National Westminster Bank v. Derry (case law)

National Westminster Bank v. Derry is a legal case that addressed whether an individual can be held liable for a bank overdraft if they knowingly approved a fraudulent or unauthorized transaction. The court held that if a person in a position of authority or with knowledge of the fraud approves or allows the transaction, they can be held responsible for the resulting debt. This case clarifies the responsibilities of those involved in financial transactions, emphasizing that approval or oversight can impose liability if they knowingly endorse fraudulent activity.