Coupled

See Interest, 3(3), Coupled. COUPOH".6 Something "cut off "from another thing: a distinct part of a document or instrument, intended to be separated from the body thereof and used as evidence of something connected with it or mentioned in it. ' Coupon bond. Ordinarily, by " coupon " is meant a part of a transferable bond or certificate of loan, designed to be separated therefrom and used as evidence of interest due by the terms thereof. The original or primary obligations are called coupon bonds. 1 See 3 BI. Com. 35; 3 Law Quar. Rev. 1-13 (1S87). ' See 1 Abbott, Law Diet. 399; 59 Law Times, 379 (1875). » [Sheboygan County v. Barker, 3 WaU. 98 (1886), Grier, J. See fie Whiting, 8 Barb. 517 (1848); Be Carpenter, 7 id. 84 (1840); State, exrel. v. Glenn, 7 Helsk. 473 (1872). * Mo Cormick v. Fitch, 14 Minn. 357 (1869). See also 23 Ohio St. 339; 1 Sneed, 637. •1 Bl. Com. 343; 4 id. 1?3; Reginau Brown, 1 Carr. & An instrument complete in itself, and yet composed of several distinct instruments, each of which is in itself as complete as the whole together.' Such coupons are merely interest warrants or in-' terest-certifioates — written contracts for the payment of a definite sum of money on a given day." Most of the bonds of municipal bodies and private corporations are issued in order to raise funds for works of large extent and cost, and their payment is therefore made at distant periods. Coupons for the installments of interest are usually att^-ched, in the expectation that they will be paid as they mature, however distant the period for the payment of the principal. These coupons, when severed from the bonds, are negotiable and pass by delivery. They then cease to be incidents, become in fact independent claims; and they do not lose their validity, if for any cause the bonds are canceled or paid before maturity, nor their negotiable character, nor their abihty to support separate actions. Once severed from the bonds, and having matured, they are in effect eqi Uvalent to separate bonds for the different installments of interest." The holder Is enabled to collect the interest at the time and place named, or to transfer the coupon to another who may collect it, without the trouble of presenting the bond itself. This is a convenience to the foreign holdfer. The device tends to enhance the marketableness of interest-bearing securities, and is favored by the courts.^ The form does not change their nature. That they are payable at a particular place does not make it necessary to aver or prove a presentation for payment there. ^ Suit may be maintained upon a coupon without producing the bond; but the provisions in the bond must be recited in such a general way as to explain the relation the coupon originally held, and still holds, to it. Recovery may then be had for the face amount, with interest from the day when payment was unjustly refused, and exchange at the place of payment.* When a coupon upon its face refers to the bond, the purchaser is chargeable with notice of all that the bond contains." These separable obligations bear interest after their maturity. An unpaid coupon left on a bond is not of itself evidence that the bond is dishonored.' Interest coupons are instruments of a peculiar nature. Title to them passes by mere delivery. A ' 2 Daniel, Neg. Inst. § 1488 (1879). See Myers v. York, &o. E. Co., 43 Me. 239^0 (1857); Ethoven v. Hoyle, 13 C. B. 378 (1853). "Aurora City i). West, 7 Wall. 105 (1868), cases. ' Clark V. Iowa City, 30 Wall. 589 (1874), cases. Field, J.; Hartman v. Greenhow, 102 U. S. 684 (1880); Wahiut V. Wade, 103 id. 696 (1880); Thompson v. Perrine, 106 id. 598 (1882); Kerr v. City of Corry, 105 Pa. 282 (1884). ■• City of Kenosha i;. Lamson, 9 Wall. 477, 482-86 (1869), Nelson, J. "Walnut V. Wade, 103 U. S. 695 (1880). • Mc Lure v. Township of Oxford, 94 U. S. 432 (1876), Waite. C. J. transfer of possession is presumptively a transfer of title.' When issued by competent authority they pass into the hands of a bona fide purchaser for value before maturity, freed from any infirmity in their origin. As with other negotiable paper mere suspicion that there may be a defect of title in the holder, or knowledge of circumstances which would excite suspicion as to his title in the mind of any prudent man, is not sufficient to impair the title of the purchaser. That result will only follow where there has been bad faith on his part.s Being complete instruments, capable of sustaining separate actions without reference to the maturity of the bond, the statute of limitations begins to vxm from the time when they respectively mature.' See Bond; Ex, 3; iHPAiit. Coupon note. A promissory, note with coupons attached, which, in number, correspond to the payments of interest. The original note may be secvu-ed by a mortgage. A form in Iowa reads thus: J. 1888. On the day of, 188—, I promise to pay to or order, dollars. Being semi-annual interest to that date on my note for dollars, due 188—. Payable at. Coupon stamp. The Government furnishes collectors of its revenue books of stamps having coupons attached, to be used when taxes are paid on spirits. There are nine coupons to each stamp representmg a decimal, all prmted between the stamp and the stub. Upon the receipt of a distiller's tax, for example, the of Bcer detaches a stamp with such number of coupons attached as corresponds to the number of proof -gallons in the cask, as shown by the gauger's return. Unused coupons remain with the stub; if detached, they are of no value.* Coupon ticket. Sets or books of tickets issued by carriers of passengers, providing that for each trip had, according to the terms of the contract, a ticket shall be detached or 1 Eetchum v. Duncan, 96 U. S. 662 (1877). a Cromwell v. County of Sac, 96 U. S. 57 (1877), Field, J.; Murray v. Lardner, 2 Wall. 110-121 (1864), s Koshkonong v. Burton, 104 U. S. 668, 675 (1881). See Virginia Coupon Cases, 114 id. 269-340 (1885); generally, 1 Wall. 83, 175, 384; 3 id. 327; 10 id. 68; 11 id. 139; 14 id 232; 15 id. 355; 19 id. 83; 21 id. 354; 92 U. S. 502, 669- 93 id. 502; 94 id. 351, 463, 741, 801; 96 id. 659; 97 id. 96, 272- 99 id. 112, "362, 434, 499, 686; 101 id. 87, 677; 104 id 505; 105 id. 370, 733; 106 id. 663; 107 id. 529, 539, 568, 711 769; 15 Blatch. 343-46; 16 id. 54; 17 id. 4; 18 id. 383- 26 Conn. 121; 53 Ind. 191; 109 Mass. 88; 112 id. 63; 49 Me 607; 2 Nev. 199; 67 N. H. 397; 82 N. C. 382; 66 N. Y. 14; 44 Pa. 63; 22 Gratt. 833; 1 Daniel, Neg. Inst. Ch. XLVn. canceled, are called "coupon tickets" or tickets in the " coupon form." When the carriage is confined to the issuing line, the ticket is a contract to carry according to its own terms; but when there is one ticket for carriage over that line and other tickets as passports over other lines, the first carrier is ordinarily only agent for the others, except in cases of express contract to the contrary.' See Cakbier, Common.