Question
The law firm of Levy Baldante, Finney & Rubenstein, P.C., had a checking account at TD Bank, N.A. The account agreement required notice to the
The law firm of Levy Baldante, Finney & Rubenstein, P.C., had a checking account at TD Bank, N.A. The account agreement required notice to the bank of "any problem with a check" within thirty days from when a statement showing the item was mailed. Jack Cohen, a partner at the law firm, stole more than three hundred thousand dollars from the account by fraudulently indorsing twenty-nine checks that had been made payable to clients and other third parties. More than 2 years after the first item appeared in an account statement, Susan Huffington, the firm's bookkeeper, discovered one of the fraudulently indorsed checks. She reviewed previous statements with images of the back of each check, compiled a list of fraudulently indorsed items, and notified the bank to recredit the account.Is the bank obligated to hone this request? Why or why not?
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