Mid-Continent National Bank v. Bank of Independence

SHANGLER, Judge.

This action is on a cashier’s check for $15,370 issued by plaintiff Mid-Continent National Bank to Mildred Ortega [now Bau-man] and negotiated to the defendant First National Bank of Independence, which obtained payment upon presentment of the check. The cashier’s check had been purchased by Ortega with her personal check knowingly drawn against insufficient funds in the defendant Bank of Independence. The plaintiff bank sought recovery of $12,-870, the balance remaining after Ortega reimbursed $2500, on the theory that the defendant Bank of Independence was not a holder in…