U.C.C. - ARTICLE 4 -§4-109.

U.C.C. - ARTICLE 4 - BANK DEPOSITS AND COLLECTIONS
..PART 1. GENERAL PROVISIONS AND DEFINITIONS

§ 4-109. DELAYS.

(a) Unless otherwise instructed, a collecting bank in a good faith effort to secure payment of a specific item drawn on a payor other than a bank, and with or without the approval of any person involved, may waive, modify, or extend time limits imposed or permitted by this [Act] for a period not exceeding two additional banking days without discharge of drawers or indorsers or liability to its transferor or a prior party.
(b) Delay by a collecting bank or payor bank beyond time limits prescribed or permitted by this [Act] or by instructions is excused if (i) the delay is caused by interruption of communication or computer facilities, suspension of payments by another bank, war, emergency conditions, failure of equipment, or other circumstances beyond the control of the bank , and (ii) the bank exercises such diligence as the circumstances require.

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© Copyright 2005 by The American Law Institute and the National Conference of Commissioners on Uniform State Laws; reproduced, published and distributed with the permission of the Permanent Editorial Board for the Uniform Commercial Code for the limited purposes of study, teaching, and academic research.

U.C.C. - ARTICLE 4 - BANK DEPOSITS AND COLLECTIONS ..PART 1. GENERAL PROVISIONS AND DEFINITIONS

§ 4-109. DELAYS.

U.C.C. - ARTICLE 4 - BANK DEPOSITS AND COLLECTIONS
..PART 1. GENERAL PROVISIONS AND DEFINITIONS