld as proponable.
People & places in this case
People involved
- David Elliot — Pursuer
- Hugh Mackay — Defender
- Sir Ilay Campbell, Lord Succoth, 1st Baronet of Succoth — Advocate for Pursuer
- Sir David Rae, Lord Eskgrove, 1st Baronet — Advocate for Defender
- James Ferguson, 2nd Laird of Pitfour, Lord Pitfour — Lord Ordinary
- Alexander Boswell, Lord Auchinleck — Lord Ordinary
- William Graham — Named in case documents
- Archibald Graham — Named in case documents
- James Campbell — Named in case documents
Where this case took place
In January 1772, Archibald Graham drew a bill upon Hugh Mackay, payable on Whitsunday of that year. According to the pursuer, David Elliot, Archibald Graham later endorsed the bill to James Campbell as compensation. This bill was then endorsed to William Graham, who later endorsed it to David Elliot. No demand was made on Mackay's bill until December 1773, 18 months after the term of payment. At this time David Elliot brought action against Hugh Mackay, who attested that he was not aware that the bill had been endorsed over, and pleaded compensation. The cause came before Lord Pitfour, who assoilzied (absolved) Mackay in February 1775. Elliot represented against this interlocutor, and the cause was remitted to Lord Auchinleck. Auchinleck reported the cause to the full court. In January 1777, the Court found compensation to be valid, and assoilzied Mackay. In a petition responding to this ruling, Elliot argued that other mercantile countries held much longer expiration dates for bills, and allowing compensation for a bill held by an onerous endorsee would be destructive for business. In July 1777, the Court agreed with the petitioner, and overturned its previous ruling.
