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#2058691 - 01/14/16 06:07 PM Trust check
BostonBanker Offline
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Joined: Jan 2016
Posts: 10
If you receive a check titled like the one below a) how should it be endorsed and b) does it need to go in a trust account?
It was explained that the trust name should be ignored like the address is, but our internal policy is to deposit a check made to a trust in a trust titled account, or have it reissued in the owner's name only. It makes sense to me to put it in a trust account since it's made out to a trust, but I need an outside opinion.

Pay to the order of:
John Doe
Jane Doe Co Ttes
John and Jane Doe Trust
DTD 1/1/01
111 1st St
New York, NY

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#2058698 - 01/14/16 06:16 PM Re: Trust check BostonBanker
John Burnett Offline
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John Burnett
Joined: Oct 2000
Posts: 40,086
Cape Cod
There might be some who would argue that when payees are "stacked" in a list, you take each line on its own. That's a stretch, in my opinion, of the "ambiguously" wording in the UCC. There's nothing ambiguous in the way that check is made out -- it's payable to the trustees in their capacity as trustees, not to either of the individuals as individuals.
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#2058871 - 01/15/16 02:18 PM Re: Trust check BostonBanker
Elwood P. Dowd Offline
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Elwood P. Dowd
Joined: Aug 2001
Posts: 21,939
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Quote:
It was explained that the trust name should be ignored


Strike whoever said that from your list of credible resources. The check is payable to the trust.
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In this world you must be oh so smart or oh so pleasant. Well, for years I was smart. I recommend pleasant.

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