13 Guam Code Ann. § 4213
Terms Used In 13 Guam Code Ann. § 4213
- Obligation: An order placed, contract awarded, service received, or similar transaction during a given period that will require payments during the same or a future period.
- Settlement: Parties to a lawsuit resolve their difference without having a trial. Settlements often involve the payment of compensation by one party in satisfaction of the other party's claims.
- Statute: A law passed by a legislature.
(a) Paid the item in cash; or
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13 Guam Code Ann. UNIFORM COMMERCIAL CODE
DIV. 4 BANK DEPOSITS AND COLLECTIONS
(b) Settled for the item without reserving a right to revoke the settlement and without having such right under statute, clearinghouse rule or agreement; or
(c) Completed the process of posting the item to the indicated account of the drawer, maker or other person to be charged there- with; or
(d) Made a provisional settlement for the item and failed to revoke the settlement in the time and manner permitted by statute, clearinghouse rule or agreement.
Upon a final payment under paragraphs (b), (c) or (d) the payor bank shall be accountable for the amount of the item.
(2) If provisional settlement for an item between the presenting and payor banks is made through a clearinghouse or by debits or credits in an account between them, then to the extent that provisional debits or credits for the item are entered in accounts between the presenting and payor banks or between the presenting and successive prior collecting banks seriatim, they become final upon final payment of the item by the payor bank.
(3) If a collecting bank receives a settlement for an item which is or becomes final (subdivision (3) of Section 4211, subdivision (2) of this section) the bank is accountable to its customer for the amount of the item and any provisional credit given for the item in an account with its customer becomes final.
(4) Subject to any right of the bank to apply the credit to an obligation of the customer, credit given by a bank for an item in an account with its customer becomes available for withdrawal as of right
(a) In any case where the bank has received a provisional settlement for the item–when such settlement becomes final and the bank has had a reasonable time to learn that the settlement is final;
(b) In any case where the bank is both a depositary bank and a payor bank and the item is finally paid–at the opening of the bank’s second banking day following receipt of the item.
(5) A deposit of money in a bank is final when made but, subject to any right of the bank to apply the deposit to an obligation of the customer, the deposit becomes available for withdrawal as of right at the opening of the bank’s next banking day following receipt of the deposit.
COL120106
13 Guam Code Ann. UNIFORM COMMERCIAL CODE
DIV. 4 BANK DEPOSITS AND COLLECTIONS