Schorr v. Bank of New York

OPINION OF THE COURT

Memorandum.

Order and judgment unanimously reversed, with $10 costs, and judgment directed to be entered in favor jof defendant.

This action was brought to recover an amount debited from plaintiff’s checking account.

The charge card agreement between plaintiff merchant and defendant bank provided that in the event of a dispute between the merchant and a customer who paid by credit card, the bank could debit the merchant’s account for the *685amount involved. Given Federal regulations permitting a card holder to withhold payment to the card issuing bank for the amount in…