Question

X is a sole trader carrying on a business buying and selling used cars. X devotes his time and
energy to deal-making. He leaves the book keeping side of the business to Accountant. (In
essence he gives a shoebox – the box is full of cheque stubs, receipts, invoices and other business
paper – to Accountant each month and leaves it to Accountant to write up the books for the
business.)
For the purposes of his business X maintains a current account with Bankco. On June 1 X
receives a statement from Bankco concerning the month of May. X looks only at the bottom line.
This shows he has a credit balance as of May 31 of $50,000. X is delighted. He had not realized
business was so good. X praises God and promptly donates $10,000 to his local church which
uses the money to pay overdue land rates on the church property.
On June 15 X receives an amended account statement from Bankco concerning the month of
May. The amended account statement shows a credit balance as of May 31 of $40,000.
X asks Accountant to look into the whole matter. Accountant advises that Bankco in the original
statement had erroneously credited a deposit of $10,000 twice. The amended statement corrects
the banks error.
X is not very happy since had he known the true account balance he would not have been so
generous in donating money to the church.
Can X legally challenge the initiative of Bankco in amending the account statement?

Answer 1

X legally cannot challange the initiative of Bankco in amending the account statment becuase it was a human error and

each and every statment has finally go to right decision as per transcations., by mistake bankco credited the deposit of $ 10000 twice .So one another side of this matter if bank is to be debited his account from 10000  what will be done by him finally the bank will give credit or do which is right . so in this question there is no legally challange initative against banco is required by MR X