Cengage Advantage Books: Law for Business 18th Edition by John Ashcroft ,Janet Ashcroft

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On a check payable to "Rick Knight Simplot Soil Builders." Knight indorsed his name and forged Simplot's. He deposited the check in his account.It Yakima Federal Savings Loan. Simplot sued Yakima for improperly paying tin check on a forged indorsement. Had Yakima improperly paid the check on a forged indorsement?