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Can you summarize 10 LARS Chapter 4?
Commercial Laws > BANK DEPOSITS AND COLLECTIONS
Short Summary
The provided legal document content consists of provisions related to bank deposits and collections in the Louisiana Revised Statutes. These provisions govern the effect of the provisions in the Commercial Laws related to bank deposits and collections. They apply to banks, including savings banks, savings and loan associations, credit unions, and trust companies. The provisions state that the effect of the provisions can be varied by agreement between the parties, but the bank’s responsibility for lack of good faith or failure to exercise ordinary care cannot be disclaimed or limited in terms of damages. However, the parties can agree on the standards by which the bank’s responsibility is measured, as long as those standards are not manifestly unreasonable. Federal Reserve regulations, operating circulars, and clearing-house rules are considered agreements under these provisions. Actions or non-actions approved by this Chapter or pursuant to Federal Reserve regulations or operating circulars are considered the exercise of ordinary care. The provisions also clarify that the specification or approval of certain procedures does not disapprove of other reasonable procedures. The measure of damages for failure to exercise ordinary care in handling an item is the amount of the item reduced by an amount that could not have been realized by the exercise of ordinary care, and additional damages may be included if there is also bad faith. Overall, these provisions provide guidance and regulations for banks and their responsibilities in handling bank deposits and collections in Louisiana.
Whom does it apply to?
Banks, including savings banks, savings and loan associations, credit unions, and trust companies
What does it govern?
Bank deposits and collections
What are exemptions?
No specific exemptions are mentioned.
What are the Penalties?
No specific penalties are mentioned.
Jurisdiction
Louisiana