Court Awards Marks and Sokolov Client Over $1.7 Million in Suit Against Major US Bank
What the Case Involved:
Our clients sued Corestates Bank N.A.(now Wachovia) for breach of contract and negligence for losses suffered as a result of the Bank’s reckless honoring of over $11 million in checks which did not bear the requisite number of signatures (two) which permitted a dishonest employee to perpetuate a check kiting scheme on their business. The Bank had a policy of not honoring multiple signature requirements if they conflicted with information on the Bank’s computers. In this case, the two signature requirement was not followed.
Result:
The Court found that the Bank breached the implied covenant of good faith and fair dealing by paying 41 unauthorized checks and awarded our client over $1,700,000.
