Samsung Const. Co. Phil. v Far East Bank; G.R. No. 129015; 13 Aug 2004; 436 SCRA 402
FACTS: A check drawn against petitioner was presented for payment to respondent Bank. Satisfied with the authenticity of the signature appearing thereon, the check was encashed. The following day, petitioner’s accountant who had custody of the company checks discovered that a check was missing and reported the petitioner’s project manager who is also the sole signatory to its checking account. Petitioner demanded that it be reimbursed for the proceeds of the check. ISSUE(S): Whether or not respondent bank is liable to reimburse for the payment of the forged check. HELD: YES. Banks are engaged in a business impressed with public…