In Situations Where the Bank Fails to Detect Forged Signatures

question 61

True/False

In situations where the bank fails to detect forged signatures and the customer does not immediately notice that the forged cheques have been cashed from its account,the courts will look to the bank-customer agreement to determine liability.If there is none,the common law rules apply.

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Definitions:

Technology Adoption Life Cycle

A sociological model that describes the adoption or acceptance of a new product or innovation, classified as innovators, early adopters, early majority, late majority, and laggards.

Innovations

The introduction of new ideas, goods, services, or processes which improve upon the existing standards, often leading to competitive advantage.

Crossing the Chasm

A marketing theory that describes the challenge of transitioning from early adopters to a broader mainstream market.

Consumer

An individual who purchases goods and services for personal use.