Home Table of Contents

AMI 3006 Negligence Contributing to Forged Signature or Alteration of Instrument

Arkansas Supreme Court Committee On Jury Instructions-Civil

Ark. Model Jury Instr., Civil AMI 3006

Arkansas Model Jury Instructions-Civil

December 2023 Update

Arkansas Supreme Court Committee On Jury Instructions-Civil

Chapter 30. Bank Deposits and Collections

AMI 3006 Negligence Contributing to Forged Signature or Alteration of Instrument

A. Defendant’s Burden of Proof

(Defendant) claims and has the burden of proving that there was fault on the part of (plaintiff) which precludes (plaintiff) from asserting [the alteration of (an) instrument(s)] [the making of a forged signature on (an) instrument(s)] and has the burden of proving each of three essential propositions:

First, that (plaintiff) failed to exercise ordinary care;

Second, that (plaintiff)’s failure to exercise ordinary care substantially contributed to [the alteration of (an) instrument(s)] [the making of a forged signature on (an) instrument(s)]; and

Third, that (defendant) [paid the instrument(s)] [took the instrument(s) for value or for collection] in good faith.

B. Plaintiff’s Burden of Proof

If you find that (defendant) has proved each of the propositions in Part A, then (plaintiff) has the burden of proving each of the following two essential propositions:

First, that (defendant) failed to exercise ordinary care in paying the item;

And second, that the failure of (defendant) to exercise ordinary care substantially contributed to (plaintiff)'s loss.

C. Allocation of Loss

If you find that (defendant) has proved each of the propositions in Part A and you have also found that (plaintiff) has proved the propositions in Part B, then you are to allocate the loss of (plaintiff) between (plaintiff) and (defendant) according to the extent to which the failure of each to exercise ordinary care contributed to the loss.

NOTE ON USE

Use this instruction when there is proof that the plaintiff failed to exercise ordinary care that substantially contributed to an alteration of an instrument or to the making of a forged signature on an instrument.

Use AMI 3004 and AMI 3005 with this instruction.

COMMENT

This instruction is based on Ark. Code Ann. § 4-3-406. See also Mercantile Bank of Ark. v. Vowell, 82 Ark. App. 421, 117 S.W.3d 603 (2003) (no preclusion where bank’s customer attempted to safeguard its checkbooks, ATM cards and PIN) and Union Nat. Bank of Little Rock v. Daneshvar, 33 Ark. App. 171, 803 S.W.2d 567 (1991) (sufficient evidence to justify submitting question of whether conduct after forgery contributed to plaintiff’s loss).

End of Document