In Re: Michael J. Rovell, Debtor-Appellant, Michael J. Rovell v. American National Bank

KANNE, Circuit Judge.

When a law firm plagued by sloppy bookkeeping mistakenly writes a check that results in an overpayment to a private investigator who then decides to pocket the money, should the law firm’s bank ultimately bear the loss? The appellant here, Michael J. Rovell, (“Rovell” or “Debtor”), thinks so. Given the facts of this case and the well established Illinois tort law of negligent misrepresentation, we believe the law does not compel such a result.

In the United States Bankruptcy Court for the Northern District of Illinois, the debtor sought a reduction in his debt based on…