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This reminds me of the guy who cashed one of those "this cheque could be yours if you win our sweepstakes" cheques. The company tried to put him through the wringer in all sorts of ways but couldn't actually legally do anything about it.

You might be thinking of the story told at Man 1 Bank 0. The real problem wasn't with the company that put out the junk check, it was with the bank that cashed it. Definitely an interesting read, though.
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Tony Fabris