According to the amended definition of good faith, Terminix contends that Triangle did not adhere to reasonable commercial standards and failed to act in good faith, subjectively and objectively testing the validity of the instrument with verification. Terminix issued a check to an employee of approximately six years, Reggie Fleming, who cashed the check at Triangle Credit Union, a bank whom he was affiliated with and accustomed to cashing checks issued by his employer at. According to testimony provided, Fleming requested a loan from his superiors and was issued the check at their approval, as well as, a promissory note indicating the terms of repayment. The loan was to be repaid from his wages, however, a stop payment was issued on the check when Fleming did not return to work following issuance of the …show more content…
Because Triangle regularly cashed Fleming’s paychecks, upon reviewing the instrument which was administered from Flemings employer, Triangle cashed the check determining that employer checks were sufficiently assured