Kobe signs a check "pay to the order of Liu" drawn on Kobe's account at Main Street Bank. He later orders the bank not to pay the check, but the bank pays it over his order. Subsequent checks written on the account "bounce." Most likely liable for the costs to Kobe is
A)any party to whom a subsequent check was written.
B)Kobe.
C)Liu.
D)Main Street Bank.

Question

Quizplus · Accepted Answer

Main Street Bank is most likely liable for the costs to Kobe because it paid the check over his stop payment order, leading to subsequent checks bouncing.

Kobe Signs a Check "Pay to the Order of Liu