Brandy Forges Caleb's Signature on a Check "Payable to the Order

question 15

Multiple Choice

Brandy forges Caleb's signature on a check "payable to the order of Brandy" drawn on Caleb's account in Downtown Bank. Caleb's forged signature is​

• A) ​effective if an innocent third party accepts the check.
• B) ​effective to the degree that it matches Caleb's genuine signature.
• C) ​effective to the extent that Downtown Bank debits Caleb's account.
• D) ​not effective.

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Definitions:

Physical Harm

Describes injury or damage to a person's body, as opposed to property or psychological harm.

Emotional Harm

Emotional harm refers to psychological damage caused by extreme stress, trauma, or distressing experiences, impacting an individual's mental health and well-being.

Negligent Misrepresentation

A false statement made carelessly that is reasonably relied upon and causes harm or damage.

Economic Harm

Damage or detriment to one's financial condition or prospects.