Diaz v. Manufacturers Hanover Trust Co.
New York Supreme Court for Queens County
401 N.Y.S.2d 952 (1977)
Relevant factsFree
Two certified checks returned to Diaz (plaintiff) after a bond proceeding were subsequently lost, misplaced, or stolen, and after Hanover (defendant) stopped payment on them, it refused to reissue replacement checks unless Diaz posted an indemnity bond for twice the checks' combined value; Diaz sued to recover the original check amounts without posting that bond.
IssueFree
Whether, under New York's enactment of Uniform Commercial Code § 3-804, an owner of a lost negotiable instrument may recover the amount owed on the instrument without providing security of at least twice the amount owed.