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Can you summarize NYCL GBS Article 23-B?
General Business > Transactions With or By Fiduciaries
Short Summary
The provided legal document content pertains to transactions with or by fiduciaries. It defines various terms such as ‘Bank’ which includes any person or association carrying on the business of banking, and ‘Fiduciary’ which includes various individuals or entities acting in a fiduciary capacity. The document states that if a fiduciary makes a deposit in a bank to their personal credit using checks drawn by them upon an account they are empowered to sign as a fiduciary, or using checks drawn by them upon an account in the name of their principal if they are empowered to do so, the bank receiving such deposit may assume, if acting in good faith and without actual knowledge to the contrary, that the funds deposited by the fiduciary are funds to which the fiduciary is personally entitled. However, this section does not modify or affect any provision of section ninety-five of the negotiable instruments law, nor relieve the bank from any liability imposed upon it by law to the extent of any payment or amount received for its benefit from any withdrawal or application of such funds deposited.
Whom does it apply to?
Banks, fiduciaries, and persons acting in a fiduciary capacity
What does it govern?
Transactions With or By Fiduciaries
What are exemptions?
No exemptions are mentioned.
What are the Penalties?
No specific penalties are mentioned.
Jurisdiction
New York