February 20, 2012
CLIFTON N. MILLER – BANKS MAY BE LIABILE FOR ACCEPTING CHECKS MADE PAYABLE TO A PRINCIPAL THAT ARE DEPOSITED BY A FIDUCIARY INTO THE FIDUCIARY’S PERSONAL ACCOUNT.
In West v. Regions Bank, 2011 WL 3059693 (July 26, 2011), the Tennessee Court of Appeals addresses the statutory immunity granted to banks for recognizing a power of attorney pursuant to T.C.A. §45-2-707(d) and whether the bank loses such immunity for a claim arising out of the UCC, more specifically T.C.A. § 47-3-307 and 420.