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Can you summarize FLCL Chapter 674?
COMMERCIAL RELATIONS > UNIFORM COMMERCIAL CODE: BANK DEPOSITS AND COLLECTIONS
Short Summary
This legal document, found in the Florida Statutes under the Uniform Commercial Code: Bank Deposits and Collections, pertains to the variation by agreement, measure of damages, and action constituting ordinary care in banking transactions. It states that while the provisions of this chapter can be varied by agreement, a 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. The document also mentions that Federal Reserve regulations, operating circulars, and clearinghouse rules have the effect of agreements. It further explains that action or nonaction approved by this chapter or pursuant to Federal Reserve regulations or operating circulars is considered the exercise of ordinary care. Additionally, the document clarifies that the specification or approval of certain procedures in this chapter does not disapprove of other reasonable procedures. Finally, it states that 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 if there is bad faith, it includes any other damages suffered as a proximate consequence. This legal document provides definitions and general provisions related to bank deposits and collections under the Uniform Commercial Code (UCC). It defines various terms used in this chapter, such as ‘account,’ ‘afternoon,’ ‘banking day,’ ‘clearinghouse,’ ‘customer,’ ‘documentary draft,’ ‘draft,’ ‘drawee,’ ‘item,’ ‘midnight deadline,’ and ‘settle.’ The document also refers to other definitions from different chapters of the UCC that apply to this chapter. It does not specify any exemptions or penalties. Overall, this document serves as a reference for understanding the terminology and concepts related to bank deposits and collections under the UCC.
Whom does it apply to?
Parties involved in banking transactions
What does it govern?
Variation by agreement, measure of damages, and action constituting ordinary care in banking transactions
What are exemptions?
No specific exemptions are mentioned in this document.
What are the Penalties?
No specific penalties are mentioned in this document.
Jurisdiction
Florida