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Check not honoured after death due to questionable signature?

My father-in-law was intending to give my husband and I a relatively large cheque to assist us with a pressing matter. The next day he had an accident and he ended up signing the cheque in hospital. Due to the state he was in, the signature looks a bit dodgy, and he asked us to write 'signed in hospital bed' under the signature. Unfortunately he passed away a few days later. Now the bank is not honouring the cheque due to a questionable signature. This bank is also responsible for executing the trust he left in his will. They have now frozen his account and we will not be able to apply for funds from the trust (at their discretion) until probate, which could be quite a long time. The two other beneficiaries of his will were aware of this cheque and can vouch they had knowledge of my father-in-law's intention to give it to us. We also have a copy of the letter we mailed him asking him for the money. Do we have any legal right to get them to unfreeze the account and pay that cheque in? It is a matter of great urgency. As the executors of his will, shouldn't the bank have a legal obligation to honour my late father-in-law's wishes?

Update:

Thanks, I should add that the other possible beneficiaries of the trust he left in his will have already written letters testifying to their knowledge of this cheque.

The trust is set up whereby every payout is at the trustee's (the bank's) discretion. In his letter of wishes, it asks that the bank 'take into account financial, fiscal, and family circumstances at the date of my death in the disposition of my estate'. In regards to his sons: 'Payments should only be made to my children at an ad hoc basis and at the trustees discretion'. The other possible beneficiaries are his other son, his ex-wife and his grandchild, all of whom were aware of my father-in-law's intentions to give us this cheque.

Update 2:

Thanks for your answers. I suppose we will have to wait till probate then.

However, the bank is not currently admitting any obligation to pay us even at that time in the future, I guess because the reason the cheque wasn't paid in to begin with was because they thought it was suspicious (it was paid in and credited to our bank account before my father-in-law's account was frozen, but then taken back out the next day).

Can we threaten legal action if they don't honour the amount of that check after probate? It doesn't seem like the bank has any interest in acting on what were clearly my father-in-law's wishes.

Update 3:

He was supposed to mail us that cheque on the day he had his accident. Instead he signed it in hospital. He suffered no brain damage, just a few broken ribs. Unfortunately he died of cancer a few days later. I understand anyone's concern as to his being of sound mind when he signed it etc, but if this cheque was to anyone else who was owed a debt (an electricity bill, etc etc) - surely there must be a way to collect the debt after he's died?

5 Answers

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  • Anonymous
    1 decade ago
    Favorite Answer

    Sorry, you are not the first to get stuck in this type of situation and the bank is correct. Your letter to him does not help because he could have declined your request. the other beneficiaries may vouch for his wishes but it is possible that they will change their minds.

    Have you seen the will. If you are cited as recipients the bank may be willing to forward some of the money to you. Thay have to wait in case any large debts crop up before probate.

  • 1 decade ago

    The bank quite rightly figures your father-in-law was not in a sound state of mind when he signed this. That he died a few days later proves it. That you and your relatives say he was going to give you this money means NOTHING. Relatives take advantage of dying people ALL THE TIME.

    You can threaten to get a lawyer, but I doubt this would phase the bank in the least. Banks have lawyers too (and much deeper pockets).

    Maybe you're on the up & up here, but maybe not. If this looks suspicious to me, you better believe it looks suspicious to the bank.

  • 1 decade ago

    I'm not a lawyer but, who runs to the bank that soon after such a horrible tragedy. There r probably more than one investigation going on now - due to the discrepancies of the forged check ! Sry 4 the loss of ur father-in-law @-

  • Tavy
    Lv 7
    1 decade ago

    Even if his signature was as normal, as he died so suddenly the bank has to freeze his account. This is normal practice in the UK. Sorry but you will have to wait for probate.

  • 1 decade ago

    You have to see it from their side also. He dies and you try to cash a large check with a shaky signature of his on it. Of course they aren't going to cash it. They are just doing their job and are well within the law. You are going to have to wait until the will is settled.

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