Deck 37: Liability of Silverado Bank in Prestridge v. Bank of Jena for Forged Checks.

Question 1

In the facts of the previous question,suppose that Thalia had had access to Rhett's checks through his carelessness.The majority in the Prestridge case would then most likely hold Silverado liable for

A)all checks.
B)checks that were cashed less than thirty days after the statement.
C)checks that were cashed more than thirty days after the statement.
D)no checks.

Answer 1

D

Question 2

In the situation set out in either of the previous questions,the dissent in the Prestridge case would most likely hold Silverado liable for

A)all checks.
B)checks that were cashed less than thirty days after the statement.
C)checks that were cashed more than thirty days after the statement.
D)no checks.

Answer 2

D

Question 3

More than thirty days after Rhett receives his account statement from Silverado Bank,he notifies the bank that Thalia forged Rhett's name on some of the checks that the bank has cashed.The majority in Prestridge v.Bank of Jena would most likely hold Silverado liable for

A)all checks.
B)checks that were cashed less than thirty days after the statement.
C)checks that were cashed more than thirty days after the statement.
D)no checks.

Answer 3

B