8.4-108 - Delays. - Virginia Statutes

§ 8.4-108. Delays.

(a) Unless otherwise instructed, a collecting bank in a good faith effort tosecure payment of a specific item drawn on a payor other than a bank, andwith or without the approval of any person involved, may, waive, modify orextend time limits imposed or permitted by this title for a period notexceeding two additional banking days without discharge of drawers orendorsers or liability to its transferor or any prior party.

(b) Delay by a collecting bank or payor bank beyond time limits prescribed orpermitted by this title or by instructions is excused if (i) the delay iscaused by interruption of communication or computer facilities, suspension ofpayments by another bank, war, emergency conditions, failure of equipment orother circumstances beyond the control of the bank and (ii) the bankexercises such diligence as the circumstances require.

(1964, c. 219; 1992, c. 693.)