01-2139 Schmitz v. Firstar Bank Milwaukee

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“We accept Schmitz’s argument that he executed two limited powers of attorney to Georgetown in July and August of 1992 for the immediate purpose of authorizing Georgetown to liquidate certain insurance policies. However, the final sentence of the July 1992 limited power of attorney broadened the powers granted by stating, ‘Power of Attorney also applies to stocks, bonds and other securities.’ The final sentence of the August 1992 limited power of attorney uses even broader language in providing, ‘Power of Attorney also applies to stocks, bonds, CD’s, annuities, savings accounts, and other securities.’…

“The clear import of this language granted Georgetown the authority to act on behalf of Schmitz in the limited area of his financial affairs as pertaining to investments and accounts. O’Hearn’s liquidation of Schmitz’s Putman assets, albeit fraudulent, fell squarely within this grant of authority. …

“We conclude that the limited powers of attorney granted by Schmitz to Georgetown authorized O’Hearn to negotiate the checks in question with Firstar on Schmitz’s behalf. Because Georgetown had such authority, we conclude that there is no genuine issue of material fact as to whether Firstar was negligent in depositing the checks in Georgetown’s account. We affirm the circuit court’s grant of summary judgment in favor of Firstar.”

Affirmed.

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Dist II, Ozaukee County, Swietlik, J., Nettesheim, J.

Attorneys:

For Appellant: Joseph G. Doherty, West Bend

For Respondent: Gary P. Lantzy, Milwaukee