Question

Frieda is an administrative assistant with Global Dispatch & Shipping Corporation, but has no authority to...

Frieda is an administrative assistant with Global Dispatch & Shipping Corporation, but has no authority to sign Global Dispatch checks. Frieda orders merchandise from Home & Office Furnishings Company delivered to her home and pays with a Global Dispatch check, signing “Global Dispatch & Shipping Corp. by Frieda, admin. assist.” Home & Office does not know that Frieda has no authority to sign the check. Who is liable on the check, and why?

Homework Answers

Answer #1

In this case , Frieda is liable on the check and frieda is to be hel accountable for the illegal signing in the name of Global dispatch & shipping corporation because she has no authority to sign any check in the name of company she belongs to but yet she did that which is a fraud act by law of the company .So she is liable .Also , if the home and office dont know about this incient , then after the check bounce they will claim about the fraudlent act by Freida and there frieda will be held liable for this act .

Have a good day !

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