Axle motors, inc. Customizes cars. Axle issued rob's painting a $2,500 check in advance to paint the exterior of axle's warehouse. Rob's painting never began (let alone completed) the work, but promptly endorsed the check in blank and gave it to its supplier, well paint co., in exchange for paint and supplies (that rob's painting used on another job).

Well paint co. deposited the check in its account, only to have the check returned. Apparently, axle had stopped payment on the check. Rob's painting is nowhere to be found, having absconded and well paint co. Is seeking payment from axle,

Axle (who is solvent) has come to you asking: "aren't you taking a law class this summer? Do we have to pay on that check we issued to rob's painting? We never dealt with well paint co. And rob's painting is ripping us off!"

Answer rating: 100% (QA)

Since there was no direct transaction or involvement of any sort between axle motors Inc an... View the full answer