Okay, unless Dell and AT&T are the same company, cashing checks not made out to you is fraud.

She either has a horrible lawyer or no lawyer at all.

What are they paying AT&T $235 for? 4 cell phones, a home phone and the most expensive DSL package they have?

Shouldn't the banks involved in this be asked why they accepted the checks ?
Or am I now allowed to cash a check made out to my neighbor ?
If I were this momentarily-inattentive lady, I would be sending my lawyer to the bank with the question. I'm sure the response would be quite interesting.
In other words, banks today appear to be forgetting that they are the ones with the responsibility of being exact and truthful. That is a major fault which should be heavily sanctioned.