400.9-340. Effectiveness of right of recoupment or set-off against deposit account. - Missouri Statutes

Effectiveness of right of recoupment or set-off against depositaccount.

400.9-340. (a) Except as otherwise provided in subsection (c), abank with which a deposit account is maintained may exercise any right ofrecoupment or set-off against a secured party that holds a securityinterest in the deposit account.

(b) Except as otherwise provided in subsection (c), the applicationof this article to a security interest in a deposit account does not affecta right of recoupment or set-off of the secured party as to a depositaccount maintained with the secured party.

(c) The exercise by a bank of a set-off against a deposit account isineffective against a secured party that holds a security interest in thedeposit account which is perfected by control under section400.9-104(a)(3), if the set-off is based on a claim against the debtor.

(L. 2001 S.B. 288)

Effective 7-01-01