What can I do if my contractor forged my name on checks sent to the insurance company? 2 Answers as of December 06, 2011I had a flood at my house and hired a public adjuster/contractor to help me. We came to settlement with the insurance company. They sent four two party checks to begin and would issue final checks when work was done. The contractor did work, but he did some extra stuff that wasn't in the settlement, but there was about $10,000 extra in settlement money for work he didn't do. So I told him that would make us even. We signed first 4 checks over to him. When the work was done, the insurance issued 2 more checks $13000 for the extra work he did. I already paid him for and $10,000 for deprecation replacement. They sent the checks to the contractor in the form of two party check. He forged my name and cashed them so not only did he defraud my insurance company, but forged my signature on check and cashed them. I found out about it when I asked the insurance company where the checks were and they said they sent them already to him. I called him and told him he was stealing my money and forged my name. He admitted cashing checks, but said he personally did not forge my name and there was nothing I could do. What are my best actions? I would love to send this guy to jail and get some of my money back. He tried to say I signed a form saying I was happy with work and gave him permission to sign my name. I told him I signed the paper saying I was happy with work, but refused to sign anything giving him permission to sign my name. So now he is playing dumb saying I'm sorry I thought you did. When I told him I would sue, he admitted they cashed the checks without my permission, but said oh well, nothing I could do. He has a good lawyer.
Myles Hahn III Attorney at Law | Myles Hahn III
This is a very complicated situation. Payment by the insurance company is based on your contract or policy with them. You paid premiums. They are obligated to pay for the loss. The obligations of the contractors, the insurance company, and yourself would be based on all paperwork executed. You probably must meet with an attorney in person. It will require significant legal work to sort out all of the transactions. It is not always easy to prove an allegation of forgery, unless you can produce the actual person to whom the checks were delivered. If they were mailed, then it could be even more difficult. Another question is whether you ever signed an "assignment" form. This type of form directly authorizes the insurance company to pay someone else.
Answer Applies to: Illinois