469.290. Deposit in name of fiduciary as such. - Missouri Statutes

Deposit in name of fiduciary as such.

469.290. If a deposit is made in a bank to the credit of a fiduciaryas such, the bank is authorized to pay the amount of the deposit or anypart thereof upon the check of the fiduciary, signed with the name in whichsuch deposit is entered, without being liable to the principal, unless thebank pays the check with actual knowledge that the fiduciary is committinga breach of his obligation as fiduciary in drawing the check or withknowledge of such facts that its action in paying the check amounts to badfaith. If, however, such a check is payable to the drawee bank and isdelivered to it in payment of or as security for a personal debt of thefiduciary to it, the bank is liable to the principal if the fiduciary infact commits a breach of his obligation as fiduciary in drawing ordelivering the check.

(L. 1959 S.B. 121 § 7, A.L. 2004 H.B. 1511)

*Transferred 2004; formerly 456.290