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Can you summarize MNST 336.4-209?
UNIFORM COMMERCIAL CODE > ENCODING AND RETENTION WARRANTIES.
Short Summary
This section of the Minnesota Statutes, specifically under the Trade Regulations and Consumer Protection section of the Uniform Commercial Code, governs encoding and retention warranties. It establishes the warranties made by persons who encode information on or with respect to an item after issue, as well as persons who undertake to retain an item pursuant to an agreement for electronic presentment. These warranties extend to subsequent collecting banks, payor banks or other payors. The section also outlines the damages that can be recovered by a person to whom warranties are made in case of breach. No exemptions are mentioned in this section. The damages for breach of warranty include an amount equal to the loss suffered as a result of the breach, plus expenses and loss of interest incurred as a result of the breach.
Whom does it apply to?
Persons who encode information on or with respect to an item after issue, subsequent collecting banks, payor banks or other payors, customers of a depositary bank who encode, persons who undertake to retain an item pursuant to an agreement for electronic presentment, subsequent collecting banks, payor banks or other payors, customers of a depositary bank who undertake to retain an item
What does it govern?
Encoding and retention warranties
What are exemptions?
No exemptions are mentioned.
What are the Penalties?
Damages for breach of warranty include an amount equal to the loss suffered as a result of the breach, plus expenses and loss of interest incurred as a result of the breach.
Jurisdiction
Minnesota