(a) Subject to subsection (d) of this section, a receiving bank other thanthe beneficiary's bank accepts a payment order when it executes the order.
(b) Subject to subsections (c) and (d) of this section, a beneficiary's bankaccepts a payment order at the earliest of the following times:
(1) When the bank (i) pays the beneficiary as stated in subsection (a) or (b)of § 8.4A-405, or (ii) notifies the beneficiary of receipt of the order orthat the account of the beneficiary has been credited with respect to theorder unless the notice indicates that the bank is rejecting the order orthat funds with respect to the order may not be withdrawn or used untilreceipt of payment from the sender of the order;
(2) When the bank receives payment of the entire amount of the sender's orderpursuant to subdivision (a) (1) or (a) (2) of § 8.4A-403; or
(3) The opening of the next funds-transfer business day of the bank followingthe payment date of the order if, at that time, the amount of the sender'sorder is fully covered by a withdrawable credit balance in an authorizedaccount of the sender or the bank has otherwise received full payment fromthe sender, unless the order was rejected before that time or is rejectedwithin (i) one hour after that time, or (ii) one hour after the opening ofthe next business day of the sender following the payment date if that timeis later. If notice of rejection is received by the sender after the paymentdate and the authorized account of the sender does not bear interest, thebank is obliged to pay interest to the sender on the amount of the order forthe number of days elapsing after the payment date to the day the senderreceives notice or learns that the order was not accepted, counting that dayas an elapsed day. If the withdrawable-credit balance during that periodfalls below the amount of the order, the amount of interest payable isreduced accordingly.
(c) Acceptance of a payment order cannot occur before the order is receivedby the receiving bank. Acceptance does not occur under subdivision (b) (2)or (b) (3) of this section if the beneficiary of the payment order does nothave an account with the receiving bank, the account has been closed, or thereceiving bank is not permitted by law to receive credits for thebeneficiary's account.
(d) A payment order issued to the originator's bank cannot be accepted untilthe payment date if the bank is the beneficiary's bank, or the execution dateif the bank is not the beneficiary's bank. If the originator's bank executesthe originator's payment order before the execution date or pays thebeneficiary of the originator's payment order before the payment date and thepayment order is subsequently canceled pursuant to subsection (b) of §8.4A-211, the bank may recover from the beneficiary any payment received tothe extent allowed by the law governing mistake and restitution.
(a) Subject to subsection (d) of this section, a receiving bank other thanthe beneficiary's bank accepts a payment order when it executes the order.
(b) Subject to subsections (c) and (d) of this section, a beneficiary's bankaccepts a payment order at the earliest of the following times:
(1) When the bank (i) pays the beneficiary as stated in subsection (a) or (b)of § 8.4A-405, or (ii) notifies the beneficiary of receipt of the order orthat the account of the beneficiary has been credited with respect to theorder unless the notice indicates that the bank is rejecting the order orthat funds with respect to the order may not be withdrawn or used untilreceipt of payment from the sender of the order;
(2) When the bank receives payment of the entire amount of the sender's orderpursuant to subdivision (a) (1) or (a) (2) of § 8.4A-403; or
(3) The opening of the next funds-transfer business day of the bank followingthe payment date of the order if, at that time, the amount of the sender'sorder is fully covered by a withdrawable credit balance in an authorizedaccount of the sender or the bank has otherwise received full payment fromthe sender, unless the order was rejected before that time or is rejectedwithin (i) one hour after that time, or (ii) one hour after the opening ofthe next business day of the sender following the payment date if that timeis later. If notice of rejection is received by the sender after the paymentdate and the authorized account of the sender does not bear interest, thebank is obliged to pay interest to the sender on the amount of the order forthe number of days elapsing after the payment date to the day the senderreceives notice or learns that the order was not accepted, counting that dayas an elapsed day. If the withdrawable-credit balance during that periodfalls below the amount of the order, the amount of interest payable isreduced accordingly.
(c) Acceptance of a payment order cannot occur before the order is receivedby the receiving bank. Acceptance does not occur under subdivision (b) (2)or (b) (3) of this section if the beneficiary of the payment order does nothave an account with the receiving bank, the account has been closed, or thereceiving bank is not permitted by law to receive credits for thebeneficiary's account.
(d) A payment order issued to the originator's bank cannot be accepted untilthe payment date if the bank is the beneficiary's bank, or the execution dateif the bank is not the beneficiary's bank. If the originator's bank executesthe originator's payment order before the execution date or pays thebeneficiary of the originator's payment order before the payment date and thepayment order is subsequently canceled pursuant to subsection (b) of §8.4A-211, the bank may recover from the beneficiary any payment received tothe extent allowed by the law governing mistake and restitution.
(a) Subject to subsection (d) of this section, a receiving bank other thanthe beneficiary's bank accepts a payment order when it executes the order.
(b) Subject to subsections (c) and (d) of this section, a beneficiary's bankaccepts a payment order at the earliest of the following times:
(1) When the bank (i) pays the beneficiary as stated in subsection (a) or (b)of § 8.4A-405, or (ii) notifies the beneficiary of receipt of the order orthat the account of the beneficiary has been credited with respect to theorder unless the notice indicates that the bank is rejecting the order orthat funds with respect to the order may not be withdrawn or used untilreceipt of payment from the sender of the order;
(2) When the bank receives payment of the entire amount of the sender's orderpursuant to subdivision (a) (1) or (a) (2) of § 8.4A-403; or
(3) The opening of the next funds-transfer business day of the bank followingthe payment date of the order if, at that time, the amount of the sender'sorder is fully covered by a withdrawable credit balance in an authorizedaccount of the sender or the bank has otherwise received full payment fromthe sender, unless the order was rejected before that time or is rejectedwithin (i) one hour after that time, or (ii) one hour after the opening ofthe next business day of the sender following the payment date if that timeis later. If notice of rejection is received by the sender after the paymentdate and the authorized account of the sender does not bear interest, thebank is obliged to pay interest to the sender on the amount of the order forthe number of days elapsing after the payment date to the day the senderreceives notice or learns that the order was not accepted, counting that dayas an elapsed day. If the withdrawable-credit balance during that periodfalls below the amount of the order, the amount of interest payable isreduced accordingly.
(c) Acceptance of a payment order cannot occur before the order is receivedby the receiving bank. Acceptance does not occur under subdivision (b) (2)or (b) (3) of this section if the beneficiary of the payment order does nothave an account with the receiving bank, the account has been closed, or thereceiving bank is not permitted by law to receive credits for thebeneficiary's account.
(d) A payment order issued to the originator's bank cannot be accepted untilthe payment date if the bank is the beneficiary's bank, or the execution dateif the bank is not the beneficiary's bank. If the originator's bank executesthe originator's payment order before the execution date or pays thebeneficiary of the originator's payment order before the payment date and thepayment order is subsequently canceled pursuant to subsection (b) of §8.4A-211, the bank may recover from the beneficiary any payment received tothe extent allowed by the law governing mistake and restitution.
