If a teller issued a cashiers check to a customer and should not have.....can we place a stop payment on that cashiers check? The teller did not wait until funds cleared the account to issue the cashiers check on. They were fraudulent funds. I don't think we have any rights to do so but thought I would ask.
You would be liable to a holder in due course for failure to pay a cashier's check under your state's Uniform Commercial Code 3-411. You cannot place a stop payment on a cashier's check as it represents an obligation of the bank.
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