Asked by Lauren Proehl on Jun 03, 2024
Verified
Brady forges Cal's signature on a check "payable to the order of Brady" drawn on Cal's account in Downtown Bank. Cal's forged signature is
A) effective if an innocent third party accepts the check.
B) effective to the degree that it matches Cal's genuine signature.
C) effective to the extent that the bank debits Cal's account.
D) not effective.
Forges
The act of creating counterfeit copies of documents, art, or other items with the intent to deceive; also refers to workshops equipped with a forge for metalworking.
Effective
Producing the intended or desired result.
- Evaluate the impacts of forgery and the obligations of banks and account holders in instances of check fraud.
Verified Answer
ZK
Zybrea KnightJun 06, 2024
Final Answer :
D
Explanation :
A forged signature is not legally effective. The law does not recognize a forged signature as valid for the purpose of authorizing transactions, including checks.
Learning Objectives
- Evaluate the impacts of forgery and the obligations of banks and account holders in instances of check fraud.