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Can you summarize NHRS 382-A:3-411?
UNIFORM COMMERCIAL CODE > Refusal to Pay Cashier's Checks, Teller's Checks, and Certified Checks.
Short Summary
This section of the New Hampshire Revised Statutes, specifically under the Uniform Commercial Code, governs the refusal to pay cashier’s checks, teller’s checks, and certified checks. It applies to obligated banks, which are defined as the acceptor of a certified check or the issuer of a cashier’s check or teller’s check bought from the issuer. If an obligated bank wrongfully refuses to pay a cashier’s check or certified check, stops payment of a teller’s check, or refuses to pay a dishonored teller’s check, the person asserting the right to enforce the check is entitled to compensation for expenses and loss of interest resulting from the nonpayment. They may also recover consequential damages if the obligated bank refuses to pay after receiving notice of particular circumstances giving rise to the damages. However, expenses or consequential damages are not recoverable if the refusal of the obligated bank to pay occurs due to specific circumstances such as bank payment suspension, the bank asserting a claim or defense against the person entitled to enforce the instrument, reasonable doubt about the person demanding payment, or payment being prohibited by law.
Whom does it apply to?
Obligated banks
What does it govern?
Refusal to pay cashier's checks, teller's checks, and certified checks
What are exemptions?
The refusal of the obligated bank to pay is exempted if it occurs because the bank suspends payments, the obligated bank asserts a claim or defense of the bank that it has reasonable grounds to believe is available against the person entitled to enforce the instrument, the obligated bank has a reasonable doubt whether the person demanding payment is the person entitled to enforce the instrument, or payment is prohibited by law.
What are the Penalties?
No specific penalties mentioned.
Jurisdiction
New Hampshire