§ 25-4A-304. Duty of sender to report erroneously executed payment order. - North Carolina Statutes

§25‑4A‑304.  Duty of sender to report erroneously executed paymentorder.

If the sender of a paymentorder that is erroneously executed as stated in G.S. 25‑4A‑303receives notification from the receiving bank that the order was executed orthat the sender's account was debited with respect to the order, the sender hasa duty to exercise ordinary care to determine, on the basis of informationavailable to the sender, that the order was erroneously executed and to notifythe bank of the relevant facts within a reasonable time not exceeding 90 daysafter the notification from the bank was received by the sender. If the senderfails to perform that duty, the bank is not obliged to pay interest on anyamount refundable to the sender under G.S. 25‑4A‑402(d) for theperiod before the bank learns of the execution error.  The bank is not entitledto any recovery from the sender on account of a failure by the sender toperform the duty stated in this section. (1993, c. 157, s. 1.)