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Show OME MINUTE TALKS oNjnc All Authorized Signatures Necessary Occasionally banks are obliged to refuse to pay checks of firms, corporations cor-porations or organizations, because certain signatures are lacking or are unauthorized. The agreement entered en-tered into with the bank upon opening open-ing of an account, and agreements filed later, specify who are authorized author-ized to sign and what signatures are necessary. As a hypothetical case, we will say that the president and secretary of a given corporation must sign all checks to make them payable. If either singature is missing, miss-ing, checks cannot be paid. According Accord-ing to law, any bank which deviates from its agreement with depositors in this respect does so at Its own peril. If it pays checks to which signatures sig-natures are missing or are unauthorized unauth-orized it becomes liable for any loss sustained by the depositor. Where one or more of those authorized auth-orized to sign on a n account expect to be out of town, or are incapacitated, incapacita-ted, the owners of the account should arrange for a substitute signature or signatures. J. P. Megeath of Salt lake City was a Delta visitor last week. |