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Can you summarize IACO 554.12209?
UNIFORM COMMERCIAL CODE > Acceptance of payment order.
Short Summary
This legal document, governed by the Iowa Code under the Uniform Commercial Code, pertains to the acceptance of payment orders. It outlines the conditions under which a receiving bank, beneficiary’s bank, or originator’s bank accepts a payment order. A receiving bank accepts a payment order when it executes the order, while a beneficiary’s bank accepts a payment order when it pays the beneficiary, receives payment from the sender, or on the opening of the next funds-transfer business day. Acceptance cannot occur before the order is received by the receiving bank. The document also specifies that a payment order issued to the originator’s bank cannot be accepted until the payment date or execution date, and in certain circumstances, the bank may recover payments received if the order is subsequently canceled. This document does not mention any specific exemptions or penalties.
Whom does it apply to?
Receiving banks, beneficiary's banks, and originator's banks
What does it govern?
Acceptance of payment order
What are exemptions?
No exemptions are mentioned.
What are the Penalties?
No penalties are mentioned.
Jurisdiction
Iowa