A person, business, or financial institution that cashes a check made out to someone else is called a 2nd endorser. When a stop payment is placed on a check after the client signs Stop Payment and Recovery Agreement (Form 98), a 2nd endorser does not
receive reimbursement for the check. In some cases, a 2nd endorser is eligible for reimbursement from the State if:
- the client admits cashing the check; or
- the Examiner determines that the endorsement signature is genuine; and
- the 2nd endorser gives the check to Family Community Resource Center.
The LWU handles the reimbursement.