In Lor-Mar/Toto v.Constitution Bank,where the bank cashed bogus checks written on Lor-Mar's company account and the checks had signatures that looked like the stamped signatures Lor-Mar used,the courts held:
A) the bank was strictly liable under the UCC for making payments on forged checks
B) the bank was liable under the UCC for negligence in not noticing that the checks used in the forgery were on the wrong paper
C) the bank was not liable because,under the UCC,if the signature looks like a valid stamped signature,the bank has not violated its duty of care
D) the bank was not liable because Lor-Mar carelessly allowed others to get copies of its check blanks
E) none of the other choices
Correct Answer:
Verified
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