Originally Posted by kodaka
A bank is supposed to always confirm the identity of the customer presenting the check before they cash it. If they cash the check for the wrong person that is their fault. The bank and your employer should be insured so no one should be out any money.
It may take a little while to get you a new check though. Look everywhere before you report it missing.
The bank possibly, but the employer is not responsible.
The employer kept their end of the bargain, they issued a check for the pay.
If the employee's wife took the money, his best friend, a guy on the street, etc and then cashed the check-- the employer does not owe the employee anything. Just like if the employee deposited his funds and then went out to Vegas and blew them.
What needs to happen now---
The employee needs to call the employer to put a stop on the check and possibly reissue the check.
The employer will attempt to put a stop on the check (since they were the ones who issued the check). They will then wait a certain period of days to determine if the check has been cashed or not. They will even get a copy of the check to see who endorsed it or what have you. If the check has been cashed the employer will let the employee know and that is the end of it-- the employee will then have to work with the bank who cashed the check.
HOWEVER, I have seen this happen in the past where the check will be taken to a check cashing place who generally does not check identities-- and in that case the employee is really out of luck since it is very difficult to get anything back from the check cashing places-- sad to say but true.
If an employer is SUPER nice they may just send out a new check before the banks come back and say that the check has been cashed-- most won't though as it is not the employer's fault that the employee had the check stolen. They basically don't owe the employee a thing now. But, they may be nice-- although I would not bet on this.