I know you can put "without recourse" after you endorse a check to waive liability if the check should bounce, but can you also do that with contracts?
2006-09-02 06:41:03 · 7 answers · asked by Who 2 in Politics & Government ➔ Law & Ethics
There's no intent to defraud. When you endorse/cash a check your well within your legal rights to put "without recourse" after your signasure. So if the check bounces the bank has to go after the other person and not take it out of your account.
2006-09-02 08:47:54 · update #1
This is just hypothetical, I have no legal issues that I'm dealing with or will be dealing with.
2006-09-02 15:03:36 · update #2
You can write it, but it generally won't give you any legal protection. In almost all jurisdictions, you are liable under either contract theory or quasi-contract theory, regardless of what you write on the check.
And no, you cannot unilaterally waive your liability for breach of contract. Only the consent of all parties to the contract will do that.
2006-09-02 06:43:46 · answer #1 · answered by coragryph 7 · 1⤊ 0⤋
Depending on the phrase, "without recourse" on a check to waive liability should the check bounce, is a good way to get in trouble. It could be taken as intent to defraud.
So too with a contract and here it could be taken as "entering a contractual agreement with no intent to adhere to the contract." This too could be considered as an intent to defraud.
There are many situations which impact these acts so advice from an attorney familiar with contract law is your best direct. Take no advice here except to see an attorney.
2006-09-02 14:01:19 · answer #2 · answered by Randy 7 · 0⤊ 0⤋
Even if you endorse a check without recourse, you still have liabilities arising from warranties that include the fact that the check is genuine and what it purports to be. The same goes for contracts. You can have a "without recourse" clause in it, but if your counter-party is smart, he will get warranties from you and go after you on those warranties. Contact a lawyer in your jurisdiction for specifics.
2006-09-03 10:06:04 · answer #3 · answered by Ray 2 · 0⤊ 0⤋
Many financial institutions will not accept checks endorsed as, "without recourse."
2006-09-08 07:12:00 · answer #4 · answered by ssbn598 5 · 1⤊ 0⤋
Good question and yes you could but not like you are stating.. not by after you endorse it.
What I am saying is:
If you have it 'written into the contract' then it would apply.
2006-09-09 14:41:20 · answer #5 · answered by BeachBum 7 · 0⤊ 0⤋
no, a contract is a legal document. All contracts are full recourse.
2006-09-08 22:42:46 · answer #6 · answered by luciousgreeneyedlady 5 · 0⤊ 0⤋
Sounds like an urban legend to me, I think you are still liable
2006-09-10 07:16:30 · answer #7 · answered by Anonymous · 0⤊ 0⤋