Springfield Township v. Mellon PSFS Bank

DISSENTING OPINION

CHIEF JUSTICE CAPPY.

I respectfully dissent. In my view, the Legislature intended that a bank have actual knowledge that it is dealing with a fiduciary in order for the bank to be entitled to the protections of Section 9 of the Uniform Fiduciaries Act (“UFA”), 7 P.S. § 6393. Thus, I would affirm the order of the Superior Court.

According to the Majority, “[t]he plain language of [Section 9 of the UFA] states that if a fiduciary has the power to do that which the bank allows him to do, i.e., endorse and deposit checks ‘in a bank to his personal credit’ ... the bank is not…