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Can you summarize WIST 404.403?
Customer's right to stop payment; burden of proof of loss.
Short Summary
This legal document, part of the Wisconsin Statutes, specifically falls under the Uniform Commercial Code Bank Deposits and Collections. It grants customers or any person authorized to draw on the account the right to stop payment of any item drawn on the customer’s account or close the account. The order to stop payment or close the account must be received by the bank in a timely manner to allow the bank to act on it. If multiple signatures are required to draw on the account, any of the authorized persons may stop payment or close the account. A stop-payment order is effective for 6 months, but if the original order was oral and not confirmed in writing within 14 calendar days, it lapses. The customer bears the burden of proving the fact and amount of loss resulting from payment of an item contrary to a stop-payment order or order to close an account. The loss may include damages for dishonor of subsequent items. This document does not mention any specific exemptions or penalties.
Whom does it apply to?
Customers or any person authorized to draw on the account
What does it govern?
Uniform Commercial Code Bank Deposits and Collections
What are exemptions?
No exemptions are mentioned.
What are the Penalties?
No penalties are mentioned.
Jurisdiction
Wisconsin