400.3-503. Notice of dishonor. - Missouri Statutes

Notice of dishonor.

400.3-503. (a) The obligation of an endorser stated inSection 400.3-415(a) and the obligation of a drawer stated inSection 400.3-414(d) may not be enforced unless (i) the endorseror drawer is given notice of dishonor of the instrument complyingwith this section or (ii) notice of dishonor is excused underSection 400.3-504(b).

(b) Notice of dishonor may be given by any person; may begiven by any commercially reasonable means, including an oral,written, or electronic communication; and is sufficient if itreasonably identifies the instrument and indicates that theinstrument has been dishonored or has not been paid or accepted.Return of an instrument given to a bank for collection issufficient notice of dishonor.

(c) Subject to Section 400.3-504(c), with respect to aninstrument taken for collection by a collecting bank, notice ofdishonor must be given (i) by the bank before midnight of thenext banking day following the banking day on which the bankreceives notice of dishonor of the instrument, or (ii) by anyother person within 30 days following the day on which the personreceives notice of dishonor. With respect to any otherinstrument, notice of dishonor must be given within 30 daysfollowing the day on which dishonor occurs.

(L. 1992 S.B. 448)

*No continuity with § 400.3-503 as repealed by L. 1992 S.B. 448.