First National Bank v. Associates Investment Co.

— In this appeal, we are called upon to determine the liability, if any, of a bank when it stops payment on a cashier’s check, drawn on itself, at the request of the purchaser of the check.

The facts in this case may be summarized as follows:

Gordon Sheline was the President of Sheline Auto Sales, Inc. On February 21, 1961, Mr. Sheline went to the Arena Auto Auction in Chicago, Illinois, to purchase several automobiles, one of which was a 1961 Pontiac Bonneville. Because of previous difficulties in dealing with Sheline, the Arena Auction, a partnership of James Franks and Walter Cotton, would…