Ohio § 5815.07 Check drawn by fiduciary upon account of his principal - liability of bank

Ohio Statutes

§ 5815.07 — Check drawn by fiduciary upon account of his principal - liability of bank

Ohio § 5815.07

Title 58Trusts

Ch. 5815Miscellaneous Provisions

This text of Ohio § 5815.07 (Check drawn by fiduciary upon account of his principal - liability of bank) is published on Counsel Stack Legal Research, covering Ohio primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook

Ohio Rev. Code Ann. § 5815.07 (2026).

Text

If a check is drawn upon the principal's account by a fiduciary who is empowered to do so, the bank may pay the check without being liable to the principal, unless the bank pays the check with actual knowledge that the fiduciary is committing a breach of the obligation as fiduciary in drawing  the check or with knowledge of such facts that its action in paying the check amounts to bad faith.

If such a check is payable to the drawee bank and is delivered to it in payment of or as security for a personal debt of the fiduciary to it, the bank is liable to the principal if the fiduciary in fact commits a breach of   the obligation as fiduciary in drawing or delivering the check.

Free access — add to your briefcase to read the full text and ask questions with AI

If a check is drawn upon the principal's account by a fiduciary who is empowered to do so, the bank may pay the check without being liable to the principal, unless the bank pays the check with actual knowledge that the fiduciary is committing a breach of the obligation as fiduciary in drawing the check or with knowledge of such facts that its action in paying the check amounts to bad faith.

If such a check is payable to the drawee bank and is delivered to it in payment of or as security for a personal debt of the fiduciary to it, the bank is liable to the principal if the fiduciary in fact commits a breach of the obligation as fiduciary in drawing or delivering the check.