§ 8.4-301. Deferred posting; recovery of payment by return of items; time ofdishonor; return of items by payor bank.
(a) If a payor bank settles for a demand item other than a documentary draftpresented otherwise than for immediate payment over the counter beforemidnight of the banking day of receipt the payor bank may revoke thesettlement and recover the settlement if, before it has made final paymentand before its midnight deadline, it
(1) returns the item; or
(2) sends written notice of dishonor or nonpayment if the item is unavailablefor return.
(b) If a demand item is received by a payor bank for credit on its books, itmay return the item or send notice of dishonor and may revoke any creditgiven or recover the amount thereof withdrawn by its customer, if it actswithin the time limit and in the manner specified in subsection (a).
(c) Unless previous notice of dishonor has been sent, an item is dishonoredat the time when for purposes of dishonor it is returned or notice sent inaccordance with this section.
(d) An item is returned:
(1) as to an item presented through a clearing house, when it is delivered tothe presenting or last collecting bank or to the clearing house or is sent ordelivered in accordance with clearing-house rules; or
(2) in all other cases, when it is sent or delivered to the bank's customeror transferor or pursuant to his instructions.
(Code 1950, §§ 6-543.1 to 6-543.3, pp. 60, 61; 1964, c. 219; 1992, c. 693.)
§ 8.4-301. Deferred posting; recovery of payment by return of items; time ofdishonor; return of items by payor bank.
(a) If a payor bank settles for a demand item other than a documentary draftpresented otherwise than for immediate payment over the counter beforemidnight of the banking day of receipt the payor bank may revoke thesettlement and recover the settlement if, before it has made final paymentand before its midnight deadline, it
(1) returns the item; or
(2) sends written notice of dishonor or nonpayment if the item is unavailablefor return.
(b) If a demand item is received by a payor bank for credit on its books, itmay return the item or send notice of dishonor and may revoke any creditgiven or recover the amount thereof withdrawn by its customer, if it actswithin the time limit and in the manner specified in subsection (a).
(c) Unless previous notice of dishonor has been sent, an item is dishonoredat the time when for purposes of dishonor it is returned or notice sent inaccordance with this section.
(d) An item is returned:
(1) as to an item presented through a clearing house, when it is delivered tothe presenting or last collecting bank or to the clearing house or is sent ordelivered in accordance with clearing-house rules; or
(2) in all other cases, when it is sent or delivered to the bank's customeror transferor or pursuant to his instructions.
(Code 1950, §§ 6-543.1 to 6-543.3, pp. 60, 61; 1964, c. 219; 1992, c. 693.)
§ 8.4-301. Deferred posting; recovery of payment by return of items; time ofdishonor; return of items by payor bank.
(a) If a payor bank settles for a demand item other than a documentary draftpresented otherwise than for immediate payment over the counter beforemidnight of the banking day of receipt the payor bank may revoke thesettlement and recover the settlement if, before it has made final paymentand before its midnight deadline, it
(1) returns the item; or
(2) sends written notice of dishonor or nonpayment if the item is unavailablefor return.
(b) If a demand item is received by a payor bank for credit on its books, itmay return the item or send notice of dishonor and may revoke any creditgiven or recover the amount thereof withdrawn by its customer, if it actswithin the time limit and in the manner specified in subsection (a).
(c) Unless previous notice of dishonor has been sent, an item is dishonoredat the time when for purposes of dishonor it is returned or notice sent inaccordance with this section.
(d) An item is returned:
(1) as to an item presented through a clearing house, when it is delivered tothe presenting or last collecting bank or to the clearing house or is sent ordelivered in accordance with clearing-house rules; or
(2) in all other cases, when it is sent or delivered to the bank's customeror transferor or pursuant to his instructions.
(Code 1950, §§ 6-543.1 to 6-543.3, pp. 60, 61; 1964, c. 219; 1992, c. 693.)
