"generally, assuming no negligence on the part of the victim, when an endorsement on a check has been forged and properly reported to the bank, which party is the party ultimately liable for the loss?"
The party that is liable for the loss is the BANK. This is because, the bank is liable for forged checks, if it fails to verify the signature on the check very well. It is written in the law that a payor bank that pays a check with a forged payee signature has paid a check that is not properly payable and is liable to its customer.
