Decibel Credit Union v. Pueblo Bank & Trust Co.

A thief stole checks from a Decibel (plaintiff) customer, forged the customer's signature, and cashed them at Pueblo Bank (defendant), which presented the checks to Decibel through the Federal Reserve System for payment; Decibel paid the checks, later discovered the forgery, and demanded reimbursement from Pueblo Bank, arguing Pueblo Bank had breached presentment or transfer warranties by returning forged checks. The trial court granted summary judgment for Decibel, and Pueblo Bank appealed.