LINCOLN NAT. BANK, ETC. v. Peoples Trust Bank

The action below was brought by the co-administrators of the Estate of William S. Wyss, deceased. The Estate recovered a sum of money which Lincoln National Bank and Trust Company of Fort Wayne had set off against a certificate of deposit which Wyss held in the. Bank. We reverse in part.

This case raises the question of whether the Bank properly cashed checks which created overdrafts on a depositor’s account, thereby entitling the Bank to set off such amounts against other deposits held by the depositor in the Bank.

Wyss had a checking account at Lincoln National Bank and also owned a $50,000…