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Can you summarize IDST 28-4-403?
RELATIONSHIP BETWEEN PAYOR BANK AND ITS CUSTOMER > CUSTOMERS RIGHT TO STOP PAYMENT BURDEN OF PROOF OF LOSS.
Short Summary
This legal document, part of the Idaho Statutes on Commercial Transactions, specifically addresses the relationship between a payor bank and its customer in the context of bank deposits and collections. It grants the customer or any authorized person the right to stop payment of any item drawn on the customer’s account or close the account by providing an order to the bank. The stop-payment order is effective for six months, but lapses after fourteen calendar days if the original order was oral and not confirmed in writing. The customer bears the burden of proving any loss resulting from the payment of an item contrary to a stop-payment order or order to close an account. The loss may include damages for dishonor of subsequent items. The document does not mention any specific exemptions or penalties.
Whom does it apply to?
Customers and persons authorized to draw on the account
What does it govern?
Relationship between payor bank and its customer
What are exemptions?
No exemptions are mentioned.
What are the Penalties?
No penalties are mentioned.
Jurisdiction
Idaho