Question 380. - A loses a cheque on the street payable to cash or bearer. An unknown party picks it up and cashes it. Has A any recourse against the bank? In other words, is a cheque payable to bearer payable to anyone who presents it, and can a bank insist upon the payee endorsing same?

Answer. - A has no recourse against the bank. The presenter need not endorse the cheque, but the bank is entitled to a receipt for the money. The bank, if in doubt, would be justified in referring to the drawer for instructions.