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Can you summarize NVRS 104.3411?
Uniform Commercial CodeOriginal Articles > Refusal to pay cashiers checks, tellers checks and certified checks.
Short Summary
This section of the Nevada Revised Statutes, under the Uniform Commercial CodeOriginal Articles, governs the refusal to pay cashiers checks, tellers checks, and certified checks. It defines the term ‘obligated bank’ as the acceptor of a certified check or the issuer of a cashiers check or tellers check bought from the issuer. If the obligated bank wrongfully refuses to pay a cashiers check or certified check, stops payment of a tellers check, or refuses to pay a dishonored tellers 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 reasons mentioned in the document. These reasons include the bank suspending payments, the obligated bank asserting a claim or defense against the person entitled to enforce the instrument, having a reasonable doubt about the person demanding payment, or if payment is prohibited by law.
Whom does it apply to?
Obligated banks, persons asserting the right to enforce the check
What does it govern?
Refusal to pay cashiers checks, tellers 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
Nevada