Travelers Casualty & Surety Co. v. Washington Trust Bank

González, J.

¶1 An employee of a nonprofit serving disabled adult clients used her position to embezzle more than half a million dollars held by the nonprofit for its clients. She did this by drawing checks from the nonprofit’s account payable to its clients, signing the back of those checks with her own signature, and cashing them at the nonprofit’s local bank. After the embezzlement was discovered, Travelers Casualty & Surety Company, the nonprofit’s insurance company, made the nonprofit whole. Travelers now seeks contribution from the bank in federal court. By submitting certified…