Clearfield Trust Co. v. United States (1943) Overview | LSData Case Brief Video Summary

The case is about a stolen check issued by the US to Clair Barner, which was fraudulently sold to J.C. Penney Co. and later endorsed to Clearfield Trust Co. The United States asked for reimbursement from Clearfield Trust Co. because the check was fraudulently endorsed. The relevant fact is that federal law, not state law, governs the rights and duties of the US on commercial paper it issues.

Clearfield Trust Co. v. United States (1943)
Supreme Court of the United States
318 U.S. 363, 87 L. Ed. 838, 63 S. Ct. 573, SCDB 1942-110, 1943 U.S. LEXIS 1298

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