N.J.S.A. 12A:4-501

Handling of documentary drafts; duty to send for presentment and to notify customer of dishonor

12A:4-501. Handling of documentary drafts; duty to send for presentment and to notify customer of dishonor A bank that takes a documentary draft for collection shall present or send the draft and accompanying documents for presentment and, upon learning that the draft has not been paid or accepted in due course, shall seasonably notify its customer of the fact even though it may have discounted or bought the draft or extended credit available for withdrawal as of right. L.1995,c.28,s.2.

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This is the verbatim text of N.J.S.A. 12A:4-501, retrieved from the New Jersey Legislature's public statute corpus. Statutes are amended periodically — for the most current version, check the external source link above. Kyzer is not a law firm and this page is not legal advice.