What is MEMORANDUM CHECK?

A check given by a borrower to a lender, for the amount of a short loan, with the understanding that it is not to be presented at the bank, but will be redeemed by the maker himself when the loan falls due. This understanding is evidenced by writing the word “Mem.” on the check. This is not unusual among merchants. See U. S. v. Is- ham, 17 Wall. 502, 21 L. Ed. 728; Turnbull v. Osborne, 12 Abb. Prac. (N. S.) (N. Y.) 202; Franklin Bank v. Freeman, 16 Pick. (Mass.) 539.

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