9-701.   Definitions.Unless otherwise clearly indicated by the context, the followingwordswhen used in this act, for the purposes of this act, shall have themeanings respectively ascribed to them in this section:

      (a)   "Bank" means a state bank incorporated under the laws ofKansas.

      (b)   "Trust company" means a trust company incorporated underthe laws of Kansas and which does not accept deposits.

      (c)   "Board" means the Kansas state banking board.

      (d)   "Commissioner" means the Kansas state bank commissioner.

      (e)   "Executive officer" means the chairperson of the board, the president,each vice president, the cashier, the secretary and the treasurer of a bank,unless such officer is excluded by resolution of the board of directors or bythe bylaws of the bank or bank holding company from participation, other thanin the capacity of a director, in major policymaking functions of the bank orbank holding company, and the officer does not actually participate in majorpolicymaking functions of the bank or bank holding company.

      (f)   "Insured bank" means a state bank whosedeposits are insured through the federal deposit insurance corporationor other governmental agency or by an insurer approved by the statecommissioner of insurance for such purpose.

      (g)   "Item" means any check, note, order, or other instrument ormemorandum providing for the payment of money, or upon which money maybe collected.

      (h)   "Demand deposits" includes every deposit which is not a"time deposit," "savings deposit" or "negotiable order ofwithdrawal deposit" as defined in this section.

      (i)   "Time deposits" means "time certificates of deposit" and"timedeposits, open account" as defined in this section.

      (j)   "Time certificate of deposit" means a deposit evidenced bya negotiable or nonnegotiable instrument which provides on its facethat the amount of such deposit is payable, upon presentation and surrenderof the instrument, to bearer or to any specified person or to such person'sorder:

      (1)   On a certain date, specified in the instrument, not less thanseven days after the date of the deposit; or

      (2)   at the expiration of a certain specified time not less than seven daysafter the date of the instrument; or

      (3)   upon notice in writing which is actually required to be given notless than seven days before the date of repayment.

      (k)   "Time deposit, open account" means a deposit, other than a"time certificate of deposit," with respect to which there is in force awritten contract with the depositor that neither the whole nor any partof such deposit may be withdrawn, by check or otherwise, prior to thedate of maturity, which shall be not less than seven days after thedate of the deposit, or prior to the expiration of the period of noticewhich must be given by the depositor in writing not less than seven days inadvance of withdrawal.

      (l)   "Savings deposit" means a deposit: (1) Which consists offundsdeposited to the credit of or in which the entire beneficial interestis held by one or more individuals, or of a corporation, association orother organization operated primarily for religious, philanthropic, charitable,educational, fraternal or other similar purposes and not operated for profit;or thatconsists of funds deposited to the credit of or in which the entirebeneficial interest is held by the United States, any state of the UnitedStates or any county, municipality or political subdivision thereof, orthat consists of funds deposited to the credit of, or in which anybeneficial interest is held by a corporation, partnership, association orother organization not qualifying above; and (2) with respect to which thedepositor is not required by the deposit contract but may at any time berequired by the bank to give notice in writing of an intended withdrawalnot less than seven days before such withdrawal is made and whichis not payable on a specified date or at the expiration of a specifiedtime after the date of deposit.

      (m)   "Public moneys" means all moneys coming into the custody oftheUnited States government or any board, commission or agency thereof,and also shall mean all moneys coming into the custody of any officer ofany municipal or quasi-municipal or public corporation, the state or anypolitical subdivision thereof, pursuant to any provision of lawauthorizing any such official to collect or receive the same.

      (n)   "Municipal corporation" means any city incorporated underthe laws of Kansas.

      (o)   "Quasi-municipal corporation" means any county, township,schooldistrict, drainage district, or any other governmental subdivision in thestate of Kansas having authority to receive or holdmoneys or funds.

      (p)   "Certificate of authority" means a statement signed andsealed bythe commissioner evidencing the authority of a bank or trustcompany to transact a general business as such.

      (q)   "Transaction account" means a deposit or account on whichthedepositor or account holder is permitted to make withdrawals by negotiableor transferable instrument, payment orders of withdrawal, telephone transfers,or other similar device for the purpose of making payments or transfersto third persons or others.

      (r)   "Nonpersonal time deposit" means a time deposit, including asavingsdeposit that is not a transaction account, representing funds inwhich any beneficial interest is held by a depositor which is not a naturalperson.

      (s)   "Negotiable order of withdrawal deposit"means a deposit on whichinterest is paid and which is subject to withdrawal by the owner by negotiableor transferable instruments for the purpose of making transfers to thirdparties, and which consists solely of funds in which the entire beneficialinterest is held by one or more individuals, an organizationwhich is operated primarily for religious, philanthropic, charitable,educational, fraternal or other similar purposes and whichis not operated for profit, and with respect to deposits of public fundsby an officer, employee or agent of the United States, any state, county,municipality or political subdivision thereof, the District of Columbia,the commonwealth of Puerto Rico, American Samoa, Guam, any territory orpossession of the United States or any political subdivision thereof.

      (t)   "Trust business" means engaging in, or holding outto thepublic as willing to engage in, the business of acting as a fiduciary forhire, except that no accountant, attorney, credit union, insurance broker,insurance company, investment adviser, real estate broker or sales agent,savings and loan association, savings bank, securities broker or dealer,real estate title insurance company or real estate escrow company shall bedeemed to be engaged in a trust company business with respect to fiduciaryservices customarily performed by them for compensation as a traditionalincident to their regular business activities.

      (u)   "Community development corporation" (CDC) means a corporate entityestablished by one or more financial institutions or by financial institutionsand other investors or members, and operating for the primary purpose ofhousing development, economic growth and revitalization, small and minoritybusiness creation, and other community development initiatives.

      (v)   "Community development project" (CD project) means a specific project ina particular location, such as a neighborhood, city, county or state, theprimary purpose of which is the economic improvement of that area or theprovision of housing for low-income and moderate-income persons in thatarea and any state tax credit equity fund established pursuant to K.S.A.74-8904, and amendments thereto.

      (w)   "Depository institution" means any state bank, national bankingassociation, state savings and loan or federal savings association, withoutregard to the state where the institution is chartered or the state in whichthe institution's main office is located.

      (x)   "Student bank" means any nonprofit program offered by a high schoolaccredited by the state board of education, where deposits are received, checksare paid or money is lent for limited in-school purposes.

      History:   L. 1947, ch. 102, § 1; L. 1970, ch. 61, § 1; L.1975, ch. 45, § 1; L. 1976, ch. 54, § 1; L. 1981, ch. 49, § 1;L. 1983, ch. 46, § 1; L. 1987, ch. 54, § 1; L. 1989, ch. 48, § 11;L. 1993, ch. 31, § 1;L. 1994, ch. 202, § 2;L. 1995, ch. 79, § 13;L. 1995, ch. 250, § 1; July 1.