Case Problem with Sample Answer In December 1999, Jenny Triplett applied for a bookkeeping position with Spacemakers of America, Inc., in Atlanta, Georgia.

Spacemakers hired Triplett and delegated to her all responsibility for maintaining the company checkbook and reconciling it with the monthly statements from SunTrust Bank. Triplett also handled invoices from vendors. Spacemakers’ president, Dennis Rose, reviewed the invoices and signed the checks to pay them, but no other employee checked Triplett’s work. By the end of her fi rst full month of employment, Triplett had forged six checks totaling more than $22,000, all payable to Triple M Entertainment, which was not a Spacemakers vendor.

By October 2000, Triplett had forged fi fty-nine more checks, totaling more than $475,000. A SunTrust employee became suspicious of an item that required sight inspection under the bank’s fraud detection standards, which exceeded those of other banks in the area. Triplett was arrested. Spacemakers fi led a suit in a Georgia state court against SunTrust. The bank fi led a motion for summary judgment. On what basis could the bank avoid liability? In whose favor should the court rule, and why? [Spacemakers of America, Inc. v. SunTrust Bank, 271 Ga.App. 335, 609 S.E.2d 683 (2005)]

—After you have answered Problem 19–5, compare your answer with the sample answer given on the Web site that accompanies this text. Go to www.cengage.com/blaw/blt, select “Chapter 19,” and click on “Case Problem with Sample Answer.”