Randy Bocian had a bank account with First of America-Bank (FAB). On October 8, Bocian received a check for $28,800 from Eric Christenson as payment for constructing a pole barn on Christenson’s property. Bocian deposited the check at FAB on October 9 and was permitted to draw on the funds through October 12. Bocian wrote checks totaling $12,334.21, which FAB cleared. On October 12, Christenson stopped payment on the check as the result of a contract dispute over the pole barn. Bocian’s account was then overdrawn once the check was denied clearance by Christenson’s bank. FAB brought suit against both Bocian and Christenson to collect its loss.

Christenson counterclaimed against Bocian for his contract breach claims on the pole barn construction. FAB maintained that it had given value and was a holder in due course and that, as such, it was not required to be subject to the pole barn issues or the stop payment order. Is FAB right? [First of America-Bank Northeast Illinois v Bocian, 614 NE2d 890 (Ill App)]