If a bank wrongfully dishonors a depositor's check, the bank is liable only to the holder.

Name: If a bank wrongfully dishonors a depositor's check, the bank is liable only to the holder.
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Question

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The bank is primarily liable to its depositor for wrongfully dishonoring a check, not just to the holder of the check. This is because the depositor has a direct relationship with the bank through the account agreement.

If a Bank Wrongfully Dishonors a Depositor's Check, the Bank