New York Court of Appeals

Arthur Gaita, Doing Business Under the Firm Name of Palm Garage, Respondent v. Windsor Bank, Appellant

May 28, 1929251 N.Y. 152

Summary

The Court held that a depositor’s clear, unambiguous stop‑payment notice that limits the bank’s liability is enforceable, so the bank is not liable for paying the check absent willful disregard of the notice. Accordingly, the lower court’s judgment that the bank was liable was reversed and the case was remanded for a new trial.