MTR. OF KNOX (COLUMBIA BANKING)


64 N.Y.2d 434 (1985)

In the Matter of Samuel J. Knox, Jr., as Guardian ad Litem of Robert D. Tyler, an Infant, Appellant. Columbia Banking Federal Savings and Loan Association, Respondent.

Court of Appeals of the State of New York.

Decided March 28, 1985.


Attorney(s) appearing for the Case

Samuel J. Knox, Jr., appellant pro se.

John J. Darcy for respondent.

Chief Judge WACHTLER and Judges MEYER, SIMONS and ALEXANDER concur with Judge KAYE; Judge JASEN dissents and votes to reverse in a separate opinion.


KAYE, J.

A bank that allows a fiduciary to negotiate a check payable to him as fiduciary without first establishing his authorization to do so will not, without more, be liable to the beneficiary when the fiduciary exceeds his powers by negotiating the check.

In 1978, Robert Daniel Tyler, aged four, was injured while he and his family lived in Kentucky. His father, Paul E. Tyler, brought suit on his behalf...

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