Can you summarize 42a CTGS Article 4, Section 215?

Short Summary

This legal document, part of the General Statutes of Connecticut under the Uniform Commercial Code - Articles 1 to 10, specifically addresses the final payment of items by a payor bank, the process by which provisional debits and credits become final, and the availability of credits for withdrawal. According to the document, an item is considered finally paid by a payor bank when it is paid in cash, settled without the right to revoke the settlement, or provisionally settled and not revoked within the permitted time. If provisional settlement does not become final, the item is not considered finally paid. Provisional debits or credits for an item become final upon final payment by the payor bank if settlement is made through a clearinghouse or by debits or credits in accounts between the presenting and payor banks. If a collecting bank receives a settlement for an item that becomes final, it is accountable to its customer for the amount of the item, and any provisional credit given becomes final. The document also outlines the conditions under which credits become available for withdrawal, including the time for availability of funds and the bank’s right to apply the credit to an obligation of the customer. Additionally, it specifies the availability of funds for deposits of money. No specific exemptions or penalties are mentioned in this document.

Whom does it apply to?

Payor banks, presenting banks, successive prior collecting banks, collecting banks, customers

What does it govern?

Final payment of items by payor bank, provisional debits and credits becoming final, availability of credits for withdrawal

What are exemptions?

No exemptions are mentioned.

What are the Penalties?

No penalties are mentioned.

Jurisdiction

Connecticut

Source

42a CTGS Article 4, Section 215 [https://reggi.cloud.regology.com/regulations/US-CTGS/US-CTGS_T_42a_C_4_S_215]

• Banking