8.4-501 - Handling of documentary drafts; duty to send for presentment and to notify customer of dishonor. - Virginia Statutes

§ 8.4-501. Handling of documentary drafts; duty to send for presentment andto notify customer of dishonor.

A bank that takes a documentary draft for collection shall present or sendthe draft and accompanying documents for presentment and upon learning thatthe draft has not been paid or accepted in due course shall seasonably notifyits customer of the fact even though it may have discounted or bought thedraft or extended credit available for withdrawal as of right.

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