In a suit by the payee against the maker of a note, the defense was a failure of the consideration, i.e., several assigned drafts had been paid at the time of the assignment. It did not appear whether these unendorsed drafts were order or bearer instruments. Held, under the Negotiable Instruments Law this is not a failure of consideration because the assignor warrants only facts within his knowledge, and evidence of knowledge of these facts by the assignee is admissible to rebut the implied warranty. Queensboro Nat. Bank. v. Kelly, 48 F.(2d)574 (1931).