Legal Question in Banking Law in California

Check Endorsement

If a check is made payable to ''Jack'' and Jack endorses the check by signing his name and he wants to pass the check on to another party is it a legal endorsement if he writes after his signature ''Pay to Sam''


Asked on 12/17/07, 10:21 am

1 Answer from Attorneys
Carl Starrett Law Offices of Carl H. Starrett II

Re: Check Endorsement

While it is prefectly legal, it has been my experience that banks will rarely accept this because of the potential for fraud and indentity theft. After all, how could the bank verify that it was "Jack" that truly endorsed the check? Everyone will be better off if "Jack" just deposits the check in his own bank and writes a new check to "Sam". If he doesn't have a checking account, he can cash the check at the bank where the check is drawn and get cash or a cashier's check payable to "Sam".

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Answered on 12/17/07, 11:14 am


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