Wisconsin Code § 403.404

(1) If an impostor, by use of the mails or otherwise, induces the issuer of an instrument to issue the instrument to the impostor, or to a person
acting in concert with the impostor, by impersonating the payee
of the instrument or a person authorized to act for the payee, an
endorsement of the instrument by any person in the name of the
payee is effective as the endorsement of the payee in favor of a
person who, in good faith, pays the instrument or takes it for
value or for collection.
(2) If a person whose intent determines to whom an instrument is payable under s. 403.110 (1) or (2) does not intend the
person identified as payee to have any interest in the instrument
or if the person identified as payee of an instrument is a fictitious
person, the following rules apply until the instrument is negotiated by special endorsement:
(a) Any person in possession of the instrument is its holder.
(b) An endorsement by any person in the name of the payee
stated in the instrument is effective as the endorsement of the
payee in favor of a person who, in good faith, pays the instrument
or takes it for value or for collection.
(3) Under sub. (1) or (2), an endorsement is made in the name
of a payee if it is made in a name substantially similar to that of
the payee or if the instrument, whether or not endorsed, is deposited in a depositary bank to an account in a name substantially
similar to that of the payee.
(4) With respect to an instrument to which sub. (1) or (2) applies, if a person paying the instrument or taking it for value or for
collection fails to exercise ordinary care in paying or taking the
instrument and that failure substantially contributes to loss resulting from payment of the instrument, the person bearing the loss
may recover from the person failing to exercise ordinary care to
the extent that the failure to exercise ordinary care contributed to
the loss.

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