A Bank That Cashes a Check with a Forged Indorsement

question 42

True/False

A bank that cashes a check with a forged indorsement on it cannot be liable for conversion.

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Definitions:

Indorsement

A signature or stamp placed on a negotiable instrument (such as a check) that indicates the future control or ownership of the instrument.

Secondary Liability

Secondary liability occurs when a party is held responsible for the actions of another, typically in situations where the primary party fails to fulfill their obligations.

Contingent Liability

A potential financial obligation that may occur, depending on the outcome of a future event.

Huntington National Bank V.Guishard

This likely refers to a specific legal case or decision involving Huntington National Bank and an individual or entity named Guishard, but without additional context, a detailed definition cannot be provided.