A Customer Can Escape Liability for Failing to Notify the Bank

question 53

True/False

A customer can escape liability for failing to notify the bank of forged or altered checks when the customer can prove that the bank was negligent.

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Definitions:

Commission

A fee or percentage of a sale paid to an employee or agent for their services in facilitating the sale.

Principals

In a legal context, individuals or entities who authorize agents to act on their behalf in contractual or negotiation situations.

Moneys

Forms of currency, including cash and other mediums of exchange, used as a means to purchase goods and services or settle debts.

Apparent Authority

The appearance or assumption of authority based on the actions of the principal, leading others to believe that an agent has the authority to act.