First Nat. Bank of Arizona v. Continental Bank

OPINION

CONTRERAS, Acting Presiding Judge.

Three issues are presented in this appeal from the granting of a summary judgment in a case regarding the rights of a payor bank against the collecting bank for an item paid on unauthorized endorsements:(1) Whether a payor bank can revoke payment of a check to a collecting bank based upon a stop payment order received from its customer four months after the check was paid when it is subsequently discovered that at the time payment was made the check contained unauthorized endorsements.(2) Whether the collecting bank’s supplying of proper endorsements…