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Can you summarize MSCO 97-19-63?
False Pretenses and Cheats > Bad checks, electronically converted checks, electronic commercial debits; statement of reason for dishonor.
Short Summary
This legal document outlines the duties of drawees and payor’s banks in relation to the dishonor of checks, drafts, or other orders for payment of money, as well as electronically converted checks or electronic commercial debits. It states that drawees must provide a written, printed, or stamped reason for dishonor or refusal to pay on the check or attached to it. Failure to do so may be used as evidence of the making or uttering of the check and its proper dishonor. In the case of electronically converted checks or electronic commercial debits, the payor’s bank must provide notice for the reason of dishonor or refusal to pay as required by the NACHA Operating Rules Guidelines. Such notice can be used as prima facie evidence of the dishonor. The document also mentions that the introduction of a check payable to the payee and signed by the drawer for an electronically converted check is considered prima facie evidence of its making or uttering for the payment of money.
Whom does it apply to?
Drawees of checks, drafts, or other orders for payment of money; Payor's bank in electronically converted check or electronic commercial debit transactions
What does it govern?
Duty of drawee to provide reason for dishonor of checks, drafts, or other orders for payment of money; Duty of drawee or payor's bank to provide notice for dishonor of electronically converted checks or electronic commercial debits
What are exemptions?
No exemptions are mentioned.
What are the Penalties?
No specific penalties are mentioned.
Jurisdiction
Mississippi