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Fact Pattern 24-1 Ruth Takes Her Car to Service Center

Question 10

Multiple Choice

Fact Pattern 24-1 Ruth takes her car to Service Center, which repairs the car and bills her for $500. She writes out a check drawn on Tempo Bank, but later, believing that Service Center did not fix the car properly, issues a stop-payment order.
Refer to Fact Pattern 24-1. If Tempo pays the check, the bank


A) can sue Ruth for a wrongful stop-payment order.
B) can sue Service Center for breach of contract.
C) is liable to Service Center for the time and trouble to return the payment.
D) is liable for Ruth's loss due to the wrongful payment.

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