business law

Overdraft Louise Kalbe maintained a checking account at the Pulaski State Bank (Bank) in Wisconsin. Kalbe made out a check for $7,260, payable in cash. Thereafter, she misplaced it but did not report the missing check to the bank or stop payment on it. One month later, some unknown per-son presented the check to a Florida bank for payment. The Florida bank paid the check and sent it to Bank for collec-tion. Bank paid the check even though it created a $6,542.12 overdraft in Kalbes account. Bank requested Kalbe pay this amount. When she refused, Bank sued Kalbe to collect the overdraft.

Who wins?