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Time Limit for Returning Forged Checks

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Question: 
My customer mailed a check to their employee. The employee had moved and someone else cashed the check. My customer gave their employee the money for the stolen check. My customer wants the bank to credit his account and return the check because of the forged endorsement on the back of the check. This took place over 4 weeks ago. It is my understanding the check can be returned up to 36 months later when dealing with forged endorsements of the payee. Is this correct?
Answer: 

The actual time limit will be determine by State law, but three years is a common timeframe which is used in many States.

First published on BankersOnline.com 5/6/13

First published on 05/06/2013

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