Forgery

Question 1

Note

Forged Maker Not Liable

Answer 1

Alleged Maker is not liable because maker signature is not on the note.

Forger is liable.

Question 2

Draft

Forged Drawer

Answer 2

1) Alleged drawer (Order payment) not liable
2) Drawee bank must recredit drawers account as check was not properly payable unless Drawee bank has a defense.

3) Drawee defense to Drawer
1) Dawers negligence
2) Bank Statement Rule.