If a bank pays a check whose face has been altered to increase the amount above that which the drawer intended to pay, the bank:

Question

Quizplus · Accepted Answer

The bank is liable to the drawer for the amount of the increase because the alteration was made without the drawer's permission or authorization. The bank has a duty to exercise reasonable care when examining checks for payment and should have detected the alteration. However, the bank is not liable for the full amount of the check because the alteration was made by someone other than the bank or the drawer.

If a Bank Pays a Check Whose Face Has Been