BCC 508/2005

This case involved a claim that a bank be required to jointly pay an amount in a cheque they had cashed. The key point was the correct validation procedure for the cheque signature had not been followed.

Background

A company filed a case against a bank and a defendant before the court requesting they pay 4654 Dinars and interest. The company said that an employee worked for a company and stole a cheque from the company and the bank cashed the cheque for him. The company said that the defendant who worked in the bank helped the employee cash the cheque.

The court dismissed the case against the bank and ruled that the defendant should pay the company the amount.

The company appealed the ruling before the court of appeal. The court upheld the appealed ruling.

Decision

The company appealed the ruling before the court of cassation and said in its grounds of appeal that the ruling had erred in the application of law. It was said that the cheque stolen by the employee had a standardized signature which was saved at the bank and that the bank had failed to follow its authentication proceedings.