Robert Helmer and Percy Helmer, Jr., were authorized signatories on the corporate checking account of Event Marketing,

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Robert Helmer and Percy Helmer, Jr., were authorized signatories on the corporate checking account of Event Marketing, Inc. The Helmers signed a check drawn on Event Marketing’s account and issued to Rumarson Technologies, Inc. (RTI), in the amount of $24,965. The check was signed on July 13, 1998, but dated August 14.When RTI presented the check for payment, it was dishonored due to insufficient funds. RTI filed a suit in a Georgia state court against the Helmers to collect the amount of the check. Claiming that the Helmers were personally liable on Event Marketing’s check, RTI filed a motion for summary judgment. Can an authorized signatory on a corporate account be held personally liable for corporate checks returned for insufficient funds? Are the Helmers liable in this case? Discuss.

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Business Law Text and Cases

ISBN: 978-0324655223

11th Edition

Authors: Kenneth W. Clarkson, Roger LeRoy Miller, Gaylord A. Jentz, F

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