Idaho State Statutes - Idaho Attorney Directory

If a deposit is made in a
bank to the credit of a fiduciary as such, the bank is authorized to pay the
amount of the deposit or any part thereof upon the check of the fiduciary,
signed with the name in which such deposit is entered, without being liable to
the principal, unless the bank pays the check with actual knowledge that the
fiduciary is committing a breach of his obligation as fiduciary in drawing the
check or with knowledge of such facts that its action in paying the check
amounts to bad faith. If, however, such a check is payable to the drawee bank
and is delivered to it in payment of or as security for a personal debt of the
fiduciary to it, the bank is liable to the principal if the fiduciary in fact
commits a breach of his obligation as fiduciary in drawing or delivering the
check.

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