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Can you summarize 11 MERS Section 4-303?
COLLECTION OF ITEMS: PAYOR BANKS > When items subject to notice, stop-payment order, legal process or setoff; order in which items may be charged or certified
Short Summary
This legal document, found in the Maine Revised Statutes under the Uniform Commercial Code, specifically pertains to the collection of items by payor banks. It states that any knowledge, notice, stop-payment order, or legal process received by the bank does not terminate, suspend, or modify the bank’s right or duty to pay an item or charge the customer’s account if certain conditions are met. These conditions include the bank accepting or certifying the item, paying the item in cash, settling for the item without the right to revoke the settlement, becoming accountable for the amount of the item under specific circumstances, or reaching a cutoff hour for checks. The document also mentions that items may be accepted, paid, certified, or charged to the customer’s account in any order, subject to certain provisions. No specific exemptions or penalties are mentioned in this document.
Whom does it apply to?
Payor banks
What does it govern?
Items subject to notice, stop-payment order, legal process or setoff; order in which items may be charged or certified
What are exemptions?
No exemptions are mentioned.
What are the Penalties?
No penalties are mentioned.
Jurisdiction
Maine